All Forum Posts by: James Polk

1) Pick up some real estate books that cover topics that you think you have concerns on.  I use to love to read, but who has the time with a wife, 3 kids, full time job, and after 5pm I'm an investor hunting deals.  Listen to the books on audible.

2) Listen to the bigger pockets podcasts. Brandon and David are awesome.  Even as an experienced investor starting to accelerate, the podcasts always have a gold nugget for me and are inspiring.  

3) Partner with someone that has experience or someone that has capital, or someone that has capital and experience.  The real estate Trifecta is Hustle, Knowledge, and Capital...you need all 3 to make the deal work.

4) Start analyzing deals.  Even if you don't know what your doing.  You must learn how to discern a good deal.  The practive will help you see a good one from a financial grave with your money(or worse your investors money) and your dignity written on the headstone.

5) Do your first deal!  It is the hardest one.  I have done 16 and I did the first deal with no money, no credit and very little knowledge.  Like anything else you have done...you WILL make mistakes, just fail fast, mitigate the damage, learn the lessons and we will be hearing your interview on the bigger pockets podcast.   

Jeff,

I would agree with Ozzy.  Partnering can be a great approach.  I am the lead investor and I partner on all of my deals.  It helps me diversify my risk, capital costs, and I get the benefit of their wisdom.  Join real estate meetup groups, meet people on bigger pockets, and join your local REA.  I have mostly had good partnerships but there have been a couple opportunities where I had to decide to see other business partners.  The most important part is do they have a similar philosophy, direction, and values as you.  If they have complimentary skillsets, where you cover each other's weakness.  Are you trustworthy and just as important...can they be trusted.

If you need any help Jeff, let me know.  Sounds like you have a great skillset for this business now go find a deal!

James Polk

Investment Info:

Single-family residence buy & hold investment in Lake Jackson.

Purchase price: $84,900
Cash invested: $12,000

Property has an ARV $140K.
Escrow Pmt: $950
Rent: $1400
Cashflow After Mgmt(self manage): $310

How did you find this deal and how did you negotiate it?

Found it from a wholesaler in a sub market of Houston.
Bid 5k under list price. Wholesaler asked if I could go 1k higher. I agreed.
At closing I could see the wholesaler was at our market's low 5k assignment fee.

How did you finance this deal?

Cash with a partner.
Refinanced in a conventional loan.

How did you add value to the deal?

18k of Rehab: New Roof, New HVAC, NEW Kitchen w/granite, New Bathroom, New Vinyl Laminate Flooring, general repainting, and exterior landscaping.

Lessons learned? Challenges?

It was a smoother remodel. Learned a little more about conventional lending and keeping the property in the LLC.

Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

You can contact me.