I made my start as a completely passive investor.
#IzmahShavuot Efi Danieli, #Post3
I entered into an investment (as a passive investor of course) in a flip in Philadelphia that was supposed to continue for about a year and yield about 12% return.
In practice it lasted six months and yielded a 15.5% return!!!
It was fantastic, a good start for someone dipping their toe into the scary waters of overseas investing in unknown territory.
After that I made some more investments in flips, because I wanted short-term investments to increase the capital and I did not need an addition to the current income.
Some of these investments were more successful and some less so, one of the investments lasted longer than planned and in the end we broke even (at least there was no loss there), in another investment that dragged on for almost two years, I had a loss of $8K
But all this did not break my spirit, when entering into investments, you must take into account the possibility of losing sometimes. And whoever claims that this never happens to him, probably doesn't really make money because he doesn't invest.
At this point, I have not yet entered the water myself, but I have only tried to learn from the entrepreneurs with whom I have invested,
I began to deeply investigate the subject of American real estate,
I read articles,
I went to countless networking sessions,
I avidly watched every tutorial video on YouTube, so, at the time, there were no Facebook groups yet with entrepreneur of the week sections to learn from…
After I felt ready enough, I entered a real estate entrepreneur training program
Then the dam opened, within 3 months my partner and I did 3 deals
We also started to recruit investors and move forward with the pace of making deals
The beginning was in Jacksonville Florida.
Ask why I chose this particular place?
So it could fill a whole post with the explanation of how to choose an investment area so we won't do it now.
But saying that by and large what connected me to the place besides all the obvious data
of the development of the area, price increase, potential, etc.
It's the fact that I wanted a place that would be on the eastern side of the continent -
so that the time difference is not too great,
Let it be in a warm area - because I'm a person who suffers when it's too cold?
And also that it will have properties at good prices with good returns.
So in the first years we focused on transactions of private houses,
We did a lot of flips and rentals, both for ourselves and with investors.
As time passed, I realized that dealing with private houses is for a single investor who doesn't have you
the skills and free time to manage them on an ongoing basis,
Less suitable for me and I decided to work in a different way of working.
So which work method did I choose?
About this and more - in the next post
In the picture, the same property that we renovated into a flip and sold at a nice profit in 2018, this property sold for $170K,
By the way, half a year ago it was sold again - this time for $280K (without doing almost anything to it)
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