Short-term rentals (STRs), also known as Airbnbs or vacation rentals have become increasingly popular over the last few years. This interest spiked during the COVID pandemic, and despite a recent slowdown, interest continues to be strong in the post-COVID era. We have seen the same trend in our groups. Three years ago, very few in our community were talking about STRs. Now, we see the vast majority are planning to add at least one STR to their portfolio over the next few years. Why such a high, almost frenzied level of interest? One reason is the potential for high cashflow. It’s not unusual for a single STR to cashflow $50,000 to $100,000 when you self manage. Short-term rentals also give high-income professionals a way to shelter their income while continuing…
Summary: Why settle for good, when you can make an investment great? Many who are new to real estate already know about cashflow. Few know about forced appreciation. Even fewer know about immediate appreciation. What is immediate appreciation? How do real estate investors use it to make a good real estate investment great? Read on to find out! (more…)
Summary: If you've been investing in real estate over the last few years, you've probably encountered a "hot home" on Redfin. These are the properties that are highly desirable and likely to receive multiple offers. When faced with competition from multiple buyers, one way to increase your chances of beating out the competition is to include an escalation clause. (more…)
Summary: The goal of our Investor Spotlight series is to provide you with stories of real doctors and high-income professionals who are at different points in their journey to financial freedom through real estate investing. Today’s spotlight is on Carlos and Isabel. They started their real estate journey in 2020 in the midst of the COVID pandemic. Their first property was a long term rental. From there, they pivoted to short-term rentals. Within a few months, they had acquired three short-term rentals and they are well on their way to achieving financial freedom! (more…)
In this episode, we wanted to address a topic that we hear a lot about in our community: Is real estate asset protection worth it? On one side, we have those who feel that insurance alone is enough to protect you. They also believe that these asset protection strategies are simply money-making schemes and don't really afford you any additional asset protection. On the other side, we have those who don't think insurance is enough. They feel the need to add an additional layer of asset protection so they can sleep better at night. So what's the right answer? Be sure to tune in to find out! Have someone who you think should be featured in a future episode? Comment and let us know on our socials! Also,…
Summary: If you’re just starting out as a real estate investor, you may not know that you need to build a team. You also might not know that the better your team, the better your success as a real estate investor. So who do you need on your team? And how do you build a great team? Check out our article to find out! (more…)
Summary: If you’re just starting to think about investing in real estate, you’ve probably thought about this question: should I pursue passive or active investing? It’s a good question and one that’s probably pretty hard for a newbie to figure out. In this article, we do a head-to-head comparison of passive vs. active investing. Bottom line: active real estate investing is generally more work, but you can make 10x more than you can with passive investing. (more…)
Summary: If you're thinking about real estate syndications, an important part of the vetting process is asking the deal's sponsors really good questions. But for those who have no experience in real estate investing, how do you know what questions to ask? This article doesn't cover the softball questions; instead, we give you five hard questions - the types of questions real estate syndicators don't want you to ask. [Disclaimer: We are not accountants, lawyers, or financial advisors, so please consult your own team of professionals about the topics covered in this article.] If you're considering investing in a real estate syndication, it's essential to properly vet the deal to know where you're putting your hard-earned money. To vet a deal properly, you will want to ask the general partner…
Summary: Over the last four years, Leti and I have built up a substantial passive income stream from real estate. This has given us the freedom to work in clinical medicine the way and the amount that we choose, but it’s important to point out that our success was built on the foundation of real estate investing mistakes. My mistakes. Fortunately, we’ve both learned from these mistakes, and this has enabled us to avoid many of the hiccups that slow down newbie investors. I’m sharing these stories with the hopes that it will help our readers avoid similar mistakes. (more…)
Summary: Short-term rental arbitrage is a strategy to get into the short-term rental game and generate additional income. While it can be a source of extra income, it’s not a wealth-building strategy. Ultimately, if your goal is to get rich with short-term rental arbitrage, you’d be better off buying and operating your own short-term rental. (more…)