Maximizing Capital in Rentals

[Phil LoCicero]

Hello all,

I consider myself a relative amateur at real estate investment. I’ve done well so far. I owned a rental quite a while back and it didn’t work out so well. Deadbeat tenant. This time around I’ve managed to patch together 3 homes, my personal residence included. This time around has been easier although I’m not renewing a lease on a consistent late payer. 

I owe nothing on any of my properties, carry an umbrella policy and make a decent amount of money a year on them. I don’t find being a landlord particularly stressful- mainly because my daytime job is a real pressure cooker at times. 

I’m in my early 50’s and would like to find a way to retire early. I could probably pull it off in about a year with a small pension, my rent and some other semi- passive income we have from my wife’s business. For the record, I would consider managing my properties, and helping my wife as being retired.  I doubt I’ll ever want to do nothing. 

I guess my question is if there might be something I’m missing in the way I’ve currently set up. As someone who narrowly avoided being financially ruined by getting my money out of real estate (other than my home) before the crash, I’m a little hesitant to leverage anything. 

I’m wondering more about prime location, apartments vs. sfh, etc... I am open to listening to leverage strategy though. 

Thanks