All Forum Posts by: Lane Kawaoka

15-30k a month of passive cashflow or 4-5M of net worth.

Not a lawyer here but I would just do personally since that is the beauty of a LP position with little to no liability.

I would not think about doing any LLCs or holding companies until your net worth is 1-2M plus.

The first thing I would ask is how much assets under ownership they have. Anything under 250k-500k is still pretty newbie.

After over 1000 strategy calls with investors and coaching clients over the past couple years here is what I tell W2 employees... For those who are able to save more than $30k a year or have substantial liquidity (over 200k), being a landlord and especially flipping is a lot of work. If you like it cool/good for you... but just remember why we got into this... To be free from a JOB. So I always urge people to start with the end in mind and take a more passive approach.

Focus on being an Investor not a Landlord. That is if your net worth is getting closer to accredited status (250k-750k)

Do the math here… with 300 dollars per property (2 months of work to buy a turnkey rental) you are going to need 20-40 of these to replace your income. I had 11 of these and good systems in place but still had 1-2 evictions a year and 3-4 big things that were normal annoyances like plumbing leaks, damages from hurricanes, or some vandalism. Image if I had 30, just 3 x those numbers.

Directly investing in a turnkey rental or small MFH is a good way to start to learn and build up the war chest to go into my scaleable investments such as private placement syndications. Whatever you do, try to be as close to the investment as possible. This is the fundamental problem I have with Wall Street who takes too much fees off the hard-working efforts of the middle class.

If your net worth (income minus expenses) is under $200,000 or barely save $30,000, syndications are not for you. Stick with these Turnkey rentals despite what Gurus (who are trying to sell you their program) tell you for now. They have a little higher gains (a lot more volatility) but a syndicator who is willing to put you in a deal with more than 10-20% of your net worth is asking for trouble.

*PS never like the idea of wholeselling where you basically steal houses from people at 50 cents on the dollar and say you are "helping people solve problems"

4-5M net worth is what most of my clients say is end game. With that you can live off 4-6% dividends in non correlated with the economy assets and sail off into the sunset while going in first class.

@Jordan Foster

I started with turnkey remote rentals in 2009-2015 while working my engineering W2 job when I was non accredited. Then went into syndications once my net worth went over 500k.

The problem with the CA properties is that they will not cashflow and will be entirely an appreciation play.

We look at "rent increases per year" it is one of those numerical numbers that take a lot of those inputs into account. And then do a walk test.

It really depends on your net worth and income. 

PS I would not really put that out in the public

I started with turnkey remote rentals in 2009-2015 while working my engineering W2 job where I low six figure. Then went into syndications once my net worth went over 500k. If would have done it over again and I made over 250k a year I would just go right to syndications right away. Let me know if you have any specific questions.

Local Hawaii (and mainland) real estate news and statistics.Plus an infusion of practical real estate investing tips from Da Braddahs who own over 4,300 rental units with a combined value of over $350 million dollars.People who join us live will also be able to ask non-recorded questions regarding anything real estate. Please come with questions. We want to help you!Options to tune in Live:Dean's personal Facebook page - https://www.facebook.com/dean.ueda
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