Buying small multifamily properties is an easy way to build a portfolio, and with a little creativity, you don’t even need a ton of money! Despite a rocky start to his real estate journey, today’s guest was able to take advantage of a HUGE investing opportunity and buy several properties in very little time.
Welcome back to the Real Estate Rookie podcast! Like many new investors, Sean Reischel started out using the house hacking strategy. Unfortunately, things didn’t go to plan, as an incident involving spaghetti and his garbage disposal ultimately drove a tenant out of his property. However, Sean was able to turn this bad situation into a golden opportunity by renovating the unit, raising rents, and placing a new tenant quickly. Fast forward only a few years, and Sean and his wife own five small multifamily properties worth a combined $2.7 million!
Whether you need help with financing or partnerships, this episode is loaded with practical tips that even the greenest investor can use. Sean shares how he teams up with other investors to buy properties faster, as well as how rehabbing and refinancing properties has increased his buying power. He even dives into his main markets—Salt Lake City, Utah and Louisville, Kentucky—and the investing strategies he deploys in these areas!
In This Episode We Cover
How Sean turned a house hacking “hiccup” into $2.7 million in small multifamily
How to analyze real estate deals using the one-percent rule
What to look for when choosing a new market to invest in
Using the power of refinancing to buy MORE rental properties
How to scale your real estate portfolio faster with partnerships
And So Much More!
(00:00) Intro
(01:11) Sean’s FIRST House Hack
(06:55) The “Spaghetti” Fiasco
(12:49) Renovating the Damaged Unit
(21:33) The Louisville, KY Market
(27:22) Finding & Funding Deals
(33:26) Changing Roles & the Investor “Pitch”
(38:16) Connect with Sean!
Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/rookie-403
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402: The “Domino Effect”: How to Build an Entire Portfolio from ONE Property w/Rob Schou
401: Boost Your Cash Flow in 2024 with These “Self-Management” Tips w/Amelia McGee and Grace Gudenkauf
400: Rookie Investor? Never Make This $40,000 Mistake w/Dave Meyer
399: $80,000/Year Cash Flow & Financial Freedom with 7 Properties (in 3 Years!) w/Sarah Msuya
398: 3 Steps to Buying Your First (or Next) Small Multifamily Property
397: The BEST Ways to Protect Your Rental Property and Keep Your Tenants Safe w/Eileen Daugherty
396: 5 Real Estate Deals Using Other People’s Money w/Darnell Leslie
395: Rookie Reply: Using a Car as a Down Payment (!?), ADUs, & House Hacking 101
394: The Hidden Property Damage That Could Ruin Your Home Renovation…w/Jessica Bryant Walton
393: $120K/Year from ONE “Sensory” Rental Property with a “Secret” Amenity w/Chase Charifa
392: Rookie Reply: Should I Move (and Quit My Job!) to Invest in Real Estate?
391: The Low-Cost Way to “Invest” in Real Estate in 2024 (Without Buying Rentals) w/Veronica Garreton
390: Making Over $10K/Month Thanks to “Conscious” Multifamily Investing w/Yiting Yang
389: Rookie Reply: How to Find a Property Manager & Set up Rentals Out of State
388: How to Save Your Cash Flow When Dealing with a “Problem” Property w/Ashley Robinson
387: The Step-by-Step Guide to Flipping Houses and High-ROI Home Renovations w/James Dainard
386: Rookie Reply: Will It Cash Flow? Analyzing BRRRRs, Hotels, & Commercial Deals
385: How to Save Your Rental Property When “Good” Tenants Turn BAD w/Chelsea Borden
384: The “Luxury” Rental Property That Brings in $150K/Year of Pure Profit w/Veronica Garreton
383: Rookie Reply: “Managing” Your Property Manager & How to Invest While in Debt w/Tiamo Wright and Mindy Jensen
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