MB 120: 20 Units to Financial Freedom with Multifamily – With Aaron Howell
You don’t necessarily need an enormous multifamily portfolio to achieve financial freedom. It is possible to start small and replace your income with modest holdings of just 20 units!
Aaron Howell is a small multifamily investor with Black Lick Holdings, a real estate firm based in Crozet, Virginia. With a portfolio of 22 rental units, Aaron has replaced his income as a pharmacist and now works part-time because he WANTS to, not because he HAS to.
Today, Aaron joins me to share his accidental introduction to real estate and when he was finally inspired to develop a strategic plan. He describes the light bulb moment when he realized the income potential of a duplex versus a single-family property and how he fostered the confidence to pursue multifamily despite a lack of experience. Aaron walks us through his first several deals, explaining how he financed the most recent 6-unit through a partnership. Listen in for Aaron’s insight around building in daily habits to stay motivated and learn how he achieved financial freedom with a small portfolio!
Key Takeaways
Aaron’s introduction to real estate
- Bought townhouse in 2006
- Rented to cover mortgage after move
Aaron’s start in single family
- Opportunities in Las Vegas
- Desire to create passive income
What inspired Aaron to develop a strategic plan
- Got married in 2015 and closed on first duplex
- Realized upstairs rent covered mortgage
- Heard Michael on podcast and took course
Why Aaron was confident in small multifamily investments
- Same process with bank as single family
- Did well in Vegas despite lack of experience
- Solid team in place to support
How Aaron financed his first multifamily deals
- Home equity line of credit
- Relationship with local bank
- Sold Vegas properties (1031)
Aaron’s take on partnerships vs. syndication
- Pittsburgh property partnership among 4 investors
- Syndication in future to control deal
Aaron’s transition to working part-time
- Wants to work but doesn’t have to
- Weekends, evenings free
Aaron’s real estate plans for the future
- Scale up to larger properties
- Raise money through conversations
Aaron’s insight around financial freedom
- Shawshank Redemption moment
- Sense of confusion
Aaron’s advice for aspiring multifamily investors
- Do SOMETHING
- Build network
- Get familiar with market
How Aaron stays motivated
- Habit List app (e.g.: read 20 minutes, look at 15 listings)
- ‘20 units’ on chalkboard in kitchen
Connect with Aaron
Email [email protected]
Resources
Michael on the Joe Fairless Podcast
The Deal Maker Blueprint Training & Certification
Michael’s Syndicated Deal Analyzer
Michael’s Deal Maker Mastermind
Financial Freedom Summit
Deal Maker LIVE
Free eBook: The Secret to Raising Money to Buy Your First Apartment Building
