Over the last week or so I’ve working hard on getting prepared for a special class I am doing on How to Acquire a Multi-Million Dollar Real Estate Portfolio with Just $3,000.
This morning I made a number of new charts which I’ll be sharing with you in the near future. However, one thing came up from my class last week on Young Professional Nomad Overview. During that class I was pointing out how much money Nomads set aside with each rent check received to budget for Maintenance on the property.
I had put up the following chart.
However, during class I realized as I was explaining the chart that there is an error on it. Now, the error does NOT really affect the prior presentations I’ve done nor the rest of the math for Nomad. But, I am deeply concerned about getting the math entirely right for all Nomads, so I made a correction.
In the chart above I am showing that you are setting aside maintenance money in the first year. In fact, with Nomad, since you are not renting the property in the first year, we are not modeling you setting aside maintenance on the property. You will need to pay for maintenance but it is maintenance on the house that you’re living in that first year. So, unless you have roommates and are collecting boarder income, you will not be setting aside maintenance.
Now, the Nomad Calculator Classic should correctly calculate no maintenance collected in the first year and the chart should show the following instead.
Thanks and I’m excited to sharing with you the new charts (and series of books) on the class I am teaching this Thursday. Here’s a sneak peek at the chart for maintenance from that presentation.