Only just found this hidden gem

[Adam Adams]

Hi BP! I joined BP not too long ago, 18 month or so, and I keep putting off introducing myself to the community, so here I am! Landlord since 2008 but because of BP I found a hidden gem in a specific area of NE Ohio last July (13 months ago from writing this) that I wanted to share with the rest of you. (my abundance mentality understands that even after I share this with all of you, there will always be more than enough good deals for us all). So, last year I purchased 3 houses and an apartment building up there and they all "cash flow" above 18%. The All my money was tied up so I offered some friends a significant interest rate to "be the bank" All three houses are paying my friends 12% interest and I still pocket enough to cover all turnovers, maintenance, mortgage to my friends, and future capital expenditures. With the newly made private funding we have a duplex, triplex, and home UC and we already have 80/20 loans with other private investors in our network all 3 new buildings again have 18% cap rates and my friends are going to be getting 12% on their money, again, while we have plenty coming in to cover the debt service and then some. To use one example: the duplex is in a great C+ neighborhood with long term tenants each unit is receiving 600/mo (1200 gross) and our purchase price is $36k (value is approx 60k) our private lender is doing a deed of trust for 30k and we are covering the 6k plus closing costs. Approx Expense for this building: 10% property management $120/mo 7% property taxes $84/mo 6% insurance $72/mo And then we budget (set aside): 27% for cap ex, maintenance, and turnovers $324 $300/mo goes to the 12% interest only loan to my friends and we pocket/cash flow $300/mo It's a total win-win-win I run a local (Denver) Real Estate Club so I'm lucky enough to be well connected in an area where even the BEST cap-rates to be found are still well below 10%. So offering an 80/20 1st lien position for 12% interest only payments has been very well received so far. Even if you're not in a city like Denver, there is trillions of dollars out there in stagnant IRA funds collecting no more than 1% interest so I don't think it would be a problem for you to find someone willing to make 6% 8% 10% or 12% on their money, and have it secured by real estate! I really hope this helps! Adam Adams Landlord, Podcaster, Father, and Creative Real Estate Specialist.