I'm typically shooting for about six months to stabilize. I want to be north of one and a half X, more comfortable with a 2X debt service coverage ratio. If they aren't, if there's months of negative cash flow, I've set aside enough reserves to cover that early on. It's pretty rare that a property will negatively cash flow even early on. My dad went bankrupt when I was three years old. He had a very different approach than me. He was looking to get rich quick with the sale, with the development of his first property. Built it in the late 80s, market crashed in Denver where he was at the time. The value-ad plan is
IN THIS EPISODE, YOU’LL LEARN:
00:00 - Intro
01:36 - What self-storage investing is.
01:36 - Why self-storage investing has become so popular and competitive.
11:26 - How to leave your W2 job for real estate investing.
14:53 - What to look for in a self-storage facility.
35:10 - What to avoid in a self-storage facility.
38:08 - How to maximize cash flow.
And much, much more!
*Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences.
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