Skip to content
×
PRO
Pro Members Get Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
$0
TODAY
$69.00/month when billed monthly.
$32.50/month when billed annually.
7 day free trial. Cancel anytime
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Multi-Family and Apartment Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated over 2 years ago,

User Stats

8
Posts
6
Votes
Julio Ochoa
6
Votes |
8
Posts

Unique investment strategy for building passive income!

Julio Ochoa
Posted

Hi, my name is Julio Ochoa. I am an investor/developer in Northern California.

There are a lot of opportunities here to find land allowing 4 units, and build new fourplexes. 

Using Airbnb can 2-3x the income of a rental property, if it is in populated & traveled area. 

This is why the nor-cal bay area is a great location for these types of assets.

The investment strategy is:

Buy land -> Build Housing -> Airbnb the property -> Refinance -> Repeat/Reinvest

The advantages of this strategy are that:

- You avoid costly & strict commercial class codes & regulations (due to unit amount, less than 5)

- You are massively improving the property by taking it from dirt to highly demanded housing

- Building new means you will not have any repairs/maintenance to worry about

- Airbnb improves the income of the property reducing investment risk 

- Refinancing means your capital will not be stuck, allowing it to be reinvested & grow

- Once your capital has grown large enough (2-5 years or a few fourplexes), you will

be able to invest in a long-term cash-flowing asset that will provide enough passive income to retire you/your family)

Thanks for reading and if you have any questions or want to discuss any of this with me, leave me a reply or send me a message!