70% RULE, 50% RULE, 2% RULE… FIND THE DEAL THE MONEY WILL COME….
Do you REALLY need to follow these rules and will they WORK? I wanted to share a little about my opinion and experience with these rules.
Let me say this before you continue reading. I do NOT recommend you to follow my strategy. You need to be strong-willed, motivated, and driven to make investing work the way I have. I don’t claim or suggest in any way that my strategy will bring you the same results.
Do I follow these rules?
No! In fact, I never heard of these rules until I found BiggerPockets in July of 2013 and had already purchased my 4th property in 1 years time and in total my 5th property by June 2013.
Have I tried following these rules?
Yes, I have tried a few of them since I heard about them and so far they have NOT worked for me and the money has definitely NOT come when I find a good deal even when I am footing the rehab costs myself. So I still currently invest in what I can purchase and rehab myself, which are cheap rental properties.
How did I find good deals then since everyone says there are no deals on the MLS?
Well, the MLS is NOT dead. I simply look on the MLS, run the numbers and decide if it makes sense and provides enough profit for me to move forward.
Did you create an exit strategy?
Nope. I’m very aggressive and won’t take failure as an option. I go in with one goal and one goal only when buying a property. Granted I have had one project this year that the strategy did change during the project so I guess you can say I had an exit strategy on that …read more