Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. 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.
Creative Real Estate Financing
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 6 years ago on . Most recent reply

User Stats

8
Posts
4
Votes
Kelly Waite
4
Votes |
8
Posts

I want to expand my portfolio using other people’s money?

Kelly Waite
Posted
I have just bought my third rental property, all purchased within the last three months. I was able to negotiate three great deals, two of them for nearly half of the market price. All were purchased cash and I have no more money to buy more but know I have to skills to make some more deals. How do I go about finding investors/help/financing to expand my portfolio, ideally moving to multi family units?

Most Popular Reply

User Stats

2,174
Posts
1,437
Votes
Albert Bui
  • Lender
  • Bellevue WA & Orange County, CA
1,437
Votes |
2,174
Posts
Albert Bui
  • Lender
  • Bellevue WA & Orange County, CA
Replied
Originally posted by @Kelly Waite:
@Eric Nurmi what is cash-flow banking?

Its a bunch of elaborate marketing and a great web page for buying mutual whole life and using your policy value (cash value) to buy more real estate then using your real estate and paying back your whole life plan loan higher than the rate youre borrowing at so you can keep rinising and repeating.

In theory you grow your wealth up more and more and build up your RE portfolio and you in essence "become your own banker," AKA nelson nash's book.

Cash flow banking is a new marketing spin off for infinite banking (nelson nash), cash flow banking (website above),  private reserves strategy (anderson advisors in NV/WA),  bank of yourself (kim butler), and etc.

The problem is funding your WHL (whole life policy) and every dollar you start out with hits huge drag because every dollar contributed only nets around 65-80 cents. So if you drop 100,000 into a WHL policy on day 1 you'll have around 65,000-80,000 of cash value you can borrow against and this balance will continue to grow 4-7% annually till you reach parity with your 100,000 you contributed on day one. 

This might take 8-12 years, Why ? because of "financial drag," from the agents commissions, admin costs, and cost of insurance upon setting up your policy.

Hopefully that saved you a bunch of time.

  • Albert Bui
  • Loading replies...