How to build a foundation for fast scaling

[Christopher Lane]

Hey all,

My goal is to get 10 SFH's this year. I want to set myself up for high equity so in 2020 I can start going into the Multi Family game.

I am looking to scale large and hopefully own 100+ units by 2025.  Is this realistic if I leverage my earlier investments?

How soon can I see say, $30,000 a month in gross cash flow?  What is a good cash flow amount for a house that costs $60k?

What do I need to consider? When would I need to incorporate an LLC?

[Joe Villeneuve]

Originally posted by @Christopher Lane:

Hey all,

My goal is to get 10 SFH's this year. I want to set myself up for high equity so in 2020 I can start going into the Multi Family game.

I am looking to scale large and hopefully own 100+ units by 2025.  Is this realistic if I leverage my earlier investments?

How soon can I see say, $30,000 a month in gross cash flow?  What is a good cash flow amount for a house that costs $60k?

What do I need to consider? When would I need to incorporate an LLC?

First, why do you want to get 10 SFH's this year? You should never have a goal based on number of units...only what the total financial return needs to be...and the timeline shouldn't enter into the equation either. Focusing on number of units and timeline WILL, not can but WILL cause you to make poor financial decisions. Guaranteed.

Second, again, why do you ant to own over 100 units?  Where did that number come from...and why?

Third.  Asking what a good "cash flow" amount is, for any property cost, is like asking what's the best type of car to drive.  There are so many factors that go into each answer, based on so many variables, that any answer here would be irresponsible to make.  In fact, the correct answer depends on the correct "goals" you establish at the beginning of of your actual "plan"...when you lay that Plan out.