I just finished reading Dean's latest book. I'll be honest, I'm scared out of my mind about taking the first step. Although everything I read makes sense, I just can't believe real estate investing could work for someone in our situation. I'm sure you guys have heard this time and time again....I hope you don't mind another newbie.
I'm hoping to hear back from some of you who may have had a similar financial situation or obstacles as my husband and I. I hope you can share some of your specific experiences and how you overcame some of these obstacles....
1. My husband and I are typical lower middle class Americans. We live comfortably, but pretty much paycheck to paycheck.
2. We do not have much in the way of savings or funds that we could use to put down on investment property.
3. At this time, we have little equity on our home and it already has two mortgages.
4. My husband and I have a bankruptcy in our names from approximately four years ago. We had a business that went south and had to file. We did not foreclose on our home or any other major assets. Pretty much everything that was filed in the bankruptcy were credit cards and lines of credit.
5. Currently, our credit scores are in the low to middle 600s. Therefore, I doubt we'll find a bank willing to loan us any money for investment property. I admit, I have not done the research, but it just seems out of reach.
6. We do not have much debt other than our mortgage and cars.
So, there you have our situation in a nut shell. Have any of you successful investors been in a similar situation as ours and were able to come out ahead? Would you mind sharing some insight with us?
As I read Dean's book, I was lifted by some of the stories, but it seemed to me that the majority of them were from people who had the ability to get bank financing OR had money to put down. Stories where people didn't put any money down, just seemed to be extremely lucky. Is this the case?
I look forward to your responses.