Matt Porcaro

But ultimately what it did for me was it just leveraged me in really quickly because off of that 9,500 bucks, again, we'll call it 10 grand, the 10 grand, In the first year, I built $150,000 in equity into the property. And then I rented out both units after I moved out a year later. And it's still, to this day, cash flows me like $2,000 a month, $2,500 a month.

But ultimately what it did for me was it just leveraged me in really quickly because off of that 9,500 bucks, again, we'll call it 10 grand, the 10 grand, In the first year, I built $150,000 in equity into the property. And then I rented out both units after I moved out a year later. And it's still, to this day, cash flows me like $2,000 a month, $2,500 a month.

So when you look at like, when you say like you look at, you know, for example, if you're looking for a deal, right? You're like, I want to make a 12% cash on cash return, right? That's a respectable deal. Return, right? On a property, right? My cash on cash return with that 203k property was like 600%.

So when you look at like, when you say like you look at, you know, for example, if you're looking for a deal, right? You're like, I want to make a 12% cash on cash return, right? That's a respectable deal. Return, right? On a property, right? My cash on cash return with that 203k property was like 600%.

It's not even the same universe.

It's not even the same universe.

So there's a trade-off with everything, obviously, right? The reason they're giving you the very low down payment, the reason they're giving you the lowest possible interest rate that you can get at whatever it is at the moment that you get it,

So there's a trade-off with everything, obviously, right? The reason they're giving you the very low down payment, the reason they're giving you the lowest possible interest rate that you can get at whatever it is at the moment that you get it,

is because owner occupancy to a bank is the most stable you know you know stable asset class right so but you're able to do this to leverage yourself into the game and and it's not a first-time home buyer loan like if you're really you're saying like with your friends if they're willing to go move into another property it just is owner occupancy it's not exactly first-time home buyer now obviously you know it works well for that it's um you know it's also for the person that

is because owner occupancy to a bank is the most stable you know you know stable asset class right so but you're able to do this to leverage yourself into the game and and it's not a first-time home buyer loan like if you're really you're saying like with your friends if they're willing to go move into another property it just is owner occupancy it's not exactly first-time home buyer now obviously you know it works well for that it's um you know it's also for the person that

already has like a consistent income, right? Nine to five person, someone that's already working that maybe wants to escape it kind of like I did. This is your way into it with very little out of pocket and then reap the benefits very quickly. Because what I did was once I had that equity, not to mention the equity, but also the experience of doing it, the track record.

already has like a consistent income, right? Nine to five person, someone that's already working that maybe wants to escape it kind of like I did. This is your way into it with very little out of pocket and then reap the benefits very quickly. Because what I did was once I had that equity, not to mention the equity, but also the experience of doing it, the track record.

I was able to show my deal to private money lenders and to agents and be like, wow, this guy's a player.

I was able to show my deal to private money lenders and to agents and be like, wow, this guy's a player.

Yeah, that's big. I talk about that a lot. And I don't think people realize what that means. When you build, when you increase your network worth $200,000,

Yeah, that's big. I talk about that a lot. And I don't think people realize what that means. When you build, when you increase your network worth $200,000,

know people are struggling like oh i can't find good financing for these when you go to the bank and the bank runs your numbers and they they see what you have on your asset you know on your asset schedule and they see that you have like hundreds of thousands of dollars in equity they know that you're good for it fact that if they really had to like come down on you you got some assets so they're more willing to be more flexible with you so one of the biggest things that i was so surprised about when i got that first deal was how much one deal

know people are struggling like oh i can't find good financing for these when you go to the bank and the bank runs your numbers and they they see what you have on your asset you know on your asset schedule and they see that you have like hundreds of thousands of dollars in equity they know that you're good for it fact that if they really had to like come down on you you got some assets so they're more willing to be more flexible with you so one of the biggest things that i was so surprised about when i got that first deal was how much one deal

changes your opportunity, changes how people talk to you. Like I was, you know, I'm electrical engineer by trade. Like you go to a party, you talk to people like, oh, what do you do for work? You know, I'm an accountant, I'm an electrical engineer. You go to a party, and then you talk to people, and you're like, oh, what do you do? They're like, oh, I invest in real estate.

changes your opportunity, changes how people talk to you. Like I was, you know, I'm electrical engineer by trade. Like you go to a party, you talk to people like, oh, what do you do for work? You know, I'm an accountant, I'm an electrical engineer. You go to a party, and then you talk to people, and you're like, oh, what do you do? They're like, oh, I invest in real estate.