Today’s first caller owns a few paid off rental properties. Should he pull the equity out to grow his portfolio, or would he be better off selling them and buying in a better market? That’s the first question I’m answering on this Q&A episode!
This episode of Investing in Real Estate features three great listener questions on strategic portfolio growth, turning a property into an Airbnb, and how much it takes to invest. Click play to hear my answers to your questions on this episode!
On this episode you’ll learn:
- How to approach portfolio growth strategically.
- What to consider before turning a condo into an Airbnb.
- How much it costs to start investing.
How to Approach Portfolio Growth Strategically
I believe it’s smart to constantly be evaluating your portfolio and implementing changes. Sometimes you might have a property that has appreciated greatly, in which case it might not be performing at its full potential from a cash flow perspective. You might be able to utilize a 1031 exchange, make a great profit, and maximize your cash flow. We have a 1031 exchange program, and we’d be happy to talk to you about your options.
What to Consider Before Turning a Condo Into an Airbnb
The first thing I would suggest you do is speak with your homeowners association. Many HOAs will not allow you to do short-term rentals, so I’d recommend making sure you’re allowed first.
Short-term rentals like Airbnb can be great if they’re managed properly, but it’s a totally different strategy than long-term rentals. Here are some resources for you to check out.
How Much It Costs to Start Investing
Before you invest, make sure it makes sense from a numbers standpoint. You’ll want to be sure you’re in the right markets and making a great return. I highly recommend investing in landlord friendly states with job growth, job diversity, and low crime. With our company, if you want cash flow, I’d recommend having a down payment of around $45k.
Ask Me a Question at morrisinvest.com/clayton
Book a Call with Our Team
Shopify.com/investing Get a free 14-day trial + full access to Shopify’s entire suite of features!
Bambee.com/investing Get a free HR audit!
Download the FREE Financial Empowerment Bootcamp
Download the Freedom Cheat Sheet
Subscribe to Investing in Real Estate on iTunes
Find Your Financial Freedom Number
Subscribe to the Morris Invest YouTube channel
Like Morris Invest on Facebook
DISCLAIMER: I am not a financial adviser. I only express my opinion based on my experience. Your experience may be different. These videos are for educational and inspirational purposes only. Investing of any kind involves risk. While it is possible to minimize risk, your investments are solely your responsibility. It is imperative that you conduct your own research. There is no guarantee of gains or losses on investments.
AFFILIATE DISCLOSURE: Some of the links on this channel are affiliate links, meaning, at NO additional cost to you, I may earn a commission if you click through and make a purchase and/or subscribe. However, this does not impact my opinion. We recommend them because they are helpful and useful, not because of the small commissions we make if you decide to use their services. Please do not spend any money on these products unless you feel you need them or that they will help you achieve your goals.
Ready To Build Passive Income Through Rental Real Estate?
Ready to talk about your goals? We're here to show you the tools and teach you the process to begin earning legacy wealth for you and your family.