51 Units at Age 23 (& Counting)!

51 Units at Age 23 (& Counting)!

Investor · Sevierville, TN · Member since 2015 · 121 posts · 674 votes

It's been nearly 2 years since my first post "$1,300,000 Deal at Age 21 & I'm Retired!", I wanted to share an update. 

Last year, 13 months after I bought my first 20 unit apartment, I had increased the gross monthly income from $12.8K to $17.2K, that allowed me to refinance out $163K ($33K more than I initially invested).
I did this through a combination of cutting expenses, raising rents to market, implementing late fees, pet/move in fees, and adding a 21st unit. 

After the refinance, I'm still cashflowing $3K+ per month, and I have all my money out of the deal.

From hundreds of hours of podcasts & reading, I decided to shift my focus to mobile home parks (in addition to apartments). I spent over a year cold calling, talking with brokers, meeting other investors, and even door knocking at owners homes directly to find MHP deals.

Finally in January of this year, another investor I knew sent me a lead on a portfolio of 3 parks. After many meetings, we settled on a price of $750K for 2 of the parks, a 30 unit and a 13 unit + a SFH.

Both parks are on city water/sewer direct billed, excellent location with strong demand, and a lot of upside in terms of low rents, addressing deferred maintenance, etc. The plan is to stabilize & refi out within 12-18 months, then snowball the capital into future deals. Essentially, the BRRRR method applied to commercial multifamily properties.

On these 2 deals, I had the capital to take them down myself, but I decided to partner with another local investor, we formalized a partnership agreement where we split all expenses/profits/work equally.

We finally closed on the 30 unit park as of May 3rd, and the 13 unit + SFH park is closing the end of this month. Including my apartments (which I own individually), that puts my total rental unit count at 51, and on June 1st it will be 65.

The main takeaways I'd like to share are:
1. Stay focused! If you haven't done a deal yet, or it's been a while since your last one, keep searching. Every day you move closer to reaching your goal; don't stop short of finding your next great deal.
2. You're better off buying no deal than a bad deal. I analyzed, went under contract, and/or visited at least 12 other MHP deals before proceeding on these. In this market particularly, you have to be sure your numbers and assumptions are accurate.
3. If you want to be successful in a particular niche, copy others who are successful in it. Don't skimp on your education, it's an investment in yourself. I've attended multiple live events & went through training courses from both apartment & mobile home park operators. Success leaves clues; you don't have to reinvent the wheel, copy what works.

Don't wait for something to happen, go out and make it happen. 👍🏻

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Real Estate Investor · Lake Charles, LA · Member since 2009 · 271 posts · 52 votes
7y

Congratulations !! All of these deals are in your market ? Also what podcasts do u listen to regularly?

See this reply in the discussion

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  • Rental Property Investor · PA · Member since 2018 · 3 posts · 3 votes
    7y

    Need some advice. I currently have a 2unit property for two years now. I just purchased my second property which is single family home.I want to get more rentals and flip houses. which is best? I feel like im stuck trying to get the 3rd because i would have to put down 20% as an investment property loan which is hard with not much capital on hand. So any advice would be great on how to go about my next move. Would I have to wait to save for 20% and closing cost or is there another way? Thank you in advance.

  • New to Real Estate · Austin · Member since 2018 · 10 posts · 4 votes
    7y

    @Peyton Zachrich @Abraham Anderson I really want to get into the rental property space. So awesome reading about people my age doing it! How were you able to get your first property? Did you already have capital?

  • Rental Property Investor · Ontario, Canada · Member since 2016 · 68 posts · 29 votes
    7y

    Nice job Abraham! 
    How did you find your local partner and can you tell us more about the qualification process with the local bank? 

    I am into MHPs as well and do not have much experience with local banks.

    Thanks for being such a source of inspiration!

  • Member since 2018 · 3 posts · 1 vote
    7y

    Thats Awesome. 

    Closing on my first two SFRs at the end of this week! I am going to check out the wheelbarrow podcast you recommended, what I have read about multi-family so far has made me change the goals I had in REI.

  • Member since 2019 · 15 posts · 2 votes
    7y

    Very inspiring. Never considered mobile parks.Thank you.

  • Rental Property Investor · Cincinnati, OH · Member since 2018 · 19 posts · 9 votes
    7y
    Originally posted by @Ajibola Talabi:

    @Peyton Zachrich @Abraham Anderson I really want to get into the rental property space. So awesome reading about people my age doing it! How were you able to get your first property? Did you already have capital?

     Good to hear! Lots to explain in a comment, but feel free to connect if you want to talk on the phone about it sometime

  • SFR Investor · CA · Member since 2011 · 1 post · 1 vote
    7y

    Congratulations @Abraham Anderson! This is a very inspiring and motivating story. 

  • AZ · Member since 2019 · 8 posts · 4 votes
    7y

    Congratulations @Abraham Anderson, loved the share and the go get em attitude. I'm an educational sponge which is why I'm here...to learn and take the steps. My motto has always been "The only thing stopping you from Success is yourself" I look forward to hearing more and creating my success story soon :) 

  • Philadelphia PA · Member since 2019 · 21 posts · 8 votes
    7y

    Wow Congratulations @Abraham Anderson.. That's awesome!  How did you get your startup money for the first 12 unit  complex?

  • Member since 2019 · 9 posts · 2 votes
    7y

    @Abraham Anderson Thanks for sharing this story, very impressive and inspiring to us who have yet to complete our first deal! Anything big picture wise that made you want to switch into mobile home parks?

  • Rental Property Investor · St. Louis, MO · Member since 2018 · 28 posts · 17 votes
    7y

    @Abraham Anderson beautiful work, my friend!  Inspiring to the newbie here!  

  • Rental Property Investor · Rochester, NY · Member since 2013 · 162 posts · 127 votes
    7y

    @Abraham Anderson

    Thank you for sharing your awesome story and it is definitely amazing you and your team has the ability to locate and find deals. I definitely see clues for success in your story. I’m curious, what is your mindset is like day to day when your are operating your business? What are the combinations of tools and strategies you uses such as subject to, subject to purchase, lease option to or lease to purchase, etched.

    Alex

  • Rental Property Investor · Rochester, NY · Member since 2013 · 162 posts · 127 votes
    7y

    @Abraham Anderson

    I could love you to coach my oldest son about Real Estate investing as his graduation gift 😁. He will graduate from college this Thursday.

    Alex

  • Realtor · Philadelphia, PA · Member since 2009 · 107 posts · 69 votes
    7y

    Absolutely amazing story, thank you for sharing and will be putting at my forefront, "Don't wait for something to happen, go out and make it happen"

  • Germantown, MD · Member since 2017 · 28 posts · 7 votes
    7y

    Wow, what a story. Congrats @Abraham Anderson. Keep it up!

  • Rental Property Investor · Peekskill, NY · Member since 2019 · 31 posts · 11 votes
    7y

    Congrats @Abraham Anderson for a job well done.  I have been on the hunt for the right Multi family deal for about 4 months straight now.  You are absolutely right that it is better to buy no deal than a bad deal.  I'm sticking with that one for sure.  Much success with the MHP and getting stablized over time.

  • Rental Property Investor · Bellefonte, PA · Member since 2018 · 73 posts · 30 votes
    7y

    @Abraham Anderson Great story! You are inspiring me to reach higher and go faster! I purchased 5 single family homes and I’m currently developing 2 brand new double wide homes on a vacant lot I purchased... I did this over the course of 20 months which has me at 7 homes but I need to step up my game! Thanks again for sharing your story! 

  • Bjorn AhlbladPro Member
    Investor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
    7y

    @Abraham Anderson you are ripping it up!! Congratulations and keep us updated!!

  • Oklahoma City · Member since 2016 · 27 posts · 7 votes
    7y

    Absolutely amazing @Abraham Anderson! Do you think introverts can be a part of bigger deals? Any advice for someone just starting out with duplexes, but planning to go into apartments/mobile home parks later?

  • Member since 2019 · 1 post · 1 vote
    7y

    Wow! Inspiring. I haven't done my first deal yet, but reading stories like yours is getting me closer and closer to jumping in and is making me work harder and harder to find the right property. Thanks

  • Rental Property Investor · Melbourne, FL · Member since 2017 · 114 posts · 108 votes
    7y

    @Abraham Anderson thanks for sharing. What an inspirational story. Way to go big. Good planing and execution.

  • Rental Property Investor · Los Angeles, CA · Member since 2017 · 154 posts · 24 votes
    7y

    Congratulations @Abraham Anderson, I'm super inspired tonight, thank you for sharing!

  • MD · Member since 2019 · 1 post · 1 vote
    7y

    Congratulations !!

  • Rental Property Investor · Toronto, Canada · Member since 2012 · 102 posts · 95 votes
    7y

    @Abraham Anderson damn you’re a beast son! Well done!

  • Rental Property Investor · Glastonbury, CT · Member since 2018 · 4 posts · 4 votes
    7y

    Congratulations Abraham! Great work and advice. Follow your dreams! I am just starting out at age 50. I aspire to be just like you when I grow up! :)

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