Rob’s Words Of Wisdom

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28
Nov, 2024

Security Bucket As Liquid Funds: Borrow From Emergency Fund?

 

When is it okay for you to borrow from emergency fund savings? In short, Rob’s security bucket is in a high interest liquid account, which does not penalize him for making withdrawals. Sometimes, he will borrow small amounts from the fund for short term, small return investments. Of course, his wife Claudia approves each investment opportunity. She usually knows the other principals involved.

Short Term Financial Investments - Borrow From Emergency FundBorrow From Emergency Fund For Short Term Investments

During our Inner Circle Community Q&A Time, Joe asked Rob to clarify a facet of his security bucket strategy. Does he invest in a traditional bank for the advantage of liquid cash that is easy to withdraw?

Rob’s answer is yes. He likes the advantage of being able to borrow from emergency fund if needed. Rob invests in high interest accounts, eschewing low return options like CDs that also penalize withdrawals.

Occasionally, Rob will withdraw a small amount for short term financial investments. He only will do this if it is a safe investment with a high return. His wife Claudia also has a say in these money plays. Usually, she has met the folks involved in the investment and can vouch for their character. Soon enough, the cash will return to the emergency fund, with a little interest!

Join Our Multifamily Investing Community Today

Do you own your own multifamily rental properties? If not, do you plan to do so one day? Then you should consider joining our online financial group, the ATL Inner Circle Community! Each month, investing pro Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

21
Nov, 2024

Rob’s Report Card: Wealthy Investor Priority List

 

Rob Rowsell is a successful multifamily real estate investor. He didn’t earn wealth by focusing on the wrong priorities. Here’s Rob’s Investor Report Card. If you’re not prioritizing your goals in the right order, you won’t live a fulfilled life. Prioritize your Walk with the Lord FIRST, then your Health, your Relationships, your Personal Development, and THEN your Wealth. Review this report card honestly every month. If you didn’t get straight A’s this month, no worries. This list will show you what you need to do to improve next month.

Investor Report Card Investor Report Card – It’s Not Just About Money

One of Rob’s mentors, Robert Kiyosaki, often mentions an investor report card strictly in the financial sense. However, this report card takes a more holistic approach, examining Rob’s six pillars, in order of importance:

  1. Walk With The Lord: None of our endeavors as believers will truly succeed without putting them where they belong: under God’s Lordship. We exist to serve Him, and He will bless our efforts if we trust in Him.
  2. Health: Our bodies are temples to God. If we don’t exercise, eat healthy food, and get enough rest, we won’t be around as long as we could to honor God.
  3. Relationships: Healthy relationships with ourselves and our families, friends, and neighbors come first. When we treat those that we see the most right, then treating business associates will come naturally.
  4. Personal Development: Regular study will help you become the best version of yourself. This includes reading the right books to increase your financial IQ.
  5. Wealth: When you put in the work on Investor Report Card subjects 1-4, #5 will come to you naturally. Financial freedom in Rob’s world means reaching deca-millionaire or even hecto-millionaire status. Healthcare advancements mean longer lives. Gone are the days of seven figures translating to a comfortable retirement.
  6. Contribution: Giving back means sharing your overall wealth with others. That means the Time, Talent, Treasure, and Testimony that your efforts have earned you.

Join Our Multifamily Investing Community Today

Do you own your own multifamily rental properties? If not, do you plan to do so one day? Then you should consider joining our online financial group, the ATL Inner Circle Community! Each month, investing pro Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

14
Nov, 2024

Why Invest In Residential Property Instead Of Commercial?

 

A guest on Rob Rowsell’s ATL Inner Circle Community call asked why Rob made his choice in a “residential or commercial investment” quandary. In short, residential units were a proven commodity in this space. The bank would not loan Rob and his investors money to renovate and set up a commercial business on the property.

Residential or Commercial Investment - Real Estate InvestingResidential or Commercial Investment? You May Not Have A Choice!

Dave chimed in to ask about a property Rob detailed earlier. He asked why Rob chose to develop multifamily residential units, rather than the commercial business that previously operated there. What drove that decision? Turns out it was the bank.

Rob initially planned on renovating the space for a new commercial endeavor. However, the lending institution wouldn’t go for it. Despite plenty of research on what Rob and his team could charge for the business space, the previous owners never make the most of it. In fact, those investors had left the commercial space unfinished and inoperable, content with income from the second floor apartments. The previous history of underachievement scared the bank out of another commercial investment.

Rob and his investment team went back to the drawing board. They crunched the numbers on remodeling the downstairs commercial space into new multifamily dwellings. This time, the bank agreed to the loan, so the group could move forward. Despite being deep into a PSA, the new plan will actually generate more profits. Win-win!

Join Our Multifamily Investing Community Today

Do you own your own multifamily rental properties? If not, do you plan to do so one day? Then you should consider joining our online financial group, the ATL Inner Circle Community! Each month, investing pro Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

7
Nov, 2024

How Much Should I Save In My Emergency Fund Security Bucket?

 

What is your emergency fund savings number? How much should you store in your Wealth Security Bucket to *really* be prepared for financial hardship? Rob Rowsell, successful multifamily investor, has the answers. It all comes down to what number you and your family can agree on to fund your lifestyle in the event of a catastrophic emergency, such as job loss, illness, or natural disasters.

Emergency Fund Savings AccountEmergency Fund Savings Number – How Much Should I Save?

Hans responded to Rob’s request for questions by asking about the “Security Bucket” concept. What kind of account does Rob recommend, and perhaps more importantly, what is the magic emergency fund savings number?

Rob previously mentioned he has two years of income saved up in his security bucket.  What amount do most experts recommend, though? Simply put, Rob says it’s an amount that you and your spouse can agree upon, assuming you are married. Money is a point of contention in most marriages, so you will likely need to compromise. Although he is exaggerating, Rob says three months of income is fine by him, but his wife Claudia wants ten years! Obviously, their two year cushion compromise resulted from some serious haggling.

Many financial advisors recommend saving up six months of income as an emergency fund savings number. Your mileage may vary, depending on your own circumstances and risk factor. For instance, younger investors likely have a lot more runway left in life to take financial risks. Thus, they will have a lot more time to refill their security bucket when disaster strikes. Rob recommends the book “The Psychology of Money” for more in depth reading on saving for potential calamity.

Join Our Multifamily Investing Community Today

Do you own your own multifamily rental properties? If not, do you plan to do so one day? Then you should consider joining our online financial group, the ATL Inner Circle Community! Each month, investing pro Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

 

31
Oct, 2024

Why Should You Add An ADU To Your Property Investment?

 

Successful multifamily property investor Rob Rowsell explains why an ADU (Accessory Dwelling Unit) might be a good idea for real estate investors to build on to their investments. Specifically, are you buying a property in order to to resell it later? Then an additional dwelling space (aka granny flat, mother-in-law suite, guest house unit) will increase the resale value. Is it always a good investment, though?

Is an ADU such as this backyard guest house a good investment addition?Should You Build An ADU For Your Property Investment?

Our friend JR asked the question about Rob’s rationale for adding an ADU to a property. What was his timeline for a return on that investment?

Starting at the beginning, Rob uses the example of a California real estate investor adding an ADU to their new purchase. On the surface, this does not add up to a good investment. This new structure will likely not increase your cash flow.

Consider all the expenses and red tape involved in building a habitable, sturdy, waterproof building. It must be up to code, well insulated, and comfortable enough for a guest to stay in. Perhaps your tenant might use it as a man cave or workshop. How much upkeep expense will this add to your plate?

On the other hand, you stand to gain a considerable amount in resale value. Consult with your investors, and make sure that they also see future benefits. Then, make sure they pitch in their share, since they will also reap the benefits when it’s time to sell the property.

Rob shares an example of a structure that he plans to pay his home’s mortgage with. A tenant off the street will rent it as living space. Eventually, Rob plans to use it to park his motor home and house his toys. He will also install a lift for automotive repair.

Join Our Multifamily Investing Community Today

Do you own your own multifamily rental properties? If not, do you plan to do so one day? Then you should consider joining our online financial group, the ATL Inner Circle Community! Each month, investing pro Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not quite as easy as it looks! Property taxes, liens, and legal fees can all be hard to navigate, so having a successful guide in your corner like Rob is a must! Sign up today!

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