All Forum Posts by: Cody Ruff

@Nathan Hui I go with the Brandon Turner numbers which is 100 dollars per cash flow per unit for a rental unit and 200 dollars of cash flow per month for a rental residential property. Those are bare minimum numbers for a cheap house definitely be looking for more if the house is more expensive

@Spencer Hoogveld That’s exactly my goal as well. I want to build up a rental portfolio that covers all my monthly expenses and where I can invest in additional real estate. I’m also a broker and use that money for vacations, additional investments, and whatever else might come up in the future.

@Daniel Whitmore one of the ways you can is go to a local bank or a credit union and you may be able to get a loan from a portfolio lender. Sometimes that is easier to get them a big conventional loan from a big bank.

@Carly Christiansen the main tax benefit of setting up a LLC instead of for example a c-corporation is that the llc is considered a pass through entity so you just get taxed on your income instead of being taxed twice one personal and one business taxes like you do with a corporation.

@Kahla Henry one of the best ways to get started in real estate is house hacking. You buy a duplex live in one and rent out the other. This saves you money on expenses and can help you save more money to buy a rental unit or house for investment. Another advantage of house hacking is that if you have a 580 credit score and plan to live there for a year you can qualify for a FHA loan which only requires 3.5% down instead of 20-30% that conventional mortgage loan requires.

@Etim Fisk I wouldn’t unless you are going to hire a reputable property management company that has a history of finding tenants quickly so you can have cash flow instead of just paying the expenses with no cash flow help. Because at that point you just have a liability that is costing you money every month instead of a cash flow producing asset.

@Felix Torres You can do the drive and deal strategy. Where you look around for owners of houses that are doing for sale by owners that are trying to save money on fees by using a real estate agent. You can also have a real estate agent send you weekly email alerts with brand new listings that might fit your criteria that they may have not put on the MLS yet.

@Kathleen McCabe I would go ahead and get started and start building cash flow. So when and if the next market crash happens in the next few years you can use savings and existing cash flow to buy even more properties at a discount. So when the market inevitably rebounds which it always does you can sell your houses for a profit due to appreciation or up your rent on your rental units at the current market value.

@Maksim Easley I would start small and build up. Just like what Brandon turner talks about when he explains the stack method. Buy one house use that cash flow to buy another and buy another. Before you know it you will have a pretty good looking investment portfolio with multiple properties

@TJ Tyler I would house jack. Covers most if not all expenses and frees up some cash flow so you can invest in other properties. I would wait off on the house build up your investment portfolio then once you establish more financial freedom and cash flow buy the house you always wanted.