rental properties

Rob Rowsell runs down what is in his real estate buy box. That is to say, what criteria every multifamily property must meet in order to interest him in buying it. Take a look at the population, amenities, and demographics when you’re looking to buy and fill rental properties.

What's in your real estate buy box for multifamily rental properties?What’s in Rob’s Real Estate Buy Box?

Rob has seen his share of ups and downs in the US real estate market. Thus, he has experienced his share of failures along the way to amassing wealth. Only through these hardships could he learn what he requires to fill his real estate buy box.

  1. City Population of 75,000 or More: Filling and staffing multifamily properties is very challenging in a population lower than 75k. The farther from a large metro area you search, the less competition you encounter, but that is for a good reason.
  2. Major Airport Within 30 Minutes of the Property: Nobody wants a long drive from the airport to inspect their properties. Due to reliability and available perks, Rob strongly prefers that the airport be a major international carrier.
  3. Job Growth of 3-5% Year Over Year
  4. Population Growth of 3-5% Year Over Year
  5. Building Contains 80 Units or More: This rule of thumb applies for syndications. Smaller complexes may make it into the buy box, but would likely need to involve a joint venture.
  6. Built No Earlier Than 1980
  7. 7% or More Average Cash On Cash Return Over the Life of the Deal: Knowing you can promise this figure to your investors is key to securing their trust.
  8. AAR of 20% Over the Life of the Deal: This means cash on cash amount combined with the increased equity at sale.
  9. No Coastal Properties and No Flood Zones: Nobody wants a letter of cancellation or arbitrary, huge increases from their insurance company. These are out of your control, so don’t risk it!

Join Our Community

Do you own multifamily properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the ATL Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not 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! Enroll today!

These may be the most important tax prep tips you will ever hear! When you have multiple investments like Rob, including rental properties and businesses in different states, it is so important to meet with your CPA regularly. Rob recommends a service which allows him to meet with his accountant monthly to discuss taxes, investments, and expenses.

Tax Prep Tips for Financial Planning PreparationRob’s Best Tax Prep Tips

You may not like hearing this, but tax season is not just a once per year occurrence. Rob recommends meeting with your CPA at minimum in July and October, as well as in the Spring season. Things move very fast in Rob’s business pursuits. If he waited until the end of the year to begin tax preparation, he would not remember all the details behind each endeavor. This drives his wife Claudia nuts! While going through the process of selling their auto repair shops, they were in the midst of moving. They were also buying multiple rental properties in different states at the time! You can see why meeting with their CPA throughout the year would help.

Rob’s CPA offers a monthly meeting option called a CFO program. When they meet each month, they project Rob’s income from his various ventures. They also estimate what he expects to owe at tax time. The most important of Rob’s tax prep tips boils down to this: Stay informed throughout the year, so you a large tax bill doesn’t surprise you in April!

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the Addicted To Life Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not 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! Enroll today!

You can’t hide anything from an attorney! If you own multiple properties, then you need to take steps toward financial assets protection. In order to protect your assets, make sure that you have enough property insurance to protect your investments and practice anonymity. Otherwise, you will live to regret it!

Financial Assets Protection is a must - multi-family rental propertyFinancial Assets Protection Strategies Discussion

Rob Rowsell hit the ground running in this ATL call! It is so important to cover all your bases with your properties. He learned his lesson about financial assets protection the hard way when a jilted employee blindsided him with a lawsuit for over a half a million dollars! Talk about not having your ark ready for the storm!

Our host laid out three key strategies to assure that our assets are protected:

  1. Make sure you have enough comprehensive insurance on the property
  2. Practice anonymity through a property holding company – an LLC doesn’t count!
  3. Have enough liens on the property to make sure the value is evident

If you don’t think that you will need this advice, then you should think again! The more properties you own, the more open to litigation and financial audits you will be. Whether you like it or whether you don’t, the storm is coming. Do you have enough financial assets protection strategies in place in order to weather the storm?

Join Our Community

Do you own multi-family properties? If not, do you aspire to one day? Then you should consider joining our online discussion group, the Addicted To Life Community! Each month, Rob Rowsell will teach you what you must do in order to build wealth in the real estate business. It’s not 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! Enroll today!

 

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