Re: What is your LONG TERM Game Plan? - Posted by Matthew Chan
Posted by Matthew Chan on March 22, 2000 at 19:17:25:
Continuous CASHFLOW is the long-term goal for me. You generate some minimal cash to meet your immediate living needs, plow the rest of it into generating an income producing asset.
I personally have no desire or feel there is a need to turn over or own a hundred houses. I only want to turn enough to get into a couple of larger properties. A relative of mine has about $50K worth of equity in just 1 rental house after 5 years of ownership. She cashes out of the house today, it is a nice down payment for a $500,000 to $600,000 income property. With her monthly expenses so low, I believe she could be out of the “rat race” in the next year or 2.
Or if you don’t have that, maybe do 6-8 deals generating $10-15K profit each, and you got a nice tidy sum to get into a $1 million income property. You might have to do an extra deal or so or make a little more per deal so that you can pay your monthly expenses. I keep my expenses so low living an “average” humdrum lifestyle, it really isn’t going to be a big deal. I will worry about being flashy later.
Do 1 deal a month, and in under a year, you are in a position to stop “grinding” for the next house.
I figure if I play my cards right, I will be out of the rat race in one or 2 years doing something different.
I look at Real Estate and Notes as a vehicle to where I want to go. The person that gives a great “big picture” model to follow is Robert Kiyosaki through his books and games.
Robert Kiyosaki’s favorite quote is “Mind your own business” meaning be conscious of your financial position, ensuring you take care of your own financial well-being, and filtering out the noise.
A lot of things discussed here are great techniques and tools to get to where you want. There are so many, it is mind-boggling.
My plan may be a little simplistic but it seems to be the fastest way to get where I want to go and very achievable. I am certain other people have better long-term plans than this so I, too, am interested in hearing what others have to say.