All Forum Posts by: Peter Mac

@Brennan Hanrahan fly out to Ohio and make a list of people to meet and talk to. Drive to offices of real estate agents, property managers, and go to an investment club meeting (meeting people is important). Dont make any purchase yet - there may be better options than turnkey or if turnkey is what you want and it fits your goals then I'd suggest waiting a month or two to REALLY think about it and develop your criteria on what a cash flowing deal works for you.

While you're driving around to meet these agents and property managers, if you see any contractors working - stop by and introduce yourself and check out the work they're doing and ask questions about the cost and timeline for that rehab. Grab their card. Do this a lot to add to your database. Also, if you see any vacant properties - send them my way lol. Just kidding - write down the address and skip trace the owner and just call them up

Also, stay safe and watch your back. stay out of bad neighborhoods.

@Mo Muigai find the best eviction attorney in your area. The ones that do the most evictions. Ask them for their lease agreements (since they use these lease agreements to evict).

@Constance Kawa-Small I'd back out of the 3 escrow. Perhaps test with 1 property only. Jumping in with 3 is careless.

@Phillip Scalise do it in your name for now. If you start accumulating lots of equity (maybe 50k? What's your threshhold) once you hit that threshhold then think about forming LLCs in your state. If you get even bigger then consider an entity in NV or WY which will own LLCs in the state that the property is located in. Look up Clint Coons on youtube. https://youtu.be/lZpAkqNoXR0

@Benjamin Manibog everything can be negotiated. If they're legit and can stand behind their education, then get them to do terms on the 15k and not give the whole amount up front. (Maybe 1k per month). You'll find out within a few months if it's ****** or legit. Giving cash up front means they already got their money and your success doesn't matter

@Dave Ramirez if you still plan to put up the post, please let me know. Thank you, sir.

@Dave Ramirez great tips! I tried following your link and I think the post was removed. If you don't mind summarizing it, it would be another great tip! :)

Vick - I would not pay a guru or a mentor to teach me. As for learning, I highly recommend you enroll in a real estatate agent course and take it, read the books, attend class, etc. . . then pass the in-class exams. From there, you can stop or you can keep going and pass your state's exam to get your license (not required to be an investor). Taking real estate classes will help you with the real estate language. . . I learned a ton. But in the end, I did not get my license because I don't need it! I just need the knowledge!

Another comment on paying for mentoring - if you're interested in wholesaling, then your mentor will ask you to help with manual tasks and you will learn, and you will develop a relationship. Juts make sure the mentor is successful in wholesaling so you're not wasting your time.

As for fix n flip mentoring - one of the challenges as a fix n flipper is getting more cash. When you do fix n flip, you borrow 80% (or 90%) from a hard money lender, and then you have to provide the remaining 20% (or 10%) as a downpayment to purchase the property. This is where you can come in and help the mentor by providing some downpayment and then ride on your mentor's experience in rehabbing properties. Make sure they have a track record so you're not wasting your time.

I agree with Chris Grenier. Even though it does not sound fun, but you've just made a new, valuable connection (as long as they've been successful in real estate). Wholesaling is not an easy way (there are easier ways to get started in RE). Wholesaling is a way for you to get started with low money, but will take a lot of time and effort.

Another tip - don't bother building a buyer's list. Find the deal and make sure you give yourself some good time to close (like 2 weeks, or even 3 weeks). The buyers should be very easy to come by. If you got a property under contract say 50k, but it's worth 100k ARV (after repair value). Then, start putting signs out "100k house for 50k" and include your phone number. . . if your phone starts ringing (assuming you placed it in a busy intersection), then you can close it. If the property you've got under contract and you've put out ads and you still don't get any calls, then it may not be a deal.

Don't pay the $500. These guys will try to tell you that you got to "invest in yourself." And as mentioned above, once you bought the first one, they'll try to sell you the second one, then the third. . .

My take on it is: DON'T DO IT. You can learn from the school of hard knocks. I've heard people going out there and doing creative real estate deals with low-to-no-money down (these deals are hard to come by . . . if you have no money, then you got to spend your time and effort).

Listen to the BiggerPockets podcast show #77 with Michael Quarles. Also, buy Phil Pustejovsky's Real Estate course on udemy.com for $10 and I guarantee you'll learn a lot. Read, read, read. Then talk to a bunch of people. Listen to the BiggerPockets podcast. . . listen to the webinar that Brandon Turner does weekly.