Inquiring about these very details that weren’t included doesn’t mean I don’t think its possible.
mrouza601
1

I wrote this explanation up on a different forum for someone else who couldn’t understand how they ended up with 14 houses in eight years:

“Facts in evidence in the referenced article:

Their regular salaried gross income was in the $70,000 to $80,000 range, with another 50% side hustle based on additional work at their employer or at a 2nd job.

Spending was about $20,000 a year, which is quite believable given the size of their living quarters and that they only had one simple car.

So, available income to invest with was $50,000 to $80,000 a year after taxes.

Let’s say they found a $100,000 house that would rent at a profit with a 30 year, fixed mortgage and a 25% down payment. That’s $25,000 to $30,000 in purchase expenses including closing costs and minor repairs.

8 * $50,000 = $400,000 minimum investable income. $400,000 / $30,000 = 13 1/3 houses. Throw in rental profits from 13 houses and they could swing the 14th house.

8 * $70,000 = $630,000 likely investable income. $630,000 / $30,000 = 21 houses. They only had 14 houses, the slackers. :) Of course, most of the mortgages had been paid off, so they weren’t really slacking. :)

If they got a better deal on the houses when they bought them, they needed to spend less cash and could more easily get 14 properties.

If they made money on the house flips when they sold them, that would also help them meet their goals.

And if they used some of the creative real estate methods using owner financing, that would also help them.

Hard, persistent, detail oriented work? You bet? Unbelievable? Hardly.”

That was my analysis of how it was done.

Joe happened to see the posting and replied with this:

“Wow.

This is pretty * spot on (or at least well in the ballpark, definitely close enough to get the idea, any edits would be nitpicking details).

Well done.”

So now you know. :)

If you find the idea of buying a house for $100,000 instead of $355,000 hard to swallow, I’ve bought three of my rentals for between $33,000 and $38,400 and put between $7,000 to $13,000 in repairs into them. That puts my total cost of ownership of each property in the $45,000 to $50,000 range. And they aren’t slum lord properties, either.

Here are some photos of one of them:
http://www.zillow.com/homes/for_rent/house,condo,apartment_duplex,mobile,townhouse_type/53627061_zpid/3-_beds/1.5-_baths/35.061832,-78.974096,35.05907,-78.97871_rect/17_zm/?view=public

Two good books I recommend for those interested in real estate investing are:

https://www.amazon.com/Millionaire-Real-Estate-Investor/dp/0071446370/ref=sr_1_1?ie=UTF8&qid=1486220524&sr=8-1&keywords=millionaire+real+estate+investor

and ESPECIALLY

https://www.amazon.com/Estate-Investor-Financial-Measures-Updated/dp/1259586189/ref=sr_1_1?ie=UTF8&qid=1486220569&sr=8-1&keywords=CASH+FLOW+REAL+ESTATE

Another good source of info would be a local Real Estate Investment Association.

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