All Forum Posts by: Garrett Spear

Hi Cody,

I'll echo some of the other advice here, it sounds like a house hack is a good place to start. I recommend you join the local REI groups and attend the meetups. If you can, find employment in the industry to educate yourself and expand your network. I am also based in Lexington and started by investing in rehabs. I'll be happy to share my experience, feel free to DM me.

Hi CC,

Welcome to BiggerPockets! You've come to the right place if you're interested in diving into the real estate investing world.

I agree with Mike, to consider your goals carefully. I also recommend to focus on networking with other real estate professionals, and self-education about the industry and your chosen investing market. 

Central KY has some good real estate meetup & networking groups, message me for that info. I invest in Lexington and am always happy to chat with folks starting out.

Hi Chris, Welcome to BP, and congratulations on starting your real estate investing journey! Sounds like you've got the right attitude for learning and success. There are a couple regular REI networking events in Lexington, invite you to check these events out to help build your network. I began investing in Fayette county after starting a property management company in 2017. I'd be happy to share any contacts/ knowledge, or meet up if you are in town.

Cash reserves is the answer to your question. When you run your numbers on a potential investment, consider your cost to operate through a worst-case scenario.

Hi Cesar, I use gross income in this situation. Combined for the household. But as the other comments have noted, you may study the credit report to determine debt obligations.

Hi Chris, congratulations on starting your real estate journey! My advice is 1) continuous self-education and 2) networking with industry professionals in your local market.

Completing a wholesale deal and buying your first property are two distinct goals. It might be better to choose just one to focus on as you start out.

Dive into these forums and the BP podcasts to research each of your two goals in depth. You'll discover a number of strategies and tactics used by others, choose some that most interest you. Then you get to work implementing those strategies in your own business.

In my personal experience, I find mentors through networking. I recommend you attend real estate related events and meetups in your local area. You can also search BP to find local professionals and reach out to them here.

Best of luck!

Hey Jake, My vote would be for your own business. Not because of the current income differential, but because of the personal and financial growth path that entrepreneurship entails.
As far as getting a mortgage goes, many lenders will want to see 2 years of solid income history, either in the job or in the business. So either is a viable option!

Hi Michael, I would recommend you use financing to purchase real estate. Although debt always carries some amount of risk, learning how to responsibly utilize leverage to acquire real estate is an essential skill for a new investor.

I'll echo the other comments here- a cosigner in this situation greatly reduces your risk. In my experience, credit score as a rental criteria is more important in some markets than others. If your local laws allow, asking for additional security deposit is a common way to resolve this situation.

My advice is consult an attorney experienced in this area of practice and jurisdiction. If you didn't like the first attorney you spoke to, call around to others, or ask your network for references and recommendations. Going this process alone without prior experience could potentially end up costing you more in the long run. Either through you unknowingly making an avoidable legal mistake, or by extending your investment project duration (more than it already has).

If you have a court date coming up, that does not necessarily mean that you will be 'rid' of this person any time soon. It is possible a judge could rule in the occupant's favor, or set an extended timeline for them to vacate.

The answer to your question regarding their belongings may be dictated by statute and would also be best directed to an attorney or property manager active in your local market.

In my experience, the person in this situation is going to tell you only what they think you want to hear. You should have filed legal action the moment you discovered that the property was unlawfully occupied.

It is essential to treat residents (even squatters) with respect and integrity. But when you over-extend charity in this business you will get taken advantage of. Hard lesson to learn but hopefully you won't let it happen again!

I sincerely wish you and your wife the best of luck with this challenging situation. Treat it as a personal growth experience and opportunity to learn.