This Is Not That Easy!

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well off to the sheriff auction in the morning, this is hard work when you have no clue>what we are doing I have looked at houses till i can' see any more they all look like junk. if we buy one then put 10-15 in repairs we have to sell high to make any money. any advice would be helpfull, this should keep you all busy for days. Thanks!
ps: have cash don't need banks :-?

Comments(6)

  • tinman175529th April, 2004

    I like this subject. REI is not easy. It takes a lot of mistakes to get good at things. I would like to talk to one investor that did everything right from the beginning. I am going to state my experience on this subject.

    At the end of 1987 I graduated with three degrees and started to work in financing. I was still in school for my masters, had 2 children, played for the NCAA, and was getting seperated from my husband.
    I needed a house of my own, a friend suggested a duplex to "live for free". That was the start of my REI Career. The first couple of years were easy because there weren't so many people that could do the research (internet wasn't that great then). I could get people to do most of the research for me. (being in the finance business)
    From 1988 and 1999 I bought houses only for retirement purposes. In 2000 I switched over to Wholesaling and Flipping and everything changed. These deals were much harder, more time consuming , and a little mistake could mean a loss on a property. I make more money but the risks are higher, properties don't move, unforeseen expenses, (this happens to even seasoned veterans occasionally).
    I can honestly say I would not be as successful without the support of my financee and my children. Most successful people in my area have a good partner. Whether it be their wife, husband, brother, or friend. I don't think you can do this alone.
    At first I worked from 6:00am to midnight Mon- Thur, Fri 6:00am -9:00 pm, Sat 9:00am-;6:00pm, and Sun 10:00am-6:00pm. Now I try to limit my work weeks to 65-75 max a week. I will be retiring when I'm 45, and this is mostly due to REI. My properties pay for all of my bills, and I have put every paycheck into a savings account of some kind since Jan of 2001.
    In order to purchase my first properties and to maintain my living expenses. I have always lived under my means. This is the only way to be able to foresee any problems and not get into a jam. That is why when something comes up unexpectedly it doesn't affect me.

    I know that Andy,(my business partner), must go and look , and look, and look, to find us the right deals, do the work, do the planning. But in the end we both are doing what we enjoy.
    I am able to sit in an office and talk to people all day, and he is able to watch and develop the projects on a daily basis.

    We now changed our stagegy again. Will it work? I don't know, we made several mistakes so far this year. But we learn from them.

    We only buy "junk houses" so it is very important if you don't have a lot of reserves to OVER estimate. This will help to keep you out of a major jam. We actually under estimated on one which is very unusual for Andy to do that. These problems are a benefit to me because I need all the tax writeoff's I can get.

    Since you have cash, you shouldn't be in that much of a hurry to get the job done. So take your time plan out the steps and proceed. It won't happen over night but it will happen. I would rather take two little deals back to back than wait on a big one. It keeps you heads up in the game.


    Good Luck


    Lori
    [addsig]

  • adambeal129th April, 2004

    Lori:

    I appreciated your post. Well said. There is so much to this business. I'm in the middle of my first deal right now. Exciting, scary, overwhelming, and fun. I can't wait for what's next! (And scared...) grin

  • kensinvest30th April, 2004

    Thank GOD this is not easy. Most people who start thinking about REI will not ever buy the first property. I like the fact that it is not easy because it weeds out all non-hackers who do not pack the gear.

    I have worked hard all of my life and I think I have finally found something where hard work pays. I have made several people loads of money and now I would like to make some for myself.

    Keep looking up!

  • fearnsa30th April, 2004

    Thanks, Lori, you're the bomb.

    Glad an eager and soon successful REI investor got you talking.

    Best to all, Alan

  • tinman175530th April, 2004

    Quote:
    On 2004-04-30 16:50, fearnsa wrote:
    Thanks, Lori, you're the bomb.

    Glad an eager and soon successful REI investor got you talking.

    Best to all, Alan


    Alan,

    I'm used to being called the B-word on this site. It's usually not the BOMB

    Lori
    [addsig]

  • millionaireinthemaking30th April, 2004

    Hi Lori,
    I'm thoroughly impressed to see a "female" be successful in this business; any business for this matter.
    I'm still in the learning trenches and I hope to reach your level of success one day...I know it will take time.
    Thanks for being a TCI member regardless to what the others may call you...They were probably guys anyways...LOL
    Regardless, YOU are an inspiration to ME!!!

    Peace & Blessings~
    Mrs. JBradley

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