Is the fear of “what if?” stopping you from investing in real estate? You could learn a thing or two from today’s guest. Despite a “nightmare” first deal involving every worst-case scenario imaginable, he still managed to come away with an enormous profit!
Mitch Krotz had always wanted to buy a rental property, so when a great deal fell in his lap, it was a no-brainer! But then, seemingly everything that could go wrong did go wrong. Shortly after closing, Mitch was already evicting tenants and wading through trash in his heavily damaged unit. But that’s not all. Police showed up and discovered a grow house in the basement right before Mitch’s ex-tenants broke into the property. To cap things off, Mitch was hospitalized for meningitis during his DIY home renovations. While he had every reason to give up on real estate investing, his persistence paid off to the tune of $115,000 in profit.
If Mitch can do it, you can too! Stay tuned as he shares some of the most valuable lessons learned during his painful first deal. For one, if you’re going to take real estate seriously, you need to manage it like a real business. Invest in systems, organization, bookkeeping, and other tools that will set you up for success!
In This Episode We Cover:
Mitch’s biggest lessons learned from a painful first real estate deal
How to build an all-star team to help run your real estate business
When to DIY home improvement projects (and when to outsource them instead!)
Dealing with troublesome tenants and navigating the eviction process
Why you NEED to allow room for error in your margins
The “secret” up-and-coming market Mitch has identified for short-term rentals
And So Much More!
Links from the Show
Find an Agent
Find a Lender
Ashley's BiggerPockets Profile
Ashley's Instagram
Tony's BiggerPockets Profile
Tony's Instagram
Real Estate Rookie Facebook Group
Join BiggerPockets for FREE
Ask Us Your Investing Question
Apply to Be a Guest on the “Real Estate Rookie” Podcast
The Step-by-Step Guide to Finding the BEST Off-Market Real Estate Deals
How I’m HELOCing My Way to Wealth
Should I Fix My Credit Before Attempting to Invest in Real Estate?
Rookie to Real Estate Investor in 90 Days: LIVE Mentorship Calls
3 Steps to Start Investing in Real Estate + 2024 Mortgage Rate Predictions
Achieving FI with Fewer Doors: The Small and Mighty Real Estate Portfolio
Leaks, Surprise Rehabs, and the Reality of Buying Your First Rental Property
Books Mentioned in the Show
The Small and Mighty Real Estate Investor by Chad Carson
Connect with Mitch
Mitch's BiggerPockets Profile
Mitch's Instagram: @krotzrocket11
Check the full show notes here: https://www.biggerpockets.com/blog/rookie-364
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262: How to SCALE Your Real Estate Portfolio in 2023
261: How Nancy Rodriguez from 'Love is Blind' Hit Financial Freedom BEFORE Fame
260: Rookie Reply: When Can You Refinance and How to AVOID Taxes on a Home Sale w/Amanda Han
259: No Down Payment? No Problem! Three Creative Financing Options to Consider w/Pooja Jindal
258: Rookie Reply: How to Find Out Who Owns a Property and Direct Mail 101
257: Rookie to Real Estate Investor: Seller Financing, STR Markets, & Lowball Offers
256: Rookie Reply: Escaping the Corporate Rat Race and Property Management Q&As w/Isaac Lane
255: How to (Legally) Avoid Taxes by Investing in Real Estate w/Amanda Han
254: Rookie Reply: Can You Put Offers on Multiple Houses? w/Jake Kain
253: How to Build Your Financial Foundation BEFORE Investing in Real Estate w/Malia Gudenkauf
252.5: How to Buy Your First Rental Property in 11 Steps
252: Rookie Reply: Tenant Not Paying Rent? Here’s What to Do w/Alexandra Burnham
251: Rookie to Real Estate Investor in 90 Days: LIVE Mentorship Calls
250: Rookie Reply: 2023 Risks, The True Cost of Owning Rentals, and Live Q&A w/Pace Morby & Jamil Damji
249: Simple Steps to Start, Scale, and Grow a Real Estate Business in 2023
248: Rookie Reply: Do You NEED an LLC for Rental Property?
247: From $40K in Debt to 4 Properties and How to Snag a Low Mortgage Rate in 2023 w/Lindsey Iskierka
246: Rookie Reply: The 3 Signs of a Perfect Rental Property Market
245: Escaping the “Grind" through Van Life and Cross-Country Investing w/Tony Clark
244: Rookie Reply: How to Estimate Rehab Costs and Where to Find the Right CPA
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