BRRRR for Retirement & Finding collegues in the Bay Area

[Ashley Watkins]

Hello Bigger Pockets community,

I joined BP this summer after I graduated college, and have been pretty silent on the forums as I have been studying for the CPA exam, listening to BP podcasts, and moving to the ever expensive, SF Bay Area.  Now that the dust is settling, I feel like it Is time to do more than just book educate myself, or I fear I will be lost to analysis paralysis, as Brandon Turner puts it.

I have signed up for my first local REIA meeting on December 1st.  My first real step towards reaching my Real Estate Investing goals!  I would love to also connect with those who do not attend or cannot attend meetings, to share ideas, and get creative juices flowing! Please, message me and we can go out to coffee one day.  I’d love to chat about strategy, goals, and open new opportunities.

Speaking of goals, I have thought for quite a while about what my RE goals are.  (Sorry for the long post, but I feel as though a full picture will help with getting valuable feedback.)

I am almost 23, which means I have time on my side for long term buy and hold investing.  I would like to ideally “retire” my investing efforts by the time I am 55.When I retire, I want a portfolio that is completely paid off, cash flowing $20,000 monthly.  (That would be around $8,000 a month in today’s dollars using a steady 3% inflation rate for 30 years.)  I can’t see myself getting here using the stock market, alone.

Depending on where I invest, I will need a different number of properties.  I have considered staying local, and investing in the Bay Area, and Central / Northern California.  I have also considered investing in out of state markets, specifically Oregon, where I grew up.(I know Portland is hot right now, but so is the rest of the state, too.)I would love to hear opinions from people investing in these markets, to see what others are finding to be effective, and ineffective strategies.

I would like to stay in the duplex to fourplex market to start out.  I plan on purchasing my first property within the next two years, maybe sooner if I can find a partnership that works well.  I wouldn’t mind upgrading to an apartment complex once I have experience, but I feel as though that would be too overwhelming to start out with.

I love the BRRRR process that is talked about on BP frequently. I am interested in learning more about Probate sales, as well as pre-foreclosures and foreclosures. Especially in the Bay, the MLS isn't very useful for finding deals. I would be interested in working with a local wholesaler, as well. I do work full time, at a large accounting firm, nonetheless, so my hustle game after work isn't very strong, if I am to be honest with myself.

I plan on purchasing properties using BRRRR, and holding them until I have enough equity in all of them combined to sustain the $20,000 monthly cash flow (after considering CapEx, and other maintenance expenses).I will then sell the excess properties, hopefully passing them down to new investors, effectively using the equity from the sale to pay off the remaining portfolio.

As stated above, I have not solidified my market yet.  I really want to speak with other investors on what they see as the pros and cons of each market, from a real life point of view.  From there, I can make my decision, and proceed with further criteria for my future investments.

Thank you so much to everyone who is on here helping new investors find their wings.

Best,

Ashley Watkins