So you ran the numbers and the cash flow shows negative? You don’t have to give up on rentals. With a few smarter assumptions, the right strategy, or the right market, you can turn “this will never work” into a deal that actually pays you!
Welcome back to another Rookie Reply! Today’s first rookie has analyzed three to four dozen small multifamily properties. Even at 20% below asking, almost none of them cash flow on day one. We narrow it down to three possibilities: are you being too conservative with your expenses, is the 1% rule out of reach in your market, or is it time to pivot? We show you how to stress-test your vacancy, maintenance, and CapEx numbers, and walk through the real fix.
Next, can you invest in US real estate while working here on a visa? We share exactly who to talk to before you buy! Finally, we’re breaking down how to build your investing team when capital is limited, including which pros you need before your first deal and which can wait.
If the numbers don’t work, don’t force them. There’s a better path to your first deal!
Looking to invest? Need answers? Ask your question here!
In This Episode We Cover
Why your deals won’t cash flow, and whether it’s your math or your market
How to make rentals work in a high-cost-of-living market
How to pivot your strategy with rent by the room, mid-term, or short-term rentals
When to tighten (or loosen) your expense assumptions
What to do before buying rentals on a work visa
Who to hire first when your capital is limited
And So Much More!
Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/rookie-787.
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