They are not markets for the new or novice.

We found that we were often outbid by novice investors or that the bank set a reserve price so high we couldn't make the numbers work.

I'm looking to start off in areas with lower costs coming in, preferably under $100k single families but definitely under $200k.These markets are particularly appealing for novice investors, especially those from California, as they offer more affordable options compared to local alternatives.

Over the past seven years, I've gone from being a novice investor to owning 28 investment properties.

Over the past seven years, I’ve gone from being a novice investor to owning 28 investment properties.

Borrower Types: The Professional - HM Lender will cut sweet-heart deals to keep these borrowers around Experienced real estate investors Regularly engage in property transactions Typically have a track record of successful projects The Newbie - Charge Higher everything as the risk is higher as no experience Novice investors or first-time borrowers Limited experience in real estate Seeking to build their investment portfolio The Deadbeat - Only lend if the deal is so SWEET, they can't lose if they take the property from the Borrower Borrowers with poor credit history or financial difficulties High-risk borrowers May struggle to secure traditional financingThe lender will do an application on the deal/borrower and some standard docs they require are:Hard Money Application / ExperiencePurchase contractARV report – COMPS – See * Redfin*Pictures of Property – most people use Dropbox to shareProof of Funds – Down / Reserves (Bank Statements)Personal identification (ID or passport)But usually if the deal is sweet enough, they will do it anyway because if the deal goes south, there is so much equity/value in the property that the HM lender can't lose.

Being novices in the game we do not have the legal or business background to know where to begin on accepting funds.

So there are many more participants at the novice level who may not understand the risk/reward nature of this type of investment. 

Actually, most have been building up a "war chest" of capital getting ready to jump on opportunities as the novices fail-out.

Recommendations for a novice in real estate investment.