How we went from 0 to 20 rental units in first 3 months of REI

[Heath Jones]

Last February 2019, my wife and I purchased our first rental property. After looking and analyzing several single family residences (SFRs), we decided multifamily properties were a better way to scale quicker. We put in an offer on a triplex and unfortunately were outbid. Within a day or two, a fourplex apartment building came on the market one afternoon at 3pm and we had an offer to the seller by 6pm, and it was under contract the next day. We were stoked!

During our due diligence period, I wanted to go bigger and as luck would have it, there was a 16 unit property on the market. After doing considerable homework, and consuming everything I could from Michael Blank, Joe Fairless and Matt Faircloth just loud enough for my wife’s to hear (I had to get her on board too of course), we put in an offer and got it under contract. We closed on both properties a month apart from each other.

Within in the 3 months, my wife and I went from making a decision to become real estate investors to owning 20 rental units. And all it took was an initial $33,000 from a 401k I had with a company I worked for before transitioning to a federal job. We bought the 16 unit with other people’s money (reply if you would like to hear our we managed to make that happen and I’ll write another post).

How did we do this? By taking action and extreme hustling!!

This was awesome because we now owned 20 rental units. However, this was not-so-awesome because now we needed to self-manage 20 rental units. Following this post, I plan on adding additional posts everyday, each with one lesson I learned from this first year of self-managing.

Stayed tuned and reply with any questions or things you would like me to discuss!!