Hey guys, it's Matt. And today we're going to talk about how people that are college students,
maybe carrying around some college student-type debt can get involved in the real estate game.
This is an interesting question because they might not have jobs, W2 income, but they still want to
get involved in real estate. Maybe they read some books, or maybe they have family members that are
involved, or they're inspired by real estate and want to get in. We're going to talk about that
in today's episode. Here's what we got. There's a couple of different ways you can do it. Way number
one I prefer, it's my favorite way to do it. And this is to become a landlord, but you have to do
it kind of specific as a college student. That's the landlord game, right? Here's how college
students can play the landlord game. The best way to do it is you squirreled away some money.
You've got some money set aside of your own cash. That's the best way. Way number two
is to have somebody to go in and invest alongside you, family member, parents,
whatever. Convince your parents to help you save on your housing costs. And what you want to do is
get together and go and buy a rental property. Go buy a house that's in or around the college town
that you live in and you live in the property as well. BiggerPockets calls it a house hack,
right? It's a very, very great way to do it. It's how I got started. It was my very first rental
property. It was a three-bedroom, one-bath that I bought, except I was well out of college at that
time. But I bought a little three-bedroom, one-bath. I bought it for $150 K.
My mortgage, including tax and insurance was $960 a month. And I had two of my friends living there
with me, paying me $500 a month or $1,000 for living in this property. I wasn't making tons
and tons of cashflow, but I was living there for free. That's what I'm hoping that the college
students can figure out how to make happen, is if you can create a living situation for yourself and
you live there for free. And then by the way, when I moved out of this place, I put somebody
else in my room paying $500 a month as well. The property was making $540 a month. Not bad,
right? That's way number one to do it. Here are the obstacles that college students need to work
around to make a landlord house game happen. It can be at a single family home. It can be at a
small duplex or triplex or something like that in or around that college town where they can commute
and continue their work at the college, but live in their very first rental property. Here's things
you got to work around, credit. You probably don't have much credit and you don't have income to get
approved for a mortgage. You're going to have to bring in a co-signer. It could be mom and dad. It
could be a family member, whatever it is. Then they co-sign that mortgage with you, just like
they would have to co-sign a lease and they go into the deal with you. They might even have to
throw the equity in if you don't have enough cash to get in. But you should be able to get approved
if you're an occupant of the property as well. You'll have to check with a mortgage broker on
this, but you should be able to get approved for a lower money down, purchase pricing mortgage.
This by far, is my favorite way to do it because I'm more of a longterm investor and that. This is
way number one. Right. Way number two that you can get involved as a college student investing
in real estate is to start doing some wholesaling on the side. Understand your college town. College
towns are full of people that invest and rent to college students. Get to know the investors
that are playing in your collegiate market and try and find them wholesale deals to flip them to and
make a couple of bucks to make some profit as a wholesaler at first. If you're a good salesperson,
then you'd probably make a good wholesaler. If you're good at researching data and pulling up
properties and digging into public records and finding properties that are distressed,
that would be a good wholesaler as well. You might have some skills and traits like selling
skills or ability to analyze data and be kind of a detective to dig through and find great deals
through public records or through foreclosure filings or short sales or whatever it may be,
and become a wholesaler. And just do some wholesale deals on the side. And do them in
the college town that you're in because that is a great place that you already know. You already
know where the students want to live, or you know where the good student rentals are going to be.
Find out who the people that are investing in those neighborhoods are and try and funnel deals
to them and call them up. What kind of deals are you looking for? How can I help you? And then go
out and find them deals and wholesale them. That's number two. Now, number three takes the
right type of college student to do this, and you might have to do this during your summer
break or during when you have some time off. And this is to assist, not take them on yourself,
but to assist someone with a flip. Now, I'm not saying you should be taking on a flip on your own,
but that might first look like just working on somebody's job sites, carrying lumber, doing demo,
doing clean-outs. And if you've got the experience for it through your degree or through some other
work that you've done, taking on some light project management stuff. But learning the ins and
outs of fixing flips, perhaps on the side at first and during evening hours or just doing something
that you can do to keep a flip going. But to do this or to wholesale, you got to get to know
the local investors in your local community. Even perhaps for land lording it works to network
there too. If you're a college student, number one, college towns have a lot of real estate
investors. Get to know the real estate investors in your town. That's number one. See if you can
try flipping... Again, this is if you have some project management or some construction
experience and you don't mind rolling your sleeves up and getting a little bit dirty, this is a place
to start. This is if you know how to sell and do data processing, you can try wholesaling. Again,
the thing I like about wholesaling by the way, for you guys is, it doesn't require any
money out of your own pocket. Your not getting co-signers or anything like that. And it's a way
to make chunks of cash, five, $10,000 on your first couple of deals. As a college student,
you can probably jump into that right away. But again, the wealth builder and the longterm
holders over here as a landlord, it takes certain lead pieces of logistics to work
out. But this is the one that I like the most. If you can make all those things align with regards
to a credit partner, some money coming in, and the right deal, and everything like that. Thank
you so much for watching guys. I hope this is a value. I'd love to hear some chatter down below,
especially from some folks that have been around for a while, that got started investing
when they were in college. It'd be great to get some comments on BiggerPockets on that.
Leave some comments below and I'd love to get in to and get in some conversations with you,
as always. Thank you for watching on BiggerPockets and have a great day.