All Forum Posts by: JOAN DICKIE

If you have no income, it will be very difficult to buy using USDA or any conventional loan.  Lenders want to see a certain income to debt ratio and an income flow to pay the loan back.  Rent from an income property probably wouldn't fly when you are just starting out.  

Anybody else have any ideas?  Maybe wholesaling the property to another investor to build cash?

Good Luck!!!

Just remember to have a great follow up system for the leads that you get.  Not all the leads are going to need you right away.  Some are a year or so out.  I've heard the greatest success people have had are the ones who have the best systems for keeping in touch.

Most residential agents will want you to sign an exclusive buyer contract with them.  Especially the "go-getters".  They won't want to waste their time with someone who isn't committed to work with them.  If you don't want to sign exclusivity with anyone, then make sure they understand up front and that you understand you may not be the first person they call.

I have a couple of investors I work with, and I don't have an exclusive arrangement with them.  Luckily, they are looking in different areas and have different needs, so I can call them when something pops up.

Find an agent who understands what you are looking for and understands how you work.  Build a solid relationship with them and you will have the start of a good team.

In my market, I don't think there will be much effect.  Home prices have gone up slowly and steadily, so I don't think the interest rate hike will do much.  I think it MAY affect the first time buyers in starter price homes in many places because increasing the monthly payments even a little may knock out a few people.

Check your state regulation.  I know of one state where the broker must have an ownership interest in the brokerage.

I agree with @Seth Nadreau.  College isn't necessary for success today.  If you have the burning desire to be in investing, find an investor you can be an assistant for.  Do appraiser training or get a real estate license.  Don't  be afraid to start at the bottom for educations sake.  There are many successful people who have started at the bottom and have earned a mentors trust and respect.  You may have to go on your own if your parents don't agree.  You will have to take the pink slip on your life sometime.

Real estate agents get marketing partners, however, we have to be careful how leads are distributed due to federal laws.

Are you speaking about something like affiliate marketing?

There could be some advantages to being at the office.  Some places have floor duty - you must be physically present, but you get any prospects that come in.  Or just by being there, you could talk to any prospects that come in.  You will need to talk to your prospective broker about those topics.

I'm not sure about other cities results, but when the state of Minnesota put in light rail transit up to our little town, it did pretty much nothing for real estate values.  When the state built one to connect Minneapolis and St Paul, the argument to get it passed was that it would encourage renovation as people would be begging to live along the line.  It didn't happen.  

In MN, the rail didn't take off as well as originally hoped, but more rail is still being built.  Who knows, maybe it will be different where you live.

Congratulations and good luck @Gustavo Martinez!  Tell us - what about your broker made you decide to go with them?  In what ways are they especially pro-investor?