I Have $4000.00... What Should I Do?
I need help!!!
I have $4000.00 dollars to start investing in my first property or flipping a contract. All the knowledge that I have obtained from books and this forum is great but what is the nitty-gritty on getting started? I am in NJ right now and there are homes being sold for about $250,000 plus. I want to work solely on assigning contracts, but I am open to a better start. I need assistance here...
I would say spend $3,000 on a huge party and invite all the local investors to it. just kidding, stick to the basics initially, attend your local reia, talk to as many people as possible, start scheduling lunches with successful real estate investors, realtors, etc to pick their brain, read every morning and night, concentrate on communication skills first and sales books, the rest will fall into place.
[addsig]
RE workshops are always going to try to sell you something. Just depends if what they are selling is information you feel is valuable and worth paying for.
The forums and resources here are inexpensive and a great way to learn.
Thank you for the reply. This workshop I may be attending deals with foreclosures. Is it possible to Purchase a foreclosure home with no money down?
Zero,
Information is the valuable assest you can have. Agreee with Jim, gather all you can, then proceed and profit.
Quote:
On 2007-02-08 14:42, zeromoney wrote:
Thank you for the reply. This workshop I may be attending deals with foreclosures. Is it possible to Purchase a foreclosure home with no money down?
call the city. find out if its for sale, first thing to do
then, ask how much they want. they might already have had an appraisal done, or they might tell you they will get an appraisal and that will be the price, or something else...depends on the city.
1) property taxes are higher then that there
Texas is extremely high for property taxes, better check what they will be at your sale price.
2) Houston was the place to own before Katrina and during the rush to find housing there with the influx of people.
Once that tide goes back out to their origin or spreads out to other areas then Houston will have been left with a glut of properties and prices will drop.
Telemon,
I have also found that in these "HOT HOT HOT" investment areas, finding positive cash flow is almost impossible because rents are not keeping up with the crazy appreciation.
What markets do you know have the great upside of cashflow AND great appreciation?
Thanks.
JS.
To answer your last questions regarding cash flow and appreciation I would say depends on the investor. I personally never buy for appreciation. To me this is too big of a risk. I know everyone tells storys of how they bought for a price and it appreciated 30 percent in two years(I have had that happen) but there are also storys about losing money because of a market crashing. I like cash flow, and if it appreciates then thats just icing on the cake. And yes, anything can cash flow if you put enough money down. I check the cash flow by just using the puchase price as a guide. Or just pretend your doing 100 percent financing. Then if you put money down it just cash flows that much more. Make sure to check all around the country for investing. There are markets that cash flow very well, although I have yet to see one that cash flows and appreciates well. Good luck.