By day I'm a mild-mannered accountant, something I'm good at, but not excited about. A W2 job for me is a means to an end. In this case a good income means I can qualify more easily for a loan on another property. I love real estate, because of the power and potential it holds.
Currently my husband and I have one duplex (buy and hold), one property we're selling on a contract for deed, and one we hold the note on (earning 7%). Our goal is to purchase enough multi-family properties to earn the passive income we need for our modest lifestyle. We don't care about having stuff, just freedom.
My plan is to keep the MLS alerts coming through email and run every one of them through the Rental Calculator tool here on BP so I can get a frame of reference. Maybe make offers on the ones that appeal to me. I'm also listening to every podcast and making my way through the webinars. The resources are incredible. I just can't consume them fast enough!
Right now we only accrue enough cash for a down on one purchase every 12 months. That limits our growth unless we can find a reliable partner or seller financing.
We'd like to expand our scope to properties that may require some rehab. We just don't know a contractor that is good and reliable.
Lastly, anyone out there in my area? Let's start a meetup or REI group here in the Tri-Cities!
Lisa, welcome from the other side of the mountains! We are doing local vacations with supporting two college students, and Tri Cities is on our radar for this year. I have never been and my husband likes the area. I loved Walla Walla last summer.
I'm also an accountant! Well, more into finance now, but still tied to the closing cycle! I really enjoy my job, but love real estate too.
Smart of you to run everything through the calculations. I need to start doing that with what I'm hoping to do in about 5 years, also for that frame of reference.
Purchasing a property a year isn't super aggressive, but it's nothing to sneeze at either!
Stay active on the site, and pay extra attention to podcast #79! :)
I'm also in the tri-cities, it sounds like we have similar job situations and real estate goals.
I am an Ag pilot (cropduster) by trade, and had a General contractors license from 1997- 2015. So I am pretty comfortable with the construction/rehab side of things. I have also built and sold some multi-family units in the past.
I will send you a request, I would also be interested in having a monthly meetup.
@Michele Fischer If you have time when you're out this way let me know, we could maybe meet for coffee or something. There's a lot to do here so you should have a great time. I've spent a lot of time in Longview since my uncle lives there. He owned the Rutherglen Mansion until very recently.
I will definitely listen to podcast #79. Thanks for the response!
@Andy Bagley Sounds like an interesting job you have. Let's create some kind of meetup. I've done a colleague request to everyone I could find in our area.
Are you still planning to do any contracting work?
Lisa, is your uncle Reuben? My parents stayed at the mansion on a few of their visits, my stepfather really hit it off with Reuben. I sure hope someone does something with the mansion, what a gem of Longview history! One of my first Longview experiences was attending a retirement party there.
@Michele Fischer Yes! Reuben just turned 90 this month. I know many people around Longview know him and have memories of events up there at the mansion. I too hope someone will buy the place and restore it. If I was at all interested in the hospitality industry I would have tried to do so.
Welcome Lisa! Love how to you are frugal and investing all saved money into RE. We have done the same and the freedom is worth it!
Glad to have you!
@Steve Vaughan Hi Steve. Yes, it's always made more sense to me to put excess money into something that will throw off more money and hopefully appreciate too. I certainly don't need more stuff! We haven't gotten to the point of freedom yet, but we're working toward that goal. Sounds like you have reached that point. Did you do something creative to accomplish this or just plugging away with the saving then buying when you can?
Hi @Lisa Gerard! Yes, I haven't received a w-2 since '02 but it took an on purpose plan and sacrifice, especially early on. We lived in a double wide in a trailer park for 5 years. Our house now has a rental attached. Every purchase has been questioned as to how it will affect us in 5, 10, 20 years?
As far as creativity goes, I became a specialist in seller financing and lease options here in WA. The more creative the better. I find the conventional routes boring. Effective, but boring.
Keep doing what your doing. The books Real Estate Millionaire by Keller and Every Landlord's Guide to Managing Property by our own @Michael Boyer are designed for professionals with a career. Cheers!
@Steve Vaughan I will carry on as I have been and at the same time learn about other options that may not require as much cash up front. I appreciate the book recommendations. Thank you.
Great plans! Have you thought of refinancing the 7% note for longer term financing and increase your cash flow? or do you have an properties with enough cash to cash out refinance? And help you move along at a faster pace.
Sorry I may not have been entirely clear on that note. We are the holding the note. We owned the property free and clear and sold it with seller financing. So, we are earning that 7% interest. The buyer may want to refinance, but we're happy!
That makes a lot more sense! Thank you. Great interest rate for your buyers though, if they don't qualify for financing!
Free eBook from BiggerPockets!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you