Retirement, Solved

[Tom Olson]

“Do you need $1 million to retire, as some experts have suggested? Or is it $2 million for a retired couple? Or is it 10 times your current annual salary, or 12 times?”

This was the start to an article posted by US News. The study concluded that the average American needs $600,000 saved to retire comfortably. That number is scary to young people starting out, it’s scarier to middle-aged people seeing how far off they are, and it’s terrifying to those nearing retirement with nothing close to that. The good news is: that number is way too high.

That number was based on monthly cash flow stemming from a retirement plan, but if you were to generate cash flow, your retirement plan would be a non-issue. Let me show you how $100,000 now invested for the next 10-15 years can completely take care of your retirement to the tune of well over $100,000 per year in cash flow.

Recently I came up with a plan for rental investors that allows them to invest in rental properties without dealing with the prices of regular turnkey properties while at the same time avoiding the hassle of traditional landlording.

Basically, the program connects you to the specialists in each specific area of getting a rental property. Instead of trying to do all of the specific tasks yourself, we manage the project from start to finish.

The process starts with us helping you buy a foreclosed home. We vet the property in advance, giving you a solid repair number. The goal is to be under 70% LTV all-in (purchase+repairs). It's a cash deal, which saves you the realtor fees as well as all the unnecessary expenses that come with holding a house for 90 days to accommodate some of these loans. Also, cash is king, so that naturally gets you a lower cost.

After you close, you escrow the money for the repair at the title company. This allows you to do a delayed refinance after the rehab is done.

We manage the rehab for you, sending weekly updates and keeping you posted. Also, because we work with an experienced construction company (they did over 170 rehabs last year), they have the systems in place to keep the project on track and under budget.

When the rehab is done, we use a property manager to get the house rented and then manage the tenant. This keeps you from getting bogged down in the day to day frustrations of rentals.

Lastly, you refinance your money, pulling it right back out of the property. This allows you to use the same money over and over, building your portfolio without losing capital.

With this program, it becomes very easy to use the same money to buy at least two properties every year. If you were to follow this plan twenty times- once every six months over the course of ten years, and then use the cash flow from the rentals to pay ahead on the mortgages, you could end up paying off all the properties in about fifteen years, at which point you would have well over $10,000 per month in cash flow.

I have attached a proforma below to show that this program allows you to use your retirement money to give yourself a passive cash flow. It puts your money to work so you can retire!

US News said you would need $600,000 to retire. We let you retire and earn $600,000!

Link to Proforma