A real estate agent isn't an investor. They're salespeople.
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Free registration at the forum removes this block.This is one of the reasons why MJ says RE is not fastlane... nothing 'fast' in this approach.My suggestion is start with a single family house in a nice area, rent it, flip it, lease it, do whatever you feel comfortable with and see what you like.
sometimes tenants are a pain in the you know what.... when they don't pay ON time, OR even when they just sit there do nothing so difficult. Though I still might try to rent and then flip, the only fear i still have is...I will be the sole earner of income and 80K can't really go long long way in the long run since of other expenses which keep poping out on me. I am going to try the rent idea and buy to sell flip....though back of my head just so much feared what if it doesn't sell, then I have (one mortgage which im helping my mother out on, and the other mortgage will be this one which i will be working on)
Trust me I know all too well about how tenants can be a pain in the a$$. With that said, I would suggest that you join your local real estate investing club before you do anything. Meet up with some like minded LOCAL real estate investors, and get educated. Good luck buddy
Unfortunately, you don't provide nearly enough information to help you determine what your best strategy may be.
What kind of returns are you looking for?
How much time do you want to devote?
How much knowledge do you have about real estate investing?
Where do you live and where do you want to invest?
Do you have good credit or access to other cash?
What is your investing time horizon?
- My credit is excellet, no bad history at all. Cash available the most is 20k.
- investment time zone would be 3-4 months if i want to double those 20k to 40k
Where in VA?
This is a very diverse state. NoVA is expensive. VA Beach is also on the expensive side. For what I understand, Richmond is not too expensive, and the south part is cheaper. This makes a big difference.
Can I assume correctly you are in Northern VA?
Your best bet is to buy a distressed property at a deep discount, fix it up, and sell it. A flip or rehab. This is the quickest way to multiply your money (at least that I have found). Some issues you will have is your limited time involvement. While I would NEVER recommend someone looking to start a real REI business do their own rehab or construction work if you do not have real experience, I still believe that you need to be there enough to make sure that whoever you hire is doing a good job, is getting things done in a timely fashion, and to manage your investment. Once you have a better relationship with your crews you can give them more faith, but you still should be checking in on the place every day or so.
Not sure what prices are like in your area though, as 20k is not nearly enough $ if you live in an are with high prices like many areas of Northern VA. You will need to have money on hand to cover closing costs, down payment, and at least to start the construction before your first draw.
I guess you can use that for an FHA 3% down-payment for a not-so-great townhouse over here...Fairfax County area....
I have spoken with Real Estate agent, and the most part which they can do for me is give me a refferal bonus, otherwise thats it, nothing more. I guess maybe wait for my promotion to reach 100K to 150K then probably i will be able to do something. Ohio, Cleveland (which is my birthplace) is pretty cheap houses there. Was thinking probably to flip houses in that state but I don't live there. If I flip houses here in Fairfax County or any other County within Virginia, I'm pretty much risking my future, which I am willing to do. I'm going to do it in Feburary or March of this year....wish me luck....though really scared if it doesn't sell....With your limited cash and experience, one option would be to birddog properties for real estate investors in your area. Meet with them, ask them what they are looking for and negotiate a share of profit if you bring them a deal that fits their criteria that ends up closing escrow.
A real estate agent isn't an investor. They're salespeople.
As one person suggested you could be the money man, and have the other do all the work, to flip and/or rent to refi your profit. I would suggest that you continue your research and find something that make your comfortable, because real estate investing is pretty broad. Someone on here may tell you to buy a strip mall because commercial real estate is in the dumps, but that is not going to help you if a anchor tenant leaves and now your stuck fronting the mortgage.
My suggestion is start with a single family house in a nice area, rent it, flip it, lease it, do whatever you feel comfortable with and see what you like.
You may find out that you hate dealing with tenants and may want to go another route. Good luck with whatever you choose. Roc
This is one of the reasons why MJ says RE is not fastlane... nothing 'fast' in this approach.
You have a lot of things going against you:
* Too many negative assumptions
* A Can't-do attitude (derived from the previous point)
* Not enough cash to support any issue (and trust me, they will happen)
* Fighting a tough market (nobody is going to sell you a house for cheap in NOVA. There is no 'crisis' or 'troubled economy' over here)
* Prices are going up and rents are not catching up
* you already have too many obligations (choose: help your mom or invest)
Sorry to be negative, but it does not sound to me you are ready to invest in RE in this area.
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