All Forum Posts by: Jeffrey Lester

Hi all, 

It's been a while. I've been very busy this year and was never extremely active on the forums, but I have been an avid reader on the site and a regular Podcast listener. 

A while ago, I posted to the forums, "What would be the best college degree to compliment my REI career?" I had numerous different suggestions, and the question even got asked in the Fire Round on a Podcast last July. It seemed like Accounting/Management was the way to go in many peoples' opinions. And, in fact, Accounting is my declared major as of now.

Anyway, now that I'm about 3/4 done with my freshman year, I have thought a lot about what I want to do with my life. 

First in foremost, I honestly still have no idea. I have thought about consulting, being a financial analyst, investment banking, and all sorts of stuff. But, honestly, I'm still tempted to become a real estate agent. I've always had an entrepreneurial spirit and I find the idea of that career exciting, mostly because it's up to me to either make or break my own success. 

My first point leads me to my second: I may drop out. It's not that I don't like college or that I think it's a bad investment of my money, I just don't know if the degree I'm pursuing will really give me an edge given the things I would like to do and accomplish. For instance, I would like to start a business. Would an accounting degree help? Of course! Is it needed? Not at all. I'm still considering the pros and cons of college, and in the process of considering this decision, I am applying some knowledge that I gained in my microeconomics class: do not let sunk costs affect a decision, as the money has already been spent and cannot be recovered. Sure, I took out $8k in loans this year for school (even with considerable scholarships), but in the long run, that $8k is minimal. And, in comparing myself to most college graduates (who tend to have, on average, about $29k in debt upon graduation), I'm not in terrible shape. 

So, this is my update. It has been a fun/strenuous/stressful year, and I have learned a lot about myself. I'm hoping I'll have made my decision made this summer. I'm going to be more active on the forums from here on out, because I have realized that this is a vital point in my life in terms of REI – my first investment may be only a year or two away, so it would be best if I engage with others on the forums.

I'm hoping everyone else has experienced their own personal growth in the last ten months, because I know I sure have. 

Best, 

Jeff

@Mike Moles I agree with that. Buying smart is crucially important! 

Also, all of this input truly is incredible. This is easily the thread that has taught me the most! 

@Will Barnard Thank you for your post, Will! I agree. My parents always say they don't want to invest in RE because they don't know what the market will do! 

I guess I forgot how to turn off bold typography :-)

Hey guys, 

This forum post has had an overwhelming amount of educative, brilliant responses. I have learned a lot. Thank you! 

I think this post could be very useful for others to read through, so I'll continue on asking some questions! :-) 

I have been on family vacation the last couple of days, and I've been talking about investing with my family and some friends. I have noticed one question/fear they have about investing. That is: what if you buy, and the property depreciates in value rather the appreciates?

Now, I know this has already been discussed in the thread, but I am curious if anyone has had that scenario occur. 

I told them how you'd avoid it: (1) invest in markets that aren't super volatile (2) always and only buy properties for less than what it's appraised at - that way, you have some leeway, and, finally (3) understand the game and the market you're investing in. It really seems like the entire reason they have never invested is because they have a tremendous fear of depreciation. 

What are your thoughts on this?

Hello, all!

I am planning on purchasing a property by the start of my sophomore year of college, and it is completely up to me to secure financing, because I absolutely do not want to involve family or friends with my first couple investments. 

I have narrowed down my options to a lease-option or owner financing simply because I have a 0% chance of securing traditional financing from a bank. 

I want to buy this property for the following reasons: (1) have a very small living expense (2) gain valuable experience in investing, property management and finance, and (3) build equity I the property and make a profit upon selling by the end of my college career (I am planning on selling it since I will be moving to another state after college, and I will use the profits to purchase a duplex in my new place of residence). 

I would say the most important reason is reason number 1 - have small living expenses. 

So, what method of financing would work best for a student like me? Lease-optioning, or owner financing? Do any of you have experience with either of these finance methods, either on the buying or the selling side?

As always, thank you so much for your time, advice, and stories. The forums have been a profound help in growing my REI knowledge, and is look forward to a successful future!

@Richelle T. That's a really great strategy that I haven't given any thought to! I'll be referring back to your information once this years comes to an end. For now, I'll be working and saving money. This is awesome. I had no idea things like this existed! Thank you, Richelle! 

@Blake C. Thank you for the in-depth response! I agree whole-heartily with what you have said. I will be seeking out mentorships while in Missoula for college, that would be the most valuable thing. 

I'm sure I'll have more questions to ask you in the future. I really wish all the guys on BP were local! Finding a mentor is going to be tough. 

@Blake C. Thanks for the reply! I have definitely heard that finding good deals on the MLS is extremely difficult, which is a shame. However, the main reason I want access is to simply get good at evaluating properties and trying to assess how much they're worth. If I can say, "hey, that's a pretty good deal, if I had money, I would consider buying it", or, "that's an awful deal, the want a kajillion dollars above market value", I would be ahead of the game. That's the main reason!

But, of course, if I could pull off 1-2 wholesale deals per year while I am in college, I would be simply ecstatic. Even if I'm making just $1500/deal, it would be an amazing feeling to actually be doing deals in real estate. Trust me, unless I find out I'm a mastermind at wholesaling properties, I won't be starting a wholesaling business anytime soon! This is mostly for experience and possibly a few bucks. :-)!

Quick question - when you did buy a deal off the MLS, what strategy did you use? I'm planning on (1) target potential, newly-listed leads (2) compare to similar properties (similar square footage, same number of bedrooms and baths, and in the same neighborhood) that sold within the last 6 months (3) go physically inspect homes that seem to be listed below market value (4) if I see nothing wrong with the home, put it under contract and present it to my investors list

Am I on the right track? 

Hey, everyone!

As I have stated in almost all my other forum posts, I am heading into college in the fall. Right now, I'm taking time to educate myself about REI, and I'm planning on trying out wholesaling, and possibly even a property purchase, while I am in school.

After researching, it is clear that the best and most effective way to find properties and have reliable information is to utilize the MLS. However, only Realtors and Unliscenced Assistants to Realtors have access to this extremely powerful tool.

Does anyone have any tips as to how I can become a register UA? My brother has a good friend that is a Realtor, and I was going to chat with him about the possibility of this position. Obviously, any deals that I wholesale through the MLS would be done through my partner, and that would be his/her benefit of having me listed as his/her UA.

As always, thank you. BiggerPockets has been a tremendous tool for me, and I hope to one day be a successful investor so that I, too, can give back to the community just as you have all done for me! 

@Account Closed Phoenix is a very happening place. I think it has an excellent future. I can tell you that I am very, very excited to live down there, whether it is in one year or four! Also, I would start one, but I'm either moving to Phoenix or Missoula, Montana in a couple if months!