Ultimate Guides

Learn what you need to know to find success in real estate investing! Here, the Real Estate Financial Planner™ team has collected all our Ultimate Guides so you can explore everything from investment strategies to financing to rental properties. Dive into the topics that have been holding you back so you can make informed choices, take action, and make your real estate investment goal into a reality.

Marketing to Find Off-Market Deals

Topics discussed include: How real estate investors find deals from The Millionaire Real Estate Investor book by Gary Keller et al Why Motivated Sellers? Creative Transactions and Fixer Upper Properties. Where are we in the Real Estate Investor Daily Checklist? 1-Step versus 2-Step Marketing The Importance of Being on the Right Side of the Desk Answering Service Questions and how to make an offer on the first call (to your answering service) How Much to Spend on Marketing Tests? Marketing Beliefs Sifting and Sorting to find the best deals Staying out of the Feast and Famine cycle Looking inside and … Read more

The Ultimate Guide to Real Estate Partnerships

Welcome, fellow real estate enthusiasts! If you’re on a quest to amplify your real estate game, partnering up might just be the rocket fuel you need. Let’s embark on a journey to uncover the secrets of successful real estate partnerships. Fasten your seatbelts; it’s going to be an exciting ride! Why Partner Up? Two Heads Are Better Than One: With a partner, you get to pool resources, share risks, and double your creative brainstorming power. It’s like having a real estate buddy who’s as invested in your success as you are in theirs. Access More Capital: More capital means more … Read more

The Ultimate Guide to Creative Financing and Real Estate Entrepreneurship

Welcome to the thrilling world of real estate entrepreneurship, where creativity not only applies to finding and flipping properties but also to the innovative financing methods that can make or break your deals. Whether you’re a seasoned investor or a budding entrepreneur, understanding the spectrum of creative financing options is crucial. Let’s dive into some of the most powerful tools in your arsenal for building a successful real estate portfolio. 1. Owner Financing Owner financing emerges as a beacon of hope for those who may not qualify for traditional bank loans. This method involves the property seller acting as the … Read more

The Ultimate Guide to CapEx on Rental Property

Maintenance and CapEx Estimator for Rental Property - Advanced

CapEx on rental property (also called Capital Expenses) are expenses to replace parts of the property that wear out over time. What’s the difference between CapEx and maintenance? From a tax perspective, capex of less than the “safe harbor” limit of $2,500 per invoice or item can be written off as maintenance on the property in the year they were taken. Some expenses over the $2,500 safe harbor amount will need to be capitalized over the lifespan of the item. Talk to your CPA or read the Internal Revenue Code for more detailed information on the tax treatment of capex. … Read more

Is Nomad™ Dead?!

In this special class, James Orr discusses whether the Nomad™ real estate investing strategy is dead. This class was taught on June 9, 2021. What Promoted This Class Several buyers purchasing from a specific neighborhood over the last several years All the same 4-bedroom model, same builder, go under contract well before close date (build time) April 2018, client purchased for $354K With about $10K in options… so about $344K for base price June 2019, client purchased for $360K With about $3K in options… so about $357K for base price About 3.77%/year increase (we typically model 3%/year) Rent was about … Read more

Real Estate Investor FIRE

Many dream of reaching a point where their financial resources allow them to retire early, enjoying life without the constraints of a 9-to-5 job. This dream, often referred to as Financial Independence, Retire Early (FIRE), can seem distant or unattainable to some. However, through astute real estate investing and strategic management of rental properties, achieving FIRE is more accessible than you might think. Here’s how. Understanding the Basics of FIRE FIRE is a lifestyle movement with the goal of financial independence and the ability to retire well before the traditional retirement age. This doesn’t necessarily mean leaving the workforce entirely … Read more

The ROI On A House Probably Isn’t As High As You Think – An Honest Talk

Real estate investing is often heralded as a surefire path to wealth, promising lucrative returns through appreciation, cash flow, depreciation benefits, debt paydown, and more. However, the reality is that the return on investment (ROI) on a house may not be as high as many investors initially believe. Let’s unpack the reasons why and set realistic expectations for those looking to dive into the world of real estate investments. 1. Appreciation Isn’t Guaranteed Many investors buy property with the assumption that its value will always go up. While historical data supports long-term appreciation, the real estate market is subject to … Read more

The Case AGAINST Investing in Real Estate

While real estate investing can be a lucrative path for some, it’s not without its pitfalls and drawbacks. In the spirit of playing devil’s advocate, let’s explore the reasons why investing in real estate might not be the golden opportunity it’s often touted as, and consider alternative investment avenues that could potentially offer better returns, less hassle, or both. 1. Capital Intensity Real estate requires a significant upfront investment, not only in terms of purchasing property but also in ongoing maintenance and upgrades. This high barrier to entry can be prohibitive for many potential investors, tying up large amounts of … Read more

Stress Testing Your Real Estate Investing Portfolio

Historically, using The World’s Greatest Real Estate Deal Analysis Spreadsheet™ most people use a static rent appreciation rate and price appreciation rate. In other words, when analyzing a deal they used 2 or 3% for rent appreciation. And, 2 to 3% for price appreciation. You could do some changes to these appreciation rates by using the rent OVERRIDE feature: And, you can do a similar thing with the price OVERRIDE feature lower on the spreadsheet: But the OVERRIDE feature… as good as it is… is limited in its ability to stress test a property and… unless you create an amalgamation … Read more

Ultimate Guide to Should I Sell My Rental Property?

It’s a question as old as real estate investing itself: should I sell my rental? In this brand new class, James will give you unparalleled insight into whether you should keep your rental or sell it. The Setup You’ve been acquiring properties over time. When you acquire properties, we’ve typically used Return on Investment (ROI) as a primary decision-making metric. Some investors will focus more on cash flow and use Cash on Cash Return on Investment (which is just the “Cash Flow” portion of my Return on Investment Quadrants™). Once you acquire the property, many folks switched over to thinking … Read more