Hey, what's up guys? So, today's video is a little bit of a different style than
normal. I'm just calling this kind of like a day
in life. And we are here in my bedroom/ It's... Camille has a little weird I got
all my junk lying around my wife. Got back from the bank. Check it out. I just
have like a whole pile of cash sitting on the bed. Whoa, that's not very secure. So,
what I wanted to do is I just wanted to give you some insight into how it
actually looks when I do real estate. I don't think it's all that exciting. The
money is really exciting but I don't think a lot of people really get what it
looks like to be a successful investor. So, this is going to be just a little bit
more off the cuff and hopefully you get some value out of it.
So... Uhm, we are in my bedroom because my kids are home from school and they
totally know how to be loud banshees. I got 4 kids. I love them to pieces.
They're amazing. But what I've got... All I really need to do real estate these days
it's right here on my phone. I don't need a car so I don't really go anywhere. I've
set up a system with a team of experts where I'll just... I'll just kind of show
you. So if you look over here, I've got one of my partners. So I'll kind of pull
up my partner page actually that's filled with sensitive information. But I
got a page where I've got a list of all my partners that are out there doing
deals with me. And we're partnered up on these deals where my part of the
partnership... Their part is to bring the money. My part is to leverage my team of
200 experts to find the very best deals in the world. And it's always here in
America. But what I'm doing right now is I'm looking at a property right here.
This is one that I'm about to get under contract with my buddy. My main man Brody.
I'm not going to give you Flast name. But come come zoom in on this let me just
kind of kind of show you so you can understand. I basically tell my team, "Yo,
Brody's ready for a deal." And then usually within 24 hours... Sometimes same
day, sometimes 2 or 3 days, they send me about a property. And it always
looks like this. So this is a property floor to Winterhaven on 6020 Live Oak
Drive. You can zoom in and say, "Oh, it's a very entry level. Like Kris talks about
that all the time." The reason why I'm in the Florida market is because of this. I
can buy this property for a $160,000. It's a $32,000
down payment but once I put in my closing cost, my rehab, I'm
basically going to be 45 grand on this. There's a property it was built in 2005.
So, this is actually a pretty new home. And it's a pretty home, it's great. What I
like the most though is if you come over here on the financial breakdown, my
monthly rent looks like 1350. But my monthly principal and interest based on
today's rates is going to be 736. My taxes are 208, my monthly insurance. So my
total payment is going to be 999. So 1.350, $9.99.
This property's going to be about a $350 month cash flow. And then this is what I looked
at. I say to myself, what is my annualized cash on cash and what is my cash on cash
with appreciation? Well, my total ROI is boom! $28.49%.
Now, just want to tell you something. If you're new to real estate,
you don't know what you're looking at, that means that every year, this property
is projected to grow a 28% from my investment. That is crazy
awesome. Like we're thrilled about this. Now, my annualized cash on cash... Meaning,
the free cash that I'm going to get back is just under 7%. But look, with
raising rents it goes to 8%, it goes to 10%. And that means
that my 10-year ROI is gonna jump up and be as high as 31%. Now,
this is a home that we're going to buy. And Florida, we're going to be exiting Florida
based on where we're at in the timing. Probably in only 3 years. So there's
going to be a very short buy. But if we're doing 28% a year, we're probably
going to do 100% on our money by the time we actually sell. So, this is
one of the properties. Now, if you look down here. I mean, yeah. Don't allow
your mind to go nuts with all of the rest of this data. But I've got a team...
How it starts out as I have a... Have a research team. And so, my research team...
Their job is to basically calm each week through thousands of properties so that
they can find a couple of dozen that look like this. And then my partners and
I we cherry pick and get the very best ones. This is another one. Check this out.
This is another one of my markets. This guy... This is in Memphis.
Now, this homes a little bit stranger. If you take a look at it, this is definitely
a good-looking home but you could totally tell that it is an older home. So,
this is a home that's 1967. I would not normally be interested in buying a house
from 1967. But I do know on this one, they've got it everything. All the
electrical, all the plumbing. Like they took it down to stud. So for me, it's
effective your built has actually bumped up to this year, 2018. So on this one, you
can see I got a purchase price a 145,000. And they were
able to wrap in the rehab on it. Which means that my total out-of-pocket is
36 grand. So, it's actually slower on this one. My
rent is going to be strong in this area. 1,250. Which means that my
cash on cash is higher than in Florida. This is a cash flow market. Back we're
almost 9% our first year and up to nearly 12% in a 10th year. Even though we
won't make it that far. With appreciation, we're looking at just
shy a 28% my first year. And growing up to 32%. Now, I don't want this to skew any
of you because most people and their RO eyes are doing like maybe 5 or 8 or 10%.
But you got to understand we've done thousands of these deals so we have this
really dialed in. Now, when I... When I go to one of my partners and we actually do
one of these deals, it's pretty exciting. I basically send them an email or a text
of this. So when I get it... When I say I don't even need my laptop. I just get it
here. I send it to them and I text them and say, "This is a winner. Let's go."
They'll text me back and the realtor will send them over the contract, will
nab it. You got to be wicked fast. We got it under contract, we're going to finish our
due diligence and basically we're off to the races. Then the next thing that
happens... I just got this email and today. You can see it right here. I sent this to
one of my partners it says, "Dear Paul Alicia, please be advised that you're
following house is just leased out." This is one we just closed on a couple weeks
ago. And it tells us some information about who's renting it out on our
Florida home. I sent it to my partner says, "Hey, great news. Appreciate the
update." You know, Paul... You know, he's a great
partner. We've already done in 4 projects together, 5 projects together.
And on these 3 that we just bought, we get them leased out and then I come
back and say, "Hey, let's go buy more." And so, it's automated. Like it's a very, very
simple process once you're all set up. So, I wanted to shoot this video because I
want you to understand that this green stuff right here, this is actually for a
different, different project. Let's take my laundering money or something. I
shouldn't say that posted on YouTube. But no. This is actually... These are actually
all this ones. But my... I'm doing a fun project with this.
What I do is I do a money bath with them. And we basically throw all the money
around and we dance and we get crazy. And everyone thinks that I'm the world's
most wicked partner to do that. But what I'm doing is I'm not going to let my kids be
taught about money and entrepreneurship from society. Because they're going to learn
all sorts of things that I don't want them to know about. Instead, what's going to
happen is I'm actually going to be the one to teach and educate them. What is
money? I'll do it it's paper. It's neutral. It has no value but the value that you
assign it. Anyway... But this is all byproduct of this whole real estate
machine. So what it actually turns out to is I've got such a team that is so
empowered that I probably average making between 10 and 20. Sometimes 30 thousand
dollars an hour on the time that I put in and the money I get back from real
estate because I'm using a lot of leverage. I've got my research team, I've
got my Realtors, I've got my property management teams, I've got my closers,
I've got... You know, for the title companies, right? I've got my ongoing
management, my internal staff. I've got my accounting team. Right now I'm just
trying to tell you to do one deal and make all this money. But just know that
you can systematize and wrap this thing up. Seeing it to the point where you're
doing tons of deals. And for me, that's when real estate is fun. You know, right
now we're buying homes every single week. And doesn't matter whether the markets
up or down, we're crushing it. And I won't invite you to do the same. Anyway, I hope
that's helpful. So what you just witnessed there... Yeah, my real estate
takes me literally just minutes a day. And it's just sending out some texts and
getting something and texting on to the next person. And you know, what we're off
to the races. Behind the scenes my team is putting in
an average of 342 hours per project. And that's a lot. So people are
definitely working a lot that makes this whole thing go around. I'm super grateful
for them, they're amazing brilliant people. But I just wanted to show you
that you can get to a point where you bring this to a boss status. As in I'm
the boss. And as the boss, it doesn't have to take a lot of time to make an
enormous sum of money. You just got to start by getting in the game. You got to
start by getting you your very first deal. So that you can actually start this
process of building wealth. And if you want help with that, click the link in
the description below and you'll actually have an opportunity to
with my team that works with my entire power team to really find out what we
can do that can help you the most. It might be learning how to do my no-money-down
real estate that got me launched and started. Or you may have put
some assets aside 401k, IRA. And you might be ready to actually partner or plug
into my system and get access to these incredible deals. Either way, take some
action. Like do something with this because the longer you're in the game of
real estate, the more it's gonna benefit you and the greater financial legacy you
can create for yourself. Thanks for watching today's video, I hope you
enjoyed it. Make sure you like it, that you subscribe, ring the bell. And tomorrow
morning, we got our next video coming your way.