All Forum Posts by: Dan Romnek

As @Jaysen Medhurst mentioned, I would factor in some initial repairs/rehab work, which should subsequently allow you to increase rent. Since expenses won't increase by doing this, you've effectively increased the cash flow and the value of the property at the same time. 

If you are happy with cash returns of 14% conservatively (I would be), and potentially higher depending on your ability to increase rents, snap it up.

@Jade S. It seems lean, but as @Omar Khan mentioned, he's got such a huge following that he can get investors at those terms whereas others may have to offer more. It also comes down to a comfort level that you feel like you know him and when you are giving someone $100K+, comfort can play a big role in that decision.

I personally enjoy listening to his shows on Mondays and think he's great. Thanks for posting this topic, I really enjoyed the responses.

@Drew Y. Thanks for sharing. My partner and I will be implementing this very strategy and will close on our first flip this year yet. We both have the goal of quitting our W2 jobs to focus on REI, and while this may take slightly longer using this strategy, we are super excited about the long term wealth building potential. What size buy and hold properties are you buying? Do you have a sweet spot? Thanks again for sharing!

@Arianne L. Congrats! Success stories like yours are super inspirational, thanks for sharing!

@Steve L. I appreciate your response. I think that it is realistic to find properties in the 75-100k range, but the rents I'm seeing for those properties are 1100-1200 a month. That's still a nice return , but not the 15-20% that we are talking about. Obviously I will keep looking for those properties that will return 20% but I want to be realistic with my expectations and what I am taking from this conversation and my research is that 20% is possible but 15% may be more realistic for my assumptions. I will keep everyone posted on my progress!

@Steve L. I do plan on financing at 4.5 over 30 years.

My goal is to own 30 properties freen and clear and be able to live off of the income.  I will be focusing on finding undervalued properties and fix them up to be able to rent. There seem to be a few areas that are going to be good for finding these properties in this area.  Do you think 15-20% is realistic?

@Beau Cote thanks for the response.  I will make sure to have multiple options when purchasing. I hadn't really planned on wholesaling but may look into it more if it makes sense for a particular deal.

Hey everyone!

I am in the process of writing my business plan and am to the point where I want to define my CoC return that I will aim for. My main goal is to build wealth and I am not all too concerned with immediate cash flow as I will continue to work (at least initially). However, my short term goal is to purchase 3 properties in the next 3 years, and this will obviously happen quicker the higher returns that the properties provide.

My initial thought was to shoot for 12% and not even look at anything that projects a return below 10%.  I live in the Milwaukee area and will be focusing on finding duplexes in this area.  Is this a realistic goal?

Thanks for all your input!

@Cornelius McClendon @Kyle Mack I'd love to get together and discuss strategy and your experiences so far.  I could get together on a Saturday or Sunday for coffee if that works for you guys.  I am in Tosa but would be willing to meet somewhere that is convenient for all of us.  Let me know what works, thanks for reaching out,

Dan

Kyle, My goal is long term investment and I am planning on keeping my job, so I am planning on starting with a sfh or duplex and rent it out. What kind of investing do you do? Do you have any advice/tips/tricks for someone just starting out in the Milwaukee area?