First, a quick note: today’s show is sponsored by the National Property Management Network, which provides insurance products and services to property managers.
Today, I’m joined by one of my clients, Mark Clayton. He’s a successful long-term single-family home investor who will teach us about investing and working with property management. Best of all, he’s a landlord with a heart. That is, he isn’t in the real estate game just to make money, but also to make his tenants happy.
Before he got into property investing, Mark was the CEO of several hospitals. As a hospital administrator, he had to move from town to town relatively often. This led indirectly to his involvement in property management, as he bought various homes during this process. Once Mark got up to three homes, he started looking into property management and we began working together.
In this conversation, Mark talks about why he got into the single-family home game, explaining that these homes diversify him from a risk standpoint. If you own multi-family properties instead, a single issue or problem (such as a fire) could impact much more of your overall investment.
We’ll also talk about Mark’s financing techniques, why depreciation is a good thing, what Mark looks for when deciding on whether to invest in a particular property, a valuable tool Mark uses for establishing metrics, and finally, his end game and ultimate goal for his business.