Being a property manager is a great career and a great way to earn an income. Getting in on a growing opportunity and building a solid business is fun and profitable. Yet, many property managers can get stuck on depending on only transactional income through adding clients. In this episode, we learn about a way to break this cycle.
In this episode my guest is Jim Ingersoll from Big Money Investor. Jim shares creative ways to fund deals. He is a real estate investor with a lot of great ideas. My goal for this show is to make things very relevant for property managers. We discuss how property managers can break through the transactional cycle and purchase their own investment properties to manage and grow revenues for themselves along with their clients.
[02:05] How Jim helps people get into owning properties of their own and not just managing them for everyone else.
[02:33] How property managers often get stuck in a transactional income stream. They would like to break out of this cycle but don’t always know how.
[03:00] Why some property managers don’t have properties of their own.
[03:47] Getting rid of the 20% down bank-funded myth.
[04:35] Assuming loans, letting an owner be the bank, joint ventures – funding through someone else, real estate can be a retirement account.
[07:16] Buying a property “subject to” an existing loan staying in place.
[09:53] Structuring financing through free and clear owners who want to sell without any management responsibilities.
[12:52] Joint venture with someone who has money on the sideline, where you do the work and they provide the capital and you share cash flow and equity when you sell.
[16:34] How joint ventures would be a great method for property managers to get properties.
[21:34] Investing retirement accounts in real estate. You are not limited to stocks and bonds.
[22:33] Using self-directed retirement accounts to invest in real estate.
[25:03] Using leverage in real estate is a huge benefit.
[26:01] Creative options with short-term rentals Airbnb to traveling nurses.
Taking over a loan is a great strategy for truly motivated sellers.
An incentive for owner financing is earning 5-6 times more interest than from the bank.
A problem landlords can run into with 20% down loans is cash flow shortages.