Single Flip Blues - How do I grow?
Hello All,
The Good News:
Over the past six weeks, I've spent 12+ hours a day for six/seven days a week to get another flip from start to finish. We hit the market in Houston last Friday and as of a few days ago, we are under contract.
About Me:
I have been in commercial property management for most of my RE career (I did a quick stint as a Realtor when I first fell in love with RE), but stepped into REI full-time in July of last year after my company's portfolio sale. Being an experienced property manager with a brother in construction who I can turn to for advice, I am able to GC the projects (as needed) and I'm completing repairs myself to save money wherever possible.
My dilemma:
While the seeing the physical transformations of our projects has been extremely gratifying, the process as a whole has been exhausting. I'm willing to do what it takes to not have to go back to corporate life, but I can't imagine being able to carry on with only being able to make money one flip at a time. Not only is it physically demanding, I'm not really able to save money to roll into future projects since this is my only source of income and bills/life eat into profits between closings. Because of that, I feel like I'm creating a pattern that I won't be able to crawl out of.
So, I need advice from the BP pros on how to grow/structure my business this year to be able to take on multiple projects at a time. That's the only way I'll be able to replace the steady income I lost from my 9-5 and grow my business to where I need it to be. I've been entertaining switching my focus to wholesale deals for the next few months to pad my bank account for more flips/buy & holds by 3Q 2020. I could also, of course, just take the profit from this flip and roll it into another deal.
With the goal of graduating to multiple projects at a time in mind, how would you guys go about investing the ~$25k I'll have to reinvest? How did you guys get over the one flip at a time hump and begin to make "real" money? Is really it as simple as getting more capital?
*I understand that it isn't a lot of capital, but again, I'm trying to stay out of corporate life and build a solid future for my family. This is all of the "make it happen" money I can risk without my business effecting my family. With a HML, I'll able to leverage that $25k to get into another project*
Thanks for your advice!