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Updated about 14 hours ago on . Most recent reply

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Nicholas R Facciano
  • Rental Property Investor
  • San Francisco
9
Votes |
7
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Finding financing as a first time investor

Nicholas R Facciano
  • Rental Property Investor
  • San Francisco
Posted

Greetings BiggerPockets! I'm a young investor (19) passionate about building wealth through real estate. I've been absorbing everything I can about the BRRRR method and have selected a market where I see significant potential. My current challenge is financing. I'm seeking guidance on finding lenders who specialize in asset-based lending, given my limited credit history and the need to finance a distressed property. I'm really looking to connect with experienced investors who've navigated similar situations. Any advice on building relationships with lenders and strategies for overcoming these initial hurdles would be greatly appreciated. I'm excited to learn and grow within this community!

Most Popular Reply

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791
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Jeremy H.
  • Rental Property Investor
  • Lafayette, LA
1,017
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791
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Jeremy H.
  • Rental Property Investor
  • Lafayette, LA
Replied
Quote from @Nicholas R Facciano:

@Marc Walowitz Hey Marc, I've been looking into Columbus Ohio


 Time to get out the popcorn and sit back for a show 

Now I don't mean to sound negative - but you're brand new with zero experience, no track record, no money, bad credit, no team in place, no rehab experience and you want to do a long distance BRRRR in Columbus Ohio. This is an absolute trainwreck waiting to happen.

You need to build a foundation - this means credit, capital, networking (other realtors, lenders, property managers, general contractors or laborers etc) for a few years - then attempt what you're planning to do. 

Go complete a local rehab first - estimate costs, hire subs, inspect their work. Build up some money - sell some houses as a realtor, invest in the stock market, go wholesale, learn to market and advertise. Network - meet potential partners and start scoping out the best for your eventual team. Maybe even find a partner(s) so do a local BRRRR. Attend meet-ups. Make a rental calculator to calculate your income/expenses/profit (and by that I mean create one yourself, don't use someone elses).

I like the enthusiasm, but you have to learn to swim at least a little before you jump in. At least give yourself the best chance you can. 

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