The Real Estate Financial Planner Blueprint™
Ep 11 Norm and Norma - Buy 1 Owner-Occupant then 20% Down-Payment Rentals

Achieved Financial Independence
First achieved in Month 394

The following  Goal chart shows our progress toward achieving this goal of financial independence.

Financial independence is typically a combination of the Safe Withdrawl Rate for the  Scenario from the  Account and the cash flow from  Properties.

We typically think of hitting our Target Monthly Income in Retirement of $2,811.36 in today's inflation-adjusted dollars, let's look at the Total True Cash Flow and Account Balances in inflation-adjusted values.

The following chart shows the total of all Account Balances for the  Scenario.

The following charts show Total True Cash Flow™ all rental properties. Let's start with the sum.

Next, let's look at the Total True Cash Flow™ for each rental properties (graphically summed/stacked).

And, here's the Total True Cash Flow™ for each rental properties individually just for the month when we first achieve financial independence, Month 394.

Return in Dollars + Reserves

Here's the return in dollars + reserves for the  Properties owned.

Property Appreciation Cash Flow Debt Paydown Cash Flow from Deprec.™ +12 Mos Reserves @ 8% RID+R12™ Total
Typical Nomad™ Rental Property 1* $29,692 $0 $0 $0 $911 $30,603
Typical 20% Down-Payment Rental Property 1 $29,692 $28,014 $18,177 $2,966 $4,197 $83,045
Typical 20% Down-Payment Rental Property 2 $29,692 $22,669 $15,190 $3,430 $4,608 $75,590
Typical 20% Down-Payment Rental Property 3 $29,692 $19,658 $13,328 $3,813 $4,961 $71,452
Typical 20% Down-Payment Rental Property 4 $29,692 $15,455 $12,091 $4,125 $5,233 $66,597
Typical 20% Down-Payment Rental Property 5 $29,692 $12,776 $11,172 $4,398 $5,479 $63,517
Typical 20% Down-Payment Rental Property 6 $29,692 $9,741 $10,417 $4,655 $5,706 $60,210
Typical 20% Down-Payment Rental Property 7 $29,692 $6,364 $9,832 $4,878 $5,897 $56,662
Typical 20% Down-Payment Rental Property 8 $29,692 $4,934 $9,336 $5,086 $6,091 $55,139
Typical 20% Down-Payment Rental Property 9 $29,692 $3,343 $8,919 $5,278 $6,266 $53,499
Typical 20% Down-Payment Rental Property 10 $29,686 $6,644 $7,881 $5,450 $6,018 $55,678
Totals: $326,607 $129,597 $116,343 $44,078 $55,367 $671,993
* Denotes a property that had no rent for at least part of the period covered.

Return on Equity + Reserves

Here's the return on equity + reserves for the  Properties owned that have rent. We are specifically excluding owner-occupied property here.

Property Appreciation Cash Flow Debt Paydown Cash Flow from Deprec.™ +12 Mos Reserves @ 8% ROE+R12™ Total
Typical 20% Down-Payment Rental Property 1 3.56% 3.36% 2.18% 0.36% 0.50% 9.97%
Typical 20% Down-Payment Rental Property 2 4.15% 3.17% 2.12% 0.48% 0.64% 10.57%
Typical 20% Down-Payment Rental Property 3 4.74% 3.14% 2.13% 0.61% 0.79% 11.40%
Typical 20% Down-Payment Rental Property 4 5.31% 2.77% 2.16% 0.74% 0.94% 11.92%
Typical 20% Down-Payment Rental Property 5 5.92% 2.55% 2.23% 0.88% 1.09% 12.65%
Typical 20% Down-Payment Rental Property 6 6.59% 2.16% 2.31% 1.03% 1.27% 13.37%
Typical 20% Down-Payment Rental Property 7 7.31% 1.57% 2.42% 1.20% 1.45% 13.95%
Typical 20% Down-Payment Rental Property 8 8.11% 1.35% 2.55% 1.39% 1.66% 15.06%
Typical 20% Down-Payment Rental Property 9 9% 1.01% 2.70% 1.60% 1.90% 16.22%
Typical 20% Down-Payment Rental Property 10 10.15% 2.27% 2.69% 1.86% 2.06% 19.03%
Totals: 5.84% 2.55% 2.29% 0.87% 1.07% 12.63%

Asset Allocation

How are assets allocated? Let's first look at this month.

And how have they looked over time up to this month?

Phases of Financial Independence™

With a Minimum Target Monthly Income in Retirement™ of $5,000 and a Ideal Target Monthly Income in Retirement™ of $10,000 at the time of achieving your  Goal of financial independence, let's look at the Phases of Financial Independence™.

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