Here is an example of what I mean...
You purchase a house near a school (post-secondary)
It costs you $250,000
You take out a 25 year mortgage at 7%
It costs you (not including other expenses) $892 per month
Plus other expenses, say an even $1000 per month
You decide you want to sublet the place
There are 3 rooms upstairs and 1 room downstairs.
A dorm costs $5000 a month to rent per semester for 3 months.
Based on this you offer a room for $750 a month including utilities.
Your total collection is$3000 a month.
Minus expenses and taxes it is about $1475 profit.
A year catch of $17, 700.
Of course this may be an exaggeration, but done properly you can do this.
REALLY YOU CAN DO THIS.
Suppose even if you made $5, 000 after all expenses.
Multiply this by 10.
Now ten isn't a lot remember.
That's $50, 000!
You can make a living off that!
If you have 20 rental properties, you can hire a property manager.
Then assuming you make $100, 000 per year, the property manager will make $20, 000 year.
Keep in mind he/she may will probably not be working for only you, so it is not necessary to pay him/her so much.
Keeping this in mind, you will stand to make $80,000 year.
You don't have to do anything at all!
And of course with inflation you can naturally raise your prices!
So it will hedge against inflation too!
Now let us say that you are 40 years old now.
When mortgages are paid off in 25 years, you will have 20 fully owned properties by retirement age!
You can make even more money!
And if you want you can sell them as well!
The equity in your properties will be enormous!
You will almost have to never work a day in your life!
Amazing huh?
Just 20 or 30 rental properties a year.
So start today with just 1!
It will be hard at first, but only at first.
Once you establish a track record, each time it will get easier and easier.
Infact you can probably acquire 1000 properties, no kidding!
So take the I can attitude and do it!
Be financially free!
TAKE ME HOME!