0-20 units in 12 months

[Caleb Bryant]

Hello,

My name is Caleb Bryant and I have set a goal for myself to acquire 20 units by May 19th, 2018. To do this I am going to have to lay some serious ground work first, so I thought my best strategy is to come to the Bigger Pockets forums and talk to everyone that has experience that I can. I live in Franklin, Tennessee which is an extremely hot market as it is just south of Nashville which is booming. I would love to meet people who are investing in multi family who are from the Nashville area, so reach out to me and I'm happy to buy you a coffee!

I would love to talk about strategies, markets, headaches and everything in between. I have talked to many real estate investors before but never anyone who deals with multi family specifically. 

My initial goal for real estate is to create financial freedom. I want to build a scalable and sustainable supply of cashflow while making a difference in communities. 

[Devan Mcclish]

@Caleb Bryant couple things you can do to accomplish this goal

1. Figure out where in Nashville you want to invest. I don't care that the market is hot. Figure out where you want to invest and make it happen. If the market is on fire, take advantage of seller greed and work favorable owner financing

2. start networking and marketing. You need to be connecting with commercial brokers and wholesalers targeting what you want to buy. Also, get a multifamily list and start mailing it. Avoid LLC's and Trusts, waste of time.

3. Don't do what people above said to do. Don't put 20-25% down on 30 year financing every time. Buy something 80% of appraisal value or lower. No, that's not impossible to do in a hot market, thus the beauty of direct mail. Putting 20% is a waste of cash. Buy something for 800,000 that would appraise for a million, and REFINANCE instead of using financing to purchase. Use hard money or private money to make the initial purchase. If you cannot carry the debt load, then you will need to partner will someone or a group of people that can, so start looking for those people. Save your money for cash reserves and place your money elsewhere allowing you to scale faster with a higher COC return. IF you have to pay market that's fine. Negotiate a 75% bank financed, 25% seller carry back in 2nd position. Stay away from 30 year financing. You will blow your DCR (debt coverage ratio) out of the water. I know several investors who took the approach laid out above. They have 5 rental units and banks won't lend another dollar to them because their debt coverage sucks. Go with 20 year ams, and the bank will leave the faucet on a lot longer, and it's commercial financing!!! There is an endless supply of commercial financing if the bank has an appetite for it. Call Tiffany Martin at Franklin Synergy

4. Also contrary to advice above, set that goal high man. 20 units can happen for you easily. Use seller financing to your advantage, but start looking into it more first. You can overpay for a property and obtain 0% interest from the seller on their financing. I would buy everything that way if I could

My goal I set when I was 23 was to obtain 100 units by the time I was 25. That was 50 a year. I am 70% of the way there, and I am going to get there! You can get 20 units!!!!

If you need partners, I would be interested in the right deal and I know @Luka Milicevic and @joshbraun would be interested