Real Estate 101

1. Income building
2. Capital appreciation
3. Wealth preservation
4. Wealth transfer

Personal Financial Statement Sample

I interview one of my best friends in the world I met through real estate investing.

Rachel quit her job when she was 23 and became a full-time investor before she ever had any properties. That's what I call Burn the ships!

Listen to find out why it was such a good plan.

"My worst case scenario is everyone else's everyday scenario"

Joel FI180.com

1. Determine your monthly marketing budget
2. Choose a marketing method - Your budget will help determine what marketing method you can afford

• Networking
• Driving For Dollars
• Door Knocking
• Work with Wholesalers
• Making Cold Calls

• "Hi My name is [Name], I saw your ad. Is your property still available?" If yes continue
• "Okay great your property is still available. Did I catch you at a bad time?" If no continue
• "Good Deal, I saw the pics online or I'm familiar with that area. It's a fantastic neighborhood. I'm so curious .. why are you selling such a nice house anyway?" Shush....be quiet... Listen with your ears, not your mouth. Is there motivation?
• "What can you tell me about the place?" An open-ended question to keep the conversation going
• "Oh I see, I understand. What was it you were asking again?" Gently transition to pricing with an open question
• "Fantastic! You're asking $###K. If it were to be appraised today what would it appraise for?" Confirm, repeat what they said and direct conversation with a question
• "Okay great, you believe it'll appraise for $###K. What are you realistically needing for the property?" This is where it counts. Reinforce Realistically...
• If they won't come off their price by 15% on the phone then say "Okay great you'll sell your house to me for $###K. Do you have an email address where I can send you an offer so I can buy your house?" Be gentle, sincere and genuine and always reinforce their statements
• If they came down 15% or more on the phone then say "Okay the best you can do is $###K, when are you available for me to come to view the property and buy your house?"

• 1% Rule - The gross monthly rent is 1% of acquisition and repair costs
• 2% Rule - The gross monthly rent is 2% of acquisition and repair costs
• 50% Rule - 50% of gross monthly rent should be allocated to operating expenses

• 1% Rule - The gross monthly rent is 1% of acquisition and repair costs
• 2% Rule - The gross monthly rent is 2% of acquisition and repair costs
• 50% Rule - 50% of gross monthly rent should be allocated to operating expenses

• MAO formula
• MAO = (ARV * .7) - repair costs - assignment fee
• Formula used by house flippers and wholesalers