Video Closed Captioning:
good morning good afternoon good evening
folks michael’s uber one rental at a
time this is video two
in a series of buy box this is something
i believe all new investors should do if
you are excited about real estate
investing but unsure what to do i
believe step one is creating a buy box i
am now going to give you my buy box
from 2002 again this is exactly how i
learned my market this is what i use for
the first
two or three years of my journey so i’m
going to walk you through the process
this is something i think all of you
should do
the goal of a buy box
is to create an active inventory list of
between 20 and 40 properties
if your criteria only produces five it’s
too tight widen it if it produces 500
it’s too big uh you know or it’s too
loose tighten it some so here’s the deal
so 2002
my first criteria was fresno
california
keep in mind i chose fresno california
after spending a year in my backyard
nothing cash flow
i picked fresno california because it
was within driving distance it’s two and
a half hours away
i knew no one i had never been there but
i decided that’s where i was going to
bank my future
fresno california even back in 2002
it had
thousands of listings half a million
people it was massive
there is no way
i could have learned fresno california
from mountain view unless i had a buy
box
so again
if i were to go to today realtor.com
redfin or zillow
type in fresno california i would see
thousands of listings
too broad
my first thing is
i wanted
single-family homes
single-family homes you might want a
four-plex or a duplex or apartments or
condos i don’t care i’m giving you mine
as an example you do you
this was mine
so fresno california single-family homes
still too broad
i ignored multi-family i ignored condos
mobile homes
uh
all that stuff right four plexes
duplexes ignored still too big
so i went to fresno i talked to people i
networked i tried to figure out the
local market i found a zip code
nine three oops sorry
nine three
seven oh three
at the time this again is 2002.
i found a zip code that people kept
telling me over and over and over again
that’s where the middle class is 93703
again 2002 information here
middle class i wanted to own what i
lived in in mountain view middle class
so again fresno california single family
home zip code
still too big hundreds of listings here
i could not learn
that market
it was just too much it changed too fast
i had no special access
too much i just
it was too much
next i decided on three
twos or four twos
three bedroom two bath
four bedroom two bath
so i didn’t look at big homes i didn’t
look at small homes
this was also
too big
we probably were around 70 listings at
this point remember i want to get
between 20 and 40. so what i had to do
in 2002 is add square foot
and i think i went from
1250
to 1750.
so when i did that i got to about 40
active listings in 2002.
remember video one
buy box why
focus
i had this search and this is all i
looked at this is all i looked at for
two years
two years
93703 three and four bedrooms between
1250 and 1750 square foot fresno is huge
i only had 20 minutes
here was my focus
20 minutes a day i would be repetitive
over and over and over and over again
this is how i found norris drive which i
write about in my first book
i understand the math i could calculate
my yield i understood that the mayfair
back then the average was eight percent
i got norris drive which was a 10 yield
these are all 2002 numbers i did my
first great deal because i spent time
repeating and looking at my buy box
and then i found out where i was weak i
didn’t know repair costs network things
of that nature so
i challenge you i’m giving this way a
free this is step one of my amazing
course how to get started one rental at
a time i give you the spreadsheet all of
this stuff but again
this is free
you need a buy box
it needs to be something you look at
every day
i suggest between 20 and 40 active
listings
if this produced 100 it’s too big i only
had 20 minutes a day if it produces two
it’s too tight right if it would only
produce two
right then you could remove this
and again what i’m giving you here is my
2002 experience i would do something
entirely different today
i want you to do you
if it’s multi-family great if it’s
condos great i don’t care i just want
you to do the work
get the criteria
be repetitive if you need help and you
need guidance
by the course below let’s get started
join the free facebook group talk to me
every saturday on our live streams
it’s amazing stuff again if you’re a new
investor
get a buy box look at it every day
understand the math
let’s have some fun together alright
everybody take care i hope that helped
bye