In today’s episode, Cody and Justin bring you a true the king of efficiency. A real estate junkie, Craig works over at Bigger Pockets and currently lives in Denver. From getting paid to go to college to renting out his car, Craig finds ways to squeeze money out of every aspect of life. Then you can add on the fact that he’s in his mid 20’s and you have a really inspiring story.

Craig may not head up a popular blog or podcast but I can promise you, he has some amazing insight. In this episode, you’ll get to hear his entry into real estate including some extreme house hacking. Oh, and did I mention he spends ~$500 per month on everything? It really highlights how removing auto and home expenses leaves you with an extremely tiny budget
Episode Summary

Started hustling in elementary school by selling his lunch to other kids
Chose his college based on an internship program that let him graduate w/ a $20k nest-egg
Gets a wake-up call when his boss interrupts his weekend at Big Sur
2 years after graduating he buys his first property, a duplex in Denver
His first property was  $380k and 1.5 miles from his work
He put down a down-payment of $17k
The duplex was cash-flowing $800 per month and he lived there rent free
He lived in a tiny section of one floor while Air BnB'ing out the rest
With a place so close to work, he was able to also rent out his car on Turo
On Turo, he was pocketing ~$30 per day...until a renter totaled the car
Turo handled the insurance without a hitch
One year after buying the duplex he buys his second property
In the new property, he rents the rooms out individually while still living rent free
With no rent and no car expense he's able to spend $500-$600 per month
At 25 he is prepping himself to be set up to travel and someday start a family
He uses credit cards with setting up his new properties to travel hack his trips
Currently loves his job at Bigger Pockets
He actually got into real estate due to the confidence he found from  Bigger Pockets
He chooses his properties based on location in relation to parks and bike paths

Key Takeaways

House hacking is one of the most efficient and effective ways to hit FI. If you can rent out half of a duplex (or the whole thing or if you're on Craig's level) you can eliminate your housing expense and actually make money to live! Housing is typically 33% of the average American budget.
"Live like no one else now, so you can live like no one else later". Craig understands that his youth gives him an advantage and allows him to kickstart his FI journey. He can take wisdom from his elders and implement all of the strategies that they wished they had used.
FU Money is one of the most powerful levers. Since Craig was able to live intentionally, amass a comfortable monthly cash flow and increase his net worth, he unlocked options in his life. He now can focus on the things he truly cares about and "peace out" from his job if he stops feeling fulfilled!

Call to Action
Examine your life, determine what is excess, and cut what's not necessary!
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Links from the Episode
Turo (Get $25 off your first ride!)

Airbnb (Get $40 off your first stay!)

Rich Dad Poor Dad

Travel Hacking

Lifeonaire Book

 

Contact Craig:

BiggerPockets

LinkedIn

Facebook

 

Learn More About Your Hosts:

Fly to FI (Cody’s Blog)

Saving-Sherpa (Justin’s blog)