Homeowner-investors ready to invest
Fictional household · Michael & Sarah Doe · three properties
Positive cash flow, protected household reserves and cash for a 25% investment down payment plus costs.
Michael & Sarah Doe
Homeowner-investors ready to invest
Fictional Household Example · Illustrative Readiness Profile
Five-Pillar Scorecard
| Credit Strength | 100 | Score of 820 | |
| Cash Flow & DTI | 85 | 30% debt-to-income | |
| Emergency Fund | 100 | 6.4 of 6 months | |
| Debt Health | 91 | $25,000 consumer debt | |
| Mindset & Habits | 100 | Self-rating results |
Emergency Fund: Fully Funded
Plan: $0/mo ($0 cut spending + $0 side income + $0 other). Timeline: Done. Then save for down payment and closing costs.
Protects against: Income disruption · Unforeseen family emergency · Economic upheaval · Natural disasters · Divorce · Victim of crime or violence
Household Vision & Property Goals
Regional context: Riverside–San Bernardino–Ontario typical home value $581,454 (Zillow ZHVI, August 2026); BEA regional price parity 106.442 (2024 (released February 2026)). Household inputs are fictional. Closing costs at 2.5% are a planning allowance.
Real estate holdings
| Property | Value | Mortgage | Equity |
|---|---|---|---|
| Primary residence | $800,000 | $400,000 | $400,000 |
| Duplex rental | $650,000 | $380,000 | $270,000 |
| Condo rental | $380,000 | $220,000 | $160,000 |
Our household exists to own property and create income that works for us, not the other way around.
Within five years we will own at least two properties, including one rental.
- Grow my real estate portfolio
- Max out retirement contributions
- Leave a legacy for my children
Balance Sheet — Assets
Your household assets by category, with guidance.
Assets
$3,202,000- Emergency fund (Money market account)$190,000
- Fully funded and accessible. Keep it untouched and in place.
- Bank checking$20,000
- Money market$25,000
- Down payment & closing savings$195,000
- Stocks$140,000
- Bonds$30,000
- Crypto$5,000
- 401(k) / 403(b)$450,000
- IRA / Roth IRA$110,000
- Avoid borrowing or withdrawing from retirement for a down payment unless it's part of a deliberate plan. Penalties and taxes can be costly.
- Children's savings (529, custodial)$25,000
- These funds belong to your children's future. Keep them separate from household goals.
- Primary residence$800,000
- Duplex rental$650,000
- Condo rental$380,000
- Real estate equity: $830,000.
- Business ownership$100,000
- Life insurance cash value$22,000
- Vehicles$60,000
Liabilities & Cash Flow
Liabilities
$1,025,000- Primary residence$400,000
- Duplex rental$380,000
- Condo rental$220,000
- Mortgage debt backed by appreciating real estate is productive debt. Focus extra payments on higher-interest debt first.
- Truck loan$25,000
- Fixed-payment loans count fully in your debt-to-income ratio. Paying off a small one can raise how much home you qualify for.
Cash flow & goal check
Monthly cash flow: $6,150 ($35,850 in · $29,700 out). Your income can fund these goals within 3 years.
- 6-month emergency fund ($0)Done
- Down payment & closing costs ($0)Done
- Pay off non-mortgage debt ($25,000)5 months
Your Personalized Action Plan
- With your emergency fund in place, review your down-payment and closing-cost savings before making a purchase decision.
Pay Yourself First
Set aside at least $3,585 each month — 10% of your $35,850 total monthly income. Maintain your automatic savings habit and protect your fully funded reserves before committing cash to a purchase.
Coaching for Your Next Move
- Keep the $190,000 household emergency reserve intact. The separate $195,000 acquisition fund covers $175,000 down (25%) plus $17,500 estimated closing costs on a $700,000 property, leaving $2,500. The $25,000 general money-market cash remains separate from both funds.
- Existing rentals bring in $6,650 monthly and cost $6,020 for entered mortgage and operating items, leaving $630 before vacancy, management and tax adjustments. Include these additional costs when underwriting the next purchase.
- Before making an offer, verify rent comps and require a property-level budget covering financing, taxes, insurance, repairs, vacancy and management. Household readiness alone does not make every investment a good deal.
- Continue saving at least $3,585 monthly (10% of all income). Obtain investment-loan quotes, review lender reserve requirements and preserve a separate property contingency fund.
Debt Freedom Plan
With $2,000 extra per month. Minimum payments only: 40 months, $2,110 interest.
| Rank | Strategy | Debt-free in | Total interest |
|---|---|---|---|
| #1 | 0% Balance Transfer | 10 mo | $0 |
| #2 | Snowflake | 8 mo | $461 |
| #3 | Avalanche | 10 mo | $540 |
| #4 | Snowball | 10 mo | $540 |
| #5 | Consolidation Loan | 11 mo | $1,389 |
Resources & Your Advisory Team
Your reading list — free for members
- • Run Your Household Like a Business
- • The Credit Handbook
- • 10 Proven Methods For Building Credit
- • The Mortgage Handbook
- • How Much House Can I Afford?
- • African American Homeownership Initiative (AAHOI)
Explore the site and complete this assessment without joining. Membership includes every book as a free ebook, access to online real estate and business courses, and resources to revisit your plan as life changes.
Annual membership saves $60. Online real estate and business courses are included for members; $97 each for nonmembers.
- Introductory Strategy Session — $250. One hour to review your blueprint, discuss priorities and identify possible next steps.
- Personal one-on-one coaching — $350/hour. A private hour focused on your chosen financial priorities, such as cash flow, debt, credit or homeownership planning.
- Personal coaching · 10 hours — $2,500 ($250/hour) · Member: $2,250 ($225/hour). Ten private hours to revisit your priorities and progress as your circumstances change. Save $1,000 versus ten single sessions before the member discount.
- Business consulting — $500/hour. A one-on-one hour to discuss your business goals, financial picture and decisions you are weighing.
- Business consulting · 10 hours — $4,800 ($480/hour) · Member: $4,320 ($432/hour). Ten consulting hours for ongoing discussion of business priorities and progress. Save $200 versus ten single sessions before the member discount.
- Family coaching — $350/hour. One hour for up to 25 family members to discuss shared financial goals, household priorities and questions together.
If this assessment opened your eyes, share it with a friend or family member.
Fictional educational example, not an actual client result. Readiness is not lender approval; financing, property, tax and sale assumptions require independent review.
Your Trusted Advisor
Wealth Assessment & Blueprint
Proudly presented to
Michael & Sarah Doe
for successfully completing the Wealth Assessment & Blueprint — a comprehensive evaluation of income, savings, debt, net worth and financial readiness.
Completed October 22nd, 2026
Ready for the next step?
Talk with Eric
Eric Lawrence Frazier, MBA
DRE 01143484 · NMLS 461807