The 4-Step Process to Buy Your First Investment Property in 30 Days
It’s always daunting at first, but we’re here to get you started on one of the best financial decisions you’ll ever make.
Nelson’s first before and after. No prior exposure to kitchen remodeling unless you count being a child laborer in the family restaurant.
As a preface to everyone starting out, we first made these videos as part of challenge to our group to encourage people to take the first step into buying real estate. We’ve so far been successful in pushing every candidate to get something within their numbers under contract. Comment below if there’s anything else you’d like to see.
1. How to calculate returns on your investment.
How are you going to know what’s a deal until you calculate one? Well, you need to run the numbers on it. I have a rental property calculator here for you www.connectrecap.com/resources (just make a copy). Trust the numbers, that’s how real estate becomes a much easier task.
How do you make sure you’re paying the correct price? Once you calculate a handful of properties, then you’ll be able to figure out whether you can cashflow and recognize prices in the area based on sales comps - seeing sold properties with similar size/bedrooms/bathrooms.
2. How to find deals.
Here comes the hard part, but we know some people that can help
A few methods include
- Putting offers on old MLS listings
- Purchasing from wholesalers
- Few deals will compare to just directly reaching out to owners. Owners lose on average 13% by not working with realtors
3. How to put in offers.
How to structure your offers and protect yourself from your mistakes
- Leave in an inspection contingency if you don't know what you're doing (optional on newer builds)
- Removing appraisal contingency is the best way to get an over asking offer accepted
- A good buyer's agent can guide you on this
4. Managing your properties.
Tips and tricks for success.
- Set up a separate phone number and email from your personal. Helps avoid spam.
- Tell tenants you're just the PM, don't let them know you're the landlord.
- Use smart locks so you don't get woken up at 2am to help let a tenant in and easily change lock codes when a new tenant moves in.
- Websites like Apartments.com and Zillow can you help you automatically collect rent, advertise listings, and manage tenants every month for free
That leads us to the end. Let us know in the comments if there’s anything else you’d like to see.
