When Kevin Shippee graduated from college, real estate wasn’t even a blip on his radar. Fresh out of school, Kevin’s first job was in sales. He quickly found himself managing retail stores and eventually training others in sales techniques. Kevin enjoyed interacting with people and the thrill of closing a deal, but he always had an entrepreneurial itch. However, instead of selling his own products or services, he was selling to others.

A Spark Ignites

Kevin’s first brush with real estate came unexpectedly. Living with roommates in a multi-family home, he had an idea: what if he bought a house, lived in one unit, and rented out the others? The income could cover the mortgage. But at 23, he felt he wasn’t “adult enough” to make such a move. The idea seemed too grown-up, too mature for someone just starting out. Little did he know that this spark of an idea would later ignite his real estate career. He adds, “Now, here I am, you know, helping people learn about it and teaching people how they can do that. And I wish I had somebody out there that had said, ‘Oh, wow, no. That’s a great idea. And here’s how you can do it.’ Because that would have been life-changing. I mean, absolutely life-changing. So, no, didn’t always have it as a passion, but did kind of have it in the back of my mind, you know, and it wasn’t till a match kind of got after me to get involved in it that we got our start.”

“So I would say: absolutely, you can do it. It’s so easy to listen to people tell you that you can’t. It’s so easy to let yourself tell you that you can’t.”

Meeting Matt: A Life-Changing Partnership

So, fast forward a few years. Kevin gained extensive experience working in sales, making good money for his employers but feeling the weight of high stress and long hours. Enter Matt, a friend with a similar entrepreneurial spirit. Matt saw potential in Kevin and proposed that they try real estate together. It was the perfect timing. Kevin was ready for a change, prepared to invest in his own success rather than someone else’s.

They scraped together their life savings—just $15,000 between them—and bought their first property, a rundown, haunted-looking duplex in a rough neighborhood. It was a foreclosed property, owned by a bank. They borrowed the rest of the money needed for the purchase and renovations from a hard-money lender. The real work began. 

The First Project: Blood, Sweat, and Tears

Renovating that first property was a trial by fire. Kevin and Matt were complete novices. They learned as they went, often the hard way. Kevin would wake up early, put on his work clothes, and head to the property. After hours of manual labor—scraping, painting, whatever needed to be done—he’d change into his professional attire in the house’s bathroom (which had no shades) and head to his day job. After work, it was back to the property until midnight. They did this for much longer than they ever anticipated.

Despite the exhaustion and countless setbacks, they persisted. Their efforts paid off. They used what is now known as the BRRRR method: Buy, Rehab, Rent, Refinance, Repeat. After fixing up the property and renting it out, they refinanced to pay off the hard money loan. This grueling experience taught them resilience and the fundamentals of real estate investing. “You know, it was an everything that could go wrong did [situation], and so, we were only able to overcome that with just increased perseverance. I mean, I would get up early, put on, you know, crappy work clothes, go to the property, meet up with Matt and whoever friend or whoever we had helping us wherever we could do, and work at the house: scraping, painting, doing whatever I could figure out how to do.”

One of Kevin and Matt’s early mistakes was partnering with the wrong person.

Advice for Aspiring Investors

Looking back, Kevin wishes he had someone to guide him when he first had the idea of buying property in his twenties. Now, he shares his hard-earned wisdom with others. He encourages young investors to find a family member or a hard money lender to help finance their first deal. He adds, “So I would say: absolutely, you can do it. It’s so easy to listen to people tell you that you can’t. It’s so easy to let yourself tell you that you can’t.” It’s not about having a large sum of money upfront; it’s about leveraging what you have and finding creative financing solutions.

Kevin also advises against getting emotionally attached to properties. He emphasizes the importance of setting a budget and sticking to it. It’s easy to get caught up in the excitement of a bidding war or the allure of a property’s location, but discipline is key. There will always be another opportunity. “If you’re buying it as a product, to fix the flip to rent,” Kevins says about bidding at a foreclosure auction. “Whatever you’re going to do with it, don’t be excited by the fact that it’s by the water or it’s in your old hometown or any of those things that don’t factor into and to question about how this thing is going to make money or perform. Don’t get competitive with the guy next to you, who just outbid. You bought a thousand dollars, and you’re already at your max. Don’t get super excited and caught up in the moment and just be like, I can’t wait to tell my family and my friends I bought my first foreclosure today and bid more than you probably should have.” 

In today’s unpredictable market, Kevin suggests that the best strategy is flexibility.

Overcoming Challenges: The Dark Side of Partnerships

One of Kevin and Matt’s early mistakes was partnering with the wrong person. This business partner turned out to be a con man, stealing properties and nearly derailing their business. They had to walk away from that partnership, losing time and money, but they started over with renewed determination. This experience taught them to be cautious and selective about who they do business with.

Market Strategies: Flexibility is Key

In today’s unpredictable market, Kevin suggests that the best strategy is flexibility. If you buy a property at the right price, you should have multiple options for it—flipping, renting, or holding. He advises investors to be extra careful with their purchases and to ensure that they have more than one viable plan for any property they buy.

Building a Reliable Team

Kevin and Matt didn’t get to where they were alone. They have built a strong team around them, including real estate agents, contractors, a good CPA, and a good attorney (if needed!) They also have a property management team to manage their portfolio of rentals. Kevin believes in surrounding yourself with experts who can help you navigate the complexities of real estate investing. He likens it to flipping over cards until you find an ace, then holding on to that ace for dear life.

The Power of Social Media

Kevin and Matt have also embraced social media, using it as a platform to share their journey and connect with other investors. They started their social media channels as a fun, creative outlet, but it quickly grew into a valuable business tool. Through platforms like TikTok and YouTube, they provide real-time insights and educational content, reaching a wide audience and building a community of followers.

Kevin Shippee’s story is a reminder that success often comes from the most unexpected places.

Writing Foreclosures Unlocked

Their social media success inspired them to write a book, Foreclosures Unlocked. Kevin often joked about writing a book to capture the countless stories and lessons learned over the years. With their growing popularity, they decided it was time to put those stories on paper. The book is designed to be both entertaining and educational, sharing their journey in a way that’s accessible and engaging for readers. 

A Final Word of Wisdom

Kevin’s journey from retail sales to real estate investing is a testament to the power of perseverance, learning from mistakes, and leveraging the right partnerships. He advises new investors to set realistic expectations, learn as much as possible before diving in, and to always be prepared for the unexpected. For seasoned investors, he emphasizes the importance of continual growth and building a strong, supportive team.

Kevin Shippee’s story is a reminder that success often comes from the most unexpected places. With determination, hard work, and a bit of creativity, anyone can turn a spark of an idea into a thriving career in real estate.