Real Estate Rookie

Investing in rental properties can be challenging at first, which is why so many investors tend to take it slow. Tyler Madden had the luxury of NOT being able to do this, and it’s worked out well in his favor. Just over a year ago, we interviewed Tyler on episode fifty-five of the Real Estate Rookie Podcast. At the time, Tyler was an “accidental landlord”, but a lot has changed since then.Tyler found himself in the position to purchase seven units, a mere $1,000,000 or so in real estate, right as his wife was due to deliver their first-born child. While he didn’t necessarily want to handle a full rehab of so many units, he took a “why not?” approach and found a way to make both properties work. Through a lot of sweat equity, Tyler was able to rehab, rent, and refinance these units and come out with a crazy amount of monthly cash flow!If you want to expand your real estate portfolio as Tyler did, listen to this episode intently. Tyler dives deep into the numbers, work, and lessons he learned along the way as he turned seven underperforming rental units into a portfolio any investor would dream of!In This Episode We CoverRelying on data vs. emotions when buying your first rental propertyWhether or not now is the right time to buy real estate What’s impacting today’s housing market and using uncertainty to your advantageThe best investing moves to make if a recession (or crash) is on the horizonWhat rookies should look for in a real estate investing market Buying real estate with a long-term outlook (so you can handle the dips!)And So Much More!Links from the ShowAshley's InstagramTony's InstagramBiggerPocketsReal Estate Rookie Youtube ChannelReal Estate Rookie PodcastRookie Podcast 55: Combining House Hacking and Live in Flips with Tyler MaddenAirbnbAsanaMonday.comBiggerPockets BootcampZoomConnect with TylerTyler's InstagramTyler's WebsiteCheck out the full show notes here: https://biggerpockets.com/blog/rookie-173 Learn more about your ad choices. Visit megaphone.fm/adchoices

Today’s episode is all about understanding yourself. Nick Baumgart, an Enneagram expert, explains how to use the information from the Enneagram in your everyday life. The Enneagram test is used as a way to understand your emotional habits. Unlike other popular personality tests, the Enneagram focuses less on what you do and more on who you are.The test breaks down your motivations into three parts: fear, body, and mind. When you truly understand what motivates you, you're able to see why you act the way you do and can start taking steps to fix any destructive behaviors. This knowledge also goes a long way when interacting with other people. This test is ideal for teams because instead of putting yourself in their shoes and still looking at problems from your perspective you can “understand them in their shoes." Nick talks about how powerful of a tool this test is and how it could have changed his life if he had found it earlier, so do yourself a favor and let this test change your life today!Links from the ShowAshley's InstagramTony's InstagramTyler Madden's BiggerPockets ProfileThe Myers Briggs CompanyThe Narrative EnneagramTony Robbins' Profile DISC Assessment Check the full show notes here: https://www.biggerpockets.com/blog/rookie-172 Learn more about your ad choices. Visit megaphone.fm/adchoices

The 2022 housing market is off to a wild start. We’ve seen home inventory at decade lows, interest rates have finally started to rise, and more homebuyers are looking at fewer houses. As a real estate investor, it can be tough to navigate a market like this, especially when you’ve never bought a rental property before. What you need is data behind the decision making, and today, we’ve got just that!Joining us today is Dave Meyer (@thedatadeli), VP of Data and Analytics at BiggerPockets, and host of the brand new podcast, On The Market. Dave has spent the last decade analyzing real estate data so he and the BiggerPockets community as a whole can invest smarter. Today, Dave dives deep into the most pressing matters of the real estate market, ranging from topics like interest rates, to housing crash indicators, determining the best rental market, and more.If you want to hear a high-level update on everything happening within the world of real estate investing, plus some predictions for this year’s housing market, stick around! Dave will give you all the analytics-based insight you need!In This Episode We CoverRelying on data vs. emotions when buying your first rental propertyWhether or not now is the right time to buy real estate What’s impacting today’s housing market and using uncertainty to your advantageThe best investing moves to make if a recession (or crash) is on the horizonWhat rookies should look for in a real estate investing market Buying real estate with a long-term outlook (so you can handle the dips!)And So Much More!Links from the ShowAshley's InstagramTony's InstagramScott Trench's BiggerPockets Profile Josh Dorkin's BiggerPockets ProfileJames Dainard's BiggerPockets ProfileBrandon Turner's BiggerPockets ProfileHenry Washington's BiggerPockets ProfileKathy Fettke's BiggerPockets ProfileDavid Greene's BiggerPockets ProfileJamil Damji's LinkedIn ProfileDaryl's instagramReal Estate Rookie Facebook GroupBiggerPocketsBiggerPockets ForumsReal Estate Rookie Youtube ChannelThe Rookie InvestorReal Estate Rookie PodcastBiggerPockets BlogAJ Osborne PodcastRedfinFREDBiggerPockets Rent EstimatorFundRiseStop Waiting for a Housing Crash (Do This Instead)Connect with DaveOn The MarketDave's InstagramCheck out the full show notes here: https://biggerpockets.com/blog/rookie-171 Learn more about your ad choices. Visit megaphone.fm/adchoices

This week’s question comes from Channa through Ashley’s Instagram direct messages. Channa is asking: I have three rental properties and am looking to refinance them all. Should I do an adjustable-rate portfolio loan on all three or do separate fixed-rate loans on each property? As real estate investors, we tend to have many different options when financing rental properties. Some, like adjustable-rate mortgages (ARMs), may come with lower closing costs and slightly lower interest rates, while fixed-rate mortgages have slightly higher interest rates but boast the added security of long-term financing for a property or properties. While both have definitive pros and cons, the implications of both types of loans must be understood before you reach the closing table.Here are some suggestions when making the choice:Understand your long-term strategy for the property and which loan works for which exit strategyRun an amortization schedule on both loans to see the difference in your monthly paymentIf you decide to go with an ARM, make sure you know what you’ll do once your low-interest rate endsCalculate total closing costs to see if you have the reserves ready to go through with each loanAnd 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 PodcastThe BiggerPockets Money Podcast Check the full show notes here: https://www.biggerpockets.com/blog/rookie-170 Learn more about your ad choices. Visit megaphone.fm/adchoices

Stacey Stegenga wasn’t always a landlord, she was a nurse. But not just any nurse, Stacey was a flight nurse, helping transport military patients across the US. When she stepped away from flight-nursing, she picked up travel nursing, moving around the US for months at a time to provide medical care wherever needed. She finally ended up in Denver, where her pay was cut in half and her expenses saw a drastic boost.This was a massive change for Stacey. She wasn’t the best at budgeting and knew she needed more income. After stumbling upon the book Set for Life, by our own Scott Trench, she knew that the most logical conclusion to fix her financial troubles was saving, house hacking, and real estate investing. But at the age of thirty-three, Stacey questioned whether or not she was too late to get in on the cash-flowing action.After educating herself intensely, she took the risk and jumped into real estate. Stacey was able to build a seven-unit portfolio in just two years! She’s tried her hand at out-of-state investing, raising private capital, partnering on deals, and mid-term rentals, all of which have worked out generously in her favor. She shares the exact steps she took to build her portfolio as fast as she did, so you can do the same! In This Episode We CoverFixing your personal finances before trying to invest in real estate Building a “financial runway” that allows you to buy properties, stress-free In-state investing vs. out-of-state investing and the best choice for those in pricey marketsScaling your real estate portfolio using cash offers (even if you don’t have the money)Using mid-term rentals as a way to keep rent stability while boosting your profit The risk vs. reward of buying properties sight unseen when investing out of stateAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramScott Trench's BiggerPockets Profile Tyler Madden's BiggerPockets ProfileReal Estate Rookie Facebook GroupBiggerPocketsBiggerPockets ForumsBiggerPockets BootcampReal Estate Rookie Youtube ChannelMLSThe War RoomPropStreamDirectSkipBatchLeadsAppfolioConnect with StaceyStacey's InstagramCheck out the full show notes here: https://biggerpockets.com/blog/rookie-169 Learn more about your ad choices. Visit megaphone.fm/adchoices

How much cash flow do you need to quit your day job and go full-time into real estate investing? You may have a big number in your head when we ask that. Maybe you’re thinking of replacing a six-figure salary with six-figure cash flow, but that's probably far from what you truly need to quit. In fact, you can quit with a lot less cash flow than what you’re being paid today!Joining us again is Daryl Clinch, who recently went full-time into real estate investing with his mentor and partner, Ashley Kehr. Daryl transitioned from seasonal employment to full-time investor after working at his job for sixteen years and deciding he needed a change. In today’s show, Daryl breaks down exactly how he prepared to quit, the cash savings he had, and the surprising amount of cash flow that allowed him to achieve occupation-independence!Looking to do the same as Daryl? Here are some suggestions:Find a mentor who can fast-track your knowledge and learn from themPartner up on deals with other investors and provide value whenever possibleCalculate your true cost of living to find your minimum cash flow to quit Keep a strong safety reserve so you can focus on getting deals (not paying bills!)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 ShowRookie Podcast 164: Rookie Reply: How Do I Escape My 9-5 with Real Estate Investing?Real Estate Rookie Facebook GrouRookie Podcast 147: 13 Flips as a Full-Time Flight Mechanic and Part-Time Lender w/ Anthony MichaelReal Estate Rookie PodcastDaryl's Instagram Check the full show notes here: https://www.biggerpockets.com/blog/rookie-168 Learn more about your ad choices. Visit megaphone.fm/adchoices

As a dreamer and life-long learner, Hashim Ismail makes it a goal to push himself. Hashim officially started his real estate investing journey eleven months ago but began learning about real estate just two years ago. He dealt with analysis paralysis, but after making a goal to start in 2021, he decided to jump in with both feet. Through hard work, dedication, and optimism, Hashim has closed on seven properties in eleven months.Since Hashim invests out-of-state he dealt with a whole new set of obstacles apart from the usual challenges new investors face. He combatted this by using the BiggerPockets forums to learn and network as much as possible. Hashim used keyword research on the site to find and connect with key players in the Memphis market. Through the new connections he made, Hashim educated himself on the area, without having to physically visit! Investing out-of-state can be risky within itself, so Hashim has created a series of processes to mitigate risk as much as possible. While redundancy is a large part of his process to reduce and catch errors, Hashim has found immense success simply by stepping out of his comfort zone.In This Episode We CoverAnalysis paralysis and how to use goal-setting to overcome itHow to use the BiggerPockets Forums to build your investor networkOut-of-state investing and how to penetrate a market you know nothing aboutUsing processes to mitigate risk and how to make a repeatable investing systemDesk appraisals and why they’re worth every pennyHow to approach networking and get the most out of every interactionAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramTyler Madden BiggerPockets ProfileReal Estate Rookie Facebook GroupBiggerPocketsBiggerPockets ConferenceBiggerPockets ForumsFacebook Business AdsReal Estate Rookie PodcastBiggerPockets Investment Calculators BiggerPockets BootcampFixated On Real EstateCardone CapitalGrant CardoneGoogle MapsZillow RedfinStarbucksWalmartJames' InstagramJames' Youtube ChannelRookie Podcast 165: A Step-by-Step Guide to Estimating Rehab Costs w/ Master Flipper & Investor James Dainard (Part 1)Rookie Podcast 166: Finding Contractors, Renovation Red Flags, and Estimating Rehab Costs (Part 2) w/ James DainardStessaInstagramRentometerConnect with HashimHashim's Linkedin ProfileCheck out the full show notes here: https://biggerpockets.com/blog/rookie-167 Learn more about your ad choices. Visit megaphone.fm/adchoices

Welcome to part two of a rehab estimation masterclass with real estate mogul James Dainard! As mentioned in part one, James has created a multi-level brokerage where he has been involved in 3,000 transactions. His excess experience has allowed him to create an almost scientific process for his flips. In today’s podcast, James builds off part one and gives you a step-by-step guide on how to emulate the process that has given him his success.James goes over what and who to bring when visiting a property, closing on a property, writing a contractor contract, and finalizing a project to perfection. Each process includes tedious details that may seem daunting at first, but as the saying goes, the devil is in the details. While the initial steps may seem meticulous, once you begin making the process repeatable and do it continuously, it's second nature. James perfected his flipping and renovation processes through trial and error, and if you listen closely you can avoid commonly made mistakes and have an advantage over most new investors. To be the best you have to learn from the best—so listen closely!Links from the ShowAshley's InstagramTony's InstagramBiggerPocketsReal Estate Rookie PodcastRookie Podcast 165: A Step-by-Step Guide to Estimating Rehab Costs w/ Master Flipper & Investor James Dainard (Part 1)Biggest Red Flags When Buying a House (Flips and Rentals)AppleBiggerPockets Youtube ChannelBiggerPocketsLuxury Farmhouse Flip | Breakdown Walkthrough - w/ Ashley Kehr Check out the full show notes here: https://biggerpockets.com/blog/rookie-166 Learn more about your ad choices. Visit megaphone.fm/adchoices

Welcome to part one of a rehab-estimation masterclass with real estate mogul James Dainard! James has earned his title by being involved in 3,000 transactions over the past fifteen years and creating a multi-level real estate brokerage. He has mastered the art of estimating rehab costs which has allowed him to invest on a seriously large scale. Currently, he is working on thirty flips and has 400 apartment doors under construction, so not only has he had past successes, but he is consistently learning and adjusting to the rapid changes of the market. James is an investor to not only learn from but to emulate, and today he gives a step-by-step guide to do just that. James breaks down renovation steps like building a team, getting a budget sheet together, and vetting workers, contractors, and properties in vast detail. The underlying theme behind each of his steps is meticulous preparation. As an investor, one of the best things you can do for yourself is to prepare and get rid of any variation in your processes. By perfecting his preparation processes, James has been able to minimize variation and save himself in the long run. Do yourself a favor and listen to these next couple of podcasts intently— it could save you serious time, headache, and money in the future!In This Episode We CoverHow to find a contractor that aligns with your project’s budget and goalsHow to vet contractors so your time (and theirs) is respected on a jobThe “plug and play” method and how to break down your scope of work How to organize your budget sheet and estimate rehab costs efficientlyWhat it takes to master flipping, BRRRRing, or any home renovationAnd So Much More!Links from the ShowAshley's InstagramTony's InstagramBiggerPockets Podcast 338: From Red Robin Waiter to 250 Units (Using the MLS) with James DainardBiggerPocketsReal Estate Rookie PodcastConnect with JamesJames's InstagramJames's Youtube Channel Check out the full show notes here: https://biggerpockets.com/blog/rookie-165 Learn more about your ad choices. Visit megaphone.fm/adchoices

This week’s question comes from Nash through Ashley’s Instagram direct messages. Nash is asking: How do I quit my job and become a full-time real estate investor?Nash isn’t alone in asking this question. Almost every Real Estate Rookie Podcast listener has pondered this as well. Even our hosts, Ashley and Tony, asked themselves this before leaving their jobs to pursue real estate investing full-time. What makes today's episode even more special is that Ashley’s partner, Daryl Clinch, just left his nine-to-five as well! Daryl is here to help answer Nash’s question on exactly what it took to leave his back-breaking work and pursue financial independence.Here are some suggestions: Live below your means—it’s much easier to replace your income when your expenses are low If you have no investing experience, find an investor that could benefit from your knowledge Calculate your “worst-case scenario” (it’s probably not as scary as you think) Quit professionally so you can return to work (if needed) Stay educated by listening to the Real Estate Rookie Podcast! 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 Show Real Estate Rookie Facebook Group Real Estate Rookie Youtube Videos Daryl's Instagram Check the full show notes here: https://www.biggerpockets.com/blog/rookie-164 Learn more about your ad choices. Visit megaphone.fm/adchoices