All Forum Posts by: Account Closed

My best advice for you at this point is to get started now. Once you have been an investor for a while your most valuable asset is time. I bought my first unit at age 29 and now I'm 37 with 34 units. I would be so much further ahead if I would have gotten going earlier.

I recommend doing research but don't spend forever researching. Just take the plunge and buy, you will learn so much more doing instead of reading or researching. I think the duplex is a good idea to start with. You will have to wait about 12 months before most lenders will consider your rental rates as income. So unless you are setting on a pile of money plan on waiting about a year before you can consider purchase #2. After that things will get much smoother and bank approvals will start to come quicker.

Good Luck!

Originally posted by @Matt Klenke:

Wayne Newland I was thinking about buying a single family home and living in it and renting it out to two of my buddies. How do you feel about this as a first time purchase or a way to get into the business?

 My personal opinion is NO! I have rented to family and friends in the past and was not living with them and almost always problems occur and relationships get ruined. Best case scenario would be buy a duplex, you stay in one side and rent the other side to your friends but still not a great idea. Bottom line is friends and family and business are a bad mix. They will expect preferential treatment and if they are bad tenants that makes a horrible situation for you.

Now I would recommend buying a duplex, living in one side, and renting the other side to people you don't know.

We definitely learn from experience so make your own decisions. This is just my opinion from my experiences!

I am an investor with 32 units now and also a licensed real estate agent. I just got my real estate license in January 15. You have to be a sales agent for a couple years before you can become a broker. I do not recommend waiting to get. License before you buy your first investment. Time is very precious, I bought my first rental property at age 28 and would have started much sooner had I known. 

Get out there and make that first purchase! You will learn so much more doing and experiencing than reading about people who have done it. I have made a lot of mistakes along the way and have learned a lot from them.

@Matt Klenke for the very first property I would recommend a cheap duplex if your starting with nothing. When I say cheap I don't mean falling down but a decent place in a lower end part of town. (You don't want something you have to pump all your money into maintenance wise all year). The reason I suggest the duplex is because generally 1 side being rented will pay the mortgage if you buy it right. So you can afford to have a vacancy for a short period of time.

I really didn't analyze much outside of talking to a realtor and a couple landlords in my area. I just got the idea I wanted to be an investor and did it. I was 28 when I bough that first duplex and if I could back in time I would have started much earlier.

As far as financing I had little money or assets and just worked a regular job. When I bought the duplex the market had not collapsed yet and housing was selling higher than it was worth. I went to the bank and actually had to get something called a split loan for them to approve me. Basically I had 2 mortgages on the duplex. Once I knew how much I needed down I set out to secure that much to make the loan happen. I had small college funds set up for my kids and robbed them almost dry. I would do it again a hundred times over, it has taken time but I am really starting to see the returns now. 

I have since preferred single family homes because of less hassle with tentants. I did just purchase an older 10 unit apartment bldg. can't wait to see how it works out after a little time.

Absolutely I would go ahead with the the eviction. This guy thinks he has control over you and it should not be that way. I would send a 3 notice with late fee due and get the process started. He is a huge thorn in your side or you wouldn't be asking for advice. Get him out and get someone in there with a little more respect for your property. You should be billing him for all the broke items you keep repairing also if it is not normal wear and tear. I think you will be relieved once he is gone!

good luck to you, I am an investor in Zanesville, Oh. Not far from you, I am sure you would have endless inventory to choose from in Columbus.

I am also an investor/real estate agent. I got my license last January. Being sponsored just means you work under that brokers name. They all offer different incentives. Some pay all or most advertising, some pay none. Some offer great support, some offer very little. Ship around for a broker that meets your needs.

It has been a process and I will say right out of the gate, if you think this industry is a get rich quick place to be, Your Wrong! Real estate takes time and patience if you are staring from nothing like I did. I read a lot of blogs and forums and many people keep talking about doing, reading, studying. My advice is take the first step and just buy a property. My first property was not a good choice but at least I had something to work with and compare to on my next purchase. Actions are so much louder than words, just get your feet wet and do it!

1. Bought a duplex in 2007 with money I saved for 20% down.

2. Got the idea about a year prior when the company where I work was bought out.

3. High School graduate only prior to that.

4. Actually buying the rental and not talking about any longer. Actions are much louder than words!

Buy and hold is the way to create and sustain long term wealth. Get started now so you can grow your inventory. As of this week I have 32 total units. I have never done a flip though but am very interested.