I want my father to retire. I want to be successful for him.

[Lawrence A. Kovacs III]

Hello All,

     As my headline states; I want to do this to build a portfolio that can allow my father to retire. That is my "why". I am hoping to begin this journey in the Baltimore County, MD area. My father has worked 40+ years of night work to provide for myself and my family. I want to spend the next few years making sure he can retire. Real estate seems to be the best engine for this train.

     A little about myself. I work full-time at the Port of Baltimore in management. I have two houses that are both under renovation with a lot of equity in both. One is a 4 / 2.5 on a pinch over 3 acres of land in Perry Hall, MD and the other is a 2 / 1 on a little over an acre of land in Airville, PA. I came up through the skilled trades as a diesel heavy equipment mechanic by day and full-time college student at night all the way up to the culmination of my MBA in International Business from the University of Baltimore. Ten years of night college really teaches someone what it is like to struggle and work diligently towards something. I am a go-getter and extremely persistent. I promise not to waste anyone's time that helps me along my journey. I am a certified home inspector as well (not licensed). So I am willing to walk houses with people as a way to return the favor for helping me with other topic areas I do not know much about.

     I am willing to do whatever is needed to get into this for my father. That man has sacrificed more than I can imagine in my upbringing and as a result has zero retirement funds. 40+ years of night work has taken a toll on his body and it pains me to know he can't afford to retire. I want to get this rolling and have him retire to join me on this adventure. I want to make sure my father can enjoy the remainder of his time here (hopefully several more decades). I am very handy from being raised poor. We built every house anyone has owned in my family from the bricks on up (we are all local to South Baltimore, MD area where everything is brick row-homes). My girlfriend and I, soon to be fiance, are even planning to sell both of our houses when they are completed to get initial start-up equity but I don't want to wait. I want to get moving so my father can hopefully get to not moving so much. 

I appreciate all of your time in reading my introduction and look forward to getting started on this journey. I have already read several investing books (starting the BRRR book shortly too) and I am open to other avenues of education as well. My house is a construction zone but I have a big fire pit if a local group would like to come over and have a bonfire one night to help me out with this journey. I will supply freshly brewed beverages.

    Thank you and have a blessed day! 

Lawrence (Fig) Kovacs III

Perry Hall, MD

[Lumi Ispas]

@Lawrence A. Kovacs III, Congratulations on an amazing goal.

There are many ways you can do this. I can advise on one way that long term will pay for both your father and your own retirement as it will give him the positive cash flow to live now while the properties are getting paid off to take care of your own retirement.

Step 1: Determine how much money per month your dad needs to retire. 

Step 2: Determine his assets and liabilities. Does he have any pension funds he'll be able to draw cash out? Does he own a home that is paid off or with a small balance? If he's renting, will he still live there after retirement or where will he move and what will be his monthly rent & expenses? 

Step 3: As he still works right now, can he take a mortgage and depending on what and if he owns any housing, can he buy a multiunit property with a 3.5% down, owner-occupied, FHA loan so he lives in a unit and rent the others to live for free?

Step 4: If you took care of his housing through either Step 2 or Step 3, can you either sell one of your properties or take a HELOC to pull out cash and buy investment properties that will give you enough positive cash flow that it covers your dad's expenses? - Bonus for you will be that while you'll be gifting your father your cash flow, you can use the Depreciation and tax deductions on this property or possible multiple properties to lower your own tax base, so you'll pay less income tax on your income while building your equity through the principal paid off by your tenants.

Good luck to you & your dad!