Real Estate Rookie

As a new investor, financing can come with a lot of questions. Financing your first property itself seems like a steep learning curve, but once you find a method that works for you, it makes investing a lot easier. Welcome back to this week’s Rookie Reply. But, instead of just answering one question, we’ll be going over multiple to get you on the fastest path to investing in real estate. Today, we’re touching on topics like how much money you'll need to invest in your first property, how to build a lease, recommendations for financing without a W2, and how rising interest rates affect investors.Before you invest, understanding the market you want to invest in is essential. You also have to understand the expenses that come with your property. Once you know these two things, you’ll have a more accurate estimate of your costs. A perk that comes with investing is that the money doesn’t have to be yours. Whether you decide to take out a conventional mortgage loan or partner with another investor, you can creatively finance your deal to have less money come out of your pocket!If you want Ashley and Tony to answer a real estate question, you can post in the Real Estate Rookie Facebook Group! Or, call us at the Rookie Request Line (1-888-5-ROOKIE).In This Episode We CoverHow to understand the market you’re investing in, the average cost of a property, and the range of expenses you can expectSafety reserves and how much to have on hand before you buy a propertyCreative financing methods that will lessen the amount of capital you’ll need to closeFinancing without a traditional W2 and how small banks, mortgage brokers, and co-signers can be your best friendsEasily building your perfect lease using the BiggerPockets lease agreements!And So Much More!Links from the ShowAirbnbBiggerPocketsBiggerPockets CalculatorReal Estate Rookie Facebook GroupReal Estate Rookie PodcastWhat Makes Rookies Into Millionaires? Quitting What You Hate!BiggerPockets ForumsPolicygeniusBiggerPockets ProRentRediBiggerpockets BootcampsConnect with Ashley and Tony:Ashley's InstagramTony's InstagramCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-226Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

Life is unpredictable, and there's no way to get around that. Instead, you have to learn to pivot and accept where you are, so you can get to where you're going. Today’s guest, Josiah Hein, was hit with life’s unpredictability when he was in a car accident with a drunk driver, resulting in damage to his neck and back. Josiah could have easily used the accident as a reason to give up, but instead, he took it as an opportunity to pivot and build another business. Josiah has closed on three deals, including a tiny home that alone cash flows $6,000 a month!Josiah's first business required strenuous physical labor, so after his accident, he couldn't work as much. He used his newfound time to start learning about real estate. He had always considered real estate as a long-term retirement plan, but his plan suddenly got expedited. He started investing right before COVID by converting his old house into a rental property.His portfolio also includes an out-of-state property and a tiny home. He was inspired to invest out-of-state after reading David Greene’s Long-Distance Real Estate Investing. After five months of researching to find an out-of-state market, he settled on Tulsa, Oklahoma. He also has a lucrative tiny home bringing in some serious cash flow every month!In This Episode We CoverUsing a setback as a setup and how to pivot when life gets unpredictableFinding “hot” markets and what criteria to look forDoing a profitable cash-out refinance and the BRRRR strategySelf-managing short-term rental properties and using listing sites like Airbnb to rent out your propertyTiny homes 101 and the benefits that go beyond having a mini-mortgageBuying out-of-state investment properties and how to manage your rental remotelyAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramAirbnbBiggerPocketsBiggerPockets CalculatorReal Estate Rookie Facebook GroupThe Real Estate PodcastBiggerPockets ForumsReal Estate Rookie PodcastPlay the Game or Get Played: Using Paternal Instincts to Close on 17 UnitsZillowThe Real Estate Robinsons Youtube ChannelVrboCDS Rental CalculatorRobuilt’s Tiny Houses That are Cashing in MASSIVE Profits Every MonthConnect with Josiah:Josiah's InstagramJosiah's BiggerPockets ProfileCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-225Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

Real estate investing is known for one thing: cash flow. No matter who you talk to, investors always seem to be hypnotized by this single metric. Rookie investors love to chase after cash flow and cash flow only—often completely disregarding the much more lucrative benefits of real estate investing for the shiny object of monthly profits getting deposited into your account. But, if you’re buying, analyzing, and negotiating deals based on cash flow only, you could be making a huge mistake.In the new book Real Estate by the Numbers, Dave Meyer and J Scott, both veteran investors in their own regards, give you the numbers behind the NOI and show how real estate will make you rich in much more ways than one. They give you the exact calculations, framework, and mindset to use when analyzing real estate deals, and will show you how you can build wealth faster, smarter, and with less effort than the cash-flow-crazed investor down the street.On today’s show, Dave and J walk through the four ways that investors can build wealth through real estate, which questions real estate rookies should start asking, and debate whether or not the 2022 housing market is one worth buying in. Real estate rookie or not, this show will give you everything you need to start chasing better deals with hidden profits others are too blind to find.In This Episode We CoverWhy real estate rookies should grab the new book, Real Estate by the NumbersRecessions, interest rates, and whether or not 2022 is a good year to buy real estateThe four ways to generate wealth through real estate investing (it’s more than cash flow)Questions real estate rookies should ask when analyzing their first real estate dealsReal estate tax deductions and how investors can pay almost no income tax How to “force” appreciation so you can increase equity faster and walk away with a big paydayAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramAirbnbBiggerPocketsBiggerPockets CalculatorReal Estate Rookie Facebook GroupThe Real Estate PodcastReal Estate Rookie PodcastOn the Market PodcastBiggerPockets Business PodcastBiggerPockets BookstoreHow to Become a Real Estate Millionaire (NO Experience Necessary)What Works (and Doesn’t) in a Recession & the Untold Story of J Scott’s Messy First FlipConnect with Dave and J:Dave's InstagramDave's BiggerPockets ProfileJ's InstagramJ's BiggerPockets ProfileJ's WebsiteCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-224Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

If you pay attention, you’ll notice there is a game being played. The sooner you realize this, the sooner you can play to win. The game of life has various components, but the top one percent has mastered the game of money and finance. Once you start playing, your financial fear becomes irrelevant. After all, it is a game—and you’re supposed to have fun.Today’s guest, Nick Troutman, started playing the game after his second child was born. His fatherly instinct kicked in, and he had a deep desire to provide. He started researching investing, money, and finance—his friend recommended BiggerPockets, and the rest was history. Now, Nick has four rental properties with seventeen units, including a nine-unit apartment.As a professional athlete, Nick is on the road for six to ten months, which exposes him to various housing markets. This exposure helped him narrow down his scope of locations to invest in. Ultimately he decided to invest in Tennessee and Georgia. Nick’s open and optimistic approach to life has helped him create his dream life as a father, husband, professional athlete, and investor.In This Episode We CoverThe “game” of money and finance and how to play to winOvercoming provider syndrome and how to use it to your advantageThe BRRRR Method and why it’s one of the best ways to get into real estateWhat to consider before investing in a new market and why you should invest in familiar marketsPrice-to-rent ratio and making sure you’re charging the right amount for rentFear vs. danger analysis and how to use it to start eliminating fear in your lifeAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramMLSAirbnbBiggerPocketsBiggerPockets CalculatorReal Estate Rookie Facebook Group16 Units in 3 States as a BiggerPockets Power Couple Working Full-TimeBiggerPockets InstagramThe Real Estate PodcastBiggerPockets ForumsZillow AppReal Estate Rookie PodcastConnect with Nick:Nick's InstagramNick's PodcastNick's BiggerPockets ProfileGreat Family Adventure's InstagramCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-223Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

A rental property falling into foreclosure is a sad sign. “What happened to that landlord?” you might ask. Did a tenant do extensive damage, leaving them with a too burdensome repair bill? Did the landlord forget to pay their mortgage? What could have caused this? Well, if you’re like Ashley Kehr, someone else may have caused your home to (almost) slide into foreclosure, without you knowing.Welcome back to this week’s Rookie Reply. Wait, scratch that. This week’s Rookie Confession, featuring our own Ashley Kehr! Many listeners know Ashley as a fast-moving, quick-thinking, real-life monopoly player, but in this episode, she opens up about a mistake that almost lost her multiple properties. It was an easy real estate mistake to make, but even veterans in the game get caught now and again. Want to avoid what happened to Ashley? Tune into this episode!If you want Ashley and Tony to answer a real estate question, you can post in the Real Estate Rookie Facebook Group! Or, call us at the Rookie Request Line (1-888-5-ROOKIE). Links from the ShowReal Estate Rookie PodcastReal Estate Rookie Facebook GroupBiggerPocketsReal Estate Rookie Youtube ChannelAirbnbBiggerNews March: How a Surge of Foreclosures Will Impact the Housing Market w/Auction.com’s Daren BlomquistRookie Reply: How Do I Estimate Property Taxes?Connect with Ashley and Tony:Ashley's InstagramTony's InstagramCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-222Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

If you’re hesitant to start your real estate investing journey, ask yourself this—where would you be now if you started ten years ago, and where could you be in ten years if you started today? As today’s guest, Brandon Rush, said, “everything you enjoy today, is the result of something you did five to ten years ago.” Brandon currently has three multi-family homes with a total of ten units. Brandon started his investing journey when he couldn’t see the light at the end of the tunnel with his W-2. He couldn’t imagine himself working a nine-to-five until sixty-five, so he decided to take his future into his own hands and started house hacking. After two years of hard work and planning, he was able to quit his W-2 a month ago to be a full-time real estate agent.Brandon’s success is not without sacrifice. He moved out of his single-family home and moved an hour away from work for his first house hack. And, of course, after his first house hack, he moved to his second house hack! Moving required Brandon and his wife to get rid of most of their things and travel lightly. Although moving and getting rid of material things can be difficult, for Brandon, getting rid of clutter helped clear his mind and reinforced the idea that he was on the right path. Brandon is confident in his investing choices because he surrounds himself with like-minded people, has built an investor-friendly network, and knows that all his decisions now will benefit his future self.In This Episode We CoverHouse hacking 101—how to get started and why it’s a great way to start investingHow to build an investor-friendly network and the importance of surrounding yourself with like-minded peopleSelf-managing your tenants—how to set boundaries and expectations from the startCreating your lease agreement and how to properly screen tenantsWhy cash flow is the most overrated metric of success and how to accurately measure your property's performanceAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramMLSAirbnbBiggerPocketsFacebook MarketplaceRealtor.comBiggerPockets CalculatorTenantCloudReal Estate Rookie Facebook GroupConnect with Brandon:Brandon's FacebookBrandon's InstagramBrandon's BiggerPockets ProfileCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-221Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

This week’s question comes from Jerry through Ashley’s Instagram direct messages. Jerry is asking: I’ve finally made the plunge and bought three investment properties. After I rehab, rent, and refinance them, where can I get more money to invest? Is there a type of loan for investors or do I need to look into a hard money lender?Rental property loans are aplenty if you’ve found the right deal. Most veteran investors already know that once you have a good deal, it isn’t hard to find the money to fund it. But, before you build your rental property portfolio, you’ll need to know which options are out there. Don’t worry, you won’t need to spend months or years saving up for another large down payment. There are quicker ways to build a cash-flowing portfolio.Here are some suggestions: Go the commercial lending route and look into DSCR (debt service coverage ratio) loans Partner with another investor or a private money lender to finance your next down payment Cash-out refinance from your previous properties and recycle that money into your next deal Once you have some investing experience, reach out to hard money lenders and ask for their terms and rates And more in the episode… If you want Ashley and Tony to answer a real estate question, you can post in the Real Estate Rookie Facebook Group! Or, call us at the Rookie Request Line (1-888-5-ROOKIE). Links from the ShowReal Estate Rookie PodcastReal Estate Rookie Facebook GroupBiggerPocketsBiggerPockets Hard Money LendersConnect with Ashley and Tony:Ashley's InstagramTony's InstagramCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-220Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

A successful investor finds their “why” where other people find excuses. Real estate investing isn’t without its challenges, but as you overcome more challenges, you become a better investor. Today’s guest’s strong “why” led him to real estate, and it’s what pushes him to break through barriers, overcome obstacles, and build the life he’s dreamed of.Hunter Lewis’ "why" came two weeks before his senior year of college when he found out his girlfriend was pregnant. Knowing he was to become a father forced him to get serious about his future. He found a college mentor that was successful in the commercial real estate space and began working for his company. Hunter then saved up enough to buy his first property in July 2020. Since then, he’s closed on two other doors and is working on his fourth!Hunter became a first-time landlord with his second property, and while it was a challenge initially, he learned more about property management and how to compromise. Becoming a father at a young age also taught him how to take advantage of opportunities and reframe obstacles. As a real estate investor, he’s learned how to structure partnerships with family and the benefits of patience. Hunter is now working towards his five-year goal—$10,000 of passive income per month.In This Episode We CoverTaking advantage of opportunity and finding ways to advance your careerFinding your “why” and reframing your obstacles How to structure partnerships with family and significant othersBecoming a first-time landlord and how to self-manage your rentals The importance of understanding and watching the marketInvesting while working full-time and how to use your job to help you investAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramMLSAirbnbThe GaryVee PodcastRentRediMonday.comAsanaOn the Market PodcastThe Ultimate Property Management MasterclassConnect with Hunter:Hunter's InstagramHunter's Youtube ChannelHunter's EmailCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-219Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

Building a rental property portfolio isn’t complicated. You find deals, finance them, buy them, manage them, and repeat. What could be easier? For most real estate investors, it’s not the big steps that stop them from scaling. It’s the little ones. Finding deals means looking through the MLS, cold calling, driving for dollars, or door knocking almost daily. Financing means talking to mortgage brokers, local banks, or investment property lenders. These day-to-day tasks are what make or break your portfolio, so how do you get on top of them?Welcome back to this week’s Rookie Reply, where we’re joined by On The Market co-host, Henry Washington. In only a few short years, Henry has grown his portfolio to over seventy-five doors. With kids at home, a family to take care of, and businesses to manage, how did he scale so fast? He gives his secrets in this episode.And as a bonus for our BPCon2022 attendees, we have some tips for you on how to make the most out of the upcoming convention!If you want Ashley and Tony to answer a real estate question, you can post in the Real Estate Rookie Facebook Group! Or, call us at the Rookie Request Line (1-888-5-ROOKIE).Links from the ShowAshley's InstagramTony's InstagramBiggerPocketsBPCON2022Real Estate Rookie Facebook GroupThe Real Estate PodcastBiggerPockets ForumsBiggerPockets BootcampsOn The Market PodcastConnect with Henry:Henry's InstagramCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-218Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

Successful real estate investors don't find success alone. Real estate is a relationship business, so eventually, you need someone— an agent, contractor, cleaning lady, or handyman. At times, your success depends on these people, so you need to build a relationship with them. Once you cultivate a relationship, maintenance becomes the next step, but how do you do that? How do you find the balance between too friendly and impersonal? How do you turn a transactional relationship into a transformational one?Today’s guests, Evan and Katie Miller, have prioritized relationship building in their business and have seen tremendous success. The advantage of investing as a couple is they balance each other out. Evan enjoys numbers, while Katie enjoys working with people—creating the balance they need to be a well-oiled real estate machine. They have sixteen units amongst seven properties in Florida, Denver, and Nebraska. While growing their real estate business, they both work full-time jobs with a baby at home. Katie is the general manager at the BiggerPockets publishing division, which motivated her to invest because she sees the power of real estate every day. Since they still work full-time, they prioritize time management, relationship building, and organization. Evan and Katie hope to hit fifty properties in five years while keeping their full-time jobs.In This Episode We CoverInvesting with a spouse or a significant other and how to find balance and set boundariesAppraisal issues and finding creative solutions vs. knowing when it’s time to step awaySelf-management vs. property management and whether outsourcing is worth itVetting and finding the right property manager in a new marketHow to cultivate and maintain relationships both professionally and personallyOut-of-state investing, learning how to invest in new markets, and the criteria you should haveAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramBiggerPocketsBPCON2022BiggerPockets BookstoreReal Estate Rookie Facebook GroupThe Money PodcastThe Real Estate PodcastAirDNAThe Official BiggerPockets Facebook GroupMLSLoopNetBiggerPockets ForumsBiggerPockets Free MembershipReal Estate Rookie Youtube ChannelConnect with Evan and Katie:Evan's InstagramKatie's InstagramEvan's BiggerPockets ProfileKatie's BiggerPockets ProfileCheck the full show notes here: https://www.biggerpockets.com/blog/rookie-217Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices