All Forum Posts by: Alan Feldman

I'm trying to figure out the "middle play" in this investment strategy. Let me try to explain what I mean by that. 

Following the "7 years to 7 figures" formula that @Brandon Turner has laid out in his guide, basically states that, a $100k 4plex purchased for $80k with $20k down, effectively turns into a 6 figure annual return in year 8 with 7 figures in real estate value. 

And adjusting to some more conservative numbers and assumptions for today, a $200k 4plex purchased for $160k with $32k down, effectively turns into a 6 figure return in year 8. So let's assume the formula still works no matter how you make the initial purchase.

How would someone invest new cash into this scenario, expecting the same return in 8 years? Do you just start over with the new cash? Could you somehow "recycle" your own 4plex(es) and 24plex instead of selling and purchasing again? Or is that inherently part of the strategy, using compounded interest, equity paydown, purchasing at the right price, rent profit savings, etc.? 

Let's say I'm able to save up another downpayment for a 4plex in a year, or maybe 2 years. Can I inject that into the middle of this scenario as a "middle play" and expect the same return 8 years later? It doesn't seem like it can work that way. Also seems like a waste to have to start over with new properties if there is a way to inject cash and pull out the equity to use to get the same return after 8 years of 6 figures annually. 

While HTML email looks appealing, depending on your marketing strategy it might not be what you want to use. What you don't see is the emails that didn't display properly, was cut off, or emails that just didn't make it for eyes to see (ended up in junk folder, spam, deleted).

Will get a much better response to your marketing by using text emails, or text looking HTML emails if you want the tracking capability. This way it appears personal, it's written in a conversational form, and it's more likely to get a response and the recipient to take action. 

Almost all email marketing systems or autoresponders have the capability to format emails to look like personal text based email messages. And they also allow the HTML email formatting if you want to go down that road too. 

A good test would be to split your list and send half the text based email and half the HTML based email. Think you will see quickly that a plain text email gets a better response. 

I see a lot of wholesalers share images and files through google drive or dropbox. Free accounts work fine when you are starting out. I'm sure there are others too. Maybe also try OneDrive, it's a Microsoft Office365 product, but they have personal/free versions as well. 

Here are my tips for newbies....

Watch this video 4 Reasons Why New Real Estate Investors FAIL

Jump on a webinar www.biggerpockets.com/webinar

Listen to a podcast www.biggerpockets.com/podcast

Don’t give up, real estate is profitable, but also frustrating at times, learn from other people's mistakes.

See if you can find one here 

www.biggerpockets.com/files

@Joe Kooner You are right about the resources, there are a ton on BP. I'd recommend you read the quick ebook Brandon Turner made called "7 years to 7 figures" (search for it at www.biggerpockets.com/files). I recently re-read it and am adopting it as a structured plan to use a 75 unit apartment complex as an income replacing strategy. My recent analysis shows it still works.

@Nathan Nolan there are quite a few PDF ebooks available on BP. Check out the files section www.biggerpockets.com/files

Also search this on BP "Top 20 books every REI should read"

@Adam Sandoval congrats on starting your journey. There is a wealth of information here. My encouragement is to listen to some of the podcasts and learn how others started out. There is also a book on no (and low) money down real estate investing by Brandon.

@Michael Bender I have also been researching properties in this price point. For general planning purposes I do a quick search on loopnet. You may be surprised how many units can be aquired for that amount.

@Edwin Rajkumar I think you can still appeal. Be prepared to show proof of what assessed value it should have. When I appealed my first time I was caught off guard by the formalities. I had to be sworn in like I was on trial. Bring pictures if you can. I recall they assessed me higher because they thought the basement was finished, I had to prove that it wasn't.