How to get started

[C.Manley]

I have always been motivated and wanting to help others. I have a great idea involving real estate, but how would I get started with no money, no job, and horrible credit?

[Harold Mansfield]

I have always been motivated and wanting to help others. I have a great idea involving real estate, but how would I get started with no money, no job, and horrible credit?

Personally, I don't see it. Real Estate investing requires money. Sure, you could try the investor rout but without a solid foundation of knowledge where you bring something to the table that no one else can, why would an investor need you? Is your idea so groundbreaking that no one else can do it without you?

So the logical thing would be for you to earn the money yourself to execute your own plans. Sometimes (most times actually) you have to start small and grow to get to where you want to be.

A good place to start IMO is tax lien investing. Many times you can buy delinquent tax liens for thousands via local auction, and you make yours on top when the property sells, or can even end up with it. It gets you in the business, gives you a chance to learn, and even make some money to get you on your way to bigger liens or buying property directly.

[turboguy]

Well there have been a bunch of books published about how someone turned a few hundred dollars into a few million in real estate. Of course if you check out the authors fate 90% of them went bankrupt. I believe the original guy did retire rich but he did it in the 1960's when it was a different world.

With no money and no credit the options are limited. With some money and credit you could try flipping houses. I don't think the TV shows really are very realistic when they talk about how much money they can make quickly. I have been trying to sell two houses that were my parents for a long time. Basically since my mother outlived my dad by about 4 decades the houses were not well kept up and I probably will get less out of them than I have in them after working on them for years and will get no return on my time and labor. One should be sold in 3 weeks and the other may be a while.

Another option would be buying houses or land on a tax sale. That can be done here but may not be an option in other states. Actually I bought the house for taxes that I live in now. I paid $ 3900.00 for a 3 bedroom house that was livable. I have since done a lot of remodeling, probably investing 20 grand. We will be house hunting soon but I think I can sell this one for about $ 75,000.00 plus I have lived in it for a decade. I also rented it out for 5 years without investing a lot in upgrades and had some nice income from that. We are in an area with fairly inexpensive housing.

Just since it is in the same line we are hoping to buy a home on a foreclosure auction. The house we are looking at is 9 years old and last sold for $ 244,000. We are hoping to get it for $ 150-175,000. There are some drawbacks. You have to have cash and you can't see the property other than to drive past. It is a nice looking 4 bedroom brick front, one acre 2 1/2 bath house.

Taking time and doing a lot of research can let people make money in real estate but it usually takes some cash or at least a good credit record.

[Harold Mansfield]

Well there have been a bunch of books published about how someone turned a few hundred dollars into a few million in real estate. Of course if you check out the authors fate 90% of them went bankrupt...

Or went to prison.

[turboguy]

Or went to prison.

Yes, that too.

[BusinessBySusan]

I have always been motivated and wanting to help others. I have a great idea involving real estate, but how would I get started with no money, no job, and horrible credit?

An idea will always be an idea without the tools and resources to make it happen. What befuddles me is your current situation is the way it is because of the choices you've made in the past, but how will this "idea" be different in terms of the CHOICES you typically make.

Before you pursue anything, you've got to change your financial bad habits, otherwise ideas will always be ideas.

[turboguy]

Excellent point Susan, but even worse, if someone can't manage their personal finances those bad habits will carry over into the business and a business that handles finances badly is doomed. I would suggest the poster study managing personal finances and start to make that a priority in his life and then think about business ideas. Of course since he says he is out of work that compounds the problem for him.