Can Net Worth w/Rentals Help Me Quit My Day Job?

[Dave B.]

Hi all, glad to be here. I have one rental property and just getting into RE investing, and after evaluating several various niches, I'm really drawn to the BRRR method.

Question: How can one (really) quit their day job quickly with BRRR?

Context: My immediate goal is to be able to quit my day job, and be able to live off of at least semi-passive investment+rental income.

BRRR seems focused on net worth, which I understand for long term wealth. But net worth doesn't food on the table, or let me quit my day job…income does.

If I’m only net-netting +$250/month in cash flow per unit, I’d have to rack up tons of units to be able to quit my day job, and then I’d potentially have a nightmare of managing that many tenants…or decrease cash flow even more by using a property manager.

Surely I’m missing some key component here?

So again, what am I missing about how one can potentially quit their day job by doing BRRR? Maybe you can point me to a video link or other resource in addition to your own experiences?

Thanks in advance!

[Bill B.]

I don't think BRRR wa about increasing net worth more than cashflow. It's a strategy for people who can't come up with a bunch of 20% downpayments. If you can, then you shouldn't do BRRR's. I never did. I simply collected the downpayment every 6-12 months and bought another property. Once I stopped buying properties I sent every single do,STR towards paying them off. I have about a dozen properties and when I had loans I probably made about $6,000/mo. Now that they are paid off it's over over $200k/yr.

So if you value cashflow and have the money required for downpayments then simply do that. It was invented for people who didn’t have the savings or income to keep buying based on cashflow alone. 

You forgot to put your location in your profile but certainly you can live well in many states with 6, and 12 is overkill.

Ps. All these numbers are after PM so I never put more than an hour a month in building my portfolio.