Today’s REI Classroom Lesson

Today, Adam Stern talks about rental portfolios and how you can continue to grow your business with rentals.

REI Classroom Summary

Listen in as Adam covers property management growth and how more deals with less renovation can work in your favor.

Listen to this REI Classroom Lesson

Real Estate Investing Classroom Show Transcripts:

Mike: Welcome back to the FlipNerd.com REI Classroom where experts from across the real estate investing industry teach you quick lessons to take your business to the next level. And now, let’s meet today’s expert host.

Adam: Hi. My name is Adam Stern. I am president of OwnAmerica and the number one SFR portfolio salesperson in the country. This is the REI Classroom. I’m your host. We previously talked about acquiring SFR, single-family rentals, in bulk.

Mike: This REI Classroom real estate lesson is sponsored by uglyopportunities.com

Adam: We also talked in session two about setting buyer expectations. Now we’re going to talk about a turnkey provider that bought an SFR portfolio, set the buyers expectation in terms of what kind of yield in asset they should expect, and now you’re looking to exit your investment and sell your term equity that was in a portfolio but now it’s being sold individually to a retail investor.
The real key thing about executing on this strategy is making enough money so that each individual transaction makes sense for you as a turnkey provider. But also, and if you’re like most turnkey providers, building your property management company and putting more doors under management to grow that section of your business as that’s going to be a driver for, you know, every person that owns a property is a potential buyer, and every person that owns a property in the future might be a potential seller.
So the idea of building property management, at the same time driving your individual sales to a point where, again, if you’re used to doing 10 transactions a month and making $10,000 to $15,000 plus per, doing 30 transactions a month and making $5,000 to $6,000 or $7,000 per doesn’t sound like that bad of a trade-off if, again, you’re happy with that results, and you’re happy with not doing the renovations, and you’re happy with not doing the tenanting and the aggregating of the actual portfolio acquisition. And the growth of your property management company is just going to benefit.
So this all kind of coalesces into a cohesive strategy where foreclosures are low. They’re back to historical norms. You’re out there looking for inventory. We at OwnAmerica have discovered a massive amount of inventory that is just waiting to be tapped into. We’re going to be tapping into it via our website which is launching, or I should say relaunching, as a portfolio management tool, allowing SFR owners to track and optimize their portfolio until it’s time to sell. And hopefully, if this all made sense to you, you’re going to be a buyer on our platform.
So I invite you to see it at www.ownamerica.com, and if you’d like to reach out you can reach us. We’re easy to find. Our website again is www.ownamerica.com. Appreciate you listening. Bye.

Mike: HomeVestors, the We Buy Ugly Houses folks, is a franchise system of hundreds of real estate investors that have purchased over 65,000 houses. If you’d like to learn more about the most powerful real estate investing system in existence, whether you’re a pro looking to take your business to the next level or whether you have no experience at all but a burning passion to be successful in real estate investing, please visit flipnerd.com/ugly to learn more.
Please note the views and opinions expressed by the individuals in this program do not necessarily reflect those of flipnerd.com or any of its partners, advertisers, or affiliates. Please consult professionals before making any investment or tax decisions, as real estate investing can be risky.
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Adam Stern
Adam is President of OwnAmerica, a National Real Estate Investment Brokerage offering disposition, acquisition and real estate consulting services to investors from small mom and pop, to large institutions. Through OA, buyers and sellers can connect to real estate service providers to execute on plans requiring both a high level of strategic vision, and boots on the ground execution.