180 units in 12 months!

Real Estate Deal Analysis & Advice
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180 units in 12 months!

Account Closed
Investor 路 Member since 2021 路 62 posts 路 108 votes

My partner, @Account Closed and I have been on an incredible journey for the last 12 months! We started our real estate investing business about a year ago, with the goal of retiring from our W-2 jobs within 3 years. We set a goal that both scared and inspired us. We then had to figure out how to get started...

We live in Seattle, WA. After extensive research we liked the opportunities we were finding in Cleveland, OH. So we had a target market, but with everything happening in the world it seemed daunting to get started, and there were many excuses and limiting beliefs that almost got in the way...

With the ongoing pandemic, how could we get to our target market to meet people and make deals happen? 

Retire in 3 years?! We don't have that kind of cash on hand? 

How are we going to find these deals? 

We both have full time W-2 jobs, we do not have the time to pursue such a crazy goal.


Thankfully friends helped keep us accountable. When we listed these excuses, our friends said "Oh you must not want it that badly...." OK! That lit a fire for us to just get started! Here's what we did:

  • We decided to move to Cleveland for 6 months to allow us to really learn the market, meet people and make deals happen. We can both work remotely, so we really wanted to take advantage of this time to make our dream happen.
  • We started small, by acquiring several single family and small multi-family properties.
  • We set a stretch goal to own 50 units by the end of 2021.
  • We self managed everything at first, which meant nights and weekends hustling to fix toilets and turn units. We learned a lot of valuable lessons doing this, one being that this was not a good use of our time!
  • We knew if we wanted to scale to 50 units we needed to after bigger deals. And so we started networking and meeting as many people as we could in the space, learning whatever we could from them.
  • We listened to audiobooks and podcasts non-stop (still do!)
  • We worked on our mindset, identifying and crushing limiting beliefs
  • We joined a mastermind group! This has made all the difference for us. Being surrounded by like-minded people, doing the kinds of deals we wanted to do has been such an incredible learning experience. We have constant accountability with this team and our mentors and we are inspired every day by each other's successes. We knew that joining a mastermind was an investment in ourselves that would have a tremendous ROI.

Through all of this hard work, education, and networking, we are so thrilled to say that last month we became GPs in a 151 unit deal in Columbus, OH. We absolutely blew our 50 unit goal out of the water. We were given the opportunity to join this deal because of the relationships we built in the mastermind, our hard work, dedication and our ability to bring value to the partnership. We have learned that multifamily is truly a team sport and we are really grateful for the opportunity to partner on this deal.

We are also really excited that the connections we've made have led us to become GPs in a 32 unit deal in South Carolina which just closed last week!

This is just the beginning and it's truly incredible to stand here a year later and look at all that we have accomplished.

Cheers to all who helped us along the way! (looking at you @Yosef Lee!)

What's next for us? We are working with partners on several upcoming deals. We are always looking to connect with active and passive investors who are passionate about real estate and making financial independence a reality.

Let's Make It Happen!

Javier & Amanda

65Reply
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Account Closed
Member since 2020 路 983 posts 路 1k+ votes
4y
The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.
19Reply
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  • Yosef Lee
    New to Real Estate 路 New York, NY 路 Member since 2019 路 234 posts 路 264 votes
    4y

    @Account Closed

    Great post!! It鈥檚 been pleasure getting to know of you and Javier! I still remember our first call and look at you how much you and Javier have progressed! Absolutely amazing! These are only a few of many more to come! Keep making it happen! 馃挭馃挭馃挭馃敟馃敟

    10Reply
  • Jared Boundy
    Real Estate Broker 路 Seattle, WA 路 Member since 2017 路 139 posts 路 82 votes
    4y

    Wow @Account Closed, way to go you guys! It鈥檚 inspiring to hear about your journey and the steps you took. I like how you took a leap to move the Cleveland temporarily is that you could get a hands-on feel for things there. Thanks for sharing!

    4Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Thanks so much Jared! It really made a difference to live in the market for a while and establish connections there! We are grateful we were able to do that.
    1Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Yosef Lee:

    @Account Closed @Account Closed

    Great post!! It鈥檚 been pleasure getting to know of you and Javier! I still remember our first call and look at you how much you and Javier have progressed! Absolutely amazing! These are only a few of many more to come! Keep making it happen! 馃挭馃挭馃挭馃敟馃敟

     Thanks so much for your support Yosef! We are here because of you!

    1Reply
  • Account Closed
    Member since 2020 路 983 posts 路 1k+ votes
    4y
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.
    19Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Account Closed:
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.

    Hey Jack! Thanks for your reply. Not an ad at all, just wanted to share our story for those who are starting out and maybe have some limiting beliefs about what they can accomplish. Also to be clear when we say "retire" we mean from our W2 jobs so that we can do real estate full time.

    To answer your question about how we moved for 6 months, worked full time jobs and self managed properties... we learned very quickly that we can't do it all by ourselves. We did self managed a few months and it was long days. We would go to the properties early in the mornings before work and also after work plus nights and weekends. After 3 months of that we realized we needed help if we really wanted to grow the business, so we hired a property manager. I think that's the key for out of state investors is to have a solid boots on the ground team to help you manage. 

     We were also very lucky to connect with a broker who brought us off market deals that all closed within 30-45 days. None of the on market deals we looked at made sense from a cash flow perspective. 

    Good luck on your journey!
    9Reply
  • Brandon GoldsmithBusiness Member
    Real Estate Agent 路 Columbus, OH 路 Member since 2020 路 1k+ posts 路 1k+ votes
    4y

    Congrats and thanks for sharing the success story! Glad the Ohio markets worked out for you both. Is there anything you would have done differently to be more efficient along the way? @Account Closed

    [email protected]614-963-3340
    3Reply
  • Account Closed
    Member since 2020 路 983 posts 路 1k+ votes
    4y
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.

    Hey Jack! Thanks for your reply. Not an ad at all, just wanted to share our story for those who are starting out and maybe have some limiting beliefs about what they can accomplish. Also to be clear when we say "retire" we mean from our W2 jobs so that we can do real estate full time.

    To answer your question about how we moved for 6 months, worked full time jobs and self managed properties... we learned very quickly that we can't do it all by ourselves. We did self managed a few months and it was long days. We would go to the properties early in the mornings before work and also after work plus nights and weekends. After 3 months of that we realized we needed help if we really wanted to grow the business, so we hired a property manager. I think that's the key for out of state investors is to have a solid boots on the ground team to help you manage. 

     We were also very lucky to connect with a broker who brought us off market deals that all closed within 30-45 days. None of the on market deals we looked at made sense from a cash flow perspective. 

    Good luck on your journey!

    Thank you for the nice reply.

    Explaining more about how you did it is probably much more important and beneficial for others. It is always nice to see all the math, where the cash came from and how the profits are split, if there are partners.

    My wild guess is that; if you invested the same amount of cash in Seattle you would get significantly better returns. I have to see the math for properties in Seattle, Ohio and make many comparison. Prices in Seattle may be more-expensive, but appreciation and higher rents may make Seattles look like Blue Chip investments compared to cheap properties that don't appreciate quicly and where managing, maintenance and low rents make investors hate the real estate business.

    You have to do the math comparisons because properties in Seattle may cost more where you get less units, but the Seattle properties may appreciate better and the rents are higher and can be increased every year. In return, the rent increases help the vlaue of the property to increase almost exponentially.

    For Ohio, you get more units for your money and with rent increase your property appreciated in value, but the problem in Ohio may be that the market cannot bare rent increases as much as Seattle. You have to put spreadsheet for Seattle and Ohio side-by-side to compare.

    I would like to see all your math and how you determined that buying in Ohio was the best choice. I own properties in 5 states, just sold about 26 homes I owned in Las Vegas and I sold the homes only because the out-of-state, or out-of-your-area properties always incur huge losses and the smartest and most-experienced investors cannot negate those additional losses and costs. No way!!! So, it is imperative that you include those losses and costs in your spreadsheets. And...not being mean (maybe, I am), I don't get impressed when someone mentions the number of units they purchased. The only thing that impresses me is how someone did a deal that gave them the best ROI because I think you did mention something in your initial something about networking, or looking for investors and it is the ROI investors are interested in and not the number of units.

    14Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Brandon Goldsmith:

    Congrats and thanks for sharing the success story! Glad the Ohio markets worked out for you both. Is there anything you would have done differently to be more efficient along the way? @Account Closed

    Thanks Brandon! I see you're in Columbus - awesome, growing market!

    Great question, there are two things I could offer as advice that we would have done differently.

    Mistake #1 - we would not have attempted to self manage for as long as we did. We spent too much time painting and fixing plumbing issues etc., and not enough time looking for more deals. We thought we were saving money by doing this, but when we really calculated it out - we were not as efficient as a professional property manager and we lost valuable time...which is money!

    Mistake #2 - We would have gotten into bigger deals way sooner. I think initially the smaller multifamily (duplexes and triplexes) felt safer because we could finance it ourselves and we knew how to evaluate the deal, but you really do get so much efficiency and scale out of a bigger property. It was a learning curve to understand how to underwrite larger deals and partner with others to take them down and we had to face some limiting beliefs about how to make that happen, but it was well worth it. 


    Cheers,

    Amanda

    4Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.

    Hey Jack! Thanks for your reply. Not an ad at all, just wanted to share our story for those who are starting out and maybe have some limiting beliefs about what they can accomplish. Also to be clear when we say "retire" we mean from our W2 jobs so that we can do real estate full time.

    To answer your question about how we moved for 6 months, worked full time jobs and self managed properties... we learned very quickly that we can't do it all by ourselves. We did self managed a few months and it was long days. We would go to the properties early in the mornings before work and also after work plus nights and weekends. After 3 months of that we realized we needed help if we really wanted to grow the business, so we hired a property manager. I think that's the key for out of state investors is to have a solid boots on the ground team to help you manage. 

     We were also very lucky to connect with a broker who brought us off market deals that all closed within 30-45 days. None of the on market deals we looked at made sense from a cash flow perspective. 

    Good luck on your journey!

    Thank you for the nice reply.

    Explaining more about how you did it is probably much more important and beneficial for others. It is always nice to see all the math, where the cash came from and how the profits are split, if there are partners.

    My wild guess is that; if you invested the same amount of cash in Seattle you would get significantly better returns. I have to see the math for properties in Seattle, Ohio and make many comparison. Prices in Seattle may be more-expensive, but appreciation and higher rents may make Seattles look like Blue Chip investments compared to cheap properties that don't appreciate quicly and where managing, maintenance and low rents make investors hate the real estate business.

    You have to do the math comparisons because properties in Seattle may cost more where you get less units, but the Seattle properties may appreciate better and the rents are higher and can be increased every year. In return, the rent increases help the vlaue of the property to increase almost exponentially.

    For Ohio, you get more units for your money and with rent increase your property appreciated in value, but the problem in Ohio may be that the market cannot bare rent increases as much as Seattle. You have to put spreadsheet for Seattle and Ohio side-by-side to compare.

    I would like to see all your math and how you determined that buying in Ohio was the best choice. I own properties in 5 states, just sold about 26 homes I owned in Las Vegas and I sold the homes only because the out-of-state, or out-of-your-area properties always incur huge losses and the smartest and most-experienced investors cannot negate those additional losses and costs. No way!!! So, it is imperative that you include those losses and costs in your spreadsheets. And...not being mean (maybe, I am), I don't get impressed when someone mentions the number of units they purchased. The only thing that impresses me is how someone did a deal that gave them the best ROI because I think you did mention something in your initial something about networking, or looking for investors and it is the ROI investors are interested in and not the number of units.

    At a 3-4% cap rate nothing makes sense to buy in Seattle if you are looking for cash flow and you have to finance. If you have lots of capital to park and wait for the market to appreciate, then Seattle may be a great market. It's not our current strategy though. 

    Our investment criteria is a 10% annual cash on cash minimum, and at least a 2x equity multiple over an average 5 year hold. 

    5Reply
  • Ian WalshBusiness Member
    Lender 路 Philadelphia, PA 路 Member since 2016 路 2k+ posts 路 1k+ votes
    4y

    Congrats!

    2Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Ian Walsh:

    Congrats!

    Cheers! Thanks Ian! 

    0Reply
  • Account Closed
    Member since 2020 路 983 posts 路 1k+ votes
    4y
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.

    Hey Jack! Thanks for your reply. Not an ad at all, just wanted to share our story for those who are starting out and maybe have some limiting beliefs about what they can accomplish. Also to be clear when we say "retire" we mean from our W2 jobs so that we can do real estate full time.

    To answer your question about how we moved for 6 months, worked full time jobs and self managed properties... we learned very quickly that we can't do it all by ourselves. We did self managed a few months and it was long days. We would go to the properties early in the mornings before work and also after work plus nights and weekends. After 3 months of that we realized we needed help if we really wanted to grow the business, so we hired a property manager. I think that's the key for out of state investors is to have a solid boots on the ground team to help you manage. 

     We were also very lucky to connect with a broker who brought us off market deals that all closed within 30-45 days. None of the on market deals we looked at made sense from a cash flow perspective. 

    Good luck on your journey!

    Thank you for the nice reply.

    Explaining more about how you did it is probably much more important and beneficial for others. It is always nice to see all the math, where the cash came from and how the profits are split, if there are partners.

    My wild guess is that; if you invested the same amount of cash in Seattle you would get significantly better returns. I have to see the math for properties in Seattle, Ohio and make many comparison. Prices in Seattle may be more-expensive, but appreciation and higher rents may make Seattles look like Blue Chip investments compared to cheap properties that don't appreciate quicly and where managing, maintenance and low rents make investors hate the real estate business.

    You have to do the math comparisons because properties in Seattle may cost more where you get less units, but the Seattle properties may appreciate better and the rents are higher and can be increased every year. In return, the rent increases help the vlaue of the property to increase almost exponentially.

    For Ohio, you get more units for your money and with rent increase your property appreciated in value, but the problem in Ohio may be that the market cannot bare rent increases as much as Seattle. You have to put spreadsheet for Seattle and Ohio side-by-side to compare.

    I would like to see all your math and how you determined that buying in Ohio was the best choice. I own properties in 5 states, just sold about 26 homes I owned in Las Vegas and I sold the homes only because the out-of-state, or out-of-your-area properties always incur huge losses and the smartest and most-experienced investors cannot negate those additional losses and costs. No way!!! So, it is imperative that you include those losses and costs in your spreadsheets. And...not being mean (maybe, I am), I don't get impressed when someone mentions the number of units they purchased. The only thing that impresses me is how someone did a deal that gave them the best ROI because I think you did mention something in your initial something about networking, or looking for investors and it is the ROI investors are interested in and not the number of units.

    At a 3-4% cap rate nothing makes sense to buy in Seattle if you are looking for cash flow and you have to finance. If you have lots of capital to park and wait for the market to appreciate, then Seattle may be a great market. It's not our current strategy though. 

    Our investment criteria is a 10% annual cash on cash minimum, and at least a 2x equity multiple over an average 5 year hold. 

    I have to apologize. There was many things I missed in your original post and did not realize you are a syndicator. Sorry!!!

    5Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    Originally posted by @Account Closed:
    The entire post sound like advertising to seek investors. Real entrepreneurs don't set a goal to buy a few properties so they can retire. Real entrepreneurs love what they do and do it until they die. How can both of you have full-time jobs in Seattle and afford to move to Cleveland for 6 months. Overall, your post is not proof that your investing is successful. I went to Ohio a few months ago, looked at properties, crunched the numbers and I think it is a horrible state to invest in because rents are too low when comparing real estate prices and all costs to operate are going crazy. I would like to know how you can move for 6 months, close multiple deals and actually self-manage properties in another state when you have full-time jobs and when it often takes 60 to 90 days to the close of escrow to purchase many properties.

    Hey Jack! Thanks for your reply. Not an ad at all, just wanted to share our story for those who are starting out and maybe have some limiting beliefs about what they can accomplish. Also to be clear when we say "retire" we mean from our W2 jobs so that we can do real estate full time.

    To answer your question about how we moved for 6 months, worked full time jobs and self managed properties... we learned very quickly that we can't do it all by ourselves. We did self managed a few months and it was long days. We would go to the properties early in the mornings before work and also after work plus nights and weekends. After 3 months of that we realized we needed help if we really wanted to grow the business, so we hired a property manager. I think that's the key for out of state investors is to have a solid boots on the ground team to help you manage. 

     We were also very lucky to connect with a broker who brought us off market deals that all closed within 30-45 days. None of the on market deals we looked at made sense from a cash flow perspective. 

    Good luck on your journey!

    Thank you for the nice reply.

    Explaining more about how you did it is probably much more important and beneficial for others. It is always nice to see all the math, where the cash came from and how the profits are split, if there are partners.

    My wild guess is that; if you invested the same amount of cash in Seattle you would get significantly better returns. I have to see the math for properties in Seattle, Ohio and make many comparison. Prices in Seattle may be more-expensive, but appreciation and higher rents may make Seattles look like Blue Chip investments compared to cheap properties that don't appreciate quicly and where managing, maintenance and low rents make investors hate the real estate business.

    You have to do the math comparisons because properties in Seattle may cost more where you get less units, but the Seattle properties may appreciate better and the rents are higher and can be increased every year. In return, the rent increases help the vlaue of the property to increase almost exponentially.

    For Ohio, you get more units for your money and with rent increase your property appreciated in value, but the problem in Ohio may be that the market cannot bare rent increases as much as Seattle. You have to put spreadsheet for Seattle and Ohio side-by-side to compare.

    I would like to see all your math and how you determined that buying in Ohio was the best choice. I own properties in 5 states, just sold about 26 homes I owned in Las Vegas and I sold the homes only because the out-of-state, or out-of-your-area properties always incur huge losses and the smartest and most-experienced investors cannot negate those additional losses and costs. No way!!! So, it is imperative that you include those losses and costs in your spreadsheets. And...not being mean (maybe, I am), I don't get impressed when someone mentions the number of units they purchased. The only thing that impresses me is how someone did a deal that gave them the best ROI because I think you did mention something in your initial something about networking, or looking for investors and it is the ROI investors are interested in and not the number of units.

    At a 3-4% cap rate nothing makes sense to buy in Seattle if you are looking for cash flow and you have to finance. If you have lots of capital to park and wait for the market to appreciate, then Seattle may be a great market. It's not our current strategy though. 

    Our investment criteria is a 10% annual cash on cash minimum, and at least a 2x equity multiple over an average 5 year hold. 

    I have to apologize. There was many things I missed in your original post and did not realize you are a syndicator. Sorry!!!

    All good Jack, have a great day!

    0Reply
  • Rynell Hampton
    Member since 2021 路 3 posts 路 4 votes
    4y

    iiiii llloooovvvee this story... i want this just like you guys...

    2Reply
  • Michael Koch
    Investor 路 Portland, OR 路 Member since 2019 路 23 posts 路 23 votes
    4y

    @Account Closed

    Thanks for sharing your story! ....but I guess I'm missing how you retired?? Retired means not working. You mean you changed careers to full-time REI?

    1Reply
  • Jovany Espinoza
    New to Real Estate 路 Chicago, IL 路 Member since 2020 路 10 posts 路 19 votes
    4y

    @Amanda Barker

    Hi Amanda, you mentioned in mistake #2 that owning single family is safer but multi-units or bigger units are more efficient; as a beginner, I am just starting to purchase my first property in San Antonio, Texas (single family) and I aspire to own multiple multi-unit complexes.

    I'm having a hard to figuring out how to come up with the revenue, to make multiple purchases either single family or du-plex etc..., within one year. If I am using my own money, how does one acquire so much revenue in a short time frame, to turn around and purchase another property? With the exception of cash offers, how does one purchase multiple homes,, using conventional or FHA loans in such a short time frame?

    3Reply
  • Tucker Cummings
    Investor 路 Raleigh, NC 路 Member since 2019 路 433 posts 路 743 votes
    4y

    So inspiring and awesome to hear this! I鈥檝e been wanting to make the transition to Multifamily and this lighting a fire under me too. Congratulations!

    1Reply
  • Clay Boykin
    Real Estate Agent 路 Columbus, OH 路 Member since 2021 路 98 posts 路 101 votes
    4y

    @Account Closed What an amazing story. I admire investors that blow their goals out of the water. Most of my investors and investments come from 1-4 units/residential, which they buy in volume. I am curious to know your numbers on this deal? Maybe I missed it in the article but I would love to learn more about this!

    0Reply
  • Robbie Young
    Member since 2020 路 69 posts 路 49 votes
    4y

    Congratulations for an excellent year.

    I would just like to say that I believe your mistake #1 of self-managing for three months was not a mistake but a fortunate accident for you. Yes it sucked but you learned a lot. There are a number of landlords who have unrealistic expectations of property managers because they have never done at least enough to deal with most problems that come up time and time again. And there are property managers that tell their landlords stories and the landlord doesn鈥檛 have enough experience to know it is b.s. How can you really do a good job of managing your manager without that background? It slowed you down? This may have been a good thing while you gained real world experience before pushing forward with more growth. There are lots of examples of companies that grew too fast and failed because of it.

    I don鈥檛 know if I would want to landlord in Seattle no matter the numbers on residential property. The appreciation may be great but their laws on evictions are not. I would probably look out of state as well.

    1Reply
  • Victor S.
    WorldWide 路 Member since 2016 路 1k+ posts 路 1k+ votes
    4y

    so, how did you become GPs without having any experience in syndications? i sure hope those LPs (and you) know what they're getting into. 

    4Reply
  • Luciano A.
    Developer 路 Houston TX 路 Member since 2018 路 423 posts 路 400 votes
    4y

    @Account Closed

    Congrats on your success. However, for any new investor coming in it is not the number of doors you own it is the cash flow that is coming as a way to measure your investment goals. Owning 50 doors and making $100 per door is not all that impressive if you can own just 10 doors making $500 per door. To the rookie, the person owning 50 doors seems to be the successful one but at the end of the day, it's how much money is hitting your bank account.  

    I give you props for moving to an area you wanted to invest in as many can't or won't do that. But as another investor, @Victor S. pointed out to becoming a GP without any experience is risky for all the LPs. But that is not your fault in being able to sell the deal to them. They (the LPs) should be doing their homework. 

    WE all look like rockstars when things are going well. It is when the market has correction the real players are still standing. I just fear how many people will be hurt as not everyone is a War Time General. Experience helps when the economy has a shift. 

    I know this sounds like a put-down directed at you but I am directing this more to those wanting to run before they can walk. Too many people read a few books, see HGTV, join groups, and think they are good to go. Everyone is an Entrupuner in today's society. Everyone wants to retire like yesterday. Everyone wants to own 100s if not 1000s of doors. I would rather own 100 doors with one or two partners than walk around saying I own 4000 doors with 800 partners. 

    Starting small is OK. Just start is what I tell people. Scaling takes time but we all want it now. WE are at what some will call the peak of the market. It's okay to take it slow and make small moves as long as you are moving and doing something to get to your number that will help you not depend on your job to pay your bills.

    Best of luck 

    7Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Michael Koch:

    @Account Closed

    Thanks for sharing your story! ....but I guess I'm missing how you retired?? Retired means not working. You mean you changed careers to full-time REI?

     Hey Michael - we are on our way toward retiring from our W2 jobs... not there just yet! We plan to do real estate full time when that happens. 

    0Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Luciano A.:

    @Account Closed

    Congrats on your success. However, for any new investor coming in it is not the number of doors you own it is the cash flow that is coming as a way to measure your investment goals. Owning 50 doors and making $100 per door is not all that impressive if you can own just 10 doors making $500 per door. To the rookie, the person owning 50 doors seems to be the successful one but at the end of the day, it's how much money is hitting your bank account.  

    I give you props for moving to an area you wanted to invest in as many can't or won't do that. But as another investor, @Victor S. pointed out to becoming a GP without any experience is risky for all the LPs. But that is not your fault in being able to sell the deal to them. They (the LPs) should be doing their homework. 

    WE all look like rockstars when things are going well. It is when the market has correction the real players are still standing. I just fear how many people will be hurt as not everyone is a War Time General. Experience helps when the economy has a shift. 

    I know this sounds like a put-down directed at you but I am directing this more to those wanting to run before they can walk. Too many people read a few books, see HGTV, join groups, and think they are good to go. Everyone is an Entrupuner in today's society. Everyone wants to retire like yesterday. Everyone wants to own 100s if not 1000s of doors. I would rather own 100 doors with one or two partners than walk around saying I own 4000 doors with 800 partners. 

    Starting small is OK. Just start is what I tell people. Scaling takes time but we all want it now. WE are at what some will call the peak of the market. It's okay to take it slow and make small moves as long as you are moving and doing something to get to your number that will help you not depend on your job to pay your bills.

    Best of luck 

    Hey Luciano! I totally agree with you! We are very grateful to be GPs on a team with other very experienced operators. This is a learning experience for us and we are just at the beginning of our journey. And you're right the number of doors is somewhat irrelevant if its not cash flowing! Our investment criteria is minimum 10% cash on cash return and 2x equity multiple over a 5 year hold. 

    And I love your advice to just get started! So true. 

    Cheers,

    Amanda

    0Reply
  • Account Closed
    OP
    Investor 路 Member since 2021 路 62 posts 路 108 votes
    4y
    Originally posted by @Victor S.:

    so, how did you become GPs without having any experience in syndications? i sure hope those LPs (and you) know what they're getting into. 

     Hey Victor, great question! We are part of team and are very grateful to be partnered with some very experienced folks. We are definitely NOT doing it alone :) 

    0Reply
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