24 March 2025
13 Rental Units with a “Rinse and Repeat” Investing Method
BiggerPockets Real Estate Podcast
About
This investor built a multimillion-dollar real estate portfolio with low-money-down loans and little cash-to-close. Thanks to his smart “rinse and repeat” strategy, he’s quickly scaled from zero to 13 rental units in just four years, all while collecting thousands of dollars of cash flow a month. He would have never been able to get to this place if he hadn’t followed a strategy many investors are too scared to try.
Mike Johnson knew the best way to take bigger career risks was to have a backup plan. The ultimate passive income plan? Rental properties. But he didn’t want to put 20% to 25% down on each property he bought, so he started where many investors do—house hacking. Four years later, he’s continued his repeatable house hacking strategy, purchasing a new property every year, living in one unit, and renting out the others.
This has allowed Mike to build a portfolio worth $3.4 million in just four years while buying in B+ or A-class neighborhoods and taking home a healthy amount of cash flow. But he has dealt with his fair share of headaches—squatters, non-paying tenants, and a lot of purple paint. Mike still says investing has been a massive win for him, and you can repeat his same strategy!
In This Episode We Cover:
How to start investing in real estate with little money using the house hacking strategy
Why your primary residence IS an investment (and a phenomenal one at that)
The biggest mistake Mike made that led to him buying a property with a squatter in the unit
The new 5% down multifamily loan you can use to buy bigger, better, more expensive properties
The cash flow AND appreciation market Mike is bullish on (and keeps investing in)
When to self-manage vs. hire property management for your rentals
And So Much More!
Links from the Show
Join BiggerPockets for FREE
Let Us Know What You Thought of the Show!
Ask Your Question on the BiggerPockets Forums
BiggerPockets YouTube
Apply to Be a BiggerPockets Podcast Guest!
Mikes Instagram
Mikes LinkedIn
Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust
Save $100 on Real Estate’s Biggest Event of the Year, BPCon2025
Grab the Book “The House Hacking Strategy”
Sign Up for the BiggerPockets Real Estate Newsletter
Find Investor-Friendly Lenders
Download the “Should I Buy Points” Resource
Connect with Mike
Connect with Dave
(00:00) Intro
(01:28) Investing to KEEP Working?
(03:32) First Deal with $19K Down!
(09:12) 3.5% Down 4 Unit!
(13:27) Worst Tenant Ever
(18:51) 3 More Units and Hiring Management
(23:32) $1.5M Property for $38K Down!
(23:41) SOCIAL - 38k cash for a $1.5m property
(28:14) Your Primary is the BEST Investment
Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/real-estate-1099
Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com.
Learn more about your ad choices. Visit megaphone.fm/adchoices
Mike Johnson knew the best way to take bigger career risks was to have a backup plan. The ultimate passive income plan? Rental properties. But he didn’t want to put 20% to 25% down on each property he bought, so he started where many investors do—house hacking. Four years later, he’s continued his repeatable house hacking strategy, purchasing a new property every year, living in one unit, and renting out the others.
This has allowed Mike to build a portfolio worth $3.4 million in just four years while buying in B+ or A-class neighborhoods and taking home a healthy amount of cash flow. But he has dealt with his fair share of headaches—squatters, non-paying tenants, and a lot of purple paint. Mike still says investing has been a massive win for him, and you can repeat his same strategy!
In This Episode We Cover:
How to start investing in real estate with little money using the house hacking strategy
Why your primary residence IS an investment (and a phenomenal one at that)
The biggest mistake Mike made that led to him buying a property with a squatter in the unit
The new 5% down multifamily loan you can use to buy bigger, better, more expensive properties
The cash flow AND appreciation market Mike is bullish on (and keeps investing in)
When to self-manage vs. hire property management for your rentals
And So Much More!
Links from the Show
Join BiggerPockets for FREE
Let Us Know What You Thought of the Show!
Ask Your Question on the BiggerPockets Forums
BiggerPockets YouTube
Apply to Be a BiggerPockets Podcast Guest!
Mikes Instagram
Mikes LinkedIn
Maximize Your Real Estate Investing with a Self-Directed IRA from Equity Trust
Save $100 on Real Estate’s Biggest Event of the Year, BPCon2025
Grab the Book “The House Hacking Strategy”
Sign Up for the BiggerPockets Real Estate Newsletter
Find Investor-Friendly Lenders
Download the “Should I Buy Points” Resource
Connect with Mike
Connect with Dave
(00:00) Intro
(01:28) Investing to KEEP Working?
(03:32) First Deal with $19K Down!
(09:12) 3.5% Down 4 Unit!
(13:27) Worst Tenant Ever
(18:51) 3 More Units and Hiring Management
(23:32) $1.5M Property for $38K Down!
(23:41) SOCIAL - 38k cash for a $1.5m property
(28:14) Your Primary is the BEST Investment
Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/real-estate-1099
Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com.
Learn more about your ad choices. Visit megaphone.fm/adchoices