All Forum Posts by: Broc Gullett

Greg,

Thanks for your thoughts. 

So you don't think it would be realistic to (barely) cash flow or net zero on a property on a ten-year mortgage, even if half the value of the home is paid right away with the down payment? I hear you on your concerns, but I'm hoping to keep this as simple and as formulaic as possible. I'm hoping to--theoretically--have some of the monthly revenue go toward reserves, but, in general, I'll plan to keep plenty of cash on hand if something goes wrong. 

As for the lawsuit aspect, I hear you on that. As a litigation attorney, it's not the biggest concern of mine, but I will surely set up individual entities to protect the network of homes to the extent I can. 

(assuming adequate capital each year from salary)

Year 1 -- Buy 150-200k single family or duplex with 75k down payment on 10-year mortgage

-Rent property (may cash flow, but happy to just break even)

Year 2 -- Buy 150-200k single family or duplex with 75k down payment on 10-year mortgage

-Rent property (may cash flow, but happy to just break even)

Years 3-10 -- (same thing each year)

Year 11 - Take out another mortgage on the house from Year 1, which is now completely paid off. Live off that money and retire. Continue renting to pay mortgage. (alternatively, HELOC??)

Year 12 - same cycle. 

Please tell me why this is impossible or what I need to watch out for...