10 Tips to Start out in Real Estate

[moellerryan]

Starting out in real estate can be very difficult for beginners.  There are a lot of unknowns and comfort barriers that must be overcome not to mention the time it takes.  Here are 10 tips to jump start your real estate investing career.

1. Learn -  Read every book, article and forum you can.  Some boot camps, seminars, webinars, etc are very informative but can be costly.  Also become active in online forums.

2. Join REI Clubs and Groups -  Join your local REI Club, networking groups and online groups.  Network like crazy and make contacts with experienced people who Do.

3. Find a Mentor -  Always always always have a mentor and other experts in the area look over your deals.  They will help you avoid mistakes and if you found a home run deal, you will build a lot of credibility.

4. Pick a strategy to master -  Pick one strategy and master it, do not spread yourself too thin on 5-10 different strategies and never put in the effort it takes to find the first great deal using one strategy.

5. Partner – It is never a bad idea to partner with an expert who has experience.  You can avoid costly mistakes and learn a ton which you can utilize in future deals.

6. Build Systems and a Team -  Find quality experts, align your goals, build efficient and effective systems and duplicate over and over.

7. Slow Down –  Greed often gets the best of people and they go too fast and get in over their head.  Pace yourself and do not take unnecessary risks.

8. Build reserves -  Always keep some reserves on hand for each deal in case of surprises.

9. Generate Private Money Investors – Buying with cash and quick has so many advantages,  Private investors allow you to be extremely creative and fund great deals that conventional financing will not allow.

10. Analyze –Critique–Improve – Look at what you know, your strategy, partners, systems, team, financing and reserves.  Analyze, critique and come up with solutions to improve every aspect of your business.  Continuous Improvement.

[Nick Brian]

Hi Ryan Moeller thanks a lot for this effort. Your tips itself an excellent strategy to build a career in the real estate industry. I hope everyone here will find it useful. I liked your Learn, Find a Mentor, Pick a strategy to master & Slow Down most helpful. Thanks again.

[jrockfl]

Nice post

[Holoyarses]

Thanks for sharing. The tips are really useful for for beginners and not only. It's amazing that there are people in the world who are not selfish and help others sharing their experience.

[Bluemoon06]

Private investors allow you to be extremely creative and fund great deals that conventional financing will not allow.

I use conventional financing this keeps me from getting creative.  Creative can get you into made no money really fast.  If the bank won’t do it, it probably doesn’t need to be done.  They are not trying to sop you from making money they are trying not to get caught in there with you when you don’t.  I use them as my governor.

[TaxLienGuru]

Private investors allow you to be extremely creative and fund great deals that conventional financing will not allow.

I use conventional financing this keeps me from getting creative.  Creative can get you into made no money really fast.  If the bank won’t do it, it probably doesn’t need to be done.  They are not trying to sop you from making money they are trying not to get caught in there with you when you don’t.  I use them as my governor.

Good points! 

I would add the exception for cases where you don't have the credit to obtain financing or a down payment. If you have neither and depend on a bank you are SOL.  A deal may still be a deal even if the bank won't work with you.

[moellerryan]

Thanks for the comments, I am very glad these tips are helpful.

Holoyarses, I did my first few deals using conventional financing but now use private money and creative financing on almost every deal.  My governor is my criteria.  I always stick to my criteria which gives me plenty of equity, plenty of cash flow and multiple exit strategies so there are many ways I can profit on a deal.

Thanks again, happy investing!!