How to Replace Your Income with 12 Rental Properties (Part 2 of 9)
After coaching so many people through the process of buying cashflow properties and replacing their income…
I’ve arrived at a “framework” that I have my clients follow.
This 9 step process is the most logical and effective way to build your portfolio.
In last week’s post, I covered step #1 “Pick Your Market”
In today’s email, I’m going to cover step #2 - Build Your Team
Having a team in place is the key to the whole thing. You’re both leveraging the knowledge of others…
And also delegating everything so that you can actually have passive income.
Here’s the core “team” you need to get your first 12 houses:
- Project Manager - This is the person who oversees your rehabs and communicates with contractors and inspectors. You pay them roughly $1,500 per rehab, so this is an as-needed, very part-time hire. Look for someone local who has good management and organizational skills.
- Admin Assistant - This is the person who does all the little stuff, like paying bills, dealing with your property managers, attending closings, working with lenders and accountants, etc. Makes a HUGE difference.
- Contractor - Let your project manager pick your contractors, so they are more bought in. Choose someone with credentials. A good contractor is make or break.
- Property Manager - I let my admin person choose the property manager if I don’t already have one in an area. Look for someone with fair terms and experience.
- Title Company - The people who do all your closings for you.
- Insurance Agent - Just a good company to provide you with no hassle insurance, quickly and whenever needed.
- Realtor - Your realtor is a great source of expertise when it comes to comping properties or learning about new areas.
- Inspector - This is a crucial part of your team member. You hire them to do a professional home inspection when you get close to buying a house. You may need a termite inspector as well.
You’d be surprised at just how much of this team you can build simply by joining Facebook groups about RE Investing in your market, and then posting looking for referrals.
That’s the high-level overview of the team you need. There’s a couple other key members (Wholesalers & Lenders) that I will cover as separate parts of this 9 part series.
If you are interested in comprehensive training on how to build your team, check out our 12 House Masterclass which includes not only includes a module on this, but also:
- A comprehensive 50+ video training course on how to get your first 12 houses
- Monthly group coaching calls with me
- Access to our private, closed Facebook Group where you can ask questions to your heart’s delight
- Access to my private money lenders
- Coaching Call Recordings
- A “Freedom Artist” T-Shirt
- And much, much more!
In my next email, I’m going to cover Step # 3 to getting your first 12 houses, which is…
Setting Up Your LLC/Bank Account/Access to Data/Bookkeeper & Accountant
That step sounds boring, but it’s KEY to pulling this whole thing off.
Look for that post.