November 2014 Income Report

by David | Dec 1, 2014 | Income Report

My main goal for November was to close on house #2, and that’s exactly what I did! After a little bit of trouble with getting the documents signed with a notary and wiring the money, everything has been closed and I’m now the owner of TWO investment properties. At this time, I have invested a total of $46,263 (down payments and closing costs) and my real estate portfolio is worth $131,400.

The cash flow breakdown for the month of November was:

The total cash flow this month comes out to $398.83, making the total cash flow thus far $1,427.30.

For the upcoming month, I’m planning on spending time setting goals for 2015 (I’ll write more about this soon) and searching for my next investment.

[For those of you who are wondering how much more money I have to invest… I mentioned that I investigated real estate investing for over 2 years and made sure to save money during that time (and before those two years). So my wife and I currently have around $60,000 left to invest. And, one of my goals for next year will be to continue and save for additional down payments.]

In regard to my performance meters, we’re green on both cash flow and passiveness! No problems with house #1, and I got 100% of the expected cash flow!

October 2014 Income Report

by David | Nov 1, 2014 | Income Report

My main goal in October was to find a second property to buy and I did just that. I found a property for sale by a turnkey provider which I’m looking to close in the next two weeks (stay tuned for a blog post with the details on house #2). I also found the loan that I’ll be using to fund house #2 and while it’s not as attractive as the loan I used for house #1, it will help me leverage my money.

As for performance meters, both my passiveness and cash flow were green! I had no problems with house #1, didn’t hear from my turnkey provider at all (besides the wire transfer for rent, which is really all I want to hear about). Cash flow, as expected, was $398.83. Although this will take a hit in the next month or two as I need to pay yearly county taxes (which come out to $679), this month’s cash flow was right on key.

Here’s the breakdown for cash flow during October:

The total cash flow this month comes out to $398.83, making the total cash flow thus far $1,028.47. Made my first grand in REI, woot woot!

September 2014 Income Report

by David | Oct 1, 2014 | Income Report

September was a busy month since I moved to a new house and was preoccupied, so real estate took a back seat. I didn’t find the right property to start the purchase process yet, but plan on doing so in October. One of the main things I was researching was how I can fund my next real estate purchase since I won’t be able to qualify for another conventional loan. I came across several turnkey providers that work with local banks and lenders on non-conventional loans. These loans rage from 5-15 years and have interest rates as high as 12% (as opposed to a conventional loan which you can get for 30 years at around a 5% interest rate). I found that the company I purchased my first property with works with a bank that has a fairly attractive offer, but I’ll go into more details in a post all about non-conventional loans.

So what did we have this month in regard to my rental property, well… I received my first full rent payment this month! (the previous month was only partial since I only owned the house for part of that first month) As well as paid my first mortgage payment.

The total cash flow this month comes out to $398.83, making the total cash flow thus far $629.64. This wealth building is going to take a while 🙂

August 2014 Income Report

by David | Sep 1, 2014 | Income Report

I spent August continuing my research in real estate investing, specifically on turnkey real estate providers in markets that I’m interested in. I haven’t decided where my next purchase will be and with which provider but my goal is to purchase house number 2 during the month of September.

As for my first property, during the month of August, I received payment from my property management company for rent collected during July. I purchased the house during the month of July so I only received the rent payment for the last 10 days of the month that I owned the house. The only expense I had during the month of July was for the Property management company’s services for the same number of days. The reason I don’t have any other expenses (such as insurance or property taxes) is that I paid for the first year of insurance and $233.2 for 2014 city property taxes as part of the closing costs, and the county taxes of $697 will be due in October. I didn’t pay mortgage since my first payment is due September 1st. With that, August’s income report: