I want financial freedom by the time I'm 21

[longwood]

i was reading that flipping was one of the best ways for a beginner to get started in real estate. What are u guys views on flipping?

 

[Coolage]

if money is tight, it might take awhile to sell unused land.

 

[longwood]

because i reading this article on creonline.com http://www.creonline.com/articles/art-118.html and i'm trying to find a reason why this wouldn't work. would do u guys think?

 

[Chip]

Just a bit curious on how to buy multiplexes.
The downpayment you make on a duplex, will it be for the entire property (both the units)?
Or do you have to make 2 downpayments for each of the units for the duplex property?

 

[cave dweller]

real estate

chip and longwood,

A couple of things here.......

1.....Raw land has no income....

2.....A mortgage on a duplex covers both sides.

3.....Get all of your real estate answers from:

creonline.com
agentsonline.net

3.....There are a zillion real estate web sites and books out there to study.

cave dweller

 

[Page]

Originally posted by skumface
you guys are all suggesting houses and duplexes, what about vacant property?

Ive heard stories about land values going up by $1,000's of dollars per acre in a matter of years. What is the market like for selling land to say franchises like Wal-Mart or McDonalds which i know for a fact pay good money.

Land is of course cheaper to buy without anything on it so it could possibly be a good starting point when money is tight.
What are your insights on it??

if you're just starting out, I wouldn't buy vacant land b/c you're paying for something that won't give you anything unless you develop it or sell it to some developer.

Plus, there has to be demand for a piece of land for you to resell it. I've seen land offered for sale for many years before someone buys it.

 

[Inc. ®]

Page,

Since you're giving so much advice, why don't you disclose the properties you own and other investments you have?

This thread is hilarious. I remember you, Page, a few months ago trying to learn everything you could from STR8UP about how to invest in real estate. Now, you've gone out and read a few books and you think you know everything?

I don't mean to be harsh, but you're 21 years old, don't have much experience, and I'm unsure you even own any properties. Most of your advice appears good and I don't have the experience to dispute it either, but please make it clear to these guys whether you've actually tried the things you are recommending and how long you've been doing it.

Perhaps, a better thread for those interested in real estate would be STR8UP's thread (where Page was the one asking questions):

http://www.sosuave.net/forum/showthread.php?threadid=22304&perpage=20&pagenumber=14

Well, we can see there that as of about 3 months ago, it looks like Page had no investments whatsoever.

 

[Page]

Originally posted by Inc. ®
Page,

Since you're giving so much advice, why don't you disclose the properties you own and other investments you have?

This thread is hilarious. I remember you, Page, a few months ago trying to learn everything you could from STR8UP about how to invest in real estate. Now, you've gone out and read a few books and you think you know everything?

I don't mean to be harsh, but you're 21 years old, don't have much experience, and I'm unsure you even own any properties. Most of your advice appears good and I don't have the experience to dispute it either, but please make it clear to these guys whether you've actually tried the things you are recommending and how long you've been doing it.

Perhaps, a better thread for those interested in real estate would be STR8UP's thread (where Page was the one asking questions):

http://www.sosuave.net/forum/showthread.php?threadid=22304&perpage=20&pagenumber=14

Well, we can see there that as of about 3 months ago, it looks like Page had no investments whatsoever.

Are you going out of your way to act like a d!ck or something?

I already said at the beginning of this thread that I haven't started actively investing yet, but I HAVE been laying the foundation for it and i'll be ready to start soon. I'm covering the questions b/c Str8up isn't here to do it, and besides, most of what has been discussed in this thread deal with principles of investing, so actual experience is moot.

 

[cinephile]

More than just RE

Real Estate is a fantastic investment. Carefull planning and a long term approach are what make it work. It is not the only way. Basically if you want to make serious cash, there are only four basic ways.

1. Marry or inheirt money.
2. Sales.
3. Patents or other intelectual property.
4. Business ownership.

What I recomend for a young man without any capital is to dive into sales first. It is hard, really hard. But you will learn more about human nature quicker than any other way. Also, literally if you just simply work harder, you will get the sales. It really is just a matter of sticking it out.

I am not a great salesman. I'm passable. When I was younger, I had a really crappy job selling credit cards to people in the mall. Even though, I was not the best, I still ended up making the most $$$ because I just simply outworked the other salespeople. Everyone who came into stupid mall I hit up. I just would not stop. While no fun at all, I was making close to $400 a week in 1986 ( pretty good for a 19 year old).

No matter what, sales drives every organization. Build a strong level of skill in that first, and everything else will fall into place.

 

[skeeloo]

whateva happened to working your way through a job.
sometimes i think the guy who wrote rich rich that poor dad though i loved that book. it was kinda missleading and the guy was a pen jock.

 

[Carnegie]

Man just the motivational thread I need to get off my ass and get me some money skills.

 

[Page]

Originally posted by skeeloo
whateva happened to working your way through a job.

The world has changed so much in the last 50 years that you can't really do that and be financially secure anymore. Job security is a thing of the past. Companies crumble overnight these days and pensions can disappear into nothing just like that.

Don't count on social security either-- if you are in your 20s right now, it will be in serious trouble by the time you are eligible for it. These days, you have to make it on your own.

 

[TheMainMan]

Why I am not getting into Real Estate at the moment

Check out these links. It isn't the time to get into Real Estate, certainly not over here in the UK.


http://www.economist.com/opinion/displayStory.cfm?story_id=4079458

http://www.economist.com/opinion/displaystory.cfm?story_id=4079027

 

[STR8UP]

Plus, in the real estate classes you need to get the license, you don't learn anything that you really need to invest, oyu just learn how to sell houses.

Actually, they don't even teach you that. The main thing you learn is ethics and how to stay out of hot water by sticking to the law.

I would allow ten years to hit a million. It can be done in less time, but don't count on it. You need to learn how to use money (borrowed money, especially in the beginning) to make money, and don't fall into the "hard work and saving pennies makes you rich" trap. You MUST learn how to use leverage to get you from point A to point B in the shortest amount of time.

It sounds like you are pretty gung-ho on this. Stick with it, it's DEFINITELY worth it! I LOVE my life and my lifestyle, and I'm only in my early 30's. IT CAN BE DONE!

 

[longwood]

10 years would be cool, but naw, y not 3 1/2

 

[Page]

Originally posted by longwood
10 years would be cool, but naw, y not 3 1/2

This doesn't happen overnight. You can start now and probably end up owning your first asset property by the end of 3.5 years if you push yourself hard enough, but at that point, you would still be a long ways from financial freedom, which is what you really want out of all this. Getting rich quick is a dream that doesn't really exist in the real world unless you start dealing coke or something like that. Building legitimately-acquired wealth takes time, and you WILL have to work your a$$ off in the first few years, but once your cashflow becomes self-sustaining it will all be worth it b/c then, and only then, you will be able to live life at your own pace and do what you want to do while everyone else is still punching the clock until age 65.

 

[sifer]

Originally posted by Page
You can start now and probably end up owning your first asset property by the end of 3.5 years if you push yourself hard enough, but at that point, you would still be a long ways from financial freedom, which is what you really want out of all this. Getting rich quick is a dream that doesn't really exist in the real world unless you start dealing coke or something like that. Building legitimately-acquired wealth takes time, and you WILL have to work your a$$ off in the first few years, but once your cashflow becomes self-sustaining it will all be worth it b/c then, and only then, you will be able to live life at your own pace and do what you want to do while everyone else is still punching the clock until age 65.

Actually, while what you're saying is right, you're speaking of what's called by many RE investors, Negative Cashflow , or simply by its nickname, alligator.

If you buy smart, you can get immediate cash on closing and positive cashflow on the first week you buy. And on your first property which will sustain itself for the rest of your life if you take care of your tenants.

 

[Page]

Originally posted by sifer


If you buy smart, you can get immediate cash on closing and positive cashflow on the first week you buy. And on your first property which will sustain itself for the rest of your life if you take care of your tenants.

If he manages to do that on all of his properties , and assuming he always buys a property each year, he *could* possibly get financial freedom in 3.5 years, depending on how much money he needs. Financial freedom is relative; the ammount needed to be financially free varies from person to person.

To me, financial freedom is the situation where my monthly asset-derived income exceeds my monthly base expenses, and therefore leaves me with perpetually increasing positive cashflow every month.

 

[sifer]

Originally posted by Page
If he manages to do that on all of his properties , and assuming he always buys a property each year, he *could* possibly get financial freedom in 3.5 years, depending on how much money he needs. Financial freedom is relative; the ammount needed to be financially free varies from person to person.

To me, financial freedom is the situation where my monthly asset-derived income exceeds my monthly base expenses, and therefore leaves me with perpetually increasing positive cashflow every month.

I agree with you Page.

Of course, this also assumes many other things, such as, he devotes most of his time to investing in real estate and he really wants it bad enough.

Real estate investing is hard enough to make most people give up on their first investment "try-out".

He could also achieve freedom in one year if he's very good in owning business. I've always believed it's not the product as per se. Put Bill Gates into a poor business and it'll be up running in no time. Leadership counts.

Or if he's lucky enough to win the lottery.

 

[unamean]

longwood i think the same way that you do. i just turned 21 in june. i've been told that if you get good grades you'll make $. but i did bad in school. so after hs i was doing all kinds of get rich quick pyramids. until i fell into the mortgage industry.(which btw is hardcore sales) it took me about 8 months of work to actually close my first loan. now i am a team leader and have been in the buisness about 2 years. last month i made $17000. this month i made $10500.
i drive a new bmw, i have a $4000 breitling watch, armani, canalli, zegna suits gallore.
the funny thing is that all my friends think im an arrogant showoff. everybody put me down when i first started. and i dont blame them. but now i have the knowledge to make $1,000,000. how you might ask...foreclosure properties. buy them and rent them to the current owners. when they dont pay you, take the house and sell it. theres other ways to make more $ but i cant get into it due to the legalities of it. it feels so good to buy whatever you want. example: today i went and bought a 2 piece coach wallet. $130. in conclusion the key to being successful is to stay focused and only listen to people who are themselves successful. everyone else i.e. friends, family, coworkers will only bring you down. remember nobody wants YOU to succeed. if anybody has questions pm me.
-mike