Great Starting Ideas For The New Real Estate Investor

Great Starting Ideas For The New Real Estate Investor



Great Starting Ideas for​ the​ New Real Estate Investor
In his interview with me, John Paul Moses, who is​ the​ founder of​ our Local Memphis Investors Group, was willing to​ give us some tips about how to​ start as​ a​ real estate investor .​
After reading Rich Dad, Poor Dead by Robert Kiyosaki he decided to​ start as​ a​ real estate investor .​
The book says to​ do this you need some preparation, so he went to​ the​ Internet and​ stocked every bit of​ information from the​ articles, news groups and​ discussion forums .​
By that time he started a​ long term friendship with Matt Scott who runs a​ great website called dealmakerscafe.com .​
That's how he learned the​ meaning of​ the​ word escrow and​ what the​ difference was between a​ mortgage and​ a​ trust and​ real estate basic terminology .​
The Internet might be one learning ground .​
If you buy a​ real estate course you have to​ be very careful .​
The first course John Paul bought was in​ his opinion the​ worst real estate course and​ never did a​ deal from knowledge gained in​ that course .​
But at​ least he learned real estate terminology and​ spending $400 on that course proved to​ him that he was willing to​ invest in​ his education.
John Paul started by making an​ announcement in​ a​ Sunday paper just saying real estate investors group starting, for​ information give me a​ call and​ he put a​ cell phone number there for​ people to​ contact him .​
At their first meeting they were about 16 people .​
He stood in​ front of​ those people telling them that he never done a​ real estate deal but he was there to​ learn and​ make sure that they had those meetings .​
They needed a​ leader and​ he took the​ initiative of​ being their 1st president .​
Since then the​ organization grew to​ over 500 members .​
Now they are a​ full fledged non profit real estate investors association with over 150 members in​ the​ Memphis area and​ since 2002 John Paul has been a​ real estate investing guy .​
He stepped down as​ the​ president and​ he is​ now serving as​ the​ executive director of​ the​ group .​
Most of​ the​ deals he has done in​ some way involve somebody from the​ real estate investors association, whether they were a​ buyer or​ a​ seller, money partner or​ whatever the​ case might be .​
Start working with people in​ your club because they are real people .​
You need to​ think who the​ buyers are if​ they have real cash or​ if​ they have access to​ the​ hard money .​
So, what you have to​ do is​ to​ pick only those motivated persons and​ build yourself a​ great network of​ successful people to​ work with and​ the​ investor groups are great places to​ find those people.
His advice for​ somebody who's looking for​ the​ structure of​ an​ investment group in​ another city is​ that you need to​ join the​ national real estate investment association; you need to​ get small groups of​ people together and​ join the​ National REIA (www.nationalreia.com ) .​
They serve as​ an​ umbrella organization that supports the​ local REIA group .​
Another benefit of​ these groups is​ the​ availability of​ hard money lenders or​ private lenders within the​ group itself .​
You need to​ know what your resources are and​ just capitalize the​ costs or​ hard or​ private money in​ that part of​ the​ deal .​
For example they visited the​ National Group and​ invited some of​ their board members to​ have dinner together .​
That's the​ second thing John Paul recommends for​ everybody who wants to​ start a​ group: model yourself, don't try to​ figure out on your own!
Another thing a​ person should do is​ get those magnetic We Buy Houses signs for​ their vehicle .​
For John Paul they were worth the​ $87 investment as​ they brought him $12,000 profit from transactions altogether on wholesale deals .​
Nobody should be embarrassed of​ using them on their cars because the​ one who's embarrassed is​ letting money pass by.
John Paul's piece of​ advice for​ the​ new real estate investor is​ to​ not to​ be afraid to​ act, do not let yourself become paralyzed by fear and​ over-analysis .​
You need to​ take some time so don't panic .​
Give yourself six months and​ just consume information .​
a​ good way is​ to​ listen to​ tele-seminars or​ find information on the​ Internet or​ pick some books from the​ library.




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