How He Built 80 Rentals Before 30 with Clint Snuggs

The Real Estate Investing Club

Join an active community of RE investors here: https://linktr.ee/gabepetersen  0:00 Intro and meeting Clint Snuggs 2:14 How Clint started in real estate at 18 4:16 Why your first real estate deal changes everything 5:08 Growing from flips to 80+ rental properties 6:25 Understanding DSCR loans and BRRRR financing 8:08 Managing single family rentals at scale 10:03 Finding reliable contractors and avoiding rehab mistakes 11:10 Why Detroit real estate is attracting investors 14:08 Clint’s goal to reach $1M in annual cash flow 15:22 AI tools changing real estate investing forever 23:02 The BRRRR deal that created massive cash flow  REAL ESTATE INVESTING STRATEGIES THAT CREATE FINANCIAL FREEDOM 🏡💰  In this episode of the Real Estate Investing Club podcast, I sit down with real estate investor and entrepreneur Clint Snuggs to break down exactly how he scaled from getting started at 18 years old to building a portfolio of more than 80 rental properties using the BRRRR strategy, DSCR loans, long-term buy and hold investing, and creative financing. If you want to learn how to create passive income through rental properties, scale a real estate portfolio, and build long-term wealth through cash flowing real estate investments, this episode is packed with actionable insights. 🚀  Clint shares how he first entered the real estate industry by working for a real estate agent in North Carolina before transitioning into investing, wholesaling, flipping houses, and eventually focusing on long-term rental property investing. We dive deep into how beginners can break into real estate investing, why getting your first deal done is one of the most important steps toward financial freedom, and how surrounding yourself with the real estate industry can accelerate your success. Whether you are interested in rental property investing, wholesaling real estate, house flipping, or building passive income streams, Clint’s journey offers valuable lessons for investors at every level.  #RealEstateInvesting #BRRRRStrategy #RentalProperties #PassiveIncome #FinancialFreedom  Want to learn more about our guest? Connect here: https://rentroll.us/home  Want to learn more about the REI Club Podcast, how to invest with Gabe at Kaizen, or join our community of active real estate investors on Skool? Visit the podcast website at https://www.therealestateinvestingclub.com  or click here: https://linktr.ee/gabepetersen

Transcript

00:04all right we are back with another episode of the real estate investing club i hope you guys

00:10are having a great week great day wherever you are and whatever day it is for you as always it

00:16is friday on the podcast and we're bringing that good friday energy to you we are closing in on

00:22spring here guys i am super excited i've mentioned in the past couple of episodes that uh i planted

00:27a massive row of trees on the side of my property last year um and i have been sprinkling them

00:32with

00:33miracle grow and just willing them to grow and so that was basically at the end right at the end

00:39of

00:39the season last year and so this spring i'm hoping for like a 90 foot gain in one season so

00:44we'll see

00:44what happens there but it is a good reason or a good day for a second reason because we got

00:49clint

00:50snugs with us on the podcast from rentroll.us clint has 77 rentals and he is the founder of

00:56the rentroll app he has a lot of experience to go into and he focuses on long-term holds um

01:02using

01:03the burst strategy which is something that we've talked about a few times on the show a great

01:07strategy so i'm sure clint has a lot to dive into clint thanks for hopping on yeah thanks for having

01:13me love the podcast thank you thank you um i told you before we got on here we always like

01:19to start

01:19with stories we like to hear how people got to where they are so why don't you take us to

01:23the beginning

01:23of your story in real estate and just tell us how you got here wow the beginning so i was

01:2818 years

01:29old i was graduating high school semester early with no idea what to do um i had planned to go

01:35into

01:35the coast guard but for many reasons it wasn't aligned with what you know was going to happen in

01:41my life so uh i just wanted that bonus they were offering at the time but um but so i

01:48i ended up

01:48finding a uh internship for a real estate agent in greensboro north carolina so we um i i took that

01:55for a week and um i'm sorry about the dogs working but um we all got dogs and so i

02:03took that for a

02:04week and then they offered me a job there um and it was like 15 an hour which was huge

02:10whenever i was

02:1118 years old so um i just naturally evolved from that nice so you uh you started out you said

02:19a

02:19realtor like a on the um the agent side well i was working for the realtor so i i was

02:25just like

02:26fetching his checks and putting out signs and stuff and then i got my license shortly after i was doing

02:31he put me uh he put me doing being an isa so i was cold calling for him uh to

02:37find listings and stuff

02:38and then you know got my license and then started brokering deals and then started meeting investors

02:44and then you know just evolved into me buying stuff as well yeah yeah i mean i've said so many

02:51times on this podcast that i wish i got started that way not necessarily in you know as an agent

02:56but

02:57just some type of real estate something adjacent you know in mortgage in in appraisals as a realtor

03:04whatever so you kind of learn the ropes as you're getting into it you get familiar with all the

03:09lingo um and then once you actually start investing and you start buying properties buying deals you have

03:14a really solid foundation so anybody out there if you're if you're really young and you're figuring

03:18out how to get started first go get a deal done but second just uh get a you know a

03:23real estate um

03:24investing career adjacent anything in within the industry that affects it um it's a great way to learn

03:30just like clint did um so once you once you got you know got you got that position you started

03:35learning about real estate when did you close on your first deal as a purchase 2021 so i was 22

03:43years

03:44old i got in at 18 so it took me took me four years to buy my first deal or

03:49three and a half um

03:51three and a half years to buy my first deal and you know i didn't know from the beginning that

03:55i wanted

03:55to buy a deal um i you know just got started and i started brokering deals and you know and

04:02naturally

04:02evolved i the first deal i partnered with an investor that i had got a zillow lead and listed

04:07his investment property his flip you know and he wasn't able to find flips i found one off market

04:12hey dude you own a partner yeah let's do it um so yeah just you know it evolved one thing

04:20that's

04:21and that i feel like that type of of uh trajectory is common across a lot of investors is like

04:28something happened they somehow got into a deal and then one thing led to another which is why

04:34we repeat so many times on the show if you haven't done a deal just go out there and get

04:39your first

04:40one done just get it done because that is going to be opening doors that you can't see yet you're

04:45going to be taking that first step and then you're going to be taking the next then the next and

04:48you

04:48won't see those future steps until you you just get that first one done so um so you eventually it

04:56sounds like you landed on the burr strategy you have 77 rentals now so there's been quite an evolution

05:02since then um take us through that you know all the different steps that you did the evolution why

05:07did you land on burr and why is that the strategy that you pursue today yeah i think we're we're

05:12like

05:1282 or 83 now since we have filled out the form so we're we're still buying actively um but uh

05:19it you

05:20know i started fixing flipping i got a contract to help a hedge fund deploy some capital and in north

05:26carolina as their broker whenever you know things went crazy and um you know they stopped buying and

05:33then i kept buying and uh i you know through them i learned how to start holding properties and get

05:39financing on them and that sort of thing when before i just flipped out of them and uh kind of

05:44realized that you know there's there's a little bit more money in the long-term stuff so so that's

05:51been the focus you know and maybe one day it won't be and i'll i'll be doing something else but

05:55that's where we're at now yeah for sure um you mentioned financing like that was one of the steps

06:02that you took to kind of solidify your current strategy that is a hurdle that most people have fear

06:09around um you know i have coaching clients and a lot of them for some reason getting financing for

06:15deals just terrifies them so take me through that step for you um getting financing for your deals

06:21talking to banks talking to hard money lenders what were what were the steps you took and what was the

06:26kind of aha moments that you had well the um the hard money part is was the easy part you

06:32know as

06:33even as like a 21 year old i was getting i got the hard money loan you know they they

06:38looked at the

06:38deal they wired the money it was easy um but the dscr stuff started getting it was a little bit

06:43more

06:44professional of a conversation you know i needed some experience and and that sort of thing but

06:48in this market right now dscr is so easy to get um you know before you want to explain dscr

06:55for

06:55everybody debt service coverage ratio so like you know if just an investment loan is on an investment

07:02property a 30-year fix it's really easy to get you know it's easier than getting a primary home loan

07:07right now um so you know but i needed to learn how to qualify for that i needed to have

07:13experience i

07:14needed to know that it existed and know you know which lenders were giving it at you know favorable

07:21terms you know because you never know you could use a random lender and it not work out but you

07:26know

07:26there are some great lenders giving the product right now yeah yeah so dscr for everybody out there

07:32who's not familiar dscr loans basically take the noi the net operating income of the property

07:37and that is what allows you to qualify for the loan usually it's a 1.2 to 1.3 that

07:42they'll look for

07:43not it's more than like 1.25 to 1.3 which means that you your noi your net operating income

07:49needs to

07:50be 125 to 100 and 125 plus of the debt service that you have so if you have debt service

07:58of a hundred

07:58thousand dollars a year your noi needs to be at least 125 thousand dollars a year but that allows

08:04you to qualify for bigger properties because um you're taking that noi as if it was your income

08:09um so yeah that's uh that's kind of an aha moment that a lot of people have when they realize

08:14that

08:15you know you're buying a 10 million dollar property but you don't need to have the income

08:18to qualify for that 10 million dollar property it's a dscr loan so it qualifies for itself

08:25um awesome so let's talk a little bit i mean you're you said 82 rentals now um that is

08:32especially on the single family side that can be a an operational nightmare um i i used to do single

08:39family and i know that it can be very very operationally heavy um what what have you done

08:44to kind of to improve your processes and make sure that that doesn't you know take all your time

08:51yeah so it's a it is a daily task to you know continue to to make it better but i'd

08:58say the

08:59management part is the easy part managing the properties after they're stabilized is pretty easy

09:03you get a maintenance request because the hot water is not not hot and you know you get the water

09:08heater

09:09changed but you know the the renovation and of them like you know when you buy them is the tough

09:16part

09:16to manage especially from from florida um but you know we just try to focus we stop trying to sub

09:23everything out we try to find one guy to do everything you know we try to verify that guy's

09:28good in the beginning and uh set expectations lay everything out properly and and just work with that

09:35one guy and have like one guy do two properties at a time and you know have another guy do

09:39two

09:39properties at a time and just deal with those two guys and those two guys are your problems

09:44yeah yeah and finding those guys at least when i was doing this it was very hard for me finding

09:52somebody that is charges a good like a reasonable rate and then also is reliable and trustworthy um

09:58i'm sure you went through quite a few contractors before you landed on your on your select few uh what

10:03was the process you took to find those it was like a natural evolution but i can tell you

10:09you know we just did it in detroit found a new guy and basically right yeah we bought an eight

10:16unit in

10:16detroit which um so we uh to get our new contractor we asked the realtors who they recommend ask for

10:25references on references on references give a small deposit to start and be fully prepared to like

10:31not use this guy in 10 days but you know it worked out well it worked out well but you

10:37know

10:38i think that's the critical part is you got to be not emotionally connected because uh at

10:45especially for contractors for me if they if they break trust one time that's all you get you you don't

10:51get a second chance um you can't break the trust even once uh so yeah that makes a lot of

10:56sense

10:56and verify check it you got to check the work all the time get references call them make sure you

11:04understand you know that they've had positive experiences in the past oh yeah um i didn't

11:09realize that you were out of state you live in florida but you're investing in in detroit uh tell us

11:15most is in north carolina um like i'm from winston-salem north carolina um so winston-salem over to

11:21burlington down to charlotte i just picked up one in wilmington i have did a mountain house um that

11:29we're doing at str in western north carolina i i did a few in chattanooga but it got too expensive

11:35and now we're in detroit which i'm excited about interesting why why'd you choose detroit um i know

11:43that the you know the the average unit cost in detroit is really low um crazily so why uh why'd

11:50you

11:50choose detroit generally man i mean i've always kind of eyed at it but it's been like the for

11:56forbidden fruit you know for years but um you know then i went up there i've been up a few

12:03times like

12:03oh am i gonna taste it am i gonna get it and uh the then i went up there and

12:08i was like wow

12:09this place is cool you know like downtown is awesome there's a few neighborhoods that are like

12:15have really cool restaurants the entrepreneurs up there like the restaurateurs and the coffee shop

12:21people and and all of that stuff they're really interesting they they're creative the businesses

12:26are cool there are people moving into detroit for the first time in history the population is growing

12:32um you know which i mean i won't get too far into it but like the people moved out to

12:38the suburbs and

12:39now the suburbs are too expensive so it's forcing people to move into certain neighborhoods in detroit so

12:44those neighborhoods are growing and getting amenities and stuff so um so there's growth happening there

12:49which is which is cool it's only it is cheap and growth is happening so that's cool yeah yeah i

12:56feel

12:56like detroit is one of those cities that um at least for for my generation you know after the 2008

13:01crash

13:02it just seemed like there is derelict like there was nobody yeah there's nobody there's no coming back

13:08you know and there will it's so big there will be you know vast large part of detroit will never

13:14come

13:15back and but you know there are neighborhoods that life is being breathed into and like places that you

13:21you know want to live they're kind of cool yeah yeah we actually we had a um an economist on

13:27the show

13:28earlier and he uh he did motel renovations um but he had this interesting i can't remember it was the

13:34actual like economics term about large groups of people together like you know cities obviously so

13:41if you got if you have a massive amount of population that naturally becomes sticky and so

13:46you this just will not even if the economy in that area collapses you're still the people are still

13:52going to stay there at least most of the people are still going to stay there because there's just

13:56so many of them and they they're connected and they don't have reason to leave uh so yeah even you

14:01know detroit had a really hard time but it's not not going anywhere it's a massive massive city and

14:06it's not going to be uh it's not going to you know vanish overnight yeah for sure nice man so

14:12let's

14:13talk about the future for you um you guys you've done a bunch of single family rentals um you're at

14:1882

14:19now are you what is the next two to three years look like for you man my biggest goal right

14:25now is to

14:26get to a million dollars a year in gross cash flow um that way like i don't have to actively

14:34be

14:34making money on the equity and making money on flips um it's just like autopilot um and uh that looks

14:43like somewhere around the 200 to 250 door mark um so that's kind of the goal right now but you

14:51know

14:51i'm i'm always arms open because you know as my business has involved evolved i've kind of had to

14:58realize like i can't be too tied to one thing you know if if this evolves into something else and

15:03in single family doesn't make sense anymore maybe it's multifamily maybe you know it's building

15:08something on replit and being a software owner i don't know you know we have rent roll so we're

15:13working on that we're growing that it's a property management software that um in the app store now

15:20that's exciting you know i never thought that i would be working on that but it's it's interesting

15:24it's fun yeah and let's talk about that because i um replit you mentioned replit i have used that to

15:30build a few things and all of them like replit bolt lovable all the the ai apps it's so much

15:35fun to

15:36build things that are useful actually useful in in real estate in what i'm doing um you guys it

15:41sounds like you delivered an app tell us about the process what what got you started what you use all

15:46that kind of stuff so we developed it on um so i can't even remember it was years two years

15:53ago now

15:53on a no code um like we paid developers we did most of it no code and they like actually

15:59like did the

16:00did the coding um but so it was costly man and now it's like there's replit my favorite right now

16:07is

16:07manis i don't know if you've played with it they just got acquired by meta but um but yeah it

16:14and now

16:14i'm like i probably could have built this and you know in a good week just messaging messing around

16:21on one of these but uh it's insane how powerful the the the software platforms are like cloud code

16:28and everything it's i uh i you know i have this massive excel that i use for underwriting and i

16:34was

16:34just like i wonder if i could just prompt it to build this for me like a web web-based

16:39browser that

16:40i can just you know put the numbers in and do it and i uploaded the excel i said turn

16:44this into a web

16:45you know web app and it did it and it's perfect and i'm like how it's just so crazy that

16:51the ai is at

16:52this point i created one last night um i'd spent like four hours on it where it's you just drop

16:59like

16:59a drop box or connect your your um your phone too and it creates and edits content for you and

17:06like comes up with like a content posting a schedule and like you just have to approve the

17:12content or give it feedback and it just like it edits the content for you and and then you just

17:17approve it and post it for you yeah yeah that's really cool um so tell us about rent roll though

17:22what does it do um and what what's like the niche that it serves obviously it's for your rent roll

17:27is

17:28the it's like the robin hood of of real estate property management like so obviously you know a lot of

17:33people have heard of like app folio but if you have 10 doors don't get app folio it doesn't make

17:37any sense um so rent roll is like super easy super user friendly you can manage it from your phone

17:44if

17:44you have less than you know 20 doors no question you should be using rent roll because it's just so

17:51easy and user friendly and you don't need all of that complex stuff you just need to you just need

17:57to see what's going on in your portfolio at at a glance nice awesome man well hey i just took

18:03a

18:03peek at the clock it looks like we have read it down so it's time to jump into the quick

18:07question

18:07round are you ready yeah it starts with education could be any form could be a book you've read movie

18:14you've seen conference you've been to i just need two recommendations one for general life wisdom and

18:18then one for real estate um okay i'll say how to win friends and influence people is important

18:25you should be personable and um millionaire real estate agent by gary keller in the beginning

18:30was really important for me to learn numbers and sales which is applicable you know in any real

18:37estate business yeah both solid solid recommendations how to win friends and influence people was probably

18:42one of my like top five books uh that impacted me you know when i was going through that self

18:49development book period of my life um i never liked the title but i really the the contents is just

18:56so

18:56good oh yeah all right uh next question is for your younger self let's go back to the clint who

19:04was uh

19:04just starting that job with the agent i think you said at 18 years old go back to him look

19:10many i give

19:11him one piece of advice moving forward oh man um trust the process you know i had a lot of

19:22will so

19:22just trust the process you know god's got me just do your part and it's all gonna work out just

19:29take

19:29the next step yep i like it all right uh you've kind of already touched on this but i'm gonna

19:35ask it

19:35anyways the u.s is a big place there is a lot of opportunity out there give me the single

19:40metro

19:41you're most excited about investing in today detroit baby i get for sure nice is there a specific area

19:49of detroit that you're more excited about than others yeah so like mexican town south south detroit

19:55is a really interesting and then east side detroit um is really interesting too where like if you're not

20:03familiar with detroit or you're going to detroit look up father forgive me it's a bar and museum

20:07in an old um it's in our and museum yeah it's in an old church and you can like go

20:12work in it and

20:13in the late confession spaces you can like go do work it's really cool that area is really interesting

20:19to me so um check out those two areas that's cool i love like unique bars um ones that yeah

20:27turn

20:27churches and there's one in uh um god i love uh charlotte no not charlotte god damn it there's

20:35the city on the east coast they have a church that's really unique that was in a um built out

20:39of or they have a bar that was built in a church and it's really it's really cool um man

20:44the name of

20:45that city is just gonna bug me it's my favorite city to go to and now i can't remember it

20:48anyways

20:49let's uh continue on uh the next question is about finding deals it all starts with getting in

20:54contact with the seller and pin in that purchase agreement so what is your favorite way to generate

20:59leads and find new deals agents and wholesalers i mean you know i used to do the direct seller stuff

21:05but it's gotten so competitive you know that like i'd rather just pay pay the agents and wholesalers

21:13you know a good living and you know buy deals from them let them do the hard makes sense makes

21:18makes it a lot easier how many um do you have like a certain number of agents and wholesalers

21:24that you're that's kind of your max that you want to work with then you know their quality or do

21:28you

21:29just just as many everyone everyone in our markets like if you're in one of our markets if you're an

21:34agent in winston-salem north carolina you probably get a text from me once a month um you know so

21:41everyone you know i'm happy to work with everyone across any experience level you know even if it's not

21:47a good deal i'll tell you why not for me and you know maybe it is for someone else and

21:51i can refer you to

21:52them i don't know cool all right next question is about lessons learned not every deal we get into

21:59goes the way we expect it in fact pretty much every single time something goes wrong and that's when

22:05we get to learn a lesson so what was a deal that went a little bit sideways for you and

22:08then what

22:09was the lesson you pulled from it um the first one that comes to mind is two houses that i

22:15bought

22:15a site unseen that needed way too much work and the numbers still made sense but they don't make sense

22:21whenever you take you calculate how much time it's going to take you to do it um so i think

22:27to my

22:28younger self i'd say steer clear of those heavy rehabs you know like it's just like you can't get

22:35back time even if it's a good deal you know you're you're sacrificing capital the opportunity cost

22:41doesn't make sense yeah yeah i remember the uh i think it was the second uh flip i did um

22:47it was a

22:48huge rehab and we spent it was me and a friend bought it it took us like six or eight

22:54months

22:55and at the end we made thirty thousand dollars so fifteen thousand dollars each and i was just

22:59thinking like that wasn't worth it that wasn't worth it at all oh no for sure yeah all right uh

23:06next

23:07question is the other side of that sometimes everything seems to go right and those deals stand

23:13out in our mind as our favorite so what is your highlight reel deal gosh this has happened actually

23:20it ends up happening more times than not but um i would say the first one that comes to my

23:26mind which

23:26is probably not the best deal i've ever done but it was the first burr i did um where i

23:31uh had a

23:33duplex and i did not expect to get an extra sixty thousand dollars tax free like in my pocket i

23:39didn't

23:39know the burr method like really worked i just expected to break even and i got like an extra

23:44sixty thousand dollars and like i was cash flowing a thousand dollars a month and i was like why don't

23:49i do this light bulb ding yeah yeah extra sixty thousand that'll definitely that'll put a smile

23:56on your face that's for sure all right um that leads us to the second to last question uh this

24:02is a

24:03good one for you um it's a new question we've been asking it's about ai ai is huge and it's

24:08here to

24:08stay um so i always like to ask what is the most impactful way that you have been implementing ai

24:13in

24:14your business man so i just use it every day i mean i use claude and i just drop whatever

24:21i need to

24:21into there um and and get it to analyze you know my portfolio what am i doing wrong what am

24:27i missing

24:28what am i not seeing um dropping everything into claude another one that's not ai that i just have to

24:33say

24:34because it helps my life so much is boomerang it is um on gmail i am able to like yeah

24:42it's called

24:42boomerang i i oh my god like i there's a little click box at the bottom of your gmail where

24:48you send

24:48a message and it's like send me a reminder in a week a month you know a day tomorrow morning

24:54if they

24:54don't reply or regardless so like i'm able to like i don't have to remember anything boomerang does for

25:01me like i even use it for my task i'll message myself a task boomerang it or send it you

25:06know a

25:07week later is this but it's with it's in gmail it's like a gmail app or something yeah well i

25:14think it's

25:14not owned by gmail but when you integrate it with your gmail and it's like it lives in gmail and

25:20it

25:20you know will remind you to follow up and remind you it brings it back to the top of your

25:26your inbox

25:28yeah that's that's really smart i've actually been looking for ways to integrate my inboxes with

25:33claude um i want claude to just have access to everything so it can read and if i haven't

25:38responded to something be like yo this email that this guy sent 10 months or 10 weeks ago you need

25:43to respond to it yeah yeah it can claude can do that um i i i haven't been able to

25:49have huge success

25:50with claude like running my gmail yet i i don't think it's there yet but i'm doing it yeah and

25:58i

25:58got i have business emails like um through go daddy they use live us on a microsoft product and i

26:04for

26:05some reason i can't figure out how to work get it to work well with that product but i'm sure

26:09it'll

26:09get there at some point oh yeah for sure awesome man well hey that wraps it up um thank you

26:16well

26:17actually before we do that we have to ask uh you've given us a lot to think about i'm sure

26:21people

26:22want to reach out get in contact with you um this is a two-parter where can they find you

26:26and then

26:26what can they expect when they reach out yeah please do so i'm circling snugs on instagram is

26:31probably the best way to get in touch tiktok is like we have some random stuff go viral and then

26:36you know it's hard to respond to everyone so um instagram is the best way to get in touch with

26:41me

26:41um you can expect to get a response i mean you know if if you ask a question then i'm

26:48going to

26:48give you an answer nice and i'll put his links in the show notes so if you guys want to

26:53reach out all

26:54you got to do is click the little more in the description it's going to pull down that full

26:57description and in there you can find clint's links awesome all right man that wraps it up thank

27:03you very much for hopping on the show thanks man absolutely forever it is with us today thank you

27:09guys for showing up you are the reason we do this so if you guys have any questions reach out

27:13to me

27:14gabe at the realestateinvestingclub.com if you guys want to support the show just leave us a comment

27:18review anything like that other than that i hope you guys have a great week keep rocking real estate

27:23and i look forward to seeing you on the next episode

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