Real Estate Rookie

Real Estate Rookie Podcast 280 with Pace Morby

Real Estate Rookie Podcast 538 with Katie Neason

DSCR Loans: What Are They And How To Get The Best Terms

The Ultimate Comprehensive List of Tenant Red Flags

Book Mentioned in the Show:

Wealth without Cash by Pace Morby

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-288

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287: From 70 Hour/Week Burnout to Getting Paid to Buy Properties w/Danielle Daly May 17, 2023

Show notes

A 36% return on your FIRST rental property? In today’s housing market? That sounds almost impossible. With more and more inventors struggling to find a cent of cash flow and home prices still so high, how does a real estate rookie walk away with a deal most investors could only dream of? The answer lies within Danielle Daly’s strategy, and it’s one that most people would be too picky to repeat. But, if you have the ingenuity to do what she did, you could live for free in an expensive market, collecting some killer cash flow every month.

Before this cash cow of a deal, Danielle was a burnt-out hospitality worker who quit her seventy-hour work weeks to make $30,000 per year as a waitress. She wanted the pay of a nine-to-five, without the soul-crushing time commitment so many jobs expect. So, she left sunny Florida on a whim, and headed to snowy Denver, only to end up at…BiggerPockets. She couldn’t resist the real estate bug and got her sights locked on her first property.

Danielle spent months looking for the right layout, at the right price, with the cash flow potential she needed. Half a year or so later, she looks back on her first purchase as one of her best financial decisions ever. In this episode, you’ll hear how Danielle turned $30,000 into a half-a-million-dollar property in a pricey market, how she gets paid to live in her own house, and the one thing that helped her achieve investing success faster than the rest.

In This Episode We Cover

How Danielle makes a 36% return on her first rental (with ZERO experience)

The one strategy ANYONE can use to buy a cash-flowing rental property with low money down

Ditching burnout and how to know it’s time to leave your job for something better

Networking for newbies and how to find lenders, realtors, and tenants

Seller concessions and letting someone else “buy down” your mortgage rate

Screening tenants and the one software that systematizes your property

And So Much More!

Links from the Show

Meet Other Investors At a BiggerPockets Meetup

Get Easy Property Management with RentRedi

How to House Hack By Renting-By-The-Room

Connect with Danielle:

Danielle's BiggerPockets Profile

Danielle's Email

Danielle's Instagram

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-287

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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286: Rookie Reply: Real Estate "Travel Hacks" We Use to Score FREE Vacations May 13, 2023

Show notes

Using your real estate business to fund your DREAM vacation—with all or most expenses paid!? As a real estate investor, handling large amounts of money for materials, rehabs, and other expenses has its benefits. Today, we’re excited to talk about a simple but clever debt strategy that real estate rookies often overlook.

Welcome back to another Rookie Reply! If you’re looking to take advantage of the many benefits of real estate investing, tune in as Tony and Ashley share how they use credit cards to travel hack their way to luxurious, five-figure vacations each year! We also talk about when you should and shouldn’t use a HELOC to help fund an investment property. Ever wondered how you should use the money from cash-out refinancing? Our hosts cover some of the limitations you may encounter. Finally, Ashley and Tony discuss their top investing analysis strategies in 2023 and how to choose the best one for you!

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).

In This Episode We Cover

How to leverage real estate debt the right way (and fund your DREAM vacation!)

When you should and shouldn’t use a HELOC for an investment property

New investing analysis strategies we’re using in 2023

Why you should say “no” more often than “yes” when choosing an investing strategy

All about cash-out refinancing (and what you can use the money for!)

How to find the best investor-friendly real estate agents in your area

And So Much More!

Links from the Show

How to Earn Free Vacations With Travel Rewards Credit Cards

Find Top Rewards Credit Cards with The Points Guy

Learn More About Travel Hacking with Aunt Kara on TikTok

Book Mentioned in the Show:

Real Estate by the Numbers by J Scot and Dave Meyer

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-286

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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285: 3 Rentals (While in College!) and Turning a Horrific House into a Cash Cow May 10, 2023

Show notes

Buying your first long-term rental property sight unseen? What could go wrong? While alarms might be going off in your head right now, they weren’t for today’s guest. What seemed like the “perfect” rental property turned into a major headache once he arrived to check it out four months after closing.

Welcome back to another episode of the Real Estate Rookie podcast! After completing multiplewholesale deals, Hudson Jump’s real estate investing journey was off to a blazing start. He figured it was time to try his hand at long-term rentals next, and it wasn’t long before he came across a potential cash cow! Unfortunately, when Hudson was finally able to check out the property he had bought, the door had been kicked in, there was trash up to the ceiling, the toilet and shower were missing, and there were squatters on the property!

While this nightmare scenario would have been enough to make any real estate rookie throw in the towel, Hudson instead found a partner who was able to help him salvage the property and transform it into a rental that generates $1,400 monthly cash flow! If a bad deal has ever caused you to question your future in real estate, tune in to hear Hudson speak on the advantages of partnerships. As always, our hosts Ashley and Tony are here to help as well—offering invaluable advice on buying properties sight unseen, leveraging direct mail, and the value of building lists!

In This Episode We Cover

The risks of buying a property sight unseen with existing tenants

How bringing an experienced partner on board can help salvage a bad deal

Why wholesaling is GREAT first step for new real estate investors

The differences between wholesaling and whole-tailing

Building lists to weed out bad leads and keep track of potential properties

Leveraging direct mail to find exclusive wholesale deals

And So Much More!

Links from the Show

Making $71K on ONE Deal After 5 Failed House Flips and Six-Figure Debt

Propstream

BiggerPockets Forums

Create Your Own Standard Operating Procedures (SOPs): Record Videos with Loom and Use Monday’s Free SOP Template

Alex Camacho's Instagram

Connect with Hudson:

Hudson's Instagram

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-285

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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284: Rookie Reply: What You Need to Know Before Buying Your First Rental May 06, 2023

Show notes

Still waiting to buy your first rental property? Everyone’s been there. It can be nerve-racking not knowing where to buy, what makes a “good deal,” and whether or not all your hard work will go to waste. Even investing experts like Ashley and Tony were nervous about taking their first step, which is exactly what they’ll walk through on today’s episode! If you’re a rookie sitting on the sidelines, waiting to get into real estate, this is the episode for you!

Welcome back to another Rookie Reply! In this episode, we share exactly how to close an off-market deal when there’s no real estate agent involved. Ever wondered how our hosts went from real estate rookies to real estate pros? Today, they share their first deal diaries. Learn how Ashley ended up buying the first property she EVER looked at and how Tony bought his first two properties with ZERO money down. Finally, we touch on the struggles of analyzing deals when you’re just starting out, as well as choosing the right insurance policies for short-term rentals!

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).

In This Episode We Cover

How to close an off-market deal with no real estate agent involved

Key takeaways from our hosts’ very first real estate deals

Landing your first real estate deal (with as little as NO money down!)

How to analyze a property and know when you’re getting a GREAT deal!

The differences between renters and homeowners insurance (and which one you need)

The best ways to insure a short-term rental (STR) property

And So Much More!

Links from the Show

Join the Real Estate Rookie Facebook Group

BiggerPockets Rental Calculator

2 Long-Distance Rentals with $0 Down with Tony Robinson

Don’t Lose Your Portfolio to Lawsuits! Here’s How to Protect Yourself

Asset Protection for Rookies: 7 Wealth-Saving Answers from an Expert

How to Buy a Rental Property with NO Money OR Credit

Get Competitive Insurance Options for Your Short-Term Rental: BiggerPockets, Steadily and Proper Insurance

Connect with Ashley and Tony:

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-284

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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283: 19, Broke, and No Credit to 28 Units and Over $1 Million in Real Estate w/Caleb Hommel and Chuck Sotelo May 03, 2023

Show notes

Over $1 million in real estate with $0 down—at 19 years old!? After reading the book Rich Dad Poor Dad and catching the real estate “bug,” today’s guests went from broke college dropouts to real estate investors with three multifamily properties to their names in a matter of months.

In this edition of the Real Estate Rookie podcast, we’re speaking with real estate duo Caleb Hommel and Chuck Sotelo. After his parents dealt him a six-month ultimatum to figure out real estate and move out, Caleb knew he needed to land a deal fast. The issue? These two friends had very little money, and at just 19 years of age, no credit history. Facing a seemingly impossible challenge, the pair went to work—calling roughly 1,000 different real estate brokers in pursuit of their big break. Finally, the right opportunity came knocking.

Today, Caleb and Chuck own properties in three different Texas markets for 28 total units. If you have yet to land your first real estate deal, whether it’s because you don’t have money to invest or you haven’t found the right market, you don’t want to miss today’s episode. Tune in as we talk about how to buy real estate with no money down, how to build your buy box, and how to find the best property management companies to take care of your out-of-state assets!

In This Episode We Cover

How to invest in real estate with no money down (and no credit!)

The benefits of forming a partnership (and why you need an operating agreement)

Dodging the traditional underwriting process through seller financing

How to find the right buy box for you and knowing what to invest in

Finding, vetting, and overseeing property management companies

Why you NEED a mentor (and how they can help you beat analysis paralysis)

And So Much More!

Links from the Show

Making $90K/Year with Just ONE Rental by Combining Compassion and Cash Flow

How to Buy a Rental Property with NO Money OR Credit

81 Units in 3 Years: All On-Market with NO Bank Loans w/Cody Davis

Book Mentioned in This Episode:

Rich Dad Poor Dad by Robert T. Kiyosaki

Connect with Caleb and Chuck:

Caleb's BiggerPockets Profile

Caleb's Instagram

Chuck's Instagram

Caleb and Chuck's Youtube Channel

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-283

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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282: Rookie Reply: Should I Switch Markets? (Why You're NOT Finding Deals) Apr 29, 2023

Show notes

How important is the real estate market you’re investing in? You could be searching for deals for months, not finding anything worth buying, and may want to call it quits. But are you following the same steps that expert investors practice, or are you hoping a new housing market will magically give you the deals you need? If you’re struggling to find property with a profit in your housing market, today’s episode will help you out!

Welcome back to another Rookie Reply! In this episode, we tackle a handful of key topics—including when it makes sense to buy a property on your own and when to find a partner instead. Tony even shares about his own recent experience with partnerships and how he ended up pulling out of a deal that was headed towards a syndication! We also discuss the differences between real estate investing and REITs, as well as moving on from markets when you aren’t finding deals. Finally, we talk about inheriting tenants and when it’s better to buy a fully vacant property instead!

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).

In This Episode We Cover

When to go solo on a deal and when to form a partnership

LLC operating agreements, joint venture agreements, and terms you MUST include

Strategies behind buying vacant properties or inheriting tenants

The difference between active real estate investing and REITs

Leveraging relationships to find the best markets to invest in

And So Much More!

Links from the Show

Join the Real Estate Rookie Facebook Group

Become a BiggerPockets Pro Member for Premium Market Analysis

On The Market Podcast

Rookie Reply: How to Structure a Real Estate Partnership

Rookie Reply: How to Split Finances in a Partnership/Joint Venture

Connect with Ashley and Tony:

Find an Investor-Friendly Real Estate Agent

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-282

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

Learn more about your ad choices. Visit megaphone.fm/adchoices

281: Making $1,200/Month from ONE Rental After Bouncing Back from a BAD Deal w/Michael Yi Apr 26, 2023

Show notes

How do you bounce back after waiving inspections, finding out your $100K rehab costs are actually $360K, losing your earnest money deposit, and ultimately having to walk away from your very FIRST real estate deal? Today’s guest had a rocky start to his real estate investing journey (to say the least!), yet was able to find the silver lining, learn from his mistakes, and turn his bad fortunes around.

In this episode of the Real Estate Rookie podcast, we’re speaking with Michael Yi, a “retired” pastor who turned to real estate after struggling to find work during the pandemic, dealing with minor health challenges, and reading the ever-popular Rich Dad Poor Dad. After his first deal fell through, however, his confidence took a hit. While any rookie would be tempted to give up, he got back on the horse and set out to find his next deal. Within a week, he received a call from a wholesaler that would thrust him right back into the world of real estate investing. This time, the deal was fruitful, allowing him to generate consistent cash flow on a three-unit rental property.

If you’re struggling to take the first step in your real estate investing journey for fear of failing or losing money, this is an episode tailored to you! Michael shares about the $10K “education” he received and the reward for his resiliency. With help from our hosts Ashley and Tony, we break down a handful of important topics—including HELOCs, cash-out refinances, and building your real estate network!

In This Episode We Cover

Having a deal fall through and losing money (and how to bounce back!)

How waiving inspections can get your offer accepted (and when it can hurt you!)

When walking away from a deal is actually the SMART choice

The pros and cons of HELOCs versus cash-out refinances in different markets

The power of networking to find contractors, realtors, wholesalers, and other connections

And So Much More!

Links from the Show

How to Buy a Rental Property with NO Money OR Credit

BiggerPockets Bootcamp

BiggerPockets Bookstore

Privy

BPCON2023

Pace Morby's Instagram

Book Mentioned in This Episode:

Real Estate Rookie: 90 Days to Your First Investment by Ashley Kehr

Rich Dad Poor Dad by Robert T. Kiyosaki

Connect with Michael:

Michael's BiggerPockets Profile

Michael's Instagram

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-281

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

Learn more about your ad choices. Visit megaphone.fm/adchoices

280: How to Buy a Rental Property with NO Money OR Credit w/Pace Morby Apr 22, 2023

Show notes

Everyone wants to know how to invest in real estate with no money. And surprisingly, it’s much more straightforward than people think. You don’t need to be a real estate investing expert or have dozens of units under your belt already to buy a rental without cash or credit. As Pace Morby puts it, all you need is the right tools in your tool belt. The rest will take care of itself! So stick around if you want to learn how Pace picks up properties with NO money down, NO credit checks, and NO cash at closing!

Pace is known in the industry as the king of creative finance. No matter what real estate deal he’s doing, Pace has found a way to get it for no money down, at a low interest rate, and with lots of cash flow in between. His latest book, Wealth Without Cash, gives new investors a start-to-finish guide on getting deals done with subject to, seller financing, and other lucrative creative finance methods. This is THE resource you need if you’re starting your real estate journey without much cash.

In this episode, Pace walks through the different methods you can use to invest without cash, the exact way to find motivated sellers and off-market deals, and how to start with NOTHING and get your first investment property under contract. He also shares how he does deals on the spot and why going the “conventional” route of finding an agent, getting a loan, and putting money down could be a HUGE mistake.

In This Episode We Cover

Creative finance explained and how to invest in real estate with NO money down

On-market vs. off-market deals and how to lock in a rock-bottom mortgage rate

The subject to and seller financing methods explained (and when to use them)

Living income-tax-free and how Pace avoids income tax by investing in real estate

Starting from ZERO and a step-by-step method to getting your first deal done

The problem with most real estate agents and why creative finance is often unheard of

And So Much More!

Links from the Show

Find an Investor-Friendly Real Estate Agent

Rookie Reply: Creative Financing 101 with No Cash, Credit, or Credentials

BiggerPockets Bootcamp

Craigslist

PropStream

Book Mentioned in This Episode:

Wealth Without Cashby Pace Morby

Connect with Pace:

Pace's Instagram

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-280

Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email: advertise@biggerpockets.com

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279: Making $71K on ONE DEAL After 5 Failed House Flips and Six-Figure Debt w/JP Desmet and Aaron Bihl Apr 19, 2023

Show notes

Feel like you’ve already made a few blunders to kick off your real estate investing journey? Well, you’re in great company. Most real estate rookies make their fair share of investing mistakes right before they figure things out and go on to build successful investing careers. Today’s guests are living proof of this.

After a series of failed house flips (including one that involved his family home!) put him behind the eight ball, JP Desmet’s real estate career was almost over before it had even begun. As with all great success stories, however, his next step was his most important one—he asked for help! After reaching out to seasoned real estate pro Aaron Bihl about a potential investing opportunity, JP was able to make a serious profit off his very next deal and ultimately turn around his real estate fortunes.

JP’s story is one of pure grit and mental fortitude. Rather than throwing away his dreams of real estate investing, his willingness to not only fail but also learn from his mistakes allowed him to bounce back in no time. If you’re a fellow real estate rookie, you won’t want to miss JP and Aaron talk about their first house flip fails, how hiring a bad contractor can quickly derail a project, and how working with a mentor can turn your very next deal into a huge success!

In This Episode We Cover

How a mentor can help you avoid all types of investing headaches

The biggest red flags to watch out for when hiring a contractor

Where to find the best contractors for your home rehabs

Getting in and out of deals quickly in today’s market

Finding hard money and private money lenders

Ways to mitigate the effects of debt you take on during the buying process

And So Much More!

Links from the Show

Find an Investor-Friendly Real Estate Agent