Masterminds - Scale Up!

[TJ Woolum]

Hello everyone. I currently have 8 SFH in the Decatur, IL and Springfield, IL areas. Each cashflow pretty well but the opportunity for appreciation is slim. I'm also finding that a single large repair can wipe out a whole year of income, making me wonder if cheaper cashflowing properties is the right play. As I dive into all the different paths I can take (single family vs multi-family, short term vs long term, cash flow vs appreciation, local vs out of state, etc..) my mind is scrambling and I've ended up doing nothing at all.

I'm looking to join a mastermind that meets consistently and can really motivate one another to take our businesses to the next level.  I'm willing to pay to join the right group.  Where do I even start?

Thanks in advance!

[Marcus Auerbach]

@TJ Woolum - save your money (many will be glad to take it), rather invest your time and energy  to connect with the right people! After over a decade of investing in Milwaukee I can confirm you have arrived at the correct consclusion. Most of us start with cheaper properties, frankly, because often it's the only option. 

But on 100 year old homes in low value neighborhoods capex often exceeds cash flow over time. I'll say that again: capex often exceeds cash flow over time. This is tough for new investors that focus so hard on cash flow as their main criteria. A more holeistic approach is needed: long term wealth is mostly created by principal pay down and appreciation. Cash flow keeps the lights on until you get there!

There is a reason why I buy properties that cost a multiple of what typical cheap rental properties are going for. I wish I could make it work with sub 100k properties, but that's usually fools gold (especially in 2023) and just not where you find long term success.