As an aggressive investor, I was buying, and buying, and buying property. I had the opportunity to purchase four single-family “shotgun style” houses from a slumlord. This guy never did anything properly. He replaced broken furnaces with used furnaces and it reflected in the quality of his tenants. Joe was his name.
Joe used to tell me one of his favorite investor truths was the property you were most embarrassed to admit you own, were usually the properties producing the most cash flow and profit. Perhaps for Joe, but his program is not for me.
I negotiated a pretty good deal with Joe on these four houses. These houses were all in a row on the same street and had HIS tenants in them. Horrible. We put the deal together and scheduled the closing.
In the meantime, we moved forward discussing the arrangements with his existing tenants. Joe informed me he had to stop by every Saturday morning knocking on their doors to collect rent. I boldly told Joe, “I'll NEVER knock on their doors to collect rent. These tenants will MAIL their rent payments monthly.” He then gave me a thigh-slapping ...