What Is Loss to Lease

When building a pro-forma for a potential acquisition, there are certain elements that are often overlooked, one of which is Loss to Lease.  Why – because while we kinda all know what it means, most people’s understanding is very uni-dimensional and lacking in-depth perspective. Thus, let’s define the term, and consider some of the perspective… WHAT […]

What’s More Important When Buying Rentals - Equity or Cash Flow

How to Build Wealth with Rentals – A Case Study

INTRODUCTION I have been investing in income-producing real estate for nine years now.  My portfolio currently consists of 28 units which generate Gross Rental Income of about $170,000/year and Cash Flow of around $45,000/year. I don’t flip houses. I don’t wholesale houses either. I don’t do Sub2 or Lease/Option sandwich deals or any other fancy VooDoo real […]

I Don’t Make Down-payment – Here’s Why

Real Estate investing is a cash intensive game, and this is nowhere evident than in the requirement of a down-payment.  Yes indeed, the overriding reality for most people is that financing the purchase of an investment property generally involves a sizable down-payment.  More than that, unbelievably enough, a rather wide cross-section of real estate investors […]