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BiggerPockets Money Podcast

181: A Slow, Steady, and Sustainable Way to Buy Rentals with Julie

BiggerPockets Money Podcast

BiggerPockets

Education, Investing, Business

4.53K Ratings

🗓️ 22 March 2021

⏱️ 80 minutes

🧾️ Download transcript

Summary

You may hear of 20 year olds with $1,000,000 in real estate, or a novice flipper doing 50 flips a year, or even a wholesaler who made six figures on one deal. What about the everyday investor who slowly grinds and acquires a steady stream of passive income all while building hundreds of thousands in equity overtime? Those are the real people in real estate, and that is a success story worth sharing. Julie, software engineer and former BiggerPockets employee bought her first house after realizing that a mortgage would be cheaper than her rent. After getting together with her (then) boyfriend, they decided to buy a bigger house. As her first house sat on the market, she waited for an offer, and then made the decision to rent it out.  A few months after buying her second home, she broke up with her boyfriend. Problem? They were both on the title and mortgage. Julie had enough money in her cash reserve to buy him out of the property. Now the property was all Julie’s and she rented out a room to help her pay off the mortgage. Now Julie has 7 properties, spread out across Iowa, Tennessee, and Kentucky. All with very interesting stories, and all pay her passive income, every month. Julie is proof that with some financial restraint, you can slowly build a real estate empire, without even trying to do so in the first place! In This Episode We Cover When you should own and when you should rent a house The dangers of buying a house with someone who may not be in your future Why you should borrow less than you’re approved for The importance of keeping a substantial cash reserve available for investments  Never rent to someone who has no credit, no references, and no job Diving into real estate, even if you don’t know all the tips and tricks yet And So Much More! Learn more about your ad choices. Visit megaphone.fm/adchoices

Transcript

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0:00.0

Welcome to the Bigger Pockets Money Podcast, show number 181, where we interview Julie Kent,

0:07.2

a software engineer from Nashville, and talk about keeping up with the Joneses and purchasing

0:11.3

on your timeline from a position of financial strength.

0:15.0

I think when you get into real estate, it can be very exciting, it can be very daunting,

0:20.3

and there's kind of similarly with everything in life, there's always going to be someone

0:25.0

that has a mass more wealth than you, like anything in life, there's someone that's better than

0:30.1

you in everything. And at some point, you've got to like not let that bother you, I guess,

0:36.4

and I'm as guilty as that as anyone. I've read stories about the people, like, the headlines of

0:42.8

like this person's 26, and they didn't, a million dollars of real estate deals last year, and I'm like,

0:47.8

crap, what am I doing with my life, you know? Clearly you're just a big loser with only having seven

0:53.4

properties. Yeah, so, but yeah, I think like celebrating like small wins is important,

1:00.5

and also like learning to love the journey. Hello, hello, hello, my name is Mindy Jensen,

1:07.7

and with me as always is my, I've recently discovered Scotch, but I only like the gross

1:11.7

PD Scotch is the taste like I'm drinking dirt. Co-host, Scotch, trench.

1:16.2

Your interests are just always on the rocks, Mindy. Let's keep moving.

1:19.5

Scot and I are here to make financial independence less scary, less just for somebody else,

1:26.7

to introduce you to every money story, because we truly believe financial freedom is

1:30.7

attainable for everyone, no matter when or where you're starting. That's right, whether you

1:34.8

want to retire early and travel the world, go on to make big-time investments in assets like

1:38.4

real estate, start your own business, or just slowly buy a handful of rent to properties

1:43.2

or for the course of a decade. We'll help you reach your financial goals and get money out of the

1:47.0

way so you can launch yourself towards those dreams.

...

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