Good morning,
How hard is it to achieve financial independence through rental properties? Pretty easy if you only go off what people say on Instagram, TikTok, and yes Twitter…
The truth of the matter is that this goal is a years long pursuit. Which is easily affected by macroeconomic cycles, microeconomic trends, your income, your discipline, and a whole host of other factors. Like any worthy accomplishment – it’s not easy.
Which is why I’m excited to share this week’s investor. Who has spent the past 17 years steadily working towards financial independence – racking up a nice portfolio in the meantime.
Please meet RentalFiGuy!
How many doors do you have?
17 Rentals, 1 Primary and a 13 Unit Bldg
What got you into real estate investing?
I wanted Financial Freedom via monthly cash flow from my rental properties.
What market(s) do you operate in?
Metro Phoenix, AZ
How would you describe your portfolio?
It’s a mix of Single Family Homes, Condos, Townhomes, 1 Short Term Vacation Rental, and 13 Unit Multi Family Bldg
What are you currently buying?
Anything that makes sense numbers wise but is extremely hard to do right now in my market.
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Tell us about your biggest mistake in real estate?
I had 3 properties in 2005 when prices were going through the roof in AZ! I had $400k in equity at that time. Looking back, I should have sold 2 of them and paid off the one I was living in. Unfortunately I didn’t do that and the Great Financial Crises hit in 2008 and as a result, I was negative $400k in my 3 properties! I’m also a Realtor (since 2001) so not only was I negative $400k in equity but my Realtor income was down 50% too! We almost lost our home and I decided that I never want to be in that situation ever again!
Tell us about your biggest win in real estate?
I took advantage of the 2008 Financial Crises Real Estate Market at that time. I started fixing and flipping homes with a business partner. I didn’t spent one penny that we made for 3 years which was about $300k. We flipped 75+ homes over a
10 year period. In 2012, I started using my flipping profits to acquire rental properties and continued to build my portfolio until today where I’m currently at $15,789 monthly cashflow above and beyond all expenses.
Outside of real estate what else do you invest in?
90+% of my net worth is in Real Estate, have a little Crytpo
Books people should read before investing
Rich Dad Poor Dad and Forever Cash
What advice would you give to a new investor?
Figure out your Net Worth and Track it. Focus on growing that number! Also, think long term. It’s hard not to want to just flip a property and make a quick $30k vs keep it as a rental and making $300 a month. $300 a month might not sound that exciting but get to 10 doors making $300 a month and you can get work on getting your rental properties to cover all of your expenses! It takes time to build wealth. I’ve been working on it since 2004! It doesn’t happen overnight.
RentalFIGuy (@RentalFIGuy) / Twitter — twitter.com
Financial Freedom through Passive Income from Rental Real Estate | FIRE | FI | #RealEstate
Podcast Link
Apple Podcasts — podcasts.apple.com
5 Lessons From A Real Estate Veteran – Alan Corey
5 Lessons From A Real Estate Veteran – Alan Corey
Google Podcasts — podcasts.google.com
5 Lessons From A Real Estate Veteran – Alan Corey
Enough Business
I’ve been thinking a lot about productivity lately. How hard do you work and how efficient are you at said work.
Recently I’ve stopped playing video games. Ever since Call of Duty changed their maps (and ruined their game) I opted to put the controller down. Giving me an extra hour to focus on my rentals and ResilientREI each evening.
I don’t mean to give the impression that I’m working 80 hours a week. But an extra hour here and there will compound over time. Especially since it’s all focused on one goal.
Too many people are trying to run the clock out on their own life. Waiting for the weekend, waiting for that big annual vacation, waiting for retirement. Waiting for things to happen instead of being proactive.
As investors we should respect that the compounding effect works for our time just as well as it does with our capital.
See you on Monday
Podcast: Syndicator To Prisoner – The Redemption Of Mike Morawski
