Robert Memmler is a real estate investor. He generates capital for existing property purchases through the fix-and-flip business.
Collage: Business Insider
Robert Memmler bought his first property at the age of 21 and built up a portfolio worth around eight million euros – without any equity. With BI+ you can read regarding the strategy the Dresden native used to achieve this.
Robert Memmler bought his first property at the age of 21 and today owns a portfolio worth around eight million euros.
It generates around 30,000 euros in rental income per month from 48 units, including residential and commercial units. The repayment rate is around 13,000 euros.
The 37-year-old makes an annual turnover of 16 million euros with his fix-and-flip business. In an interview with Business Insider, he reveals how he managed this.
450 Euro Rent per month. 5400 euros per year. And over a period of five years, 27,000 euros. These are figures that made Robert Memmler rethink his situation. As a 16-year-old, he turned his back on his parents’ house to move into a shared flat in Dresden. Five years later, he questioned this decision. He did the math and realized: “If I move out at some point, the money will simply be gone.” The young man decided to buy his own property. And from that one Apartment has now become a portfolio worth regarding eight million euros (Business Insider got a glimpse of the numbers).
The 37-year-old bought his first property at the age of just 21. He says that he was really annoyed at the time to spend so much money without getting anything out of it in the long term. “Then, in 2008, I opened Immoscout and looked for Condominiums He found a 38 square meter apartment for 19,000 euros – “that was less than I had paid in rent before,” recalls Robert Memmler still to the point that convinced him regarding the apartment.
He called the estate agent, viewed the apartment and decided to buy it following five minutes. “I had neither financing nor the 19,000 euros. My father wanted to have me committed because he thought I had gone mad,” the 37-year-old remembers. But he did not let himself be dissuaded from his plan. On the contrary: he even convinced his mother of his plan, who eventually secretly gave him the guarantee for the first loan.
Robert Memmler is a real estate investor. He generates capital for existing property purchases through the fix-and-flip business.
Collage: Business Insider
Robert Memmler bought his first property at the age of 21 and built up a portfolio worth around eight million euros – without any equity. With BI+ you can read regarding the strategy the Dresden native used to achieve this.
Robert Memmler bought his first property at the age of 21 and today owns a portfolio worth around eight million euros.
It generates around 30,000 euros in rental income per month from 48 units, including residential and commercial units. The repayment rate is around 13,000 euros.
The 37-year-old makes an annual turnover of 16 million euros with his fix-and-flip business. In an interview with Business Insider, he reveals how he managed this.
450 Euro Rent per month. 5400 euros per year. And over a period of five years, 27,000 euros. These are figures that made Robert Memmler rethink his situation. As a 16-year-old, he turned his back on his parents’ house to move into a shared flat in Dresden. Five years later, he questioned this decision. He did the math and realized: “If I move out at some point, the money will simply be gone.” The young man decided to buy his own property. And from that one Apartment has now become a portfolio worth regarding eight million euros (Business Insider got a glimpse of the numbers).
The 37-year-old bought his first property at the age of just 21. He says that he was really annoyed at the time to spend so much money without getting anything out of it in the long term. “Then, in 2008, I opened Immoscout and looked for Condominiums He found a 38 square meter apartment for 19,000 euros – “that was less than I had paid in rent before,” recalls Robert Memmler still to the point that convinced him regarding the apartment.
He called the estate agent, viewed the apartment and decided to buy it following five minutes. “I had neither financing nor the 19,000 euros. My father wanted to have me committed because he thought I had gone mad,” the 37-year-old remembers. But he did not let himself be dissuaded from his plan. On the contrary: he even convinced his mother of his plan, who eventually secretly gave him the guarantee for the first loan.
He then rented out the apartment and decided to buy a second property. This time it was a two-room apartment that he bought for 38,000 euros. “I was already a little more experienced then with the topic of real estate and the financing,” says Memmler. He also had a job and had already saved some money. But he still did not have the full purchase price for the apartment. “I was able to pay for the apartment with a loan and rent it out to a friend.” He also bought his third apartment shortly following and also rented it out for a long time. When the Real estate crisis of 2008 came, it wasn’t a bad time to buy a property. “Many people were selling their properties and were ready to lose money with it. We were able to buy cheap then,” says Memmler.
At the same time, he continued to renovate the properties – and thus bought and renovated properties at the same time. This was also the time when the fix-and-flip business started. For a long time, he did the work himself. He learned a lot and at the same time got to know the market and the business model better. In the end, the 37-year-old decided to outsource his entire renovation business. The entrepreneur does not need to work himself but can completely concentrate on his core competence: finding properties, financing them and developing new projects.
The entrepreneur, who today employs more than 30 people, still follows the same principle: “It’s all regarding finding good deals, buying below market value and then building up a property portfolio.” His method: He searches for properties that are below market value and have potential for renovation. The former sales manager for car dealerships and real estate agent looks for properties that are in a good location and in a good condition. “The property should not be a wreck, but it should also not be in an ideal condition,” he explains. He’s looking for properties that are a bit dated but have the potential to be renovated and therefore more valuable. Then, he calculates the renovation costs and the expected rental income. Based on his experience, he calculates how much he can invest in the property and then negotiate with the seller.
How to Generate Money with a Fix-and-Flip Business?
Many are inspired by Robert Memmler’s success. He is a role model for aspiring real estate investors. His story shows that it is possible to build up a real estate portfolio even without a lot of equity. However, this requires a lot of work and perseverance. Here are a few tips from Robert Memmler that can help achieve your goals in real estate investing:
- Network: Talk to other real estate investors and learn from their experiences. If you don’t have a lot of money, you can invest with other people or work together on a project, in other words: find partners.
- Learn the basics: Before you start investing in real estate, it is important to gain basic knowledge in this area: Make sure you understand the basics of finance, renovation, real estate law and tax law. There are many free resources available online, such as YouTube tutorials or books on the subject. You can also attend workshops or seminars to get more experience.
- Start small: Don’t try to invest too much money at the beginning. Start small and gradually increase your capital as you gain experience. It’s better to start small and grow your investment capital gradually.
- Be patient: You may not get rich quickly with real estate. Building a real estate portfolio takes time and patience. However, if you’re patient and stick to your goals, you can achieve your desired success.
- Be persistent: Don’t give up if you don’t find the right property immediately. Keep looking and you will eventually find a good deal.
- Be creative: There are many different ways to invest in real estate. Be creative and find a way that suits you best. There are many different ways to finance a purchase, including a conventional mortgage, an investment loan, a home equity loan, or a line of credit. Explore your options and choose the most suitable financing method for your situation.
- Be prepared: Investing in real estate can be risky. It’s important to be well prepared for any potential challenges. Be prepared to take risks, but never invest more money than you can afford to lose. The real estate market can be volatile, so be prepared for ups and downs.
- Be aware: Before investing in a property, consider all potential costs, such as closing costs, insurance, property taxes, and maintenance costs. Take into account a possible vacancy rate and make sure you know how to calculate the cost of rent.
Robert Memmler’s experience shows that it is possible to build up a real estate portfolio without having a lot of equity. However, his strategy requires a lot of work and perseverance. Find your own suitable strategy to also succeed in real estate.
