Epic Real Estate Investing - Feeling Stuck with Buying Rental Properties | 932

Episode Date: February 18, 2020

An old proverb says that luck is what happens when opportunity meets preparedness. If you are feeling unlucky and stuck on your real estate journey, stay tuned! Our Turnkey Girl, Mercedes shares the key things to prepare yourself for that next opportunity and get the wheels turning! Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terrio Media. So you want to be a real estate investor, but you don't want to do the work. If there were only a way where someone else could do it for you, now there is. Tune in here each and every Tuesday on the Epic Real Estate Investing Show for Turnkey Tuesdays with your host, Mercedes Torres. Hello and welcome, welcome to Turnkey Tuesdays brought to you by Epic Real Estate Investing. My name is Mercedes Torres, your turnkey girl, and I help busy professionals acquire passive income through real estate investing so you can retire sooner. Now, when I say retire, I don't mean quit your job and quit working forever.

I mean retire so you can focus on doing what you want to do with your time versus what you have to do. So this show was created to share tips and advice and real life for. real estate experiences so that you too can create passive income in your world. That said, if this is your first time here, glad you made it. Make yourself at home. If this is not your first time here, welcome back. Hey, so thanks so much for reaching out with all of the kudos about the show. I'd love to get your emails and your reviews. And if you'd like for me to cover something, specific about real estate or passive income or real estate investing, reach out to me directly. I can be reached at Mercedes at EpicRealestate.com and make sure you subscribe to our YouTube channel

for your real estate education. That's EpicR-E-I.TV. I mean, Matt goes into amazing detail about every aspect of real estate investing, whether it's your first deal or whether it's building your portfolio or creative aspects on financing your deals, jump in there. I mean, there's a lot that he goes into that's there for your education. So jump at it, dive in, and really take your real estate investing to the next level. And heck, while you're at it, leave us a review here on iTunes or any platform that you listen to because it will absolutely make a difference for somebody else. Cool. So now let's talk about the deal of the week, as I promised last week that I will share the deal

of the week because you listeners, you're all about the numbers. So this last week, the deal of the week was, I'm going to say epic. It was a three-bedroom, two-bath, single-family residence. It was a cottage-style home in St. Louis, Missouri. It had a two-car car port, not a garage, but a carport. It was a beautiful open floor pan. And it was built in originally, I think it was 1959, but it was fully rehabbed by our team just last month. Then when I mean fully rehab, I do mean fully rehab.

We did the roof, the plumbing, the electricity, we did all the painting, we redid the floors. It was amazing. And for that property, that property sold for $99,000 and the rent is $995 per month, right at that 1% rule that I often preach about. So after all is said and done, all of the taxes and insurance and property management is accounted for, and then you also account for your maintenance and your vacancy. We were almost at a 9% cash on cash return. It was like an 8.68%.

And actually, we got it under contract. Let me see. They jumped on it on Wednesday. And over the weekend, we had a family die for the first. that property and we just signed a two-year lease on that house. So that was the amazing deal of the week. So to the Castro family that put that deal under contract, congratulations, because you are picking up a dynamic rental. So let's jump into today's episode because, you know, so many of you feel helpless. You feel lost. In fact, too many people do as if they have no control of their life or their

financial future. And the reality is, you have more control over than that than what you think. There's an old saying that says something along the lines of luck is what happens when opportunity meets preparedness. So picture this. Just imagine there's two gentlemen walking down the street on a really, really windy day. And the wind blows a piece of paper up right in front of the two men that are walking down the street. And I mean right in front of them. Now, this piece of paper catches the boy's attention. And the first boy looks over at the piece of paper and just totally ignores this piece of paper. You know, after all, it is a windy day and, you know, air is pushing up trash and leaves and papers and what have you. He didn't even pay attention to the piece of paper.

He focuses on the block ahead of him, but the second boy, well, it piques his interest. And he just leans down to grab that little piece of paper, picks it up and reads it up and read realize that's a $20 bill. Hot damn, that second boy picked up that piece of paper and just scored 20 bucks. So is the second gentleman luckier than the first? No, not at all. I mean, think about it. They both had the opportunity because the wind was blowing up this trash and among that

trash was this piece of paper that was 20 bucks. They both had the same opportunity. The second boy had the same opportunity as the first boy. The bill crossed the boys in front of them, and one of them was prepared to act. So when it comes to financial manners, it's important that you keep your eyes and your ears open and to know, and I mean really know, when, when you're it's an opportunity for you to take advantage of. Now, it's super clear that when it's something new or something different, fear tends to, you know, paralyze you, if you will. And the one thing you need to keep in mind is that the only way you are going to seize the moment

is if you make a decision to take advantage of the opportunity when it crosses your path, specifically a cash flow opportunity. So don't be blinded by the naysayers. Don't be blinded by what the media may say about cash flow. And don't let people pull your dream down of creating passive income in your world. So I want to focus on a few things that are going to let you see the opportunities that are placed in front of you. First, focus on income producing assets. When it comes to finding an opportunity that could potentially be an opportunity, because in many cases,

you may not know it truly is an opportunity, but focus on those things that are going to produce income with you doing minimal work after the first or second time around. So could be a side hustle, could be a virtual business that you create online, could be stocks, could be real estate, could be Bitcoin, but think of all of the things that I just mentioned. It would require you to do a little bit of work up front so that you can reap the benefits of having it produce a residual income known as a passive income. Find it. Go seek it and find it. Then understand it. And once you understand it, invest in it. And what I mean understand, I don't mean specifically for real estate investing, you don't necessarily have to know every single

little nuance there is to know about real estate investing. Face it, there is so much to learn about real estate. You are not possibly going to learn it on your first or second deal. This is when it comes to play when you should consider mentors or partners that. are experienced or turnkey operations, anything that would allow you to jump in, both feet in, but not necessarily know every single little thing before you jump in. So as Matt often says, travel as far as you can see because when you get there, you will see further. Next, start as soon as possible. I can't tell you how many people I come across, I mean on the daily, that are waiting for something. They're waiting for the next opportunity. But the opportunity

never comes because they're too busy waiting for it. And they're too busy analyzing every little single aspect of what could potentially be an amazing opportunity. Get started, even if it means baby steps, get started like now. You know, I have to share a story with you that that resonates with me because it just gets to me every single time. So it's no secret that I, I'm lucky enough to be asked to speak at real estate events and RIA groups and real estate conferences, even at our own epic intensive. And it's wonderful because you hear me speaking here and then you go meet me at an event. And it's amazing that you and I can look into each other's eyes and have a full on conversation about something that I may have said in the

past on one of our podcast. Well, this gentleman had been following us, oh, he said about five years. I mean, he knew everything about Matt and I. He knew what great. He knew what great. grade Mateo was in. He knew where we lived and what we were up to. He knows that we're huge Laker and Dodger fans. I mean, he knows everything about us. And so he came to our event and he's like Mercedes, I'm going to do it. And I said, great. So I gave him everything that we could possibly give him so he can get started on his own. He started with the Epic Pro Academy. Then he did your first deal. I mean, he knows everything about epic real estate. So he fell off the face of the earth.

I hadn't heard from him for quite some time. And just randomly, I thought, you know what? We had an epic intensive. Emails went out and he reached out to me. This was like four years later. Sure enough, he RSVPed for the epic intensive. He shows up at the event. I was so happy to see him.

And I said, hey, what's the? up? What have you done? What kind of deals are you jumping into? And he looked at me just so sad. And he said, I still haven't done my first deal. And it broke my heart. I said, you've been following us for four years. Plus, by this time, it had been like a total of nine years. And he still had not done it. And I said, what's the problem? What's stopping you? And he just said, I suffer from analysis paralysis. I want to know everything there is to know about real estate and I can't seem to pull the trigger. Listen, I have been doing real estate since 2002. I have done over 1,500 transactions. And to this day, I can honestly tell you, I still don't know everything about real estate. But I tell you this, every single time I do a deal, I learn something. And I've been doing

this for a heck of a long time. So to the person that's just getting started or to the person that's growing your portfolio, trust me, my friend, you are not going to know it all. To the newbie, just get started. Get started as soon as possible. Because I promise you tomorrow is not promised. Finally, once you get started and once you jump into real estate, once you start seizing those opportunities, diversify your investments, whether it's Bitcoin or whether it's the stock market or whether it's real estate, because you all know, I love real estate, diversify that portfolio.

And specifically if it's real estate, diversify property type. Diversify your property management teams. Don't put all your eggs in one basket. If you are in one market, please consider having multiple property management teams. Because let's just imagine you have six rentals with one property manager,

and that one property manager happens to die. My friend, it has happened to me. I have had a property manager die on me and left my rentals just on their own. And their property management team in-house was not the best. So diversify your property managers. Diversify your markets. Even diversify your price points. If you have six properties, have three properties in the

$100,000 range and have three properties in the $180,000 to $200,000 range. I promise you, it will make a huge difference. I often share all of these little key points and these tips because I speak from experience and after so many transactions and so many deals and so many wonderful people that I've have the opportunity to connect with just while I speak at RIA groups or while we do the epic intensive, I see why people get stuck. And for the most part, it's the fear of losing money and it's the feeling of being stuck. Don't get stuck. Unstuck yourself and do something different. different than what you're doing now.

Because ladies and gentlemen, the definition of insanity is you doing the same thing over and over and over again and thinking you're going to get a different result. If you're feeling stuck, take a baby step, however small that it is, but just do something different different. I, at one point in my real estate investing career, felt stuck too. And the only way I unstucked myself is I went out there and I did something different. I connected with the team, created a relationship, and just made the first step to make a difference in my world. If I did it, you can do it too. Now, if you need help getting unstuck, reach out to me or my team. We are here to help you.

Go to cashflow savvy.com. That savvy with two Vs, hit the contact me or email me directly, Mercedes at Epic Real Estate.com. I will always respond to you. It may take me a day, may take me five days, but I will always respond to your email. Ladies and gentlemen, that is it for today. I hope I was able to get those wheels turning and to help you feel unstuck so that you two can create passive income in your world. Until the next Turnkey Tuesday, have an epic week. Do you have doubts about your current plan for retirement actually panning out?

Imagine revolutionizing your retirement plan so it pays you right now and in retirement. Change one thing one time, and that revolution can be yours. That's bad news for Wall Street, but great news for you. We're cash flow savvy, and we'd like to offer you free information that will show you how one simple tweak can cause your retirement plan to pay you right now and in retirement. And it's yours for free. For the secret your financial planner doesn't want you to know, go to cashflowsavvy.com. That's cashflow savvy.com.

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