Originally posted by "sarahheck":
Hi folks,
I'm totally new to this forum. I'm 32, a practicing lawyer, and seriously wanting to get into this business in some shape or form. I have no idea where to begin and no capital to start investing. After reading these forums, it appears that the "no capital to invest" issue isn't a problem as there is money out there ifyou know where to look for it (?)
My question is, do you start with the financing, or the property?
When I bought my home, which I just recently sold, 7 years ago, I went to the bank first, got preapproved for my loan, and then went out and found my house. Is this how REI works? Or do you find the property, then sell the deal to the lender?
I actually have an appointment with a local banker this afternoon because I want to find out more about how conventional financing works. After reading some of the posts here, it looks like that is often not the way forward for someone with no start up capital (?) Am I better off talking to a mortgage broker?
Or should I go out learn more about the market and properties (I know I need to do that too, but is that the first step?)
You got to decide on what you're gonna do. REI's all do different things. Some buy and hold, some flip, some condo convert, some build, etc... I'd recommend that you flip houses at first. But being a lawyer I'm not sure if that's your cup of tea or not?
If you bought a house though you already know the process and the battle of buying a house is half won. Also if your a professional I think there's special loans you can get for people with professional status. But in any case that should help in qualifying.
Don't get pre approved, it's just a waste of time if you ask me. Just decide on what you want to buy and if it fits your long term objective and then if so just get it tied up, go to the bank get financing, complete the purchase, then flip it or rent it out.
However, before you get started I "strongly" recommend something...you whouldn't practice law without first studying for the bar exams, same with REI. However, the learning curve in this industry is just a fraction of what you've probably had to study already. So it's pretty quick. And the easiest way i know for someone like you to get through it is simple. Just to go ebay right now, look up Carlton Sheets No Downpayment, or just go to his website, and pick up that course. You need to study that course before you do anything else. Otherwise you'll just be winging it and you'll lose the case, or worse you'll get sued for malpractice. ha ha....Just get the course and listen to it each day as you drive too and from work. Slowly you'll begin to understand how it all works. Also you should start to watch those "house flipping" shows on TLC. Just watching those people you can learn how to flip houses and you can see how well they do and what mistakes to avoid.
You don't need a lot of money to get started, maybe just $10k would get you off the ground. I'd think a lawyer of all people could round up 10k from a variety of sources. But for now just get that course, trust me it will be potentially the best investment you've ever made in your life.