Real Estate Rookie

Real estate requires a lot of self-motivation and discipline to succeed. Successful investors know that nothing happens overnight and nothing comes to you easily. Today’s guest, Terry Harris, had the perfect amount of drive and persistence when he began his real estate journey. He now owns five properties and has closed twenty wholesale deals.  Terry started getting into real estate when he came to terms with his G League contract only lasting about six months. He wasn’t sure what to do with his free time until he picked up The Book on Rental Property Investing and started listening to BiggerPockets. He started bringing books with him on the road and while his teammates teased him for always having his nose in a book, it was during those rides that he decided he was going to buy a house. He bought his first house and while it didn’t go as planned at all, the house appraised for double the price and he was beyond proud of himself for seeing it through. One of the hardest things for him during his first deal was the lack of community he felt, but he filled that gap by relying on the BiggerPockets community.Unfortunately, COVID quickly put a pause on him investing in any other properties, but Terry didn’t let that stop him. He moved to LA for basketball and began looking into another aspect of investing—wholesaling. After practice, he began dedicating an hour to driving around looking for vacant properties and listening to podcasts. He started cold calling and while he missed out on a big potential first deal, he did twenty successful deals after that. While he has found success in wholesaling and enjoyed it, he wants to now transition into investing in more properties himself and gain a more passive income. In This Episode We CoverHow to use FHA loans and seller credits to help you purchase propertiesSucceeding in real estate without a strong support system and building your investor communityThe importance of cold calling and how to add it into your busy scheduleSaving vs splurging and how to encourage yourself to funnel more money into investmentsWholesaling land and the three indicators of a successful land dealAnd So Much More!Links from the ShowReal Estate Rookie Youtube ChannelAshley's InstagramTony's InstagramReal Estate Rookie Facebook GroupRookie Podcast 91: 8 Units, 10 Wholesale Deals, and $0 Spent on Marketing w/ @LiliinvestsBiggerPockets PodcastBiggerPockets ForumsBiggerPockets Facebook GroupThach Nguyen's InstagramBrent Daniels's InstagramAirbnbRyan Dossey's InstagramPropstreamGoogle MapsLandGlide AppOnXHunt AppMojoDialerRoor AppCheck the full show notes here: https://www.biggerpockets.com/rookie153 Learn more about your ad choices. Visit megaphone.fm/adchoices

Ashley and Tony’s DMs are open for real estate Q&A business! Just like last week, this week’s question comes from Tony’s Instagram DMs. The question? How are you scaling your real estate portfolio so quickly? How do you finance your deals?For most rookie investors, real estate financing seems like a big hurdle to get over. With deals flying off the MLS so quickly nowadays, having your funding locked and loaded is as important as ever. Thankfully, even if you don’t qualify for bank financing (or you’ve maxed out your personal loan limit), you can still find some phenomenal financing options.Here are some suggestions:You don’t need the money, use a partner as a source of fundingUsing a cash-out refinance or HELOC from a current property to fund your dealsWalk into your bank and ask what they can do for you (you may be surprised by your options)Ask the seller about owner financing to close on deals without the hassle of a bankAnd 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 Rookie Facebook GroupReal Estate Rookie Youtube ChannelReal Estate Robinsons Youtube ChannelA General Contractor (Almost) Ruined Our RehabYelpJames Dainard's InstagramSara's InstagramSwaterzzz's InstagramRookie Podcast 102: $10M Profit On Her First Deal?! It’s Possible with Campground InvestingBiggerPockets PodcastRyan Pineda's InstagramCheck the full show notes here: https://www.biggerpockets.com/rookie152 Learn more about your ad choices. Visit megaphone.fm/adchoices

Most people assume they’ll achieve financial freedom after they make their dream salary, but what they don’t realize is you can’t out-earn your toxic money habits. Today’s guest, Daniel Shin, learned this quickly when he started making his full-time surgeon salary.As a child, Daniel was fortunate enough to live the ideal suburban lifestyle, but when his dad got laid off during a recession, things quickly changed for the worse. After seeing his parents struggle to put food on the table, young Daniel decided he would do everything he could to prevent himself from being in a similar situation financially. Once Daniel started making his surgeon salary he assumed he’d be financially stable, but he began to expand his lifestyle to his salary and started drowning financially. It was at this point he decided to turn to real estate investing.He started by listening to BiggerPockets and decided investing was for him once he realized he could reach financial freedom faster through real estate. The first couple properties he invested in were turnkey properties. With less risk, Daniel felt it was a comfortable start to his investing journey, but after a while he wanted more of the action. Over the last three years, he has acquired about twenty-eight units including four duplexes and two small apartment buildings. Daniel is now focused on building his “real estate empire” while becoming financially free.In This Episode We CoverHow to balance your salary and spending habits (and live below your means)The benefits of investing in turnkey properties and how to find a turnkey operator How to deal with a “bad” property and how to prevent investing in any more future headache rentalsHow to show possible investors, mentors, or partners that you’re committedThe importance of getting thorough inspections and the consequences of skipping themAnd So Much More!Links from the ShowReal Estate Rookie Youtube ChannelAshley's InstagramTony's InstagramReal Estate Rookie Facebook GroupRookie Podcast 55: Combining House Hacking and Live in Flips with Tyler MaddenTyler Madden's InstagramSara's InstagramBrandon Turner's BiggerPockets AccountBiggerPockets PodcastDave Ramsey's PodcastGrant Cardone's PodcastBiggerPockets Money PodcastScott Trench's BiggerPockets AccountMindy Jensen's BiggerPockets AccountBiggerPocketsBiggerPockets ForumsRookie Podcast 29: Growing Your Portfolio with Turnkey Investing with Whitney Hutten and Lance RobinsonTiktokThe Real Estate Robinson's Tiktok AccountCheck the full show notes here: https://www.biggerpockets.com/rookie151 Learn more about your ad choices. Visit megaphone.fm/adchoices

Ashley and Tony’s Instagram DMs have been blowing up! This week’s question comes from Collette through Tony’s Instagram direct messages. Collette is asking: Do you make offers based on pro forma or actual rent numbers?If you’re a real estate rookie or a residential-only investor, this may be the first time you’ve heard the term “pro forma” before. A real estate pro forma is simply a spreadsheet or document that projects the estimated financials on a property once capital expenditures, rent increases, or other improvements have been put in. So, should you trust those numbers?Here are some suggestions:Remember to “trust, but verify” and always run your own numbers on projected incomeUse multiple different investor scenarios: pro forma, current numbers, worst case, etc.Take into account the holding cost of performing a large rehab on a commercial propertyCalculate your working capital and CapEx budget needed to acquire the property successfullyAnd 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 Rookie Facebook GroupReal Estate Rookie Youtube ChannelRookie Podcast 103: From Restaurant Waiter to 100+ Deals in Only 4 Years w/ Derrick AcuffInstagramBiggerPocketsBiggerPockets Rent EstimatorBiggerPockets Pro MembershipZillowCraigslistFacebook MarketplaceBiggerPockets Calculator Reports Check the full show notes here: https://www.biggerpockets.com/rookie150 Learn more about your ad choices. Visit megaphone.fm/adchoices

While leaving your W-2 to pursue real estate can be intimidating at first, it’s important to realize the skills you learned at your W-2 don’t all go to waste. Most of what you learned is transferable when it comes to the wonderful world of real estate investing. Instead of looking at your W-2 as a means to an end, think of it as an experience-based asset. This is exactly what today’s guest, Emily Fackler, did.As a former salesperson, Emily was no stranger to the word “no”. In fact, she had heard it so many times she has created a thorough follow-up system to combat it. This follow-up system led her to her first flip, purchasing a home that multiple people told her “was already sold”. Her first flip took her 17 months and while she did two other flips besides that, she soon realized flipping wasn’t for her. This took her to her next real estate venture: mobile home investing. Emily partnered with her best friend and bought a 39 lot mobile home park for a mere $139,000. Compared to flipping homes, Emily loves it! Investing in mobile homes makes more sense for her financially and allows her to have a sense of relationship with all her tenants. She has been able to hire a property manager to handle all the logistics and hopes to bring more homes into the park. After finding her niche with mobile homes, Emily is ready to hit the ground running and eventually be known as the “Mobile Home Park Queen”. In This Episode We CoverThe importance of follow up and how much of a difference it can make in your businessHow to finance your flips, rental properties, and mobile home parksStructuring family partnerships and the benefits of working with those you trustHow to pitch investors on a potential deal so they feel confident in your valueThe “stair-stepping method” and how to increase rent in a gradual, less intrusive wayAnd So Much More!Links from the ShowReal Estate Rookie Youtube ChannelAshley's InstagramTony's InstagramReal Estate Rookie Facebook GroupBiggerPockets PodcastEd Mylett's WebsiteThe MFCEO Project PodcastBiggerPockets ConferenceBiggerPocketsClayton HomesOpen Door CapitalInstagramFacebookRookie Podcast 91: 8 Units, 10 Wholesale Deals, and $0 Spent on Marketing w/ @LiliinvestsPropstreamTony Robinson’s PodcastNetflixHuluRealtorZillowBiggerPockets ForumsBiggerPockets BootcampThe 7 Income Streams of MillionairesCheck the full show notes here: https://www.biggerpockets.com/rookie149 Learn more about your ad choices. Visit megaphone.fm/adchoices

This week’s question comes from Brandon through Ashley’s Instagram direct messages (follow her @wealthfromrentals). Brandon is asking: I live in a great neighborhood where my rent is less than a potential mortgage. I’m looking to invest in a different town experiencing great growth, but I would live there myself. Is it a bad idea to purchase a rental property before purchasing my primary residence? Both Ashley and Tony had to ask themselves this same question as they started their real estate investing careers. While they took different approaches, in the end, they both agree that this decision is far more subjective than many people think, and it will entirely depend on your family plans, cash flow, and net worth calculations.Here are some suggestions:Ask “will this home purchase contribute faster to my cash flow or net worth goals?”Decide on the importance of having a “home base” in your nameUnderstand how your financing options may change after buying the propertyCalculate how long it will take you to invest/buy your primary after your purchaseMake the decision through a five-year lensAnd 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 Rookie Facebook GroupReal Estate Rookie Youtube ChannelCheck the full show notes here: https://www.biggerpockets.com/rookie148 Learn more about your ad choices. Visit megaphone.fm/adchoices

To be a successful entrepreneur and investor, you need to learn how to turn a no into a yes. Today’s guest, Anthony Michael, has earned his title as a successful entrepreneur from doing just that. Through determination, calculated risk, and finding ways to create value, Anthony has done thirteen flips while also becoming a trusted lender.  Anthony’s real estate investing journey started when he realized he needed to gain control of his money. After his first flip, a live in flip on the house he and his wife had just bought, he knew flipping was something he could do for profit. From there he found his first partner, one of his co-workers, and began to flip even more houses. The second partner he found rejected him at first, even though his online profile (with no profile picture) was pretty much anonymous. Despite this, Anthony was drawn to this mystery partner and his alleged “400 flips” so he flew out to meet this so-called legend and was pleasantly surprised when he was exactly who he said he was.Anthony could have stopped there but he decided to tap into a new source of income; lending. It started with him asking his neighbor what he did for a living and now he’s the top-rated lender on BiggerPockets. The ability to create value and persist has allowed Anthony to become not only a great real estate investor but an amazing entrepreneur. In This Episode We CoverVA loans and why they’re powerful home buying toolsHow to navigate partnerships and find the right partnership structure for both partiesPromissory notes and the importance of having legitimate legal documents in placeHow to establish a strong partnership foundation in the beginningHow to bounce back from losing money and prevent it from happening againHard money loans and why you shouldn’t automatically write them offAnd So Much More!Links from the ShowReal Estate Rookie Youtube ChannelAshley's InstagramTony's InstagramReal Estate Rookie Facebook GroupBiggerPockets PodcastAshley Wilson's InstagramBiggerPockets Radio Podcast 001: Building a Successful House Flipping Business and Losing Millions with Marty BoardmanDavid Greene's InstagramLowesThe Home DepotGrant Cardone's WebsiteBiggerPocketsCheck the full show notes here: https://www.biggerpockets.com/rookie147 Learn more about your ad choices. Visit megaphone.fm/adchoices

Getting fired usually isn’t a good thing. But in retrospect, it was arguably one of the best things to ever happen to Tony Robinson. Before being the internet’s poster boy for short-term rental investing, Tony Robinson spent his days working for someone else while climbing up the corporate ladder. When he unexpectedly got fired (2 days before Christmas), he had to reimagine what his life would and could look like.Tony took a chance on himself and his real estate business, a chance that has paid off massive dividends to this day. He now lives life on the schedule he wants, spending time with his wife and son, without having to worry about a boss one day letting him go.Maybe getting fired (while owning real estate) isn’t such a bad thing!Thinking of leaving your job? If so, prepare like Tony did:Have a healthy safety reserve before you decide to leaveUnderstand the job market for your specific position and whether or not you could be rehiredUse your W2 income to invest in cash-flowing assets like real estateUnderstand the difference between “job security” and “wealth building security”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 Rookie Facebook GroupReal Estate Rookie Youtube ChannelBiggerPockets Real Estate Investing BootcampBiggerPockets PodcastCheck the full show notes here: https://www.biggerpockets.com/rookie146 Learn more about your ad choices. Visit megaphone.fm/adchoices

Most people describe their start in real estate investing as a thought-through process. It usually includes a tedious plan with an incredible amount of time spent gaining background knowledge—but that’s not always the case. Today’s guest, Jan Trisler, stumbled into real estate investing by accident but hasn’t been able to look back after having four successful flips, while currently working on her fifth. Now, she has hopes of getting into rental properties in the upcoming year.Jan was already in a transition period in her life as she was moving from Nebraska to Arizona as a divorcee but she decided to take it one step further and trade her 9-5 for real estate. It started with purchasing her primary residence from an auction, then later rehabbing it to realize she could do this for a profit. From there, she made the transition from rehabbing to flipping and bought two more properties from an auction.Once Jan realized that flipping was not only a sustainable source of income but something she genuinely enjoyed, she formed an LLC with her daughter and made things official. While some are hesitant to work with family, Jan and her daughter have created a great system where work is allocated fairly, their wages are paid hourly and the financial investment works perfectly for them. By taking the investing “plunge”, Jan has been able to live and finance her ideal life while doing it with the people she cares about most.In This Episode We CoverHouse hacking and how to get your start in real estate investingWholesaling and whole-tailing and what that meansHow to make sure the job you work at matches your ideal lifeHow to set long-term and short-term goals and how to approach themBuilding processes and incorporating systems that help your business prosperOutsourcing and how to train employees (even if you’ve never been a boss)And So Much More!Links from the ShowReal Estate Rookie Youtube ChannelAshley's InstagramTony's InstagramReal Estate Rookie Facebook GroupAuction.comMLSHours Tracker AppTime Clock AppQuickbooksQuickbooks Time TrackingRookie Podcast 109: From Sleeping in His Car to Multi-Unit Landlord & The “Nomad” StrategySara's InstagramZillowRealtorCheck the full show notes here: https://www.biggerpockets.com/rookie145 Learn more about your ad choices. Visit megaphone.fm/adchoices

From time to time, Ashley and Tony both have questions they need answering. And thankfully, they both host a show with a real estate investor in complementary niches. This week, Ashley is prepping to scale her short-term rental empire, so she wants to know from Tony what his six top tips for vacation rentals would be.Although Tony has only been hosting for a few years now, he has a sizable portfolio that was built fast and efficiently. He’s able to charge top dollar on his vacation rentals due to his management, rehabs, and pricing strategies. If you want to max out your vacation rental income, Tony is the guy to listen to!Here are some suggestions for Ashley:Utilize comparable data to match region-standard checkout policies, nightly pricing, and minimum stays on bookingsFind the niche that you can fill and will allow your rental to stand outDo whatever you can to ensure the guest leaves a positive review on your propertyCommunicate with guests in a systematized, timely mannerAnd 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 Rookie Facebook GroupReal Estate Rookie Youtube ChannelBiggerPockets Real Estate Investing BootcampAirbnbVrboRobuilt Youtube ChannelHospitableiGMSYourPorterCheck the full show notes here: https://www.biggerpockets.com/rookie144 Learn more about your ad choices. Visit megaphone.fm/adchoices