24 Rental Units in 2 Years by Focusing On the 20% That Matters

Twenty-four rental units in two years! It’s possible, but only if you’re using the same principles that today’s guest has employed. With house hacking, HELOCs, the 80/20 rule, and a few more strategic investing moves, you too could fast-track your path to financial freedom. If you want to build your dream real estate portfolio without sacrificing decades in the process, these strategies will help you do it!
For Andrew Freed, a full-time project manager, real estate agent, and investor, these strategies have been life-changing. And even if you’re still a real estate rookie, you can do exactly what Andrew did to reach the same results. Thankfully, Andrew’s investing methods, tips, and tricks are well-rounded, well-developed, and easy to follow.
In this episode, Andrew walks us through how he managed to buy twenty-four units in two years, the moment the gears started turning in his mind, his personal development process, and the key principle that keeps him focused on his goals. Andrew also gives us his best advice for predicting and preventing problems in your rental properties, stabilizing, and raising the rent. From gaining the confidence to get started to finding investment partners, he offers valuable, step-by-step guidance we can all learn from.
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Join the Real Estate Rookie Facebook Group:
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Find an Investor-Friendly Agent in Your Area:
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Simple Steps to Start, Scale, and Grow a Real Estate Business in 2023:
www.biggerpockets.com/blog/ro...
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The Rookie’s Guide to 2023 Goal Setting:
www.biggerpockets.com/blog/ro...
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Books Mentioned in This Episode:
Rich Dad Poor Dad by Robert Kiyosaki: store.biggerpockets.com/produ...
The Miracle Morning by Hal Elrod: miraclemorning.com/books/
The Compound Effect by Darren Hardy: store.darrenhardy.com/product...
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A Useful Tool for Auto-Pay Rent Collection:
www.apartments.com/rental-man...
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Connect with Andrew:
BiggerPockets: www.biggerpockets.com/users/a...
Links: linktr.ee/andrewfreed
LinkedIn: / andrew-freed-msm
Instagram: @InvestorFreed or / investorfreed
Facebook: / afreed2
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Connect with Ashley and Tony on BiggerPockets:
Ashley: www.biggerpockets.com/users/e...
Tony: www.biggerpockets.com/users/t...
Episode #267
Show notes at: www.biggerpockets.com/blog/ro...

[@greydenpiechnickrealestate6928]

So honest with himself!!! What a great interview. I have 2 units and about to close on a 9 unit building!! I’m 23 and started investing when I was 21!

[@InvestorFreed]

That is amazing, crushing it! Once you close, do a youtube video on the 9 unit. I'd love to see that project in action.

[@greydenpiechnickrealestate6928]

@@InvestorFreed thank you!! I will most certainly!

[@emmanuelsurf]

Great job. How did you find the 9 unit?

[@greydenpiechnickrealestate6928]

@@emmanuelsurf door knocked my friends grandma who owns 70+ units when I got word it might be for sale!!

[@eap1321]

congrats man! question how much do you need to start a rental ?

[@TJ-th9hw]

This was a Magnificent interview with Andrew. He provided so knowledge and tips on inheriting tenants, binder strategy, Heloc, etc. I certainly will listen to this episode again. Ashley and Tony thanks for having Andrew on the show.

[@talenasuggski2341]

This is the best episode out of ALL of them in my opinion. I learned so much I listened to It 2 times in a row he dropped SOOO MANY NUGGETS. I just bought my first rental and my tenant is month to month below market with no written lease. This info came at the perfect time I'm fired up can't wait to get my next property using the exact same method. Thanks If it wasn't for bigger pockets I never could have done this. OH YEAH I got cash back at closing also. It is possible thank you.

[@InvestorFreed]

Thank you for the kind words. 17 inherited tenants out of my 24 units, the binder strategy really works!

[@alipainting]

Thank you for talking about tenants who say they can afford the rent but can't. I have a housemate tenant who can't afford the room and is a glum, non-talker and "landlord hater". I've got a really nice place with a great view that took me two decades to pay down, so I'm going to give her notice, and instead get a professional level higher-paid housemate through Furnished Finder and who appreciates being here. 😊

[@amafid]

Dions binder strategy is blowing up. 31:49

[@legacyopp9318]

Many techniques we learn about from those other guys are from B.P.

[@InvestorFreed]

Dion is the man!

[@DionTalkFinancialFreedom]

Thank you. 😀

[@avelinalindawan6218]

Very helpful thank you so much

[@ropatipisia4830]

I love your show because you really break down the the technical terms making it easy for us rookies to understand and stay connected. Thank you so much for doing that. Most people use these hard real estate vocabularies and losing half their audience by the time they get to the end. Thats why I wont watch any other Podcast.

[@DionTalkFinancialFreedom]

Thank you. Great info. Love that you used my binder strategy. 😀

[@zach1328]

Yeah he clearly listens to you. which is great that he is spreading the love.

[@KeeptheChange41]

Cool how it's becoming normal tool for so many.

[@InvestorFreed]

Dion, you're an absolute legend. Thanks for helping others like myself work towards financial freedom!

[@karimkarachiwalla7073]

Great guest. So many nuggets. 5 stars.

[@Ms_Gfannin]

Be confident knowing that I will tackle anything that comes my way! Love that!

[@marybing6200]

I so enjoyed this episode, it was extremely informative! Thanks to all of you so much!😊

[@InvestorFreed]

Thank you Mary!

[@amafid]

5:05 your welcome

[@bernicemalone7741]

Awesome episode! So many gems💎 were dropped! Thank You!

[@InvestorFreed]

I appreciate you Bernice!

[@skysthelimit.podcast]

Loved it! 😊

[@NsBista]

could you guys do a interview with people who have a small amount of rental experience? i think this could really motivate and get a better understanding for us rookies

[@BrandonDukesWealth]

This was an awesome Interview

[@zeekflash6924]

A lot of knowledge, dropped by this guest

[@JakeTownsley]

THANK YOU FOR HAVING HIM SPELL IT OUT

[@ryankeenan351]

Great insight! So do you just work to pay off the heloc after you use it for the down payment then buy the next?

[@InvestorFreed]

I do not recommend this for everyone, however I intentionally am keeping my HELOCS drawn so I have healthy cash reserves and can leverage those funds into more cash flow assets. The interest paid on the HELOC is simply opportunity costs in my opinion. During the 2008 crash, lines of credit were pulled so I would prefer to pay interest on it and have the cash available then pay down it down and have the line pulled on me during a recessionary period in the market.

[@atlpch]

I ❤️❤️❤️ all of the positivity from all 3 of you‼️

[@InvestorFreed]

We appreciate the support!

[@aparadaeessa]

I’m from the area! How did you find a 3 family home in worcester Massachusetts turnkey for 500k?!? That’s just unheard of now a days.

[@1PercentBetterConstant]

I am a Project Manager as well this is why I have been wanting to use those skills in real estate. Currently trying to get into my first property/project

[@InvestorFreed]

You got this brotha! Project management skills are applicable in every aspect of business.

[@lawrencebriggs]

Congrats Andrew!

[@InvestorFreed]

Thank you!

[@buhr1mm1]

When you open up a HELOC on any of your properties and use it to purchase another that cash flows positively, how much of that cashflow do you use to pay off that HELOC used? Example, you need say 20k down on a 100k house. Do you simply take the cashflow and pay off that HELOC until it's paid off while paying the interest every month or do you just pay the interest until you can lump some the payment off to maximize the HELOC now? Obviously, you need enough to cover repairs, ect so that's the big question?

[@jasonjosephlee]

Great breakdown, investing in multifamily changed my life forever, best thing I could have ever done. So glad I started at a young age, this type of content helps out so many new investors, great content overall!

[@Ricocase]

How does a $500k triplex cash flow @ 2150 section 8 rent, $500 per 100k borrowed? Inflation w/ food/ fuel, 18+%, losing $?

[@InvestorFreed]

For the $500K property, the PITI is around $2,500 and it brings in $5,350 in monthly rent across the three units. I'd say it probably cash flows around $1,000 a month after repair, vacancy, capex etc. Either way, most of my cash flow just sits in the properties accounts anyway.

[@tracylieu3211]

Which business credit card is best and zero % for real estate investor? I am looking for heloc to pull my equity to buy more real estate but I want 5/10% down but that I need to be primary occupy? How can I know I it is a good deal to buy multi family?

[@Hallahanify]

Chase

[@ajaymunhoo8582]

I like this guy

[@InvestorFreed]

I like you too my friend! :)

[@demondmorris7308]

Gotta be careful with the binder method, I know personally I wouldn't move on my rent until my lease was up. Maybe 25% tops after my lease up

[@Joaninhass]

Anyone who has handled him or his trade as I believe is so lucky

[@Matt-Legrand]

How to open line of credit on a property you just purchased with say 15% down ?

[@InvestorFreed]

They have HELOCs up to 100% on primary residence. That is how I HELOC'd my first househack that I purchased with a FHA. It did not have a ton of equity so I chose to do a 100% HELOC when it was my primary and pulled out $75K prior to moving onto my next househack.

[@erickarostran1569]

1

[@dianezambrano7622]

​@@InvestorFreed first of all thanks for taking the time to drop so much of your experiences and choices. Second, what heloc company did you use to get the 100%s? Thanks in advance.

[@InvestorFreed]

@@dianezambrano7622 I used Hanscom Federal Credit Union which is a local credit union in Massachusetts. They may not serve your area. Nonetheless, they definitely have 100% HELOC products in your area if you shop around. I'd make a list of all of the small local credit unions or banks in a 50 mile radius and just start reaching out to all of them. You'll find one eventually. Another good strategy is asking a ton of local real estate investor groups in facebook if they have any recommendations. I've found some good options this way as well.

[@charlesholder4150]

Damn this guy.

[@InvestorFreed]

I love you too Charles! :)

[@jamesscott1391]

Es hat mir geholfen, das zurückzugewinnen, was ich beim Versuch, selbst zu traden, verloren habe

[@keeperzero]

My tenant was a smoker I didn't know this but apparently he fell asleep last night and burn down unit

[@gnahthe]

Stand guard at the doorway of your mind.

[@InvestorFreed]

The mind is the gateway between the reality you live and the reality you want!

[@user-mz5rv6dh2y]

Why are they using the Bigger Pockets symbol

[@eventconsultants7010]

In law there are different types of estoppels...I am still trying to wrap my head around needing this from Tenants if they already have a lease/license which are enforceable in law.

[@InvestorFreed]

Leases can be falsified, tenants can claim they didnt sign the lease. Always better to have the tenant sign some sort of document, aka an estoppel, to confirm that they agree to the current rent in place, who is living there, who covers utilities etc. If the tenant signs off on this at the transaction phase, they really claim different information once you close. Remember, once you close, the agreement to rent the place is not between you and the previous owner, it is between you and the current tenant thus their sign off on expectations up front is inperitive to a smooth stabalization period. Yes, you can always involve the courts, but that always encompasses hiring attorney's, going to court, the mental anguish. Sometimes its better to be proactive to avoid these legal battles down the road.

[@kamilafabian3115]

Bitte, wie kann ich mit dieser berühmten Dame Olivia in Kontakt treten??

[@Dacosta760]

Ich denke, ich bin gesegnet, denn sonst hätte ich niemanden getroffen, der so spektakulär ist wie die Expertin Frau Olivia Ich denke, es ist der beste Broker, den ich je gesehen habe

[@morgansmith3094]

Ms. Olivia ist echt und ihre Methode funktioniert wie Magie, die ich jede Woche mit ihrer neuen Strategie verdiene

[@Ambrosha385]

Interview me, 28 units in 2 yrs.

[@InvestorFreed]

BP has an application that you can complete. DM one of the hosts and ask for a link to the application package.

[@nicolasluu9584]

Why they keep chit chating with unrelated subject for the first 5 minutes of the video?

[@waltervonbraushitsdh4700]

Ich trade auch mit ihr und verdiene jede Woche 2.600 Dollar. Meine ganze Familie hat mit ihr gehandelt und Gewinne erzielt

[@ryanscribner9285]

Sie ist wirklich großartig mit ihren Fähigkeiten. Sie änderte meine 0,5 BTC in 2,1 BTC

[@williammarulandamorales4319]

Zählen Sie mich, warum ich meine Trades platziere Expertin Olivia, das ist die Art von Informationen, die Wir bekommen nicht von den meisten KZbinrn, auf die ich eingehen werde Tippen Sie jetzt mit ihr.