Nerds Guide to FI

If you are in need of some REAL real estate wisdom, the best stories, and a fantastic southern accent, this episode if for you.  Learn what generation is REALLY responsible for putting carpet over those beautiful hardwood floors.  I love to hear Rick tell it like it is.  He shares so many practical tips like how to see if there is hardwood under the carpet.  He talks through all the benefits of section 8, how he loves late fees but always focuses on helping people get back on track, while still maintaining a successful business.  He stresses the importance of keeping turnovers to a minimum, and has only evicted 2 (now 3) people in all of his years as a landlord.  Rick has been doing the BRRRR method since before it was cool, and he has some great suggestions on how he maximizes the amount of money he keeps after the refinance portion of the process.  I think you will love his unique advice on how to start as a newbie, as it was quite different from the "househack" advice that is prevalent everywhere today.  I love his stance on cars and avoiding personal debt.  I also learned that Rick has some hidden musical talents, which even snagged him his wife of 47 years.  She must have been a keeper too, as they have moved 31 times all while raising their son and daughter.  I could have talked to Rick all day (but instead we chatted for an hour and 40 minutes before edits), and you all MUST let me know which of his great stories are your favorite.  Oh AND you should follow him on YouTube, Instagram, his PODCAST AND TicTok.  (I am pretty sure he is a better millennial than I am...) 

Learn more:  

The podcast that first led me to find Rick: House hacking success podcast, SURVIVING THE 2008 RECESSION AND GROWING TO OVER 100 PROPERTIES WITH RICK JARMAN | PODCAST 34

Section 8

Owner financing 

Live in flip

True costs of tenant turnover

Multifamily vs. Single-family homes (and why we BOTH love single-family homes!)

I am so excited to bring you this interview with Coach Chad Carson.  I LOVE the stories Chad shares in the episode.  He talks about creative financing, seller financing, and how he even bartered his motorcycle to serve as a downpayment on a home.  We cover a TON of information, from the ideal loan term, to how to learn your neighborhood grades to aid in your investing strategy, to the types of investments Chad has beyond real estate. My favorite parts are learning about how we creates his selling financing deals, and generates leads with letter campaigns.  We take a deep dive into debt, risk, and how the Dave Ramsey debt snowball can be applied to the world of real estate as well.  Hear how Chad preps to ride out the impact of Corona Virus by being proactive with tenants.  We share a love of diversification, and how single-family homes can provide this.  We dive into what is “enough” when it comes to your portfolio, non-traditional house hacks, and the importance of savings rate.

More Learning: 

Chad’s guide to seller financing 

Chad’s house hacking guide.

Books to read: Your money or your life.

I could listen to Jay's amazing perspective on life, and his nuggets of wisdom for DAYS.  I love how he shares his journey from being young and knowing it all, to experiencing BIG losses on a property, to learning to love the journey (and all those tax advantages!).  Getting your ego in check, and instead focusing on the kind of lifestyle you want to build most.  He shares his thought process behind how much debt to keep, how much cash reserves to keep on hand, and the best time a person should buy investments,  or even a primary residence.   We talk both real estate and equities/stocks (hint: he also is a big index fund fan).  I love Jay's thought process behind why he does not have any bonds in his current portfolio.  He shares about the first property he ever bought, and how he thinks House Hacking is the way to go for newbies (but perhaps not for the nearly married).  I think you will love the wisdom, AND the cute story on how he first met his wife!

Learn more:

Coach Carson and seller financing 

Rules that Warren Buffet lives by

Rules on how long to live in your home before selling for a profit, so you can keep the money tax free (it is 2 years!)

Rich Dad Poor Dad: a MUST read

Grab your pen and paper, because I talk for over an hour to Chris, one of the two awesome guys behind The Stealthy Rich.  They have changed how I run my numbers (price to rent ratio as my 1% rule number) and the type of loans we use, which enabled us to buy house #4 (portfolio loans!).  They both have full-time jobs with a heard of kids ( 7 combined).  Besides keeping no personal debt, we all agree that the second most important ingredient to our success "secret sauce" is a work from home job.  These two have been making working from home, no-contact showings, and mailing handwritten letters like your grandma cool since before COVID.

My FAV highlights: 

LEARN MORE: 

But Dave Ramsey says debt is dumb even in real estate

BURRR method

Cash on Cash Returns

Portfolio Loans

Jerry Puckett & their exact yellow letters

The Mad Fientist & the 4% rule

MMM on emergency funds here & here (and why I hate it here)

My take on mortgage forbearance programs 

Property managers 

1% rule & why it matters

Rent to Price Ratio with The Stealth Rich

Rent analysis with Rentometer

YAS.  The first real episode. I was beyond excited to bring you guys some expert knowledge from the power couple behind @mindfulmoneycoaches, Dan & Liz!  I had to have these two amazing individuals on, as they were the best mentors I could have asked for as we walked through our first few deals.  We talk about risk, the first steps they took when Corona Virus hit, how to protect yourself in a downturn, and how their relationship with debt has evolved over their investing career.  They have been through 5 market downturns, and their use of debt evolved through this time (all while having 3 babies!).  They currently own 17 SFHs, and have reached FI.  

MY FAVORITE part of this whole interview is the part where Dan & Liz dish about a big secret they are glad they did not have to share with Dave Ramsey.  These two are so real, and I love it. 

Okay, I have two favorite parts.  They also take us on a deep dive into seller financing.  And somehow make it all seem so less complicated.  They talk through their first two seller financing deals, and the specific types of sellers you want to find, who may WANT seller financing.  Hint: They may be at your local bingo halls.

We talk about how to treat your tenants right, and how proactive landlording approaches can really pay off down the road.  You will hear them talk about the impact of Corona Virus today, which is the topic at the forefront of most people's minds in 2020.  If you want to learn ever more about Dan & Liz, check them out on Instagram or their website.  Enjoy!

LEARN MORE:

Life Coach School Podcast (Liz is a trained life coach!) 

House Hacking

Airbnb Arbitrage 

Seller Financing 

I’m Sarah and welcome to the Nerds Guide to Financial Independence Podcast! I’m here to show you that financial independence can be for anyone who wants it badly enough and that investing in real estate doesn’t have to be scary, take vast DIY knowledge, or involve heaps of debt. When I am not sharing my own progress to FI, I’ll be picking the brains of like-minded debt contentious investors. I am so glad you are here, my fellow aspiring retirees.