Goal Setting - A Little Help? - Posted by Scott
Posted by Scott on October 10, 2003 at 15:33:16:
I am in my Goal Setting phase right now. Based on my needs, I have my financial goals all written out. However, I would like to understand what the average profit is for each of the various RE Investing techniques so that I can now lay out my activity goals based on my financial goals.
For example, if I know that I want $1,000/month positive cash flow, $10,000/month additional income, and a positive net worth of $2,000,000 in 10 years … then I want to have an estimate (my goal) of how many rental properties I need to always have active each month, how many flips/wholesaling I need to do per month, and how many homes I need to own with $xxxx amount of equity in each (or in total) in order to meet those financial goals.
Now, I know this is almost impossible to realistically calculate. And there are sooooo many factors involved … however, in shouldn’t be too difficult to come up with a forecast and a set of monthly activity goals.
So this is what I am asking the experienced folks to help me with. If you could please, send a post back using the following format:
I have been doing REI for XX years. I, on average, make $xxx positive cash flow from every rental unit. I, on average, pocket $x,xxx from every flip. I, on average, have $xx,xxx equity in each house I own.
If you have the metrics from other techniques, that would be great. Please expand with comments as much as you want.
Again, everyone’s yrs of experience, favorite techniques, risk tolerances, region of the country, style, etc, etc will be different and unique. This will just help me gauge what is an average so that I can develop my monthly activity plans based on my financial plans.