5yrs and First Apt Complex...Hooray for me!!!

Sorry guys and gals but I just wanted to toot my own horn. :beer Show your support.

I’ve been in the business mostly all on my own driven by the inspiration of my father and grandfather. It’s only been 5yrs now and i’ve flipped 2 houses, rented 7, sold 2 and just bought by first small complex of 8 units for a grand price of $250k, my largest ever. All of my dealings with single family homes have been typically 3/2 or 2/1 and purchase prices ranging from $40k to $90k. As of today, I own this fantabulous 8-plex, 5 single familys, and 3 empty lots. And done all of this on the side as I have always had a full time job where I work mostly 8-5 m-f and some o.t. It was tough starting out (and still kinda is) when my first house (well second from the one i live in) which consisted of tearing a house down, moving a house, and then completely rebuilding the moved house because it was only a solid structure (needed new wiring, plumbing, sheetrock, roof, floors, windows and doors. And on top of that, I did all of this on interest free credit cards. Did almost all the work myself and transfered the balanced for 3 years to keep it interest free until they were paid off by the rent and a little out of my pocket. I know this may not have been the easiest way to start off but once that was out of my way, nothing could stand in my way. Look at what I’ve done now. I couldn’t even get a loan from the bank to start out because I didn’t have the down payment but with the help of good credit and a few 10k credit cards and some hard work, I know own over $800k in real-estate in a town where the median house price is $130k and rentals are around $50k SF.

Driven with strong desire to succeed

Hey Bro,

I am there with you. Back in 2003 I bought my first fixer home and flipped it with in a few months. Made $20,000 on the deal. Second and third was the same. Then a buddy of mine turns me on to this 16 unit complex in nashville, TN. Paid $350,000 with a 20% down payment of $75,000. Mortgage is fixed at 7.75 for the next three years. At the time in 2006 that rate was awesome. Well, today all the units have been rehabbed and now I am bringing in a little over $7000 a month. Total expenses are less than 50% of the gross rents. And I work a fulltime job as well. Lately I have been thinking about selling it and buying some duplexes instead. Its a hell alot of work to maintain a 16 unit complex. Something is always going wrong, but then again the money is good. Hang in there bro, you have entered the class of those owning complexes.

Congrats to both of you! Keep it going! Keep building!

Hooray for you!

You didn’t just talk about it, you did it. There are so many ways to get into real estate, including the old credit cards. This means that you have become really good at the accounting part, which is the hardest part of real estate. I love to buy and fix up, hate to organize those records. Finally got a bookkeeper so life is better.

Be wary now of being considered a “rich person”. People, organizations, charities will approach you as the word gets around.

Also, you may lose some friends. Suddenly you are no longer a peer with your old buddies. They may be disgruntled and bad-mouth you. Your peer group may only be on-line if you are in a small town. Some entrepreneurs find the envy of friends and relatives so unnerving that they quit expanding their financial worth. They self-limit their success. I don’t think that’s you.

So good luck on your next one!

I must say, I have mastered the credit card situation thanks to the accountant side of me. Some think I’m crazy for doing it that way but it was my only option at the time.
I had many possible careers in college. Some may call me a jack of all trades. I think I just couldn’t decide what I wanted to do. I work full time as an IT Systems Analyst, as one of my degrees was a BS in Computer Science.

Hopefully the hands on side of me that likes to get dirty will keep me from being named a “rich person” in the somewhat small town I live in. But at the same time I understand that the only way I will keep growing financialy is to focus on hiring the right people to do the right job and be more of a manager and less of a do-er. At any rate, I will continue to have fun doing things that make me happy…and succeed. No self-limit for me.

Thank you for the support.

Thanks!!! Stories like you both keep me motivated! I am currently looking at my 2nd deal. Sold my first, 4 years ago at a loss. Didn’t know what I was doing, over paid, VERY poor condition, incorrectly calculated cashflow, etc. Should’ve been a rehab instead of an immediate rental (was fully rented when I bought).
I learned, I messed up, I paid for my education, I lived, but I don’t plan on quitting. I’ve joined this forum, read everything I can get my hands on, joined my local REI club, talk to everyone I can and I’m looking to be where you both are and then some.
Good post.

Yes, I would agree that mistakes will be made in the learning process. I have had my share tenants that know the laws better than me :banghead and contractors get away with money for work they never did :shocked. But now I know more than I did then and those things won’t happen again.

There is always more to learn.

Congrats. Love the stories. Keep them coming!

abinvestments- I agree with you. The Stories are motivation.
My 1st year of investing…OMG did I get eaten alive. :banghead

However I learned. And besides being 24 and starting in investing was well…not a good combination that combined with a Ex-girlfriend that was just money hungry…

So now I’m single and more focused than ever!
This story also helped to make me more focused.


Congrats guys. Keep up the good work!!!