From Solo Agent To Real Estate Broker With 23 Agents In 3 Years!!



alright what's up guys Jason worked up here and I'm here with Ashley Ashley thank you so much for joining me here today yeah so for those of you guys who have been following me for a while now you probably recognize Ashley you've probably seen her before because she actually got started with Arsenal way back in 2016 I think it was like the late summer fall of 2016 so it's been a number of years now yes yes yes I know since that video has gone out I would probably say like 200 people between email text singing hit me up on Facebook calling my office well I think I think that video on Facebook now has close to a million views if not I think it might have even already passed a million views so let's just for everyone watching right now that maybe didn't see that video let's jump back over and I'm just gonna show you guys that video hey everyone its Ashlee here in Memphis when to shoot a quick video for Jason and just tell you yes the program does work I've gotten a ton of messages asking it doesn't work it does work I made it add uploaded it on Facebook and the leaves started coming in and Arsenal has really helped me just keep track of all the leads that come in arsenal I love Arsenal because I'm to follow up feature if you are not using the follow up feature use it I promise it's awesome I have actually gotten probably close to at least 90 something leads so far I don't know if you can see my computer screen but I have about six pages 1 2 3 4 5 6 pages leads with people's names email and phone numbers so it definitely brings the leads in and I think one of the biggest things in our field is the follow-up so I definitely used Jason's follow-up I also use his appointment scheduler that he talks about in his videos if you have not watched the videos go watch the videos my appointments come straight to my phone I love them I recommend the system follow it's I use canva to create my ADD canv a canva looks like that kind of really simple program canva make the ad will just probably the video file the video upload the ad and do what Jason says okay I realize how bad my video quality was probably just the exported video on my side of things but well fast forward now three years I mean you said you've got 90 leads or something like that and all the videos it works what you actually made a post just a couple days ago maybe last week inside the Facebook group kind of given a new update and I know that this was going crazy tons of comments so just tell everyone what you say on that post what happens happen recently and kind of what's gone on over the last few years okay so last when I when I did that video I was a real estate agent of course so most people know I've been in real estate since 2006 so I've been in real estate for a while now I'm actually the principal broker Alec from here hello home we have about 23 agents so now on top of helping people buy and sell their home now I'm recruiting and training and motivating all the agents at the company so so cool yeah so that is changed since that video so yeah I did posts in the group because I still kind of I follow the group and I lie something some that is activist I could be in there but I've been I mean changing up my facebook ads a little bit and I sometimes I do engagement posts and just get traffic to my page and I get a lead generation post and Arsenal caked right on in I got alt likely she started coming to my email and so like I that's why I posted I said it still works after all these years all my email bundles kicked right on man he was emailing me how to get started and surprise me what didn't surprise me but you know everybody's like how do I get started and I was like oh my email photo kicked in like everything that it still it still works it's the works that's awesome that's awesome so so I know a lot of times agents are like they see someone that's successful just like you and they're like all right Ashley what does your ad look like what like how are you actually having success how are you actually generating leads and so I just wanted to kind of pick your brain and talk to you about that and I know you've done some cool stuff because like one thing for everyone watching one thing there's a she's done that I've absolutely loved if she's taken like the core templates of the ads that a lot of people have seen and stuff but she knows her mark like I don't know Memphis like she knows Memphis right so she knows that there are a lot of renters in her area and so she kind of tweaked her ABS a little bit to speak more to the renters and saying like hey look you're probably paying more in rent than you could if you like just bought a home and so I mean I remember that having that conversation a few years ago and that that's kind of like the one of the ways that you tweaked and target your ads so anyway talk a little bit more about your ad creation how you like come up with these ideas and you know get results like that so yes so I do to see if you can clearly telling them video how country I can but yes so Memphis is like I think about 49% renters we are a huge rental market investors love Memphis so I recognize this so in my ads a lot of times when the answer is running right now is I had like one of my friends who is happens to be like a single mom with two kids she's been renting for like seven years and she closed on her house so I have a picture like a boomerang of her holding sold signing her two kids are standing there in their new kitchen and I ran that adds an ad and of course I gave some details on her like single mom two kids renting seven years paying $1,100 a month bought her first house today you can do it too you know it's those ads that people can relate to and there later seven years you know I have that could be me you know so I have to keep it creative I know people love videos they hate just paragraphs on paragraphs you know they love videos they let me see somebody who looks like them maybe in their same situation and I cracked my eggs to that or here we have some loan programs to give you downpayment assistance so I'll post a picture one of my clients on the sole time and say she moved into our house with zero down you know worth it FedEx overnight you know it's kind of you have to know you're the market right so I know my market I know what people like and I could see when I post regularly if I get a lot of likes or a lot of comments or letting the shares I'm like okay this is what people like this is where I'm getting a lot of attention and attraction and then I'll just make it into an ad and that has worked for me totally has worked for me that's awesome yeah one thing I like is you're talking about knowing your market and that's I feel like there's kind of two fold of that it's knowing the people like the demographic like who are those equally renters then also you mentioned like knowing that like there's downpayment assistance that like is like every market is going to be a little bit different so what Pro they have to help the people so it's like knowing your market of the people know your market of the programs and then one thing that I love that you've done which a lot of people don't necessarily do is you took a little bit of extra time like yeah it takes it like a couple extra minutes to make a boomerang takes a couple minutes extra to go through and write out the story of like you know renting for seven years it takes a little bit more brainpower which not everyone wants to go through and do but obviously it's really paid off for you yeah it totally it definitely works people like a story people like people use people who they trust like I've learned that you know I'm not always like sale sale sale buy from me pick me pick me you know it you have to have that trust um I post consistently you know and I just it's just part of my marketing plan and you know like I use a variety of things like I don't only use Facebook ads I don't you know I use a variety of things to grow my business and it just takes time and consistency and effort for sure you got to put in some kind of effort you know just throwing up an ad and hoping somebody bites it's you got to put some time and effort into it and do it consistently oh yeah and like you said I mean I feel like there's a compounding effect like obviously it's great to start somewhere so it's great to get some Facebook Ads going but obviously if you're doing other things like even if you're marketing on Google or at doing SEO stuff or billboards or you're on buses like all that stuff's are compounding the fact where you're just super branding yourself which the great thing about Facebook is either you start with no money you're brand new solo agent you could throw a few bucks a day and get that exposure and like you're saying make a post on your Facebook page and test the engagement see if there's an even one even interacting before you even put money behind it which is kind of dangling that's what I do if people are always like actually I see you ever where I'm like I know they're like you're on Facebook I get something in the mail from you you know you're like that's that's the way and like I need you to see me everywhere yeah so yeah definitely tested see what kind of nation when you get before you put some money behind it for sure totally so do you have like an example of a Facebook ad that you can show everyone watching because I know we talked about the ads and sometimes on these interviews we talked about and it all gets them down in the comments can you just show us the ads oh let's check it out visual people if I can do this you know guys Jason is like you got it can you see my screen I can see your screen okay so Jason you to pay for your channel yeah you're the one who taught me how to like target and do all all the things you're the one behind that which Ashley is gonna be starting her YouTube channel here and so if you guys want to check out her YouTube channel out a link down in the description so here's one okay so I run multiple ads so here's one of me like at a property that I have for sale and I'm just talking about the property walking through it great way to start your portfolio then you can see you see like how many people it's reached how many plays it got like that that's an example of one it just depends on who I'm marketing to I have let's see the one that everybody loves is let's see if this works here it is here's one so like I said him a good friend of mine Horsham made a sign because her daughter's new house actually ran a video and it showed her daughter walking into the house and her reaction when getting her first home in that video I've got a time abuse like I had my phone was blowing up just showing a little reaction to our first house a new room but here's one and so you can see like you can see online I'm showing you I'm being transparent right here no this is awesome this is great stuff so you know well done girl woman powers so yeah just and it's just a quick boomerang you know and there's what I've said so this right here you are running because this one's not linking out to any really landing page or anything like that so this one you were saying you're running it as just a post for engagements right to get likes and comments on that post right right it's keep me top of mind like my direct messages are overflowing at the moment right now of just people who have seen this hey Ashley you know help me to you know even though they go here they still click on my page and send me a message tone oh so totally engaging I think let's see if I have any more they always people reacted to your video I don't know if it's the same video oh so I always run videos of me talking about the home buying process okay go ahead Jason oh no I would just say I was just saying okay that's great like so you're and this is another key thing that I think that a lot of people where they fail is they're always just going for the the kill they're always just going for a give me your contact information and give me this give me that where it's like I love videos like this and honestly this is why I started my youtube channel because most of my videos it's not really like I'm not saying buy this buy that opt-in here it's like it's just literally just pure value or at least that's my goal with it where it's like right here for your target market it looks like you're just giving value you're not really trying to go through and get them to opt-in or saying like hey message me to buy this or buy that or whatever exactly like I said you gotta built that trust before people use you so I was just waiting on my clients to pull up I was it the closing office we were about to close on a house and I was in the car and I just like hmm let me and it was a smooth process a really smooth transaction close in like three weeks and the people were super organized so I pumped on the video sitting in the parking lot and said hey the best way to go about is to get organized you know don't rush and all your paperwork together just offering a tip on how to make this process as smooth as possible and then you can see like the engagement how many people have reached you know so I'm just I run multiple ads if they don't get any engagement I'll stop my test you know I test my hands to see what works and this helps people come to spring-trap into my page they end up liking my page they'll go to my website they'll ask me questions so now I look like the expert in my market you know so they'll come to me when they have questions and in return they end up buying from me or if they know somebody looking for a house they'll say Ashley you seen Ashley in the video so that means not me saying pick me pick me but it's kind of like saying pick me without saying it you know because I mean she's offering the volume yeah so that's the best advice I'm probably give all my new agents have a lot of new agents you know you have just got to make yourself give out value you need to be the expert in the field especially new agents who don't have any clients like you don't have it kind of vouch for you or refer you know so you start offering value start offering knowledge to make people trust to you know so that's what I do that's what I do so once me let's say that I'm an agent and I'm watching this video right now and I'm like oh man well Ashley super good on camera she looks great on camera yeah but I'm like too shy like I don't want to get on video I don't want to do like what would would be some advice or tips of somebody's like maybe doesn't want to be in the limelight doesn't want to be on camera there's a little bit shy to be on video I know I get that all the time I don't want to know what I'm actually I don't like the camera and I get it like I used to number wanna go live I totally get that the main thing I'll say is you know really like just do it just get out there and the more you do it the better it gets like let me say that and so for YouTube a lot of times I think YouTube might be better because you don't really have anybody watching you you just talk to the camera you don't have to worry about you know people watching you basically at that moment because I'm go live like all the time so I can see when people like come into the live and I'm like oh no it's like two people now it's 20 people in here you know so that can be like going live I need it that's scary so maybe start with video or maybe do like a short video or talk about something that you know really will so maybe you know if you to house maybe at an open house just walk through the house or just practice like I shoot videos like five and ten times until I get the one so I'm taking a selfie like ten Sobeys before I get there right so you know practice and it's like like honestly and Jason this is me being transparent like yeah lot of times I don't want to do videos or I'm a little scared to post something but I just remember my why like I have a daughter who is six like and if I don't work she won't eat so it's kind okay actually it over remember you're why most people who are doing videos are nervous like you are yeah but just just get outside your comfort zone that's where the magic happens no I'm totally with you cuz like I most people don't really know this cuz like you know have a youtube channel and I do videos all the time now but like I'm super introverted and I remember a couple years ago I was like scared to death to shoot the videos but I was like well there's no one following me anyway so might as well reshoot the video so you go back my videos are super crafty towards the beginning and even talking like you're talking about doing lives like when I do lies I'll do lies inside of our groups and like even just like people that know like as soon as I see that number tick up like there's one person on two people on three people on I like I can't look at that number because like just gets in my head so like I mean that I i 100% agree with you you just got it you got to do it you got a practice and even still like as you go through and do it more and more like even after you've done it for a while there's still like you still get that little like yeah nervousness in your head like self-conscious or whatever and so you just got to do it just do it like it's just one of those things just I don't know you just have to do it now I'm with you like as soon it's it's like live my little red button start my okay I just have to turn it on and now people are like Ashley why are you not nervous or how are you not nervous I'm like I'm still nervous I just do it nervous like I still do it nervous oh man so what else what else do you want to share what other feedback or yeah some tricks that you want to share it look so you know it's legit I want to make sure you hear Jason dump Amy videos but this is like what my email looks like when I posted in Facebook and said hey you know it still works my funnel still works so these aren't my emails that have come through on the lead generation and it's just I don't make my lead generation capture too long I just really ask for their email first name and phone number yeah because I think if it's that too many it's not do it mostly you know so in after they do this they go into my funnel and I think I have about five or six emails that they get maybe every day or maybe every other day that just tells them how to get started with buying a house how they can reach me offering some advice or some tips sharing loan programs even if I have a house that maybe just hit the market I'll put that in the funnel so hey check out this house it's coming soon and it hits all my clients you know a lot of times they might not be interested in the house but they'll say I don't really want that area but I am interested in this area can you send me some houses in this area I'm like yes of course I can you know just to get that engagement that dialogue that communication going so it works but that takes time like I had to sit down and think about my email funnels the order I put them in what I wanted them to say yeah you know so it take it does take time but it was easy you just but you just do it you know the thing the thing we're like I like whenever I'm working on a project or something like that and you know putting together an email funnel or anything like this yeah like I I get more motivated if I know it can be leveraged out so what I mean by that like if I had a go spend four hours write an email follow-up and it's just looking for one person it's a little bit but if it's like hey this is good like every single person the next hundred or thousands or tens of thousands of people that come through this funnel are gonna see the same thing it's like man that for hours super leveraged exactly exactly I like because honestly I think the most agents are like this thing if I can have you almost converted by the time I directly talk to you the better like if I've already kind of weeded you out like okay you're thinking about fine thing about buying a year from now okay we really don't have to you know have a sit-down face-to-face conversation because you're not trying to bang for another year or two totally oh it kind of helps me weed out and filter who's ready right now okay your lease is up at the end of the month okay yeah we need to get a face-to-face sit-down gameplan those house hunting you know so it does some of the extra legwork for you if you get if you take the time and instead your buns up we're sure well any any last tips or advice that you want to share with anyone that before we wrap up here um just it takes time it's not overnight I know a lot of people new agents get in the business seeing other agents thinking you know they're gonna be rich overnight and it happens overnight it doesn't even though a lot of times I only posted good a lot of people think that's all it is no I still have deals perla part I still have you know I missed some clients but it takes time you got to be consistent you got to be disciplined I am a hundred percent full time agent um and I'm a mom and I still have to be disciplined like I work at a nine-to-five like it's just it is what it is so um no stay consistent I hope every I'm here if you have any questions subscribe to my youtube channel that's right go check out her you teach and you've got a couple of digital courses right they kind of break down exactly what you do and what you do on social media to tell us a little bit more about that yes so I'm came out with to ebooks basically one of them is for new agents because I know when you get started maybe you don't have a huge budget or you don't know where to market to so I made like a my top ten budget-friendly marketing ideas so you can grab it there I made that super easy it's not open houses not co crawling it's not door knocking for the record I never door not like that was just not something I like to do so I can find things that work for me in my personality so I'll put them all in the e-book you can grab it creative ways and I made a workbook for agents who hate to post on social media that's what I always did I don't know what supposed I don't know how to post so I made a workbook I even put like a Content calendar in there so it tells you what to post for 30 days awesome oh yeah just go grab it give me your feedback tell me if you like it you know I know there's a need so when there's a need I still try to help where I can as a campy hard or discouraging get into the business and not knowing anybody or what to do so you know yeah so Ashley Pickens calm and I'll add all the URLs down below this video so if you guys want to check that out Channel she's just getting started so make sure you subscribe so you can check out all the latest of somebody that is actually putting this into action like we were saying three years ago she was a solo agent now she had she's a broker you have 23 agents right 23 on your team 23 agents a lot of them are super node just to the test so everything I got teach them I try to share it with other people so kind of get leads how to market how to time manage so you know yeah that's what I'm doing now 23 agents and we are growing we just got a new office so we're growing yes I love it well actually thank you so much for taking some time and sharing with us and being super transparent showing us the ads and like telling us exactly what you're doing and same thing guys like go check out her channel because she's just as transparent over there she's gonna keep making video showing you guys exactly what she's doing so if you want to see what success looks like in real estate go check out her channel see what she's doing see how you can model what she's doing and implement into your business and really be able to grow your business in next three years maybe you could be a broker with 23 agents on your team I know god is good let me just say that so yeah and I'm here if anybody wants to reach out ask me any questions I'm always available clearly you all everybody already knows that because you're a much okay awesome well actually thank you so much again for joining us and appreciate you spending the time of course of course against Arsenal it still works after all these years it still works

How to Retire Early from Financial Independence and Real Estate Investing



hey everybody welcome back to my channel my name is Henry in today's video we'll be discussing how you can retire early the average American retires at the age of 62 years old but there are many people that have retired at a much younger age some people retire at the age of 50 40 and even 30 so if you want to learn how to tire early make sure you guys like this video subscribe to my channel and click the notifications bell so YouTube notifies you whenever I post a video now let's get started the first step to retire early is that you need to learn how to properly budget your income and your expenses a lot of times when people receive their paycheck all they do is spend spending the spend they buy things they don't necessarily need they buy things like new clothes new shoes and even go to expensive restaurants just to treat themselves out but if your goal is to retire early this is something that you definitely cannot do do not spend your money on things that you don't need invest and save your money even if you receive a raise at work it is important to save your income and if you receive a raise at work make sure to limit your expenses there are many athletes and lottery winners that go broke within a couple of years this is because they do not know how to properly budget their income and expenses as their income increases their expenses also increase and that is the reason why they lose all their money so what you need to do is make sure that you're sitting money aside for retirement and savings when you receive your paycheck the first thing that you should do is save your money you can do this by putting your money into a savings account you should do this before you spend money on anything whether it be your needs or your wants a strategy cut to fifty thirty twenty rule is a strategy that can help you properly budget your income by utilizing the fifty thirty twenty roll it is almost a guarantee for you to retire early so this is how the rule works fifty percent of your income is medical towards your needs things such as food shelter and clothing on your necessities in life fifty percent of your income goes to things that you need in your life they keep you alive and healthy and thirty percent of your income goes towards things that you want this is money that goes towards something like your netflix bill and then we have 20% going towards a retire counts your savings in your investments and if you want to retire even earlier you can switch the 20% and the 30% so instead of the 50 30 20 roll it would be the 50 20 30 rule so 20% goes towards who wants and the things you might want to do and then 30% of your income goes toward your savings and investments that build up your assets just by switching those two numbers it can increase your chances of retiring and early age so properly managing your expenses as well as your income can help you in retiring early before we get to the second step of this video make sure you guys like this video subscribe to my channel and click the notification spell the second step to retiring early is they should find a way to increase your income there are many strategies that can increase your income one way you can increase your income is by finding something that you love to do and then monetizing it for example if you love painting and creating art then you can find a way to monetize that you can do this by selling some of your paintings online or if you don't have any hobbies then think about working the second job this should be a side job that doesn't take much time and effort because you don't want to be working 60 hours a week for your normal job and then doing that again with your side table another way to increase her income is by investing in real estate so by spending 50 percent of your income on their needs and 20 percent on your wants you can invest some of your money into real estate before investing your money into real estate you have to make sure that you have enough money in the first place make sure you have enough money for down payments and monthly expenses from the rental property but investing in real estate will take a lot of time and effort that is why it is best for you to find something that you love to do so it doesn't seem like work and monetizing that hobby to generate more income the third step to retiring early is that you have to be smart with your investments for example let's say there are two brothers John and Jack John and Jack are both twenty years old each month John puts five hundred dollars into a savings account for the next 40 years John does not just the banks and he does not make any investments but he saves $500 a month for the next 40 years John does not have to pay any interest but does not gain returns John is now 60 years old it has $240,000 now could John retire off of his $240,000 he probably could but it's going to be a little difficult John's going to have to live below his means and he's not going to be able to spend a lot of money but it is possible for him to retire with $240,000 especially if he has social security coming in but retiring at sixty years old with torture $40,000 and Social Security each month it's not going to be very easy now let's go to John's brother Jack but he decides to invest $500 a month instead of saving it Jack is smart with his investments and gets a 7% annual return Jack invests his money into real estate stocks or other investments that are able to give him a return so Jack finds a way to makes em percent per year on his money after forty years of investing five hundred dollars a month and making his 10% return Jack has around 1.2 million dollars at age 60 jack has four times the amount of money John does in his retirement account an odd Jack had to do was invest his money into something that would give him a return this example shows that you have to be smart with the money you're investing and saving and again if your goal is to retire at an early age make sure you save your money and use the fifty thirty twenty role or the fifty 2030 role and second find a way to increase your income this can be done by working a side job or monetizing a hobby that you love and third be smart with your investments and thank you for making it to the end of the video I hope y'all enjoy if you did it make sure you guys like this video subscribe to my channel and click the notifications bell so YouTube notifies you whenever I post a video thank you so much for watching and until next time you

Buying A $0 House: My Real Estate Investing Strategy



what's up you guys it's Graham here so as I mentioned in one of my previous videos I read all of the comments and yes that includes the comments you asked me asking if I read them I read them and it's by doing this that I can see that anytime I get the same recurring question come up over and over and over again then I know it's gonna make for a good video so with that said one of the recurring comments that got on my previous video is people asking me what I look for when I invest in real estate what types of properties do I buy how do I know it's undervalued how do I know I can make money off of it and everything else about my strategy for real estate investing this includes what I look for on rental properties how to buy a property for zero dollars not clickbait and also how to smash the like button if you haven't done that already but for real though this is the type of information some people will charge thousands of dollars for and it's all free here all I ask for is a like it does dramatically help out the YouTube algorithm tremendously and that's why I jokingly asked for it all the time so that's it that's all I asked for so anyway let's go ahead and cover exactly what I do when it comes to real estate investing and hopefully you guys can use this formula anytime you're looking to invest in real estate as well now first of all for those who don't know I practice the buy-and-hold investment strategy I do not flip real estate I do not wholesale real estate I do not invest in the short term I invest with the expectation that I'm gonna buy the property have it create some passive income every single month pay it off over 30 years hold it for a lifetime one day retire in Hawaii and then pray that my future children don't screw it all up by buying stupid crap with it so anyway given that my intention is specifically as a buy-and-hold investor I practice a strategy known as the burr method which is a term coined by Brandon Turner over at BiggerPockets the burr strategy doesn't really have anything to do with the temperature in the room even though I like to keep this about 67 degrees in here but instead what this stands for is buy renovate rent refinance repeat now if it doesn't make sense to you right now don't worry we'll break it down a little bit further and we'll start with the Buy so I buy properties in high demand up-and-coming areas and how do I know if an area fits that criteria well I look for areas that are undergoing a lot of renovation like if you could drive down the street and see properties being renovated and flipped that means that developers know there's enough money in those areas demand flippin also if you see businesses moving into an area that's a really good sign because businesses move where the demand is I also look at properties that are just below the average price of the area I never try to go to high-end because I'm too worried that those tenants paying more money could just go off and buy something instead and when that happens I don't want to have increased turnover and through that increased vacancy and increased cost because those tenants can just go and afford to buy something instead I also never go to low-end either because finding a qualified tenant just becomes that much harder to do I just think slightly below the average is really the sweet spot and it's high enough that you can still get a good caliber of tenant but it's also low enough that it's gonna do well in any rental market and appeal to the largest tenant pool possible like in a booming economy everyone should be able to afford it but if we hit a recession it's still good enough that people can downgrade into that price point now given that I'm buying all of these as rentals what exactly do I look for well I think my specialty if I have a specialty is probably two to four unit buildings now the reason I like this so much is that it qualifies for conventional owner-occupied financing this means that you can get a lower interest rate and better terms on your loan that if you go and buy it as an investment property on the other hand if you get five or more units all of a sudden it's known as commercial financing which means that you pay a higher interest rate and it becomes a lot more difficult to get the loan now within those two to four units I really try to find something with at least two to three bedrooms and two bathrooms this is the sweet spot I found that that combination appeals to pretty much everybody I mean from a family to a single person to a workaholic to someone who just wants a roommate everybody everyone needs at least two to three bedrooms and two bathrooms now if possible I try to avoid 1-bedroom units because they found that fewer people want them and the people that do get them tend to move a lot more often and that means increased vacancy and turnover and more repairs now in addition to that I also try to find a property that needs some minor cosmetic renovation this means that structurally all the internals are fine it just looks a little bit dated maybe the kitchen is a little bit 70s and the bathroom is kind of ugly looking and the landscape is kind of overgrown and maybe there's some peeling paint and just some minor minor things that you can fix up to me finding a property that just needs some minor cosmetic renovations is really the best bang for the buck in terms of getting a positive ROI on your investment now what do I think about buying houses and in fact I'm all for it I don't think there's anything wrong with it and in fact I own three single-family residences myself in fact some of those homes actually make more money than the ones with multiple units now I like houses in particular because there's so much room for improvement and increasing the value like you want to increase the value of your property go and fix up the kitchen in the bathroom go and improve the landscaping go and improve the paint go in and close a patio go and add an extra bedroom or add square footage there's so much you can do to increase the value of a single-family home now in the event you ever want to go and sell it a single-family home appeals to a very wide audience for instance you would appeal to not only investors looking to rent it out but you also appeal to homeowners and as we all know people will pay a lot more for a home once they're emotionally attached to it investors don't get emotionally attached to their properties most of the time but homeowners do and that means you can generally charge a little bit more if someone really likes your house however in general it's a lot more difficult for a house to successfully cash flow when compared with multifamily now don't get me wrong it can absolutely be done but I would say it takes a lot more work and a lot more skill to find the right house than it does the right two to four unit building and then of course because everybody asks what do you think about condos and this is probably one of the most requested comments I've gotten so far on the channel that I don't think I've directly addressed now personally so far I've never bought a condo and I just see them overall as a very terrible investment unless you're going and buying it at such a low price that you can't possibly turn it down I would probably just stay away now my main issue with condos is that you don't have any yard or really own any direct land and there's very little room for improvement like you can't go and add more square footage or build up a second story or redevelop it into something else it becomes very difficult to go and add another bedroom if you needed to or enclose a patio and you're really just at the whims of the HOA for anything that goes on and the HOA fee you really tends just to eat into your profit all I'm saying with is that the upside potential on a condo is a lot smaller than with a house or any sort of freestanding multifamily building another thing many people don't realize is that the HOA fees are included in your cost of ownership any time you go and apply for a mortgage meaning that they will qualify you for less of a mortgage because they factor in the HOA cost unlike if you go and buy 1 to 4 units but anyway what makes my strategy a little bit different is that I incorporate what's called house hacking this is where you go and buy a 2 to 4 unit building you move in one of the units yourself and then you rent out the others and ideally all of the other units should pay for your cost of living and therefore you can live free now the reason that I like doing this is because it allows me to go and buy a two to four unit building under owner-occupied financing which means that I get a lower interest rate it's easier to get the loan and also I can put less money down than if it's an investment property now this part is really important for you to understand that you cannot do this if you don't actually move into the property or you get five or more units you must actually move into the property usually for about 12 months after you buy it but with that said you could go and buy four units live in one of them and the entire place is covered under owner-occupied financing I really believe this strategy is not being talked about enough and it's such an amazing way for you to get an investment property at less of a price long term than if you just go and buy it without moving in the other good thing with doing this is that lenders will often include the rental income that you'll be getting from the building towards your mortgage which allows you to afford a much nicer place than you would normally doing something like that is pretty much impossible to do with a house or a condo but between two and four units this works flawlessly so anyway let's talk about the next part of the strategy and that would be buying a property under market value there's a common saying in real estate that goes something like this it says you make your money in real estate when you buy not necessarily when you sell and that is very very true the price you end up paying for a property will ultimately determine how much profit you make so it's so important to wait and have the patience to hold out until you find a property that's actually worth buying and how do you know if a property is priced under value well the best way that you could start learning this right now or basically this weekend is to go and see every single property that's available in the market that you want to go and see every single property on the market go and see every single property as soon as they come up and then keep track of which ones are selling and how much they're selling for pretty soon after you see 50 to 100 homes you're gonna be an expert and you're gonna know exactly what a property is worth just by seeing it like if you show me any home here in Los Angeles I'll be able to tell you exactly what it's worth it just by going and seeing it in person that is really the accumulation of about 11 years of going and doing this full-time seeing every single home that's allowed me to see what's a good deal and what's a waste of time and if I didn't put in all of the work upfront to learn all of this then I wouldn't be able to do it now in addition to that you can also have a real estate agent look up recently sold properties in the area you want to buy in to then be able to comp the value this means that you'll compare your home with other similar homes that have sold recently in the area and then use that to determine what your property is probably worth but ideally you really want to be so good at doing this that you can just walk through a property and know what it's worth within five minutes that's the end goal by doing all of this is that you can tell without going and looking at sold comps and all of this sort of stuff because it's all in your head buying something under market value like this really just takes time and patience because these deals don't come up every day you're gonna miss out on probably a dozen of them before you find the right one and it really just takes a lot of patience and one more thing I want to mention here is rents make sure the property actually earns enough money to pull in a profit if not it's a loser the rent must cover your mortgage your property taxes your insurance or repairs or miscellaneous and everything else that goes along with owning a property plus enough to make some profit and how do you know how much the property is worth to rent for well I recommend you go and look online and other similar places and see what they're renting for and then subtract ten percent from that number and that's how much your property is probably worth I like looking at Craigslist to see what other people are pricing and properties at as well as looking on Zillow or Trulia or Redfin all of those websites are for the most part pretty much the same and also if you guys are curious I made a video on how to calculate the cash flow of a rental property it's down below in the description if you guys want to go and check that out just make sure to click that link down below oh and one more thing I want to mention when it comes to renovating a property I always just hire it out to a contra I never even touch a hammer or attempt to do any of the work myself so instead I'll find a contractor through either word of mouth or by looking on Yelp and how do you find someone through word of mouth well that's very easy you do it by smashing the like button if you haven't done that already just kidding you can often ask friends or family if they've had any good experiences with someone or you could go and ask a realtor any time your going to an open house who the contractor was oftentimes I'll walk into a house and see really clean work and I'll just ask hey who did the work would you mind passing along their information to me and most of the time they're more than happy to give you their business now in terms of getting the right price for a renovation I always recommend getting at least three bids for any project you want done in addition just to asking the contractor on their own opinion and perspective of what they would do and if you ever have a problem communicating what you want done I would just show them a picture of what you want finished or what your goal is most competent contractors will know exactly what their clients wants and as long as they can see what you want done they'll be able to do it for you and most of the time for my experience by the way contractors will bid you a really high price up front just knowing that you're going to try to negotiate them down in price so make sure to always get multiple quotes and understand what's reasonable for the job you want done and then place those bids against each other to really get them down in price you get the rock-bottom value and also just realize that anytime you renovate a property it is always going to cost you 25% more than you think it will and it's going to take you twice as long as you think it will I've done multiple renovations and this has always been the case even with the most honest contractor things just change and plans change and prices go up and things come up it's outside of your control so always budget at least 25% more than you anticipate and then just double the time frame for it to actually get done and now you rent it out and ideally all of the rent that you get should cover all of your expenses plus some I personally choose tenant to have a stable long term job who have a credit score above 740 who also make three times the gross monthly rent and if they don't fit that criteria I don't rent to them I got to say now I'm pretty selective about who I choose as a tenant just because I've been burned in the past and I will do anything to avoid that happening again at this point I would rather keep a unit empty and lose money on it then choose the wrong that could potentially not pay rent or destroy the place or grow plants in the garage it's just not worth it I also have a video on how I pick tenants down below in the description I will just link to that there if you guys want to check that out after the video go and make sure to check that out link in the description and now in terms of using a property manager it's really up to you if this is something you want to do mine right now are relatively easy to manage I would say it probably takes me about 1 to 2 hours of work per month most of that is dealing with the audio mail or text message every now and then and just making sure rents are paid on time but if you plan to use a property manager just make sure that's already calculated in your estimated cash flow just expect that on average they tend to charge anywhere from 6 to 10% of gross monthly rents so just factor that in if you plan not to manage it yourself now if the numbers make sense and the interest rate is low enough to do this you can then do what's called a cash out refinance this allows you to pull your profit out of the property completely tax-free so now you have all of this cash that you can go and reinvest elsewhere at a higher return now when it comes to me I don't always do a cash out refinance I've done it twice over the last eight years because the numbers have made too much sense not to do it but to me if it works and the numbers add up it's really just icing on the cake I wouldn't 100% rely on it but if it happens by all means I think it's great and then of course obviously the last step when doing this is really just repeating the process again ideally house hack the next one and slowly acquire more and more and more properties over time and if the market goes up while you're doing this then congratulations your properties are now worth more in value and if the market goes down in value well then your buying properties now for cheaper like I mentioned in one of the previous videos all I really care about is cashflow so the value of the property really doesn't matter as long as you don't plan on selling but of course always make sure to have at least six months worth of expenses saved up just in case anything happens this means you have six months worth of mortgage payments and property taxes and insurance and overhead costs just saved up in the event that something breaks or you have a prolonged vacancy or something comes up that's outside of your control this is going to insulate you from anything happening so my real estate investing strategy has really just been this over the last eight years it's the burn method combined with house hacking to get lower interest rates on the mortgage I'm gonna continue doing this just trying to get as many properties as I can now young and can still do this and then I'm gonna sit back and chill and pretty much just have the tenants pay off the mortgage over the next 30 years and my plan is at that time just to keep the properties paid off enjoy a pretty cushy retirement somewhere and just continue making YouTube videos hopefully YouTube is still around I'm just the type of person who doesn't want to obligate themselves to a lot of work I very much like the stress-free lifestyle and no obligation and the pretty much to set it and forget it investment strategy of doing the burn method and house hacking and that's why I've really enjoyed this strategy it's pretty much you put in all of the work upfront and finding the right deal and preparing it and then for the next 30 years your tenants really do all of the work for you by paying off the mortgage and you can scale up as much passive income as you want while you can and then sit back when you're done and just relax and it's somewhat self sustains itself without you putting much work back into it and like I said for anyone watching feel free to copy the strategy for yourself and if you want to learn more about this just research the burr method of real estate investing and also look into house hacking and that to me is really the best of both worlds you get a place to live in for free usually that also makes you money it doesn't get much better than that I'll link to all of my other videos down below in the description that I think would be helpful if you want to learn more about this everything is going to be down below and again all I ask in return for all of this information is just subscribe hit the notification bell hit the like button I almost called it a like bell for a second the like button and that's it and that's and that's all I asked for in return so like I said thank you so much for watching I really appreciate it also make sure to add me on Instagram I poster pretty much daily so if you want to be a part of it there feel free to add me there also going add me on my second channel it's called the Graham Stefan show I'm going to be posting a lot over there I'm gonna try to post two to three times a week on that channel in addition to this one so go ahead and add yourself to that I think we're basically at 10,000 subscribers now over there which is pretty crazy so be a part of it there thank you again for watching and until next time

Real Estate Investing 101: Top 5 Most PROFITABLE Renovations



what's up you guys it's Graham here so I'm here with this special guest some of you may have met him before but those that haven't should probably meet Kevin we're gonna be talking about the most profitable renovations that you can be doing anytime you renovate a property this could be whether or not you intend to flip it or you're buying something for a rental this is probably what's going to end up getting you the highest ROI and let's get right into it I think number one would probably be the kitchen and the kitchen doesn't need to be something that's overly expensive you don't need to spend $50,000 on a kitchen but it does make a huge impact and from what I've experienced the kitchen is really often the selling points of any home whether you're renting it or trying to flip it or sell it in today's day and age it's really the central point that everybody goes to in a house where everybody's hanging out in the kitchen and what's adjacent to the kitchen family-room in the dining room that's the heart of the house the rest of the stuff can be hidden behind walls oftentimes people focus on reball in kitchen before even like the master bath because nobody's really looking at the master bath anyway especially now the number one thing a lot of people are doing is really opening up the kitchen and that's like the easiest thing to do and that's the basic renovation it's just like let's open up the kitchen start with the holy go with the walls and then number two I would say would probably be the cabinetry now yeah and if you're someone like Matt McKeever your market doesn't necessarily need brand new cabinetry you can often just paint the cabinets that are there and oftentimes that's just good enough there are some great examples that you can see online where people take old 1967 these oak cabinets and they either spray paint them white the best color is usually like a Swiss coffee semi-gloss got a little bit of you know Sheen to it and just enough pigment so you can really cover that oak well and some other people now they get into these gel stains where they can turn these old original cabinets a little bit of sanding and then a gel stain of gray or dark espresso color yeah people look like they get these custom cabinets and all they've done is transform the color of old original cabinets now they don't have to fix the walls behind them they don't have to replan the whole kitchen there's a lot of Labor and it's stalling the kitchen in itself yeah I totally agree even things as small as little handles like this oh my god it's so easy and this is something fun to do too you get to go to Home Depot or really anywhere and they're like 50 cents to $2 each it's the easiest thing you can ever do and you can even do it yourself with the screwdriver oh my gosh the and match the hinges while you're at it so all of a sudden take the doors off lights and pain up put new hinges on when you go to reinstall them anyway you're doing the same screwing any way from hinges yeah it is all screw on the $2 hinges and put a nice new one in yeah got a class stuff kitchen for very little money some people say oh I've got a house that's worth $80,000 why would you spend 40 grand on a kitchen remodel which some people do when you can get away spending two three thousand dollars painting and updating the hardware and look at the kitchen cabinetry and you get just as far almost and one other thing that's really important – I think our countertops and this is something that often dates a property and it doesn't need to be very expensive to redo them and I've noticed to some imitation counter countered but they're imitation stones or whatever they are look just as good as the real thing like visually from like a foot away you can't tell until you actually get up there and touch it do you realize like wait a second this isn't real marble and put the but a do P part of it is do P I don't even know if that's a word but people come and go hey is it stuff like it could be I don't know but some of these things too are more durable like marble stands that's one of the biggest things you'd like you set a wine glass down it has like a little wine ring it's a box oh gosh on granite all the day you get a seal it's tough every year even a slight quartz is just like it's but I think I spent like eight or nine dollars a square foot on that quartz but it's white and you put anything down on it and it leaves just just like this nastiness of just the dirt and knowing Graham you got a good deal on that cord sometimes people spend like 50 bucks a foot ya know get the less expensive stuff nobody cares especially because I think both of us always advocate megabee living in the place forever turn it into a rental in the future and why do you want to leave your tenants with some high-end Brazilian marble or Italian granite or quartz or whatever cares it's been the local granite yard and get something cheap agree number-two flooring especially because you're thinking and that long-run mindset that eventually this property is going to be a rental or maybe it's a rental out of the gate don't spend so much on flooring the best kind of flooring you could really get right now is not like a hardwood or some expensive porcelain it's something that's easy to install and relatively inexpensive and that's what's called luxury vinyl plank it's essentially just like a laminate or looks like a wood but it's scratch resistant and waterproof and don't go too cheap on them yes I neither time ended up making this mistake on my first property I ever got I got this laminate flooring and I got it because it was on sale at Home Depot from like a dollar twenty nine down to like 99 cents something on sale but anyway the floor looked amazing and it was super cheap to install and I was able to do for us I'm like 1,800 square feet for next to nothing the problem was that after the first tenant you would end up like spilling things on the floor and when it came time for the tent to move out and another new tenant to move in the floors are kind of like peeling up on the side the edges hand you couldn't find replacement little bits for this and I ended up just redoing the entire place for slightly more expensive laminate flooring and the hard part is installed it's it's the labor it's that's what kills you on on the projects look you could spend two grand on on the material but then you've got the time the property's not available to be rented that's costing maybe a hundred bucks a day and then the fact that people gotta install it the other thing with this vinyl plank flooring is it's great for pets because there are pets on accidents all that stuff is waterproof and like scratch resistance of really into that stuff like and with that too carpet is one thing that was one mistake I ended up making this was one of the tripods I guess the triflex I bought ended up doing carpet in the bedrooms because it was at the time a few hundred dollars cheaper per room and I think we had four rooms that had to go in and like you know so I think I'm like okay we can save like you know $800 so I went carpet but one of the tenants ended up moving out after a year and the whole carpet needed to be replaced and it became more expensive so at that point I was just like you know what you gotta put in laminate and that carpet gets so nasty – you have to go in there with like I really think love yeah so just go laminate honestly just just a decent good-quality cheap laminate will make the biggest difference especially if it's a rental property do you need electrical gloves I do actually thanks yeah yeah one so number three I would say bathrooms the third most important thing you should focus on anytime you're looking for a high ROI renovation a lot of people focus on the bathroom the powder room and also the master bathroom are really important don't know what a powder room is anymore these days I do comment down below let us know if you know what a powder room is Google what is powder I'm gonna quickly post the blog what is powder room so I get those search results there we go but but ya know a powder room just a room for the guests it's it's usually the the bathroom that just has a toilet and a sink in it there's no tea no shower no bath just a little side guest bathroom but these those things are so easy to renovate and you can usually renovate a bathroom maybe like 3 grand 4 grand I think I spent 7 grand on my bathroom and that was everything with a new shower rearranging all of the plumbing tile good like it's not that complicated and often you can buy almost everything you need on sale at Home Depot in terms of vanities and they have whole setups too with just like everything you need diffic it ok for like 400 500 bucks or even like less than that I've seen them I bought one for like $80 shut up for me I don't know where you get sales at Home Depot that's what you want to do to have sales you just go on a sale day and get whatever is on the clearance item and for rentals nobody knows that's a really good takeaway actually is that tenants they generally didn't come from a place of being a home owner or not always but oftentimes the tenants they don't really realize what different qualities are for fixtures and finishes as long as they look clean place is gonna rent yeah I think it's more about functionality function for a rental Vallot doesn't necessarily need to be high-end unless the area demands that yeah if you're going in Beverly Hills do not buy the $80 vanity you're renting anywhere else that's true you know even in bathrooms some a trick that you can do is retiling can be a big portion of that seven thousand dollar budget yes and so now there are companies that will actually come out and they'll do an acrylic coating a spray over all of your tiling that you have pre-existing so what we've done is on properties that are like getting ready to go up for sale or for rent we'll take a property that has this 1950s pink tile – or like green or have you seen those avocado green tiles so original tiles and just mask everything up and spray the tile white acrylic all of a sudden everything's white looks like it's brand new and bonus on top of that all the grout lines are gone another neat addition for toilets is low started carrying this Kohler toilet seat that has this little LED strip in the back of the actual toilet seat it lights up the water and it was forty nine bucks or something like that like there's gonna be a link in the description and Amazon affiliate link if you guys want to borrow my link know if you guys want to buy the coolest line of toilet seats ever I'm gonna find it on Amazon the link is gonna be in the description make sure everybody orders that from my channel so number four I would say is really important any time you're doing a renovation is lighting and one of the best things you can do especially if you're buying or renovating like a 60s 70s 80s property with a popcorn ceiling at the same time you scrape that popcorn ceiling honestly just put in recessed lighting it's really one of the best things you can do and again it doesn't need to be that expensive it adds a huge amount of value Kent lights are awesome especially what I recommend is put them on a dimmer as well and the best thing you could do if LED retrofit kits they're super cheap like 50 bucks put in the hundred watt LED retrofits which sounds crazy that 100 watt equivalent so for LED they're only like 14 watts but anyway those are the brightest ones you can get and you want to get the ones that are 2700 K 27 RK is is the color temperature those are the ones that look warm not that cool blue that looks too you know doctor's office II but anyway you put those 100 water's in way too bright for normal use but you put them on a dimmer so that way people can dim them to sort of a normal comfortable level but when you go to show that property it lights up and looks huge yeah cheap easy do it totally great and while we're on that also scraping the ceilings if you get the popcorn acoustic ceilings you know just scrape them off and use a respirator when you're scraping this no you don't need to do that you just did a hand you just get that don't sue me for saying for joking we're making we're making jokes here sarcasm this is not financial not health related advice alright number five I would say is probably landscape and this is something I feel like a lot of people overlook because they don't think on a rental or any sort of flipped landscape really makes that big of a difference from my experience it really helps set you apart from everything else just to have something that is aesthetically pleasing and again this doesn't need to be something you spend a ton of money doing landscape just something that is clean and presentable and here in Los Angeles succulents tend to be extremely popular and trendy and that is extremely easy to maintain because one of the biggest concerns especially as a landlord is that your tenant is going to go and ruin and kill your lawn and that's a valid concern there's most tenants saying I don't care about the grass and I don't I don't want to water the grass I don't want it my water field at time bunk down yeah yeah this too like the grasses dies but if you do some low maintenance landscape between gravel succulents something ditches they cannot kill is amazing and really help set you apart it just adds to the character and the curb appeal of the house get the perennials these are the ones that last longer term they generally require less watering anyway and they're Hardy for tenants which party intendant's is usually Denison on I agree and also mulch just you get that little little wood chippy looking mulch with weed bear with Weaver you combine the two and that just creates magic it's super easy to maintain and tenants cannot mess that up so that was five tips so far but I think we're just gonna keep going for the few extra bonus tips for those that have watched all the way through you get the advantage of the bonus tips I would say an extra bonus tip would be mouldings yes especially around doors and windows it's when you're replacing the floor usually you put a new base something that's really in right now is a four inch MDF Craftsman style baseboard just google that 4 inch Craftsman style baseboard it's very very sleek and simple the other trick you can do now as well as carry that molding up around door trims and windows really frame those windows since it's so inexpensive to buy this mold and you're usually looking at 50 to 70 cents a foot and then it just gets nailed on after it's painted it's really not that hard it makes a huge difference the thing to know as well is cosmetic additions for a tenant you have to be careful you don't want to go crazy over improving for a tenant but giving a tenant something that makes their property feel a little bit more homey and custom like some inexpensive molding can actually help when it comes time for that lease renewal and they start shopping around seeing what else is available and then comparing the properties that maybe don't have the new hinges and doorknobs or poles in the kitchen or the flooring or this trim molding which is all overall relatively inexpensive that $80 vanity and whatever but maybe it's just enough to help them stay an extra year because turnover is expensive I totally agree you shouldn't but in the very bottom button now on a vest and I thought that was only for a suit no no yeah a little bottom one barely out I don't know I'm gonna have to look that comment below down below let us know on a suit that is not double-breasted you leave the bottom button open I think we both agree on that yeah strap on a vest though you shouldn't button the bottom button I'm 90% sure I've never looked at all let's find out down below and if you watch to the end we're gonna reveal whether or not that's actually the case so as always you guys thank you so much for watching I really appreciate it and make you guys check out that light up toilets a link in the description as is also meet Kevin's channel link in the description but before you check out his channel to check out the toilet seat I'll find the best one on Amazon also if you watch it all the way through and you haven't subscribed yet make sure to gently tap the subscribe button because the problem Kevin subscribed and I'll show you what happened to his phone it's it's it's not looking pretty yeah so that happened when you smash the subscribe button so instead just gently tap the subscribe button also feel free to add us on Instagram I think we pretty much posted there daily so if you want to be a part of it all the links are in the description thank you again for watching and until next time