Real Estate Rookie – Episode 6: 6 Rental Properties (in 2 Years!) While Working 9-5

Release Date: June 9, 2025

In Episode 6 of the Real Estate Rookie Podcast, hosts Ashley Kerr and Tony J. Robinson delve into the inspiring journey of Kwai, a dedicated real estate investor from Oklahoma City who successfully built a portfolio of six rental properties in just two years—all while maintaining a demanding 9-5 job. This episode is a treasure trove of practical insights, lessons learned from early mistakes, and strategic approaches tailored for novice investors aiming to establish a stable and growing real estate portfolio.

1. Guest Introduction & Background

Ashley Kerr opens the discussion by highlighting the common hurdles new investors face, such as unexpected property issues and hastily made decisions driven by FOMO (Fear of Missing Out). Tony J. Robinson emphasizes Kwai’s resilience and strategic mindset, setting the stage for a candid exploration of his real estate journey.

Kwai shares his compelling background, detailing his family's immigration from Vietnam in 1995. He recounts the challenges his family faced, including his father's decade-long imprisonment by the South Vietnamese army, and their subsequent move to the United States. Balancing a career as a Physician Assistant (PA) with his passion for real estate, Kwai underscores the pivotal moment influenced by reading classics like "Rich Dad, Poor Dad" and "The Richest Man in Babylon," which ignited his desire to make his money work for him rather than being confined to the traditional 9-5 grind.

Kwai [01:13]: "They say to make your money work for you while you sleep. And so I just didn't want to get caught in the rat race working that 8 to 5, 9 to 5, retire at, you know, what, 75, not be able to enjoy it."

2. Gaining Spousal Support

A significant hurdle for many new investors is securing support from their spouses. Initially, Kwai's wife was hesitant about diving into real estate. Through persistent dedication—reading extensively, listening to educational podcasts, and demonstrating tangible progress—Kwai gradually won her confidence and involvement in the investment process.

Tony J. Robinson [05:54]: "If you've never seen anything in your entire life all the way through, why would this be any different? So I appreciate you sharing that because I think that's something that a lot of folks miss."

3. Building the Portfolio: From First Deal to Six Properties

Kwai outlines the evolution of his portfolio, currently boasting 12 doors comprising four single-family homes and two quad plexes, with one undergoing renovation. This growth was achieved over a two-year period, demonstrating a methodical and patient approach rather than rapid, unsustainable expansion.

First Deal: A Learning Experience

Kwai’s inaugural investment was a half duplex in Northwest Oklahoma City, purchased for $150,000. Despite encountering initial setbacks like a plumbing disaster and issues with the retaining wall, the property provided a gross cash flow of approximately $350 monthly. While Kwai considers this his "worst deal," it served as an essential stepping stone, instilling the confidence needed to pursue subsequent investments.

Tony J. Robinson [06:38]: "The first deal wasn't a massive home run, but it was exactly what you needed to get your second deal."

4. Transitioning to the BRRRR Strategy

After learning about the BRRRR (Buy, Rehab, Rent, Refinance, Repeat) strategy from resources like David Green’s book, Kwai shifted his investment approach to maximize scalability and leverage.

Kwai [14:06]: "The more I learned about it, the more it just intrigued me. And I said, this is the way to go. I mean, why would you not want to do this?"

Implementing BRRRR allowed Kwai to purchase distressed properties, add value through renovations, and refinance to extract equity for future investments. This strategy significantly accelerated his portfolio growth compared to his initial investment methods.

5. Sourcing and Negotiating Deals on the MLS

Contrary to the belief that lucrative deals are scarce on the Multiple Listing Service (MLS), Kwai successfully sourced his first two deals from there. His approach combines rapid response to new listings and thorough evaluation to identify undervalued properties.

Kwai [17:37]: "Both of our first deals were actually on the MLS. I just kept looking and looking and looking and like I said, we just happened to come across them on the MLS and we got to looking right away because those deals go quick."

Kwai emphasizes the importance of timing and preparation, suggesting that having a pre-approval in hand and being ready to act swiftly can secure deals below the asking price, as demonstrated in his first purchase at $130,000 against a listing of $145,000.

Tony J. Robinson [18:14]: "So, like, what do you think it was about your approach, about your offer, about your strategy that allowed you to find multiple deals below market value?"

6. Financing and Refinancing Strategies

Kwai initially financed his properties through conventional loans obtained from a local bank, leveraging pre-approval letters to streamline the purchasing process. As he adopted the BRRRR method, he utilized commercial loans for subsequent properties, followed by refinements into conventional loans during the refinancing phase. This approach not only facilitated cash flow but also optimized his investment returns.

Kwai [16:03]: "If you look strictly at the numbers, our first BRRRR, we bought it for 130 and we put about $30,000 into it and it appraised for 189. So we're all in for what, 160. And we're able to pull out about 141 and some change."

7. Building and Managing a Reliable Team

A cornerstone of Kwai’s success is his ability to assemble a trustworthy team, particularly contractors. Initially relying on his brother and then transitioning to professionals recommended by his realtor, Kwai learned the importance of vetting and maintaining flexible relationships with his contractors.

Kwai [22:37]: "So my other contractor I actually met from another Realtor... she was very personable. She eased my anxiety and concerns about how big of a massive rehab it was for a rookie."

Reflecting on early challenges, Kwai acknowledges the difficulty in managing family relationships in business and the necessity of making tough decisions when contractors fail to meet expectations.

Ashley Kerr [23:51]: "If you can start small and give them smaller projects first, just to see like, do we even like working together?"

8. Navigating Challenges and Red Flags

Kwai candidly shares a harrowing experience involving a plumbing disaster that escalated into tenant lawsuits. This situation underscored the critical importance of thorough inspections, verifying contractor credentials, and having robust insurance policies.

Kwai [33:04]: "Red flag number one. Always verify your references. But I was desperately in to get somebody in there to pay the rent."

When a tenant discovered faulty plumbing and subsequently threatened legal action, Kwai had to navigate a complex legal and financial predicament. Leveraging a Home Equity Line of Credit (HELOC), he managed to cover the substantial repair costs, highlighting the necessity of having financial reserves to handle unforeseen issues.

Kwai [37:14]: "So we got a HELOC at the beginning of the year, and so we were able to leverage that and pay for the costs on that one."

9. Balancing Full-Time Employment with Real Estate Investing

Maintaining a full-time job while building a real estate portfolio demands exceptional time management and dedication. Kwai optimizes his available time by utilizing lunch breaks and dedicating after-work hours to property research and management. Involving his family, particularly his children, in the investment process fosters a collaborative environment and instills financial acumen from a young age.

Kwai [30:38]: "So we try to make use of that time as well. So we try to make it a whole family affair. We take the boys, and not only are we, you know, hanging out together, but I'm teaching them the real estate side of the business."

10. Expanding into Multifamily Investments

Initially focused on single-family homes, Kwai transitioned to small multifamily properties to enhance scalability and mitigate risk. Inspired by industry trends and driven by a fear of missing out, he targeted quad plexes, allowing for diversified income streams and more efficient property management.

Kwai [32:12]: "...there's scalability. And just part of it was FOMO. Everywhere you look or hear on the podcast, people are saying, oh, get into small multifamily."

11. Practical Advice for Aspiring Investors

As the conversation wraps up, Kwai offers actionable steps for listeners looking to replicate his success in Oklahoma City:

1. Leverage the MLS: Act swiftly on new listings and perform quick, effective analyses to identify undervalued opportunities.
2. Network Actively: Join local Facebook groups, attend meetups, and immerse yourself in the community to uncover insider deals and build a support system.
3. Focus on Up-and-Coming Areas: Invest in neighborhoods like the Paseo district, which show signs of growth and increased property values.

Kwai [38:16]: "I see a lot of deals on the MLS that I actually pass because I either have too many projects going on or I don't have time to go look at. So I would definitely start there."

Conclusion

Kwai's story is a testament to the power of perseverance, strategic planning, and continuous learning in real estate investing. Despite facing significant obstacles, including property issues and legal challenges, his methodical approach and willingness to adapt have enabled him to build a robust and diversified portfolio. For newbie investors, Kwai's journey offers invaluable lessons on overcoming initial setbacks, the importance of building a reliable team, and the effectiveness of the BRRRR strategy in accelerating portfolio growth.

Notable Quotes:

• Kwai [01:13]: "They say to make your money work for you while you sleep. And so I just didn't want to get caught in the rat race working that 8 to 5, 9 to 5, retire at, you know, what, 75, not be able to enjoy it."

• Kwai [05:54]: "She was not on board like most spouses initially. I just kind of did my thing."

• Tony J. Robinson [06:38]: "The first deal wasn't a massive home run, but it was exactly what you needed to get your second deal."

• Kwai [14:06]: "The more I learned about it, the more it just intrigued me. And I said, this is the way to go. I mean, why would you not want to do this?"

• Kwai [17:37]: "Both of our first deals were actually on the MLS. I just kept looking and looking and looking and like I said, we just happened to come across them on the MLS and we got to looking right away because those deals go quick."

• Kwai [33:04]: "Red flag number one. Always verify your references. But I was desperately in to get somebody in there to pay the rent."

• Kwai [38:16]: "I see a lot of deals on the MLS that I actually pass because I either have too many projects going on or I don't have time to go look at. So I would definitely start there."

This episode serves as an essential guide for aspiring real estate investors, offering both inspiration and practical strategies to navigate the complexities of building a successful property portfolio while maintaining other professional commitments.