All Forum Posts by: Josh Milewski

So as a follow up to this. Not long after I posted this I was preparing to get my first deal and then an AC failure in my personal home drained my capitol (shame on me for not having a capex fund for my own property). That put me in a bit of a funk and I basically stopped looking at real estate for a while. 

I'm trying to get back on track but think I want to study my market while I build up funds. I'm debating on if I should try to buy out of my back yard or if I should try in Ohio where my wife's family lives. 

either way I don't really know how to evaluate the market yet so if any has any book suggestions I'd be very grateful. 

I thought it would be insightful to share my 10 year plan here and see how realistic (or unrealistic) it is from people who actually know what they are doing. 

The first problem I've spotted in my plan is expected too much cash flow per door in the first few years. 

Year 1: 1 New Rental - 1 total rentals - less than $100/Month Cash Flow.

Year 2: 2 New Rentals - 3 total rentals - 300/Month Cash Flow

Year 3: 4 New Rentals - 7 total rentals - 700/Month Cash Flow

Year 4: 5 New Rentals - 12 total rentals - $1,200 Month Cash Flow

Year 5: Trade up to 20 door Multi-Family - at last 20 doors - $2,000/Month Cash Flow

Year 6: Build up money for next MF

Year 7: 1 new 20 door MF - 40 total doors - $4,000/Month Cash Flow

Year 8: build up money for next MF

Year 9: 1 new 20 door MF - 80 total doors - $8,000/Month Cash Flow

Year 10: 1 new 20 door MF - 100 total doors - $10,000/Month Cash Flow

@Justin Lee Taylor I'm a local too, and have been asking around for these events clubs but like you found there isn't much around here. I'd certainly be interested in attended maybe even helping organize something local. I'm also looking to build my network and need good referrals for contractors, lenders, agents. 

I listened to the webinar how you buy your first, second, or third rental property yesterday. In it, David Greene talked about the value of experience in these three properties. Which got me to thinking. Is the experience with little to know ROI as long as you break even and plan for expenses like capex and vacancy? I don't have a specific property in mind I was simply wondering in general.

Thanks in advance,

In an interesting turn of events my partner may actually be making an offer on this property. I started looking into why they mentioned a duplex on the listing and found that they're is a duplex for sale also on the same parcel. When adding the two buildings together into a single offer it was much easier to make the numbers work at a much less severe discount of their asking price. 

copying the numbers out of my spreadsheet using my phone is a pain so I'm waiting for a chance to sit down at my laptop to share them. 

Just thought it was interesting to share the new information.

I kinda figured on market was to easy a path. But it's an easy way for me to practice running numbers while I learn all this stuff so that's what I've been using. 

Is it common to have to offer way under asking to make the numbers work or am I looking in the wrong market? 

Please note that I'm mostly exercising my ability to run the numbers. So the example house may simply be a bad deal and I just don't recognize it yet. 

For example there's a 3 bed 2 bath appears to rent for $950 according to Rentometer. I can't make the numbers work without offering 75k less than asking. I assume that's simply just an offensive offer at that point. 

https://www.zillow.com/homedet...

 I never considered working with wholesalers in this way 

I guess my biggest fear about wholesaling is to get a contract that no one wants. I don't have the capitol to buy it directly yet.