California is not considered a landlord-friendly state. That means laws lean toward the tenant rights, not so much the property owner’s rights – which means it may be difficult to evict a non-paying tenant. Additionally, property prices are high. And even though rents are also high, they are not in line with the property price. For example, in some states, you can buy a brand new home for $200,000 that rents for $1,600 per month. In California, the property might be twice that price for the same amount of rent, which translates to low cap rates.
Our guest today has figured out a way to address both those issues and turn his California rentals into passive cash flow machines. And the most impressive part of this story — he’s only 27 years old. Ryan Chaw is a pharmacist by profession who began investing just four years ago. He also likes to teach other people how to do what he’s doing, and he’s here to share that strategy.