I have an OCD personality. In addition, sometimes the shiny object syndrome is very much in effect when I come across a new business idea or real estate strategy. But in 2017, I made a commitment to focus. I did relatively well. In 2018, I am telling myself that I have two income-based goals. That is it. Any business not related to these goals can wait. I owe it to myself and all those I associate with to be focused. These goals are trackable and measurable.
#1 $100,000 in net real estate sales income, 4.8 million in volume assuming a 70/30 Split with no cap.
* 12 deals avg $400,000/unit
* 16 deals avg $300,000/unit
* 20 deals avg $250,000/unit
#2 $80,000 in real estate development income
* 2 deals with $40k net profit each
* 3 deals with $27k net profit each
* 4 deals with $20k net profit each
If I hit my targets, in 2019- I will have a real estate investment goal as well. Time to start building long term assets for cashflow.
What are your trackable, measurable goals for 2018? Lets share and check in throughout next year, and keep each other accountable.
LOVE that you are breaking your goals down! So much of achievement is the mindset and having something to aim for. Now go DOUBLE those goals!
My goal: Go from 30 doors to 60 doors in 2018 paying under $85 SF in Greater Portland Market (will be tough!).
@Ray Johnson That's a very astute observation. I am not sure if there is a correct answer. For me, it is because I am after an income producing asset, not really the income (at least not in the traditional sense), so I think in terms of number of doors (but do the math in my head for my market to take into account my experience with rent increases and appreciation plus the decreased management costs per door since I run my own crew (doubling doors doesn't mean I need to double costs, for example, I don't need an additional dump trailer etc.)
My guess is that people who are not relying on the income (or at least not all of it) to pay their household bills might think in something like doors or return percentages and people who are replacing an income etc might take that percentage into an income number the way @Asad Shaikh did.
Its a quick and dirty rule of thumb for me, but I know if I can buy decent shape at under $85 a sf, I am going to do well 9I do formally value deals as well, but that's one of my guides.