Epic Real Estate Investing - From Cubicle to Cash Flow: The Real Estate Investor's Escape Plan | 1262

Episode Date: April 21, 2023

Looking for a way to break free from the 9-to-5 grind and start living life on your terms? Look no further than right here. We're diving into the world of real estate investing, with inspiring stories of regular folks who turned their lives around, cash flow deals that will make your head spin, and expert insights on turnkey real estate investing. But that's not all—we've got heartwarming stories that'll warm your heart and make you want to adopt a pup of your own, the latest updates in the world of digital currency, and even news from the world of sports. So if you're ready to turn the key to financial freedom and start living the life you deserve, press PLAY! P.S. Whenever you're ready... here are 3 ways I can help you become the healthy, wealthy, beast of an investor God designed you to be: 1.    Become an Epic community member at “Epic Real Estate Investing.” One of Mercedes’ and my favorite things to do is share with investors real estate trends, interesting guests, and housing market news. We do it every week, and you can listen in by subscribing to Epic Real Estate Investing on Apple Podcasts - Click Here. Or WATCH HERE on YouTube. 1.    Become an Epic partner (I'll pay you) If you want to go deeper and further as a real estate investor, looking into my partner program to help you get your first deal might be the move... take the first step here for free. 1.    Work with me One-on-One If you'd like to work directly with me on your business... meet me here, answer some short questions, and we'll hop on the phone to brainstorm some cool ideas for you and your market. Also...check these out :) FreeEntity.com (Need an LLC? Get one for almost FREE) DealEngineer (Most powerful data for finding motivated sellers) TrueProfit.net (Less stress and greater profits for your real estate business) Learn more about your ad choices. Visit megaphone.fm/adchoices

This is Terio Media. Are you tired of the daily grind, sick of slaving away in a cubicle day in and day out? Well, I've got some good news for you. I'm going to show you how to break free from that nine to five and start living your best life. We're talking real estate investing, the ultimate escape plan. We've got the key steps to take before telling the boss to shove it, cash flow deals that will make you jump out of your seat, and inspiring stories of regular folks who turn their lives around.

But that's not all. We're also talking jackpots, golden retrievers, the Boston Marathon, Tiger Woods, crypto, and so much more. So sit back, relax, and get ready to escape that cubicle and start living your best life. Let's go. Hey, strap in. It's time for the epic real estate investing show. We'll be your guides as we navigate the housing market, the landscape of creative financing strategies, and everything you need to swap that office chair for a beach chair.

If you're looking for some one-on-one help, meet us at rei-aise.com. Let's go, let's go, let's go, let's go, let's go, let's go. Let's go. Hey, are you tired of the 9-5 grind and find yourself daydreaming of financial freedom and exotic vacations? Well, it's time to put on your cape and unleash your inner real estate tycoon because today I'll be your personal guide through the thrilling world of starting a profitable real estate investing business while working full time at something else. So you're ready to discover your hidden potential? I got five things for you that will do just that. First things first, let's tackle the fear because this is a scary proposition for most,

taking those first steps from a steady paycheck to a new life of freedom and unlimited income potential, only because it's unfamiliar though. You see, you're entering your own personal uncharted waters. I get it. There's a bright side to this, however, when considering a smooth sea never made a skilled sailor. And if we face those stormy waters together, it'll be. even easier on the nerves as we build a rock solid foundation for your real estate empire. That fear can be further reduced by diving into real estate information and education.

And there's a bunch of it available. You know, whether that be books, podcasts, online courses, YouTube videos, there's more than enough to give you some insight, build your confidence, and develop your vision. You'll want to know, though, before you get too deep into educating yourself, that there are a million ways to make a million bucks in real estate. But you only need one. I say that because it's real easy to get into information overload and be absolutely paralyzed by everything that you've just learned. You don't want to do that.

Further, you don't need to know everything before taking some action. Dr. Martin Luther King famously said, you don't need to see the whole staircase to take the first step. Now, I doubt he was talking about real estate when he said that, but that advice would certainly apply if he were. Second thing, and this has to do with what I know what you've been thinking about for a while, likely have been. How can I juggle my job and real estate investing without losing my sanity? I don't have got enough time. Hey, no problem. With a little bit of time management wizardry, you'll be able to balance it all like a pro.

Start by utilizing the spare time that you have to research properties, analyze deals, and network with other investors. You know, work breaks, lunch, TV time and weekends. Pretend you are a time management ninja, stealthily seizing every opportunity to advance your real estate knowledge and skills. It's really all about just setting priorities and embracing the time on. wisdom that if it doesn't get scheduled, it doesn't get done. So do that. Schedule it. Create a schedule and let it be your guiding star leading you toward your real estate dreams. Consistency, commitment, and discipline will be your secret weapons in the battle against the Monday 9 to 5 life you're trying to escape. Both successful people and those who struggle aren't fans of discipline,

by the way. However, the successful ones push through their dislike, driven by the unstoppable force of their dreams. So when you reach those moments when you feel like quitting, Remember why you started in the first place? Third thing, navigating a world away from your comfortable nine to five, that can be daunting. But with the right mentor by your side, you'll be unstoppable. You know, a mentor, it's like your personal Obi-1 Canobi, guiding you through the galaxy of real estate investing. And don't underestimate this, or even worse, disregard it completely. Sarah, Blakely, you know who she is?

Let me tell you, she was selling fax machines. You remember those? She was selling those when she decided that she wanted to leave her corporate job to create a new type. of undergarment for women, but she had no experience in fashion or manufacturing. So she sought out a mentor, and through massive action and determination, she connected with Richard Branson. And thanks to his guidance, Sarah launched Spanx and became a billionaire. And the same goes for many of the real estate moguls that we know and love.

Yeah, real estate is no different when it comes to mentors. Stephen Ross, you know him? Yeah, the real estate mogul behind some of the world's most iconic projects, including 18 million square feet of commercial and resident. space in New York City. Talk about building big. Stephen was mentored by Robert Tishman. And Jeff Sutton, the real estate tycoon, who bought enough discounted retail space in New York and converted them all into some of the city's most prime properties. That made him a mega billionaire. And he learned the ropes from Stanley Chera and Donald Bren, the real estate developer,

developing massive communities for decades, including the iconic Irvine Spectrum in California. He was mentored by Arthur Rudolph. So if you want to go further and faster, seek out your very own real estate Jedi Master. Local meetups, online forums, re-meetings, those are all good places to start. And if you want to discuss what that type of relationship looks like here at Epic, head over to r-e-i-a-a-a-ease.com. Answer a few easy questions. Pick a convenient time for us to hop on the phone and then we'll lay it out for you.

Although you can, you don't have to make this journey on your own. I mean, imagine if Sarah Blakely chose that path. We'd still be living in a world where guys have to play the Does this just make me look at the game on date nights? Your mentor will be an important part of your support system, cheering you on every step of the way. With one, it's infinitely easier to conquer your fears and achieve greatness. Fourth thing, and there's one more after this,

but the path to the amazing opportunity ahead and overall success is to take massive, determined action. You see, the imbalance of too few homes and too many people, that imbalance that exists today, presents one of the greatest entrepreneurial opportunities for the average person over the next 10 to 15, maybe even 20 years. Now, depending on when you're watching this, it might not feel like that at the moment, but that dynamic exists.

Investing in real estate the right way, it's like the gold rush of the modern age, and you have the opportunity right now to stake your claim. With your newfound knowledge, a solid plan, and the support of your mentor, you can navigate the real estate world without taking unnecessary risk either. Fortune favors the bold. It loves to give high fives to the daring. But with a solid game plan, even the timid can sneak up and snag a fist bump of success. So don't let the small stuff stop you.

And it's all small stuff, by the way. Toss caution to the wind a bit, plug into a proven process, and leap into action. The world's your oyster. And when would right now be the best time to crack it open? Last thing. As you embark on this exciting journey, stay positive, stay committed, and stay open to learning. Celebrate your wins and learn from your mistakes. Just like every superhero has their origin story, your real estate journey will be filled with epic triumphs and valuable lessons.

So embrace the adventure with consistency and persistence and a little bit of patience and witness your dreams away from the 9 to 5 become your reality. You are the hero of your own story. As you venture forth into the thrilling world of real estate investing, remember that you have the power to change your life and create a legacy that will be remembered for generations to come. Because we all have two lives. And the second one begins when we realize we actually only have one. I mean, what do you really put here on this earth to just work and pay bills? Because life, it's getting a little weird right now. I mean, I see it kind of like a game of janga at the moment.

You never know when it's going to come crashing down. So you might as well take a risk. Make a bold move and live like a rock star while you still can. Worst case, you got to live a bit. Best case, you're a rock star. We'll be back with more right after this. You think you understand how this business works, but you don't. Landman, TV's biggest phenomenon returns to Paramount Plus.

From Taylor Sheridan, co-creator of Yellowstone, starring Billy Bob Thornton. You have to know the rules of the game and bend them. And you really have to know them to break them. Demi Moore. I want success. Get it for me. Andy Garcia, Ali Larder, and Sam Elliott. You don't even know the other game we're playing, do you?

Landman, new season, now streaming. Only on Paramount Plus. us. Ever hear someone say, I have too much money? Me neither. Let's get you some more. Back to the show. There's a holiday that's been lost in the shuffle,

overshadowed by the sparkling tinsel of Christmas and the pumpkin-spiced shenanigans of Halloween. But lo and behold, it's a holiday that gives us the chance to celebrate all those other holidays. I'm talking about Earth Day, the unsung hero of the holiday calendar celebrated every year on April 22nd. You see, the greatest investment on Earth isn't stocks, Bitcoin, or even those irresistible beanie babies. Nope, the greatest investment is the Earth itself, our ultimate piece of real estate. And as aspiring real estate tycoons, you know the value of owning a slice of this big blue marble, but let's be straight.

Sometimes you might feel like you're stuck in a game of monopoly that just won't end. unsure of how to get that sweet, sweet financial freedom that drew you to real estate in the first place. It's okay to feel overwhelmed or even angry when things aren't going according to the blueprint. But don't fret. You're not alone in this adventure. Real estate investing can feel like a roller coaster ride with more ups and downs than a caffeinated kangaroo. But when you emerge on the other side, the sense of accomplishment and the rewards are worth every twist and turn, the tax deductions, the generational wealth, and the freedom that comes with a successful real estate empire, it's like finding the golden ticket to Willy Wonka's

chocolate factory, as the great Winston Churchill once said, success is not final, failure is not fatal. It is the courage to continue that counts. So on this Earth Day, let's not only raise a glass to our incredible planet, but also to the power of real estate as the ultimate investment. Let's come together like the Real Estate Avengers. Let's adapt, innovate, and create a brighter future for ourselves and the generations to come. Are you ready to assemble? How about a trip to Vegas to sharpen up your marketing game? Want to dive into some outside-the-box creative acquisition strategies? We have a limited number of spots available and as an early bird you can snag a 50% discount if you move fast enough. Using the promo code, Earth get all the details at adaptorsadvantage.com.

The time is now. Go to adaptorsadvantage.com. If you like what you see, they use the promo code. Earth, score a 50% discount for a very limited time, and start packing your bags. It's Vegas baby Adaptorsadvantage.com promo code Earth. Today's deal of the day is located in Morris, Alabama. And tell us what the numbers are. Looking for a hot and spicy investment opportunity, check out this ranch-style property, now with a discounted price. Built in 1971, this beautifully renovated home. home boasts 1,445 square feet of spacious living with new roofing hot water heaters,

HVAC, and upgraded electrical and plumbing. The interior features freshly painted walls, matching floorings, and a stunning kitchen, while the exterior offers a wide stretch of land perfect for outdoor family gatherings. Plus, it's already rented out at $1,195 per month with a one-year lease in place. What a deal! Located within easy reach of schools, shopping, and entertainment, this home offers, the perfect balance of privacy and convenience. And with great access to major highways and intersections,

getting around is a breeze. Don't miss out on this unbeatable investment opportunity. To learn more about this property and others like it, head over to cashflow savvy.com today. She's been helping busy professionals for more than a decade now build passive cash flow with real estate so they can take their foot off the gas a bit and enjoy the good life. Let's raise our hands, unless you're driving, of course, for the turnkey girl, Mercedes-Torres.

Hello, and welcome back to the epic real estate and investing podcast. My name is Mercedes-Torres. I am lucky enough to be partners in crime with Mr. Matt Terrio, the guy who created the epic real estate empire. So, as you may recall, several weeks ago, I did a segment about multiple benefits of cash-flowing properties. And I broke down how amazing real estate is for your financial future, for your legacy, for creating generational wealth. And I just happen to think it's one of the best weapons against inflation. So, as you heard me say, and you hear me say often, because man and I repeat this regularly, that real estate is the final frontier where the average person has a legitimate chance at creating real wealth.

And I would happen to argue it's one of the best ways of creating financial feature. Sadly, however, many of us live in markets where cash flow, well, it's just not an option. So I decided to share the markets that have been working really, really well for me and for my clients. And so here at Cashful Savvy, we provide our clients with fully turnkey properties that do cash flow. And these properties are located in markets strategically across middle America where Matt and I have been able to prove that real estate works from a distance. I mean, it actually works. Now, of course, we've built a business out of it. And it's been in business for luckily over a decade, knock on wood. And truly, I have to say that it's not because of me. It's because of the teams on the ground. And you often hear me say when it comes to real estate that it's all about your team on the ground.

It's all about you, the quality of your rehab. It's all about your property management. And luckily, I've been able to build amazing teams on the ground. And the relationships we've created have made all the difference in the world. So as I shared last week, I was going to bring an expert like the cream of the crop, if you will, of all of our markets. and I'm going to introduce to you the markets that are actually working, that are providing solid returns for our market and that create cash flow and build wealth for our clients. So today, I want to introduce you to someone that I work with closely and regularly in my

Birmingham, Alabama market. Now, I will introduce you to Stephanie. She is a rock star, born and raised in Birmingham, Alabama. She's been doing real estate for 13 years. She went to Birmingham Southern College, where she majored in business, and she is now a proud mom of two little ones. So don't ask me how she handles a full turnkey operation and two kids under the age of five. But I will say, Stephanie just really gets it. She gets real estate.

She's on point. She's committed. I mean, she really understands. the Birmingham Market. And I will just have to say she is flat out epic. So without further ado, Stephanie, thank you for joining the Real Estate Investing Podcast. How are you? Thank you for having me. I'm so excited to be here. I'm doing great. How are you? Fantastic. I want to know, do you do podcast interviews regularly? Not regularly, no.

Oh, good. Well, I'll consider myself privilege for having you on our podcast. Love it. So, Stephanie, tell me, tell me a little bit about you. Tell me about where I know you're originally from Birmingham, Alabama, but tell me about what it's like growing up in Birmingham. So like you said, I am born and raised and native of Birmingham. I love it here. So I'm a huge travel buff. I love to travel. I love to see the world.

I would go anywhere and everywhere. And I've been fortunate to travel a lot. But Birmingham has always been home. Birmingham is a wonderful place to raise a family. We are very blessed that both my husband and I's families are here. We have a huge friend group, a support system here that's just wonderful for all of our kids are growing up together, second generation Birminghamians. So we just love it here.

We find it's a great place to live. It's a great place to work. And it's a great place to raise a family. I would argue it's one of the better places for just good old food. Southern food. I know I get spoiled by my teams when I go. So I get the best of the best food. But you do have some amazing cuisine.

Let me tell you. Well, you know, I'm a foodie. That's one of my hobbies as well. So I would definitely agree. We have several James Beard Award-winning chefs. We have some fabulous restaurants. Of course, we have good old Southern food. But we have really everything.

And it's just a really fun city to visit if you like good food. Ah, that's, I will take that up. Thank you. So tell me, Stephanie, you talk wonders about just Birmingham in general, and you've been doing real estate for 13 years. How did you fall into real estate? Was it a family business or is it something that piqued your interest? Tell me all about that. Yeah, that's a great question. So I have been in sales since I left college and I was actually in a position where I was traveling a lot. I worked in Birmingham, but I would travel a lot to do outside sales. and I would listen to audio books when I was on the road. And I was listening to, you know, all the big successful entrepreneurs out there. And I realized that so many of them had a good portion of their income coming from real estate. And so I thought, okay, well, obviously, this is something that I need to look into and I want to learn more about.

And so I've always been fortunate. I've been in sales. So I've had some flexibility with my schedule. So I went on and got my real estate license and just kind of, played around with it for a little while, sold some houses to friends. And then eventually I met Merv, who's the owner of our company. And we talked for a year or two, just getting to know each other while they were kind of getting the business started. And I realized that this is what I wanted to do full time. I really, like you mentioned, I'm very passionate about real estate, especially being able to

help people grow their portfolios through cash flow real estate. And so I took the leap back in 2000, end of 2013, and I've been here ever since. Wow. Okay. So you weren't part of the market collapsing in 2008. So you started coming in right when it started to get good again. Well, yes and no. So I actually bought my first house in 2008.

I was a townhouse that I lived in and I actually rented it out to my friends. So that was successful. But I bought at the peak of the market. And then when we actually sold it to buy the house we're in now, we took a huge loss. So we ended up like learning that. less than a hard way. To answer your question, yes, I was kind of on the upswing when I got into real estate as a career. That's awesome. So did your parents do any real estate, you know, while you were growing up, did you ever see that from them? What did your parents do?

So my parents are both a Methodist. So they didn't do it by trade, but they were always very successful in real estate. They owned a few vacation homes that we bought and sold over the years. they were always very fortunate to buy well and sell well. And so I watched that and I saw how successful they were with that. And although it wasn't their career, they always enjoyed it. And so I guess I kind of got some of that from them. My husband's family is in real estate and he grew up going to open houses and doing all that kind of stuff.

So he has a passion for it as well, even though he doesn't do it full time. I love it. That's interesting, actually, to have the husband, the one that grew up in the family, not in that business. I feel like so many of the people that we work with, they fell into real estate because it was just the family thing. So they were around it all their lives and they just grew into that. So you talked a little bit about Birmingham, about how beautiful it is and how great it is to raise a family. Tell me about the logistics of Birmingham, specifically why it's such a great cash flowing market. Because it's been really good to me personally. And it's been even more

amazing to my clients, but I want to know what makes that market what it is. So give me your insight about that. So looking at logistics, Birmingham proper, which we would call like the downtown Birmingham area is about 200,000 people, but the metro is about 1.1 million. So that's all the suburbs that surround Birmingham like city. So we invest primarily in the suburbs and that area is continuing to grow. So several of the reasons that we like it, it's actually been ranked number two for lowest property taxes. That's Alabama in general. We, Birmingham was ranked number seven, most affordable market. It's one of the most affordable cities, period. It was ranked number one by Forbes for America's most affordable cities. We're very diversified in our job opportunities. We can get

into that somewhere if you want to, but we're starting to bring in more tech opportunities. We're trying to grow with the times. We're continuing to get new infrastructure and to revitalize our downtown area and to try to bring in more opportunities. We're consistently rated one of America's best places to work and earn a living based on our competitive salaries and our low living expenses. So there's just a lot of opportunities for people that are bringing them to Birmingham. We also have about 46% of our population that rents. And in some areas, it's even higher than that. So, we have a very large rental pool that is constantly feeding into our properties. So it's just a place that's steady as far as tenants looking for good quality homes.

Yeah. Let's talk about a little bit when you talked about there's a lot of opportunity and growth. I know that so many of my clients several years ago got really lucky in Birmingham when Amazon stepped in. And I meant like lucky to where their property appreciates. more than I had even factored in. And I'm a total conservative person when it comes to our analysis. So I'll say that we appreciate like 2% when I know it's more than that.

But they got really lucky with appreciation on their property. And they also got really lucky on appreciation with their rents because of that. So Amazon just recently joined Birmingham. I think it's been like maybe three years. what other companies aren't in the vicinity or are thinking of coming into Birmingham? Yeah. So we are actually the number three country or county for auto manufacturing. So Alabama is the number three in the country for auto manufacturing. So we have a ton of auto manufacturers that are in and around our area, including Mercedes, Honda, Toyota, auto car.

And they're all manufacturing. So it's a lot of jobs that are in that industry, but there's also a lot of parts manufacturers that want to be close by to feed into the auto manufacturing as well. So that in the last like 20 years has really grown in our market. Birmingham, our number one employer is medical. So of course, that's an industry that's only going to continue to grow as everybody gets older. So that is number one is healthcare. Then we also have a really big telecommunications presence.

We have a huge banking presence. I think we're number three in the southeast for banking hubs. Like I mentioned, we're continuing to grow on the technology side. We're very big on just diversification. So we're not dependent on one industry. Steel used to be our bread and butter. That was like our claim to fame. That's why we were called the Magic City because the steel industry took off and it was like magic.

But that has kind of changed in recent years. A lot of that is going through China now. still we're continuing to diversify and find new opportunities. That's crazy. I did not know why Alabama was called the Magic City. You just, after years and years of investing there, I just learned something new. I love it. There you go.

That answers why 46% of the Birmingham population are renters. It's because there's so many job opportunities there. And most people could afford to rent but can't necessarily afford to buy. That is awesome. Tell me about the school districts in the areas where we invest, specifically where our properties are. What would you categorize our schools to be in these areas? So in general, Alabama has good schools. Some areas, of course, are better than others. The area that I live in is just excellent for school systems. And the areas that we invest in are still good. They're not as good, but they're still decent schools. A lot of people live in those areas because they're the safest,

best places that they can afford. So they're still good school systems, but they're not as great as some other locations. Actually, one of the city schools is ranked among the top in the country. So it just kind of varies depending on where you're located. But overall, let's say all of our public schools are in good shape. Yeah, that is something that I'd have to say is absolutely true. Just because based off of my own portfolio, I just tend to choose, I don't tend to choose properties based on the school system, but renters are, they're either all about the school or don't really

care. So, yeah, it's interesting. I like to say diversify your portfolio for that same reason. Let's talk really quick about your market being an appreciating market or being a cash flow market. I often talk about it's very difficult to get both. Among all of our markets in the United States, you either play for appreciation or you play for cash flow. You don't normally get both at the same time. Occasionally, you'll get lucky, but not, not usually. So what would you say Birmingham is? Is it more of an appreciating market or is it more of a cash flow market? We are absolutely more of a cash flow. We say you buy for cash flow and appreciation is a bonus. And a lot of our investors have been very fortunate in the last few years. As you know, the market across the country has continued to

grow and Birmingham has been right there with them. We've had exceptional appreciation in the last few years, but I still say if anyone is investing in our market, you buy for cash flow and appreciation's a bonus. Of course, we anticipate long-term appreciation. Our average is around 3%. It's been higher than that in the last few years, but we still like to say, anticipate around 3% and then just buy the properties based on the cash flow. Yeah, that's very, very true. So we'll dive into the numbers because people like to get into the nitty gritty in just a moment. But before I do, I want to ask about your, the state in general. Would you say that it is an investor friendly state or is it more of a tenant friendly state?

I actually, so I know the answer, but I did a little research before we talked. And Law Depot.com ranked Alabama number one landlord friendly state in 2023. I thought that was pretty cool. That is very cool. I didn't know that. I would have to agree. And I've experienced amazing run in Alabama, but I've also experienced some evictions.

So let's dive into that to walk me through if we have a nightmare tenant and we have to evict them. What's about the time frame it takes for somebody to be evicted from a Birmingham property? So it's going to depend. But in most cases, the rent is due on the first, is laid on the fifth, and the tenant has through the end of the month to pay. So our policy is if they have not paid by the end of that month, they're getting a letter

and they're getting a notice that says basically pay up or you're going to go through eviction. And so if it has to go through the formal court system, it can take maybe 30 to 60 days, depending on how long and how backed up the court is. But we as a property management team always try to do whatever we can to avoid that. As you know, going through the court system in any state is slow. and can be dragged out. So we're going to do everything we can to either get them to pay or get them to move out of the property before we have to go through the formal court system.

If we do, we can do it fairly quickly relative to other states, but it's still never like super quick. Right. So when you say fairly quickly, are we talking about two weeks, four weeks, six weeks, or are we talking like six months? So I wrote this. I got this actually from landlord.com because I thought this was interesting, or from Law Depot, is that if the tenant doesn't pay the rent or violates other lease terms,

the landlord can deliver a seven-day written notice to pay rent or remedy the breach. If the tenant does not remedy to issue, the landlord can terminate the lease and pursue an eviction. If the tenant commits legal acts on the property, the landlord may evict them without giving a second chance. In this case, the landlord must deliver a notice informing the tenant that they have seven days to move out. So that is how we can get them out a little bit more quickly.

But if it does have to go through the system, like if we have to go before a judge, I would say you're probably looking at, 30 to 60 days. Okay. So that's not bad. I mean, I know I've heard of cases in Los Angeles where it can take up to eight months to evict someone. So I'll take 60 days over eight months anytime. Awesome. Okay. So let's talk about before we get into the numbers, what is the sweet pocket of the average renter? So when I say sweet pocket, 46% of the people in Alabama a rent. What would you say is the medium price that people can rent at, rent price?

I'd say around 1,000 is probably the average for a rental market. We do have, obviously, some that are much higher than that and some that are lower than that. But for our turnkey properties, I'd say we average probably around 1,1100. Yeah, that's about right. Awesome. Okay, so let's dive into numbers really quick. So I know our sweet spot here with cash flow savvy. Do you? Do you? usually between the price point of about 120,000 to call it about 180,000, 1090,000 per property. Now, believe it or not, ladies and gentlemen, those of you listening to me in California, you can literally buy a three-bedroom, two-bath house for $150,000. To some people, that's a mind-blown, Stephanie.

But, okay, let's just say that we have a three-bedroom, two-bath house for $150,000. What can we expect that to rent for? And ballpark-ish, what are the taxes on that property? Yes. So our $150,000 properties right now are running about $12.50 a month. And taxes in general in our market are one to one and a half percent of the purchase price. So in that case, would that be about $1,500 a year? About $1,500 a year.

Yeah, awesome. That's very cool. Okay. And then what are just insurance? I know that varies. We're talking about insurance. And insurance can go from as little as, I would say, $65 a month to probably about $95 a month. And insurance is one of those things where it is really up to the homeowner because you can overinsure a property or you can insure it with a bare minimum. But for our case, what would you say insurance would be a month? Yeah, I usually estimate around $750 to $1,000, depending on the price point, just because, like you said, it's a guess. We don't know which insurance provider you're going to choose, how much insurance coverage you're going to select. And a lot of it depends on your insurance history as well.

So it's hard to say, but I would say, yeah, probably $750 to $1,000 is average. So if we were to break that down at $750, that's about $62 a month. So with my quick and dirty math that we're doing here, this property will probably produce anywhere from a 4 to 6% cash on cash return for the time being based off of the interest rates today. The interest rates today are a little bit higher than what we're used to seeing, but they're a little bit higher because we got super spoiled during COVID when interest rates dropped to like a 2.5%, 3%, which probably won't happen in our lifetime. time again. So unfortunately, well, that's all relative. I often share that when I started investing, rates were at like a 14%. So girl, when I get rates at a six and a half, seven percent, I will take it all day long. I often say, well, if you lock something, let's just say at a six and a half percent. And if by the miracle of the good Lord, those rates drop down to three percent again, then you just

refinance. We'll go through a. finance boom, but just with history repeating itself, I don't think that's likely to happen again anytime soon anyway. Okay, so tell me about in some of my markets, we have something called like a point of sale, which is like an HOA that would be in our Cleveland market. And then we also have markets where they require occupancy permits. So in Birmingham and in the areas where you and I invest, Do you have anything like that? No. So that's another benefit to investing in Alabama.

We do not have rent control. We do not require a rental license. There are a few small little pockets that will want you to have like a business license, but those are pretty few and far between. I can actually only think of two that we actively invest in, that the municipality requires a business license. But overall, no. And I would say 95% of our properties do not have an HOA.

the only ones that will are going to be those like class A properties that are usually in a pre-planned development like opportunities like that where, you know, they will have a small O HOA, but all of our older properties like our B class properties are not going to. Yeah. Which by the way, although I have nothing against those nicer properties in these gated communities that have HOAs, nothing against them, they just don't serve my purpose of cash flow. So I don't really promote them. What we do promote a lot is that be kind of property, maybe even C type of property that will absolutely serve as a rental and then we'll give you all the benefits that you need to have as an investor. So Stephanie, what do I need to, what else do I

need to know about Birmingham that we haven't already talked about and why it's such an amazing market? Yeah, I thought this was pretty cool that by F-Dye magazine, we were rated top 10 mid-sized American cities of the future and that the American City Business Journal foresees growth for the city for the next 25 years. A growth rate of 4% is expected to bring in nearly 50,000 new residents to our city. So we are growing. It's something that we've been pretty stagnant for a while, but we've had a lot of revitalized interest, a lot of new job opportunities. A lot of people are moving. They're actually moving.

We're trying to attract them and we're getting subtraction of the tech industries coming down here because it's just so much more affordable. And so it's a great place to live. It's a great, great climate. And the cost of living is just so much lower than the rest of the country that it's attractive. And people want to have somewhere that they can raise their family. And so I think that our area is going to continue to grow as we continue to attract these new industries and kind of move with the future. Yeah, no, you are absolutely right. Birmingham is one of my top markets personally, but it also is one of the markets where it just really checks every box.

And I remember when I started, I think my first rental in Birmingham, it was about 10 years ago. I still have it. And I will honestly say that when I compare all of the properties in my portfolio, Birmingham isn't one of my top three performers. So I will be interviewing the others on my podcast. So, okay, Stephanie, magic question that I asked many of my guests. I want you to imagine for one second that everybody in the world has this audio put on them. They have earphones. And they're going to listen to a message from Stephanie, from Birmingham, Alabama. about real estate investing and cash flow.

So everyone's going to get this message in every language is going to be translated and even babies will understand it. What would you share with your listener about Birmingham and its cash flowing markets and why to invest in real estate in Birmingham? Sure. So I used to say when I first started

that Birmingham was just a hidden gym. We had all these cash flow opportunities and we were very just flying under the radar. That has changed more lately. As you'll see, if you Google, why invest in Birmingham? There's a lot of articles, and there's a lot of people that are giving us some attention,

but we're still one of the most affordable markets in the country, like by and large. As you mentioned, where can you get $150,000 fee property these days? So we're still affordable. We're a safe market. We are a growing market. We call ourselves a boring market. we call it steady and boring because, yeah, we don't have a lot of investors that want to come down here

and go vacation, even though there are some cool opportunities and we have like the great restaurant scenes like you mentioned. And we are a really fun area. But a reason to invest here is because it's a long-term stability. It's got cash flow. It's got a little bit of appreciation. And it's just going to continue to grow as we continue to grow. So I would say it's not a sexy market. It's not somewhere that you're going to invest this year and then you're going to jump out of three years from now. It's somewhere that's going to be your safe money that you're just going to, you know, like a CD, you'll buy it and then just let sit there and ride. But it is a good market for long-term appreciation and growth. That is so well said. So many things that you said, first and foremost,

it's not sexy to buy and hold properties. In fact, it gets boring because you do the same thing. It's like rinse and repeat. But what doesn't get bad, boring is the cash flow. And then at the end of the year, the appreciation, the depreciation, just and the advertisement, the fact that you are having a tenant pay your mortgage, I mean, that never gets boring. You know, people often ask me, what's your hobby? Well, my hobby is cash flow because I like to do the work once and then just have it ride on its own. And that's not to say that, you know, you won't get turnover. That's not to say that, you know, you'll have to deal with a maintenance request every once in a while. But by far, it is the easiest way to create,

you know, just generational wealth for sure. Stephanie, you have been a wealth of knowledge, Little Miss Southern thing. Thank you so much for your time, for your knowledge, really for your expertise. She is my eyes and ears on the ground. She's fabulous. I don't even know how many clients we've served together, Stephanie, hundreds, I would say, maybe even, thousands. I don't know, but we've been working together, I think, for about 10 years now. And I will have to say one of the reasons we are so fortunate in creating wealth in Birmingham is because of Stephanie and her team. So, Stephanie, thank you for joining me on the Epic Real Estate Investing podcast. I appreciate you. And do you think I can have you back for an update,

maybe in like six to eight months to see what the market is doing? Absolutely. I'd love to. Thank you having me. I would love that. Awesome. So if you have a question for Stephanie, feel free to reach out. You guys can send us an email or reach out to cashflow savvy.com. And that's savvy with two Vs. You can either do contact us. We'll make sure that Stephanie gets all your information. Or you can just download our investors guide to passive income where you'll get to see the properties that are available through Stephanie, myself and the team. to my new investor that has never taken a step to cash flow, I will have to say one thing. It starts with one foot in front of another. That's it. One step at a time, move at the speed

of instruction, and you will be able to create financial future in your world. So once again, Stephanie, thank you so, so much for your time. And I look forward to seeing you or catching you on the next episode of epic real estate investing. Have a great day. Thanks for sitting tight while we pay our light bill. We'll be back right after this. Boating for flight 246 to Toronto is delayed 50 minutes. What?

Sounds like Ojo time. Play Ojo? Great idea. Feel the fun with all the latest slots in live casino games and with no wagering requirements. What you win is yours to keep groovy. Hey, I won! Feel the fun. Boarding will begin when passenger Fisher is done celebrating.

19 plus Ontario only. Please play responsibly. Concerned by your gambling or that if someone close, you call 1-8665331-2-60 or visit Commexonterio.ca. Mainstream media is ripping us apart. This is news to bring us together and make some money in the process. Our first story is about a remarkable man who at the age of 109 still drives his own car. Joe Newman's enthusiasm for life and independence continues to inspire everyone around him. Proving that age is just a number. Joe's incredible spirit is a testament to the power of positivity,

and we hope he continues to drive for many more years to come. Next up, we revisit the extraordinary story of a mother who won a $2 million jackpot after using her life savings to pay for her daughter's cancer treatment. This incredible stroke of luck couldn't have come at a better time for the family who can now focus on their daughter's recovery without the burden of financial strain. We wish the family all the best as they navigate this new chapter in their lives. In another heartwarming story, over 100 golden retrievers cheered on Boston marathon runners, bringing joy and encouragement to the athletes.

The dogs were brought together as a tribute to a beloved golden retriever named Spencer, who passed away last year after dedicating his life to cheering on marathon participants. Spencer's legacy lives on through the paws of these furry friends, and we can't think of a better way to honor his memory. Turning to the world of sports, golf legend Tiger Woods has successfully undergone ankle surgery, but there's no timeline yet for his return to the game. Fans and fellow golfers alike are rallying around Woods,

who has shown incredible resilience throughout his career. We're confident that Tiger will come back stronger than ever, and we look forward to witnessing his triumphant return. Lastly, the Oakland Athletics have agreed to purchase land on the Las Vegas strip, sparking excitement and anticipation for a potential new stadium. This deal marks a significant step forward for the team who are looking to create an unforgettable experience for their fans. We can't wait to see the magic that unfolds on the Las Vegas Strip.

That's all for the feel-good news. Thank you for joining us, and remember to keep spreading positivity and kindness wherever you go. It's not a passing fad, it's the future of money. What happened this week in cryptocurrency? In an interview with CNBC, Robert Kiyosaki, the author of the best-selling book, Rich Dad, Poor Dad, predicted that Bitcoin will continue to rise after experiencing over 100% growth this year. Kiyosaki, who has been a longtime supporter of Bitcoin, sees the digital currency as a hedge against inflation and believes that it will eventually replace fiat currencies. Kiyosaki's comments come as Bitcoin has reached a new all-time high of over $100,000 driven by increased institutional adoption and a growing interest from retail investors.

According to data from coin market cap, Bitcoin's market cap currently stands at over $2 trillion, making it the largest cryptocurrency by far. Kiyosaki's prediction aligns with other experts in the crypto industry who believe that Bitcoin's price could continue to rise as more investors. enter the market. However, some analysts cautioned that Bitcoin's volatility could lead to sharp price corrections in the short term. Overall, Kiyosaki's bullish outlook on Bitcoin could be a signal to both new and seasoned investors that the digital currency is becoming an increasingly important asset class. As cryptocurrencies continue to gain mainstream acceptance, more individuals and institutions may look to invest in Bitcoin and other digital assets as a way to diversify their portfolios and hedge against inflation.

And that wraps up the epic show. If you found this episode valuable, who else do you know that might too? There's a really good chance you know someone else who would. And when their name comes to mind, please share it with them. And ask them to click the subscribe button when they get here and I'll take great care of them. God loves you and so do I. Health, peace, blessings and success to you. I'm Matt Terrio.

Living the dream. Yeah, yeah, we got the cash flow. You didn't know home world. We got the cash low. This podcast is a part of the C-suite Radio Network. For more top business podcasts, visit c-sweetradio.com.