It’s commonly stated that you stand no chance of getting started in real estate without money. Hence why this club seems to be the reserve the elite. In fact, our standard idea of a real estate investor starts with sports cars and snazzy suits.
And, let’s be honest; when it comes to starting in a new field, it’s hard to imagine anything else with such high overheads. As such, most of us don’t even consider ourselves as blips on the property radar. We’re lucky if we can even afford a personal property, let alone luxuriating in options we can sell forward.
But, it might be possible to start with less than you think. Given the size of the returns in this field, that’s something worth paying attention to. But, how can this be possible? Read on to find out.
Mortgage magic
The first thing we say to anyone who questions this logic is ‘mortgage’. Even if you aren’t a homeowner, you likely know how this works. You save a downpayment, usually around 10%, and a mortgage lender gives you the remaining value. Admittedly, many people steer clear when starting out in real estate, and it’s easy to see why. Starting in debt is hardly ideal. But, a deposit will be a drop in the ocean compared to what you’d need otherwise. What’s more, renting your property out for a while could see that mortgage paid for you. Just like that, you’ll be the full owner of your first real estate investment. So, instead of turning away from this, consider it a business loan with a guarantee of repayment. Doesn’t sound so bad, does it?
Do-it-yourself marketing
Marketing is one of those matters which could become a financial drain if you let it. But, there’s no reason it has to. As with any company, the internet means you can let loose with do-it-yourself options for no cost. You could, of course, make use of social media for finding clients and getting your name out there. You might also want to sell your real estate wholesale deals on a platform like Asset Column, which lets you get started advertising for free. And, of course, you can make the most of word of mouth marketing by impressing every client you get. Without you spending a penny, your real estate ball will start rolling.
Tax returns
Not only can you start to reel in money without a fortune, but you can also claim back on any small expenses you meet along the way. Paying petrol to drive to clients? Put it on your tax return. Using internet connection for your free marketing? Put in on your tax return. Admittedly, you’ll need the pennies to pay for these things up front, but they’re small fry which most of us can afford. And, you can rest easy that you’ll see those expenses back and some when things start to progress. If all goes well, you’ll be riding a sports car and wearing snazzy suits in no time.
