Real Estate Investing Reset Button Has Been Pushed

[Arron Paulino]

I decided to make a post here to essentially reset. I was a newbie who started investing in real estate during the pandemic so I've been at it for a few years now. I am planning on liquidating a couple of my properties to "start over" and see how I can better achieve my personal goal of attaining $5,000/month in positive cash flow and keep some money in the bank to be liquid. I now have an LLC with a business checking account and credit card that I just established to separate my business transactions and personal. I have been in the ringer through real estate investing (negative cash flow, scammers, bad contractor, obtaining more than ARV, getting less than ARV, plumbing issues, positive cash flow) learning head-first the whole way. I know the obvious answer is to keep educating, but I knew I learned best diving right in and so I really experienced the good and bad of real estate investing firsthand.

With this said, any advice on how to proceed with decent liquidity? I've grown to learn what to do, how to do it properly, and continually educate myself to do better on the next deal. I read somewhere that it may be a good idea to buy large multifamily in a decent area (just don't really know what market is decent for this) or buy turnkey properties (I know of a couple reputable sellers that I can invest with). I have been doing the BRRRR as my exit strategy to obtain properties in my rental portfolio. Looking to hear from everyone and specifically from those that have obtained their financial freedom goal within a span of a few years.

[Marco Padilla]

Hello,

It's great to see that you've been on a real estate investing journey for a few years now, learning from both the ups and downs along the way. As you plan to reset and pursue your goal of attaining $5,000/month in positive cash flow with decent liquidity, partnering with other investors could be a valuable option to consider.

There's a famous quote that says, "If you want to travel fast, travel alone; however, if you want to travel far, travel in a group." By partnering with other investors, you can leverage their knowledge, resources, and experiences to help you achieve your financial goals more efficiently.

Here are a few potential benefits of partnering with others:

1. Increased Capital: Partnering allows you to pool financial resources, giving you a stronger position to pursue larger investments and potentially increase your positive cash flow.
2. Shared Expertise: Collaborating with experienced investors who have achieved similar goals can provide valuable guidance and insights. They can help navigate challenges, identify market opportunities, and offer sound advice based on their own successes and failures.
3. Risk Mitigation: Sharing the risk with other investors can reduce your exposure and help protect your assets. By spreading the risk across multiple parties, you can minimize the impact of any individual investment setbacks.
4. Expanded Network: Partnering provides access to a broader network of contacts, which can lead to new opportunities and potential deals. The connections of your partners, combined with your own network, can open doors to beneficial collaborations and increased deal flow.

When considering partnership opportunities, look for investors who share your goals, values, and investment strategies. Networking within real estate investment clubs, attending industry conferences, and engaging with online forums can help you connect with like-minded individuals.

Apart from partnerships, continue focusing on education and self-improvement. Learn from your past experiences and adapt your strategies accordingly. Consider exploring opportunities in markets that align with your investment goals and offer decent potential for positive cash flow. Researching and understanding market trends, rental demand, and economic indicators can inform your investment decisions.

Keep refining your business operations and systems as you scale your portfolio. Strive to build a strong team of professionals, including property managers, contractors, and advisers, to help support and streamline your investment efforts.

Remember, achieving financial freedom takes time, dedication, and smart decision-making. Leveraging the expertise and resources of others in a partnership can help you achieve your goals more efficiently and maximize your chances of success.

Best regards,