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Real Estate Deal Analysis & Advice
Account Closed
  • Flipper/Rehabber
  • Los Angeles, CA
37
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22 Years Old - $1M+ Flipping Profit & $1M+ Equity in 2018

Account Closed
  • Flipper/Rehabber
  • Los Angeles, CA
Posted Jan 8 2019, 16:04

I thought I would jump on here and share the results that we generated in my flipping business this last year. I want to get more active on BP to inspire some of you young entrepreneurs out there, and to share some the knowledge that I've acquired over the last few years of doing this full time and growing my real estate business from absolutely nothing. 

but first...

I want everyone reading to understand that this does not happen overnight... I bought my first property when I was 17, and although it was only $750 it really started me on my journey. Since then I've been learning, putting in the work, and improving day in and day out. I want to make it very clear that the real estate business, no matter which strategy you focus on, is difficult to get into, and you will be tested. 

Anything worthwhile takes time and Real Estate is most definitely not an exception. I have been wholesaling full time and learning through trial and error for 3+ years. I have spent tens of thousands of dollars on conferences and education and have developed strategies, put systems in place, and developed relationships that allowed me to have the year that I had in 2018.

I started with no money, no connections, and didn't look a day over 14 when I started making my rounds at meetups. Anyone can do this, but do not underestimate the amount of hard work, will power and persistence that it's going to take.

These are the numbers exclusively for the flipping side of the business, it does not include my holds or 10+ wholesale deals that we did.

All of these deals were done between Denver, CO and Orlando, FL.

We = Me, My partner who is also 22, and the team we built.

My 2018 in Review

  • Purchased  ~$8.6M worth of real estate across 35 properties for ~$5.7M
  • We sold and closed on 20 of these properties in 2018 for a gross profit of ~$1.15M after realtor commissions
  • and we still own 15 of those properties with about $1.2M in equity, all of which are scheduled to be sold and closed in early Q1 2019.

Total Equity Created in 2018 was $2.35M

Total Equity Realized/Cashed Out was $1.15M

Total Equity in Assets We Still Own is $1.2M

We acquired the majority of these deals off market through our own marketing, and bought three of them off of the MLS

Takeaways

  • You can buy your first property before you're 25 :)
  • Leverage is a powerful tool if you use it correctly (we stay under ~70% LTV across the portfolio at all times)
  • The reason this worked is because of years of experience in off market acquisitions and an up market. 
    • All we needed to do was plug in capital and learn how to manage contractors along the way.
  • Leverage is a very powerful tool if you use it correctly (had to put that twice haha.)

And like I said above, similar to any other business; Real Estate is hard to get into, especially in the beginning. It takes thousands of hours of focused and intentional work/studying, but if you commit and put in the work you can make it happen. I'm an immigrant, english is my second language, and no one in my family is in Real Estate. If I can see success in this business then you can too. 

This is just the beginning of the road and I'm beyond excited to keep growing and building with great people that have similar visions. 

I'm anticipating a market correction in 2019, with that in mind we are continuing to flip (more cautiously) and are doubling down on building large rental portfolios in a few select markets. My goal for 2019 is to purchase 500 properties and we won't be able to do it alone! Anyone that wants to connect just shoot me a colleague request! Im usually in LA and between Denver and Orlando all the time! Im always looking to meet people and develop positive relationships so shoot me a message!

Wishing everyone a kick *** 2019 and many many closings!

Thats all I've got! Feel free to ask any questions you have below and I'll try and help as much as I can! 

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