All Forum Posts by: Terry Hershberger

@Mark S. 

I have same goal and have been doing it about 8 years. It is possible! Figure out a formula that you are happy with and use it. that is what I did. Once you figure out the formula that will work for you, buy home #1 and then duplicate it! The first few will take th longest and as your skill level increases, it will duplicate faster!

As for your questions:

1.) Should I just jump in when I find a "good deal," and modify my income goals as I progress? YES! Always be willing to modify your goals as you achieve them. Goal Achievement is definitely not a straight line! There will be many turns, u-turns, hills (up and down), mountains, bridges and stepping  stones to get you there.

2.) Would you start with turnkey out of state investing if you're a new investor? Depends a lot on your personal situation. I did out of state but not turnkey but it is not for everyone. Many systems and things have to be in place to do it.

3.) Regardless of where you start, would you want all your properties in the same state r multiple states (to diversify)?  Again, depends on the situation and you goals and how many homes you get to.

4.) What other advice would you give to someone like me? Educate yourself on you retarget market, find a reia or two in you rare to attend and start looking for deals and make some offers! ACTION WORKS! 

Hope this helps ya!

Happy Investing!

@Kyle Evans 

Yes it is possible but I am not sure about in your market. . It depends a lot on your market. There are many other variables that play into it as well. I believe it takes a great deal to get $400 or more Cash Flow on a Leveraged SFH but I have done it.

Hope this helps ya!

Happing Investing!

@Matthew S. 

You need to figure it out. What may be a good deal for one person, another person would think it is not. It depends on your specific goals and what type of ROI you are looking for.

For example, I had a relative brag to me at a family picnic about how good his investments were doing and how happy he has been all these years with his financial advisor. So  I was curious and had to ask him, "so what kind of return have you been getting?" With a huge smile he said"4%!" I about fell over and in my mind i was thinking "That's it?" So yes, as you can see, what one person thinks is a great deal, another person would pass on.

Learn your market and figure out what kind of retune you want, put the numbers on paper and they will tell you if it's a good deal for you.

Hope this helps ya!

Happing Investing!

@Jordan Redar 

Where have you heard of this 1/10th marketing budget? I have never heard this and I believe it is nonsense. Marketing budgets vary depending on circumstances. 

I believe too many people make up these so called "RULES" so they can sell a course, teach a useless class,  or seem smart to someone with no RE knowledge. 

You really do not need to spend any money on marketing to purchase buy-n-hold properties. It depends on what your goals are and what types of properties you wish to buy as to what, if any , marketing you may want to do. 

If you create relationships with great realtors and others in the RE world, they will bring you buy-n-hold properties, and sometimes before they even hit the market!

Hope this helps ya!

Happy Investing!

Why do you feel the need to create any LLC's?

All you really need is an Umbrella Insurance Policy that you are comfortable with.

@Manuel Gonzalez 

With proper education and knowledge, I would say it's a good risk. Without first having the education and knowledge, I would say it could be suicide. 

I believe you help to reduce risk as long as you are educated and have  knowledge in your market. 

I also agree you must take some risk to get some reward. So It depends on your comfort zone with the risk attached.

Personally, I would prefer to use OPM, even if it is the banks without my personal residence being attached, but I have done it before.

Hope this helps ya some. 

Happy Investing!

@Brian Marshall 

I believe you have multiple problems. I would start by firing the property manager. Something is not right. Check your market and make sure you are not overpriced. Thirdly, is their a problem with the home or the area? The longest I have ever had a out of state empty has been 3 weeks. Usually, one week does it.

Hope this helps!

Happy Investing!

@David Carrington 

I would hold that property if your numbers are correct! Rent it out and you should have cash flow forever. 

@Jonathan G. 

Why such a large down payment? 30%?

Are you managing the property by yourself?

Is 57K the asking price?

@Lee Miles 

I agree with Walt & Steve!

@Steve Babiak 

Love the word math! LOL

Happy Investing!