Ok - Posted by Sean
Posted by Sean on May 07, 1999 at 08:16:49:
First of all, fix your credit. This is done by paying everything on time and keeping balances on your credit cards low.
If you don’t have a credit card go to http://www.fcnb.com/ and you can get a secured credit card for only $100.00 deposit. Just every month charge $25.00 of groceries on it, then immediately pay it off.
Seek out people in your area that rehab properties. Begin to “bird dog” for them. That is, you find them properties that need work, and if they buy them they’ll pay you $200.00. As you continue to bird dog keep careful track of what properties they will buy and what ones they won’t.
You can then graduate into flipping. That way you’ll contract to buy the property and then sell your rights to the same person you’ve been bird dogging for. That should move you up into the $1,000-$2,000 a house business.
From that you can move up into contracting for a house and fixing it yourself. That should move you into the $10,000-15,000 a house range.
At that point you’ll probably figure out that you’ve gotten yourself a job in the real estate industry but you’re still not financially independent. So you’ll branch out into converting some of your rehabs to rental units.
And that’ll be nice because you’re bringing in cash flow but it will take up more and more of your time until you realize that you’re trading the job of a rehabber for the job of a landlord.
So then you’ll just sell all of those on contract or lease-option them and sit back collecting the checks and wondering what to do with the money. Then you’ll probably branch into buying notes like John Behle or doing Lonnie deals.
That’s kind of how I see success in the real estate industry. Anyone else have a different vision?