My Actual Property Objectives for 2023 and a Recap of 2022
10 min read
I like setting targets, making an attempt to perform them, and often failing miserably! I say that in a joking method however I actually don’t thoughts not conducting all of my targets as a result of that’s not what targets are for. Objectives are that will help you do higher and go farther than you’ll have gone with out them. If I attain all of my targets then which means I made them too simple to perform and I in all probability stunted my development. Yearly I make very aggressive targets and I put up them publicly to offer myself accountability. I additionally change my purpose construction as I study what has and has not labored properly for my targets.
My earlier targets and the way I did
It’s loopy to think about how a lot I’ve completed through the years and I do know that setting targets helped me do rather more than I ever thought potential. I personal greater than $22 million price of actual property and have completed lots of my goals. I nonetheless have an extended solution to go and I’ll preserve this going so long as I can. Yearly I write this text that goes over my earlier targets and my future targets. You may see these different purpose articles from earlier years under:
Issues have modified through the years as my enterprise has modified and new issues have come into my life. I began an actual property brokerage, began investing in industrial actual property, wrote many books, began brick-and-mortar companies, and rather more.
What had been my targets for 2022?
For 2022, I wished to alter issues up a little bit bit. I modified lots of my purpose buildings and tried some new issues which labored okay. I’m going to alter these once more for 2023.
Full 36 rehabs
I’ve at all times had a purpose to flip a certain quantity of homes annually. Nevertheless, this purpose cannot at all times present what is going on within the enterprise. Final yr we began transforming multi-units which implies one flip is likely to be the identical as 5 flips. We even have been shopping for extra rental properties and rehabbing and renting these properties could be very useful as properly however power us to do fewer flips. In 2022 I’m altering my purpose to be in regards to the variety of rehabs we do! I need to full 36 rehabs on flips or leases and that is per unit.
This was a tough purpose to maintain monitor of as a result of we had multiunit properties, industrial properties, and homes that we reworked. I believe we had been proper round 30 rehabs that we accomplished which was near my purpose. This was an attention-grabbing purpose however we nonetheless had rehabs that took means too lengthy. I additionally didn’t promote as many properties as I often do and I believe promoting properties is an efficient purpose to have (flips or leases) since that helps preserve money coming in to help new buys and rehabs.
Right here was one among my crazier rehabs!
Add $45k a month in passive earnings
I’ve had some bizarre targets of including sq. footage of leases as properly. I like this purpose and it’s simple for me to measure however I additionally find yourself with vacant sq. footage which is unfavorable and never constructive. For this yr, I’m making a passive earnings purpose that embraces each the buying and stabilizing of leases. This purpose will also be completed with refinances or beginning companies that create extra cash circulate just like the liquor retailer or mini-mart.
This purpose was additionally troublesome to trace and I didn’t hit it by any means. I did enhance my money circulate by fairly a bit however then decreased it at instances with new purchases that weren’t rented but or wanted to be reworked. I accomplished a refinance which helped the money circulate as properly. I believe I added round $15,000 in money circulate total which is nice however not near my purpose. I may have additionally carried out a greater job focussing on this purpose as properly. Some offers have money circulate instantly and a few don’t!
Refinance $2 million of debt
I had a purpose to refinance $2 million of debt in 2021 and I’ve that very same purpose this yr as properly. After fascinated by it, I may have to extend this purpose since one refinance I’ve in progress will come near $2 million! That refinance must also save me about $8,000 a month as a result of it’s paying off high-interest short-term debt with low-interest long-term debt!
It took me a very long time to get that one refinance carried out however I did it! I didn’t do another refinance charges rising a lot however I plan to look into extra in 2023. I do have non-public cash loans that I would like to switch with financial institution loans or promote the properties in some unspecified time in the future.
Make $500k in income from InvestFourMore
I had made targets to have actually good months with my weblog, and on-line enterprise: Investfourmore. I noticed all the yr is extra vital to give attention to! I’ve made a purpose to herald $500,000 in income and now we have fairly low overhead on this enterprise. I’m working with a brand new firm to assist me do that so be careful for a couple of new issues popping out this yr!
That new firm I labored with was filled with guarantees and quick on outcomes! Sadly, I wasted some cash on them however that’s a part of the enterprise. That was a irritating expertise and precipitated me to drag again from among the on-line advertising for some time however I’ve not given up. I nonetheless do properly on-line with income and have some new streams of earnings since Fb and Instagram began paying content material creators extra. I believe I can hit this quantity finally however I’m not there but.
Add 200k social media followers
I’m preserving this purpose the identical as properly. We made some large progress with YouTube final yr however had some unfavorable progress with Instagram when my account was disabled and I assumed is likely to be gone for good! Fortunately I obtained it again, however getting new followers after that has been difficult!
You by no means know what is going to occur with social media! My Instagram continues to be lackluster however TikTok is doing properly and my YouTube took off after the squatter evictions and loopy post-occupancy home. I added greater than 60k follows on Fb in a single yr and far of that was because of anti-landlord individuals who remark on a regular basis and assist my engagement! I didn’t get to 200k however I believe I added near 100k followers and I plan to up that once more.
Right here is the squatter eviction video that did so properly!
Add $3 million price of debt
I stole this purpose from Fb after I noticed one other investor ask folks how a lot debt they wished so as to add this yr. I beloved this purpose instantly! I’m an enormous fan of utilizing good debt to construct wealth. If I’m including debt it means I’m shopping for extra properties that may make me more cash!
I got here very near this purpose! With the refinance and a few massive purchases together with the 13k sq. foot industrial property and the liquor retailer and mini-mart I in all probability elevated my debt by greater than $3 million however then I offered a couple of properties as properly which lowered it some.
Money versus loans on actual property.
Purchase a Lamborghini Countach
I’m repeating this purpose once more and I’ll must repeat it for a couple of years however I’ll obtain it will definitely! I’ve gotten extra critical about searching for a automotive and reached out to a couple folks within the business who could know of one thing that’s not technically on the market however may very well be on the market! I in fact will preserve everybody up to date on this purpose!
This was one which I make a whole lot of years and one yr I do know it’ll occur. Properly, 2022 was the yr it occurred! I couldn’t imagine I used to be in a position to get it carried out however there was a fantastic automotive that got here up on the market at a good value (for a Countach). It took a while to get all of it labored out however the automotive is in my storage and up to date public sale gross sales have satisfied me it was the best transfer on the time. I knew if I didn’t purchase one quickly I’ll by no means be capable of get one so it was cool to drag that off.
My targets for 2023
For 2023 I’m switching issues up with some totally different targets to see what I like finest! Right here they’re!
Promote 20 properties
I often make a purpose to flip a certain quantity of houses which implies I promote a flip. I felt the necessity to convey a purpose like that again since I have to be promoting properties pretty rapidly to maintain my enterprise mannequin sustainable since I’m shopping for new ones and spending quite a bit on repairs. I didn’t promote as many properties in 2022 as I often do. These could also be leases or flips that I promote in 2023. I’ve offered leases up to now that weren’t the perfect performing and that’s my plan now as properly. I’ve had some properties that I had large plans for however these plans fell by way of for numerous causes. I must promote these and transfer on to different properties whereas preserving the nice ones.
Purchase 12 Flips
I believe we solely purchased 6 flips in 2022! That was the fewest variety of flips I’ve purchased in a few years however that quantity can be a little bit deceiving. Among the flips I purchased had been multiunit properties that may take extra work than a standard flip and among the properties that I thought of to be rental property purchases in 2022 could find yourself being long-term flips too. I’ve a couple of duplexes and triplexes that I used to be pondering of preserving or promoting and I believe I’ll promote them after fixing them up a bit.
I want to enhance the variety of flips we purchase as a result of that a part of the enterprise is enjoyable for me and Nikki, my venture supervisor. I believe we could discover extra this yr with a extra regular market. The housing market in 2022 was insane with many ups and downs however few offers available!
Purchase $2,000,000 price of rental properties
I’ve had targets to purchase a certain quantity of leases (my purpose to buy 100 leases) and to purchase a certain quantity of sq. footage of leases (my purpose to buy 1 million sq. toes of leases) however this yr I’m altering it to a greenback quantity. I appreciated each targets however they each had points. The 100 property purpose was for homes I began shopping for massive industrial properties. The 1 million sq. toes of leases purpose was cool however then I purchased some loopy large properties that had been largely cash pits. We are going to see how this purpose goes.
Refinance $2 million price of debt
That is one purpose that I’ve been conducting and makes an enormous distinction in my funds. By refinancing non-public cash into financial institution cash, I release these non-public cash lenders to lend me extra non-public cash and scale back my curiosity funds whereas locking in loans for the long run. I’ve some new lenders to do that yr and I can attain out to my outdated ones as properly on a couple of properties.
Make $500k in income from Investfourmore
I’ve this similar purpose once more! I’ve some new issues to attempt to I’ll actually give attention to that enterprise this yr myself as properly. I believe there may be a whole lot of alternative there that I’ve not been totally tapping into. I might like to have folks in my workplace who work on this enterprise.
Add 250k social media followers
I believe this purpose is diable and on the similar time difficult as properly. The difficult half with social media is you by no means know what is going to do properly or how your account will do. Some issues I believe won’t ever do properly find yourself being superior and a few that I believe are superior do horrible! One of many sub-goals in that is to hit $100k subscribers on YouTube. I’ve 90k now and gained 10k within the final 2 months however with out loopy evictions, YouTube stops pushing my channel as a lot and that loopy run is over for now. Hopefully, I can get extra regular and constant development with out craziness.
Elevate Revenues at my retailer from $65k to $95k per 30 days
I purchased a liquor retailer and mini-market in 2022 which was a purpose of mine for some time. I’ve at all times wished a brick-and-mortar retailer for some motive. I obtained my want and it has been enjoyable but in addition difficult. The shop makes cash even after paying lease to myself who owns the constructing as properly. Whereas it makes cash, I believe it may possibly achieve this significantly better! One large change is we will serve extra meals choices since I simply upped our meals license to a grocery with deli which permits us to organize some meals. We are going to see how that goes!
Conclusion
Setting targets is essential and one thing I do yearly and preserve monitor of on a regular basis. It took me some time to write down this text this yr however I had made my targets and was preserving monitor of them and dealing in the direction of them previous to writing out the complete article on them. To study extra about targets and why I take advantage of them test this out.
