All Forum Posts by: Allyson Edwards

this question has been dormmate for a year or more.. it used to be asked almost weekly on this site.

and the answers are highly regional .. 

some in the mid west some folks are done at 3 to 4k a month..  but I would say its quite frequent that many have a goal of 10k a month..  and if this income is going to be strictly based on rental income to provide the net number.. that's a pretty easy one to back into.. And its like any other small business do you buy one MacDonald's that makes you 250k a year or do you buy 5.  and a Mac Donald's in one market will make a different amount in another. Or friends of mine that own multiple Subway stores.. your just managing your tenants ( the people that work there) before they go home LOL its the same demographics and the same skill sets and such to manage them.. and those stores can throw off some pretty nice money once you get them paid for.. 

For me I am more in the @Steve Vaughan camp were limited debt along with cash flow is the name of the game. Although for me cash flow varies from month to month and year to year.. 

certainly seems to be an easier way to go if you have 20 properties paid for making 1k a month as opposed to needing 100 properties at 200 a month all sitting on 30 year mortgages.. Especially in an area with limited to no REAL appreciation.. I mean properties that can be sold by simply listing on MLS.. not properties that need to be sold to investors from out of area who will pay a premium.

So I look at it as in how much real estate do I have that is paid for and how much cash do I have.. being in the business I can always generate enough income to pay the bills and live what many would probably consider a nice lifestyle I don't need rentals or investments for that income.  And the Joys of real estate is its a lifestyle I quit working when I was 18  Eh hem 44 years ago.. never have had a job.. LOL..  so I think its all personal interests.. I like being in business I like doing deals daily I like working with other professionals in the industry..  

For instance last night I had happy hour with the regional VP for Lennar.. and we were talking about how they were going to build 600 homes next year in the Portland market up from 400.. and as everyone is thinking slow down they are thinking they are going to increase production.. I like talking high level business and how they structure etc etc.  So to me personally being in business and talking about deals with other professionals in the industry is more rewarding on a personal level than dealing with tenants drama and trying to screen them.. and the uber frustrations I would find myself in dealing with PM's and 80% of the tenant base in the US..  having had 350 SFRs in most all mid west Markets from Detroit down to Atlanta..  I just realized it does not compliment my skill set and the reward of owning all those houses was not great enough for me to stay in the rental business..