Real Estate Rookie

MLS

Apartments.com

BPCON22

Changing Their Family’s Fate by Building a 600+ Unit Portfolio (At Age 20!)

How a College Dropout Got a Seat at the Millionaire Investor Table

Post, Invest, Profit: A Step-by-Step Guide to Content Creating for Investors

BiggerPockets Calculators

Connect with Kenneth:

The Donis Brothers’s Website

The Donis Brothers’s Instagram

The Donis Brothers’s Facebook Page

The Donis Brothers’s Twitter

The Donis Brothers’s Tiktok

The Donis Brothers’s Youtube Channel

The Donis Brothers’s Podcast

Check out the full show notes here: https://biggerpockets.com/blog/rookie-209

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208: Rookie Reply: Time-Saving Real Estate Accounting Tips for New Investors Aug 13, 2022

Show notes

This week’s question comes from Aaron on the Real Estate Rookie Facebook Group. Aaron is asking: How do you set up your rental income for tax season? Do you just show your accountant, for example, a Stessa report? Do you give receipts to your tenant when they pay so you have one for tax season?

Navigating the world of real estate accounting can be tricky. Do you write everything down by hand or update your numbers in tax software? Ask two real estate experts like Ashley and Tony and you’ll see that there’s usually one clear way to gather up your rental income so your CPA doesn’t have a mountain of paperwork and an avalanche of questions to ask you.

Here are some suggestions:

Use software like Stessa or QuickBooks to easily track your income/expenses for tax time

Send tenants rent receipts (if they ask for them) using software like Apartments.com and RentRedi

Keep clear records of how much you received in rent, spent on maintenance, and any amount of vacancy

Get your bookkeeping in place from the first property onwards (your future self will thank you)

And more in the episode…

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).

Links from the Show

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-208

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207: Working Towards Time Freedom "In the Trees" with 3 Treehouse Rentals Aug 10, 2022

Show notes

As an entrepreneur trying to build wealth, how do you find work-life balance? How do you prioritize your family and life when you work long hours for a better future? Is the time freedom you’re ultimately working towards worth the time you have to give up presently? Amanda Salovitch, today’s guest, shares the balance she’s been able to maintain as a full-time working mom, building a short-term rental business while going from zero to six units in a year and a half.

Amanda has been passionate about real estate for a while. She became a licensed real estate agent fresh out of college in 2008. Amanda worked at a brokerage with another recent high school graduate, and when she decided to pursue a career at the bank, she watched him grow his investment career. The bank required a very fast-paced lifestyle, and it wasn’t until the pandemic that she began to slow down and reassess certain aspects of her future. She started listening to the Real Estate Rookie podcast and became inspired.

She purchased three long-term rentals shortly after she began listening to the podcast. She then closed on a property with three short-term treehouse rentals with various income-generating activities. While living a hectic investor life, Amanda always includes her kids as much as possible. Her ultimate goal is to have the time and freedom to live the life of her choosing with her family, and with the path she’s on, she’ll be able to achieve it soon!

In This Episode We Cover

Getting your real estate license and the benefits of being a licensed investor

Finding your personalized work-life balance and the importance of having a strong “why”

The process of qualifying for a loan and how to qualify for the financing of your choosing

The 1031 exchange explained, its benefits, and its shortcomings

How to get your spouse on board with investing while communicating your goals

Investing while still working your day job and how to manage your time for optimum efficiency

And So Much More!

Links from the Show

Airbnb

Amanda's BiggerPockets Profile

The Real Estate Podcast

Vrbo

Connect with Amanda:

Amanda's Website

Amanda's Instagram

Check out the full show notes here: https://biggerpockets.com/blog/rookie-207

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206: Rookie Reply: Biggest Red Flags of a Bad Contractor (and How to Fire Them) w/Amanda Salovitch Aug 06, 2022

Show notes

Not knowing how to deal with a bad contractor can cost you thousands, if not tens of thousands, on a single deal. The wrong contractor can cause months more of holding time, thousands in materials wasted, and drain your energy when trying to get the project done. But, once you know the common contractor red flags, you’ll be able to spot which workers won’t work out in the future so you can hire the right ones faster.

Ashley and Tony both have horror stories when hiring general contractors. They have some crucial tips when hiring a contractor for your next home renovation. Their most important one? Hire slow and fire fast. The wrong crewmember could sabotage your entire real estate deal.

Here are some suggestions:

Don’t pay contractors per hour and stick to your contractor criteria

Stand your ground and don’t second guess yourself if you know how something should be done

Never hire the same contractor for another job until they’ve finished the first one

Set milestones and benchmarks for the contractor to hit so they stay on-schedule

Don’t hire the first contractors available for a job, take your time vetting the crew and general contractor

And more in the episode…

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).

Links from the Show

BiggerPockets

Real Estate Rookie Youtube Channel

Real Estate Rookie Bootcamp

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-205

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205: Puerto Rican Paradise, Arctic Abodes, and Building "Dream" Vacation Rentals Aug 03, 2022

Show notes

Sometimes in real estate, less is more, and as the saying goes—quality over quantity. You don’t need a portfolio with 100+ properties if you have a strong cash flow from five. This approach allows less to fall through the cracks and a more personalized experience for the tenant while still building wealth like never before. Today’s guest, Kelly Cronin, explains how she has created Cronin Castles, a variety of unique experiences in various locations, and is now profiting off people’s desire to experience more life.

Her current portfolio includes a sea house in Puerto Rico, an off-the-grid dome in Alaska, a tiny home in Utah, and eighty acres in Wisconsin. While Kelly was merely setting her price on listing sites and looking for interesting places, she stumbled on the next big thing. Currently, short-term rental sites are looking for more properties with unique experiences, like Kelly’s, to feature and further differentiate themselves from the competition.

Kelly was able to start investing because she saved half of her income. She was able to save an astonishing $110,000 not because of a high salary—in fact, she never hit the six-figure mark—but because she gamified her life. Kelly did this by finding ways to lower her mortgage, save on childcare expenses and use credit card points to cover her travel expenses. Now Kelly can give people the traveling experiences she would want while simultaneously building wealth and changing her financial future.

In This Episode We Cover

How to research and invest in different markets

Cultivating unique experiences and how to market your rentals

Managing your rental property remotely and the importance of building a network in the market you choose to invest in

Saving fifty percent of your income and how to gamify your life and stretch your money

Self-managing your properties and how to stay on top of your rental portfolio

And So Much More!

Links from the Show

Brandon Turner's Instagram

BiggerPockets Forums

Nate Robbins' Instagram

Brian Murray's Instagram

Derek Diedricksen's Instagram

96 Units in 5 Years By Combining Long & Short-Term Rentals

Connect with Kelly:

Kelly's Website

Kelly's Facebook Page

Kelly's Instagram

Check out the full show notes here: https://biggerpockets.com/blog/rookie-205

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204: Rookie Reply: Do New Short-Term Rental Regulations Make Investing Risky? Jul 30, 2022

Show notes

New short-term rental regulations are sprouting up around densely-populated states like California and New York. These regulations can stop new investors from setting up shop while making established hosts much wealthier. With stricter short-term rental laws, what should real estate investors do to hedge their risk against being stuck with a property that can’t be rented out?

Both Ashley and Tony own short-term rentals. Ashley’s is situated in a town with no regulations, while Tony has vacation rentals scattered across multiple markets, each with its own specific ordinances. Tony knows that even with these new laws, there are still steps you can take to ensure that your short-term rental investment isn’t ever at risk of being left empty.

Looking into short-term rental markets? Here are some suggestions:

Look for established, mature vacation rental markets when starting your search

Economic dependency on tourism will most likely make an area more open to short-term rentals

Always research the number of short-term rentals an owner can legally own in an area as well as how the permitting process works

Stay up-to-date on an area’s short-term rental laws as they are subject to change

And more in the episode…

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).

Links from the Show

Real Estate Rookie Youtube Channel

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-204

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203: The Ultimate Property Management Masterclass w/Expert Property Manager Karen Lane Jul 27, 2022

Show notes

Property management can be one of the more complex decisions when it comes to investing. Do you save money and ensure the job is done exactly how you want it by self-managing, or do you invest in someone with experience and save yourself time, energy, and headspace? Today’s guest, Karen Lane, breaks down property management in bite-size chunks, so whether you’re deciding between property management vs. self-management or hoping to pursue property management already, this episode is perfect for you.

Karen has been in property management for commercial real estate for most of her career, so she’s seen it all—including a dead deer carcass in the middle of a shopping center parking lot. She’s worked with private investors on both coasts and internationally. Karen’s abundant experience has made her a wealth of knowledge and the perfect person to learn from. While she has thrived in the property management space, she now hopes to beat analysis paralysis and find her first investment.

Karen goes over what it means to be a property manager and how to become one. She also talks about the nuances of juggling the different relationships you need to maintain as a property manager. Today’s episode is the free property management masterclass you don’t want to miss.

In This Episode We Cover

What it means to be a property manager and how to know if you have what it takes

Finding and vetting a property manager to make sure your goals and expectations align

How to keep the landlord and the tenant happy and find a middle ground

Management agreements and how to understand the property management fees that come along with it

How to check for hidden fees as a landlord

The most significant things to look for in a property manager to make sure your relationship is successful

The ideal reporting structure, the cadence, and what you should include

And So Much More!

Links from the Show

BiggerPockets

BiggerPockets Calculators

BPCON2022

BiggerPockets Forums

Rookie Landlord Bootcamp

Buildium

AppFolio

Quickbooks

A Step-by-Step Guide to Estimating Rehab Costs w/ Master Flipper & Investor James Dainard (Part 1)

Finding Contractors, Renovation Red Flags, and Estimating Rehab Costs (Part 2) w/ James Dainard

18 Deals in 2 Years AND a Full Time Job with Kevin Christensen

Connect with Karen:

Karen's Property Management Company

Karen's Company Email

Karen's Website

Karen's Email

Check out the full show notes here: https://biggerpockets.com/blog/rookie-203

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202: Rookie Reply: Is a Cash-Out Refinance Taxable? Jul 23, 2022

Show notes

This week’s question comes from Brandon on the Real Estate Rookie Facebook Group. Brandon is asking: On a cash-out refinance, is this considered income? If so, will I have to report it on my taxes?

Real estate investing provides a lot of tax benefits, some that new investors or everyday homeowners simply don’t know about. One of the greatest tax benefits? No taxes on loans and liabilities! That means that the cash-out refinance can be done without paying any taxes on the cash given to you from the bank. But, there are a couple of ways that you could get snagged during tax season if you don’t follow the right steps.

Here are some suggestions:

Cash-out refinances are considered debt, not income, from a taxation point of view

If you are planning to have your business pay you back for acquisition/renovation costs, be sure you make a record of that so you don’t get taxed on your repayment

You may pay taxes on a cash-out refinance if you plan on taking profits from your business

As always, consult a tax professional if you have any specific tax questions

And more in the episode…

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).

Links from the Show

Real Estate Rookie Youtube Channel

Rookie Reply: Cash Out Refinances vs HELOCs | Which Should You Use?

Check the full show notes here: https://www.biggerpockets.com/blog/rookie-202

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201: Quitting Corporate to Build a 23-Unit Post-Pandemic Rental Portfolio w/Gus Ofili Jul 20, 2022

Show notes

The beautiful thing about real estate is that there is endless room for growth. While some jobs have a capped amount of opportunity, real estate encourages constant advancement. Today’s guest, Gus Ofili, began his investing journey after the pandemic and now has nine properties with twenty-three units.

Gus turned to real estate after deciding to leave his nine-to-five at a bank. He didn’t hate his job, in fact, he was doing very well, but there wasn't adequate room to grow. Gus started realizing he was getting passed up on opportunities by people who dedicated at least a decade of their life to the bank. He couldn't see himself taking ten years of his life for a career milestone—so he quit.

Initially, real estate intrigued Gus because of the thrill he got from negotiating. He started taking classes to become a realtor while working his nine-to-five. As an agent, he sold fifty homes in his first year, seventy-one in his second, and 108 in his third year. While he did exceptionally well as a realtor, he wanted a backup plan and knew investing would be a fundamental part of his real estate career. He had the opportunity to sell a five-unit house, but when the first appraisal fell through, he began to see potential in the home, decided to buy it, and as the saying goes—the rest is history.

In This Episode We Cover

Quitting your nine-to-five and how to prepare to do so

How to use social media to gain free exposure and grow your brand

Finding a profitable side hustle in real estate and the benefits of becoming a leasing agent

Clubhouse and how to use it to learn more, expand your network, and gain motivation

Overcoming the fear of buying your first investment property and how to make the transition as smooth as possible

And So Much More!

Links from the Show

BiggerPockets

Rookie Readiness Checklist

Connect with Gus:

Check out the full show notes here: https://biggerpockets.com/blog/rookie-201

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200: Scott Trench’s 10-Step Checklist to Buy Your First Rental Property Jul 16, 2022

Show notes

You’re here to buy your first rental property. This is the Real Estate Rookie Podcast, and as a rookie, where should you start? Most new real estate investors think that the steps to buying a rental property are simple—find an agent, find a property, buy the property. And although that could buy you a rental property, the chances of you becoming successful are very low. Real estate investing requires much more than just purchasing a property if you’re trying to build generational wealth, financial freedom, and a life that operates on your schedule.

It shouldn’t be surprising that the CEO of a company like BiggerPockets is someone who took the slow, yet highly successful route. No raising money on his first deal, no buying multimillion-dollar apartment complexes, no giant yacht, and no private planes. Scott Trench is the epitome of the “grind until you shine” real estate investor. Starting with little-to-no savings, he was able to work his way up to his first rental, his second, and now his thirteenth.

To celebrate the release of the updated version of his wildly popular book, Set for Life, Scott has created a ten-step checklist that any new investor should use to get their first real estate investment. These steps were specifically designed for you to not just get one rental, but many more following your first purchase. These are the exact steps Scott took to reach financial freedom in under ten years, and if you follow them as well, you might be able to do it faster.

In This Episode We Cover

The ten steps to becoming a successful real estate investor (even if you have no experience)

Frugality and its impact on how you invest and grow your wealth over time

Calculating your dollar per hour cost and choosing whether or not to outsource work

The four levers of wealth creation and how to pull them all for fast-paced wealth building

How Scott went from entry-level worker to CEO of BiggerPockets in under ten years

Building your “investor ability” so you can make smarter decisions faster

And So Much More!

Links from the Show