Realistic Goals for First Time TK Investors?

[Felix Badillo]

Hello, and thank you for the awesome content on here...

My investment partner & I are looking to start investing in turnkey real estate, particularly through Norada. 

Our target investments are smaller multifam's in the Midwest. We're trying to focus on properties with favorable cash return (less on appreciation), RV rations of at least 1% & ROI of at least 10%.

We are both physicians in our mid 30's. We like our jobs, but we're looking for passive income. 

We are hoping to invest $200-$300k of our own cash annually, and we're also hoping to reinvest all of the cash for 10 years. 

The goal in 10 years is to eventually earn $300k ($150k each) annually in perpetuity. Unrealistic? Sorry for the nebulous scenario. We'd just like a realistic goal and we're trying to figure out more or less how much to invest annually to reach that goal. We are both pretty busy guys with service type jobs, and we realize that the passive type of investing will result in more modest returns

Also, I hate sounding like a newbie member, giving off the vibe of "what can you do for me? Please give me advice." Hopefully you don't need medical advice ;o) and who knows, you may even want to partner with us one one day.

Thanks! 

Felix

[Tom Ott]

Originally posted by @Felix Badillo:

Hello, and thank you for the awesome content on here...

My investment partner & I are looking to start investing in turnkey real estate, particularly through Norada. 

Our target investments are smaller multifam's in the Midwest. We're trying to focus on properties with favorable cash return (less on appreciation), RV rations of at least 1% & ROI of at least 10%.

We are both physicians in our mid 30's. We like our jobs, but we're looking for passive income. 

We are hoping to invest $200-$300k of our own cash annually, and we're also hoping to reinvest all of the cash for 10 years. 

The goal in 10 years is to eventually earn $300k ($150k each) annually in perpetuity. Unrealistic? Sorry for the nebulous scenario. We'd just like a realistic goal and we're trying to figure out more or less how much to invest annually to reach that goal. We are both pretty busy guys with service type jobs, and we realize that the passive type of investing will result in more modest returns

Also, I hate sounding like a newbie member, giving off the vibe of "what can you do for me? Please give me advice." Hopefully you don't need medical advice ;o) and who knows, you may even want to partner with us one one day.

Thanks! 

Felix

Hello,

Welcome to BP! In you are investing in the Midwest, I would say those numbers are obtainable! It just depends on where you are looking. In Cleveland, for example, you can get a home for $70,000-$110,000 (turnkey) and have an ROI of around 15-25%. It really just depends on the market you are in and where you are looking.

The Midwest has very affordable homes still and the rent is very average. This provides you with a nice ROI. I always suggest making sure to do your research on the market and the company trying to sell you the turnkey. Make sure they are a legitimate provider!

Best of luck to you out there!