Passive Income Through Multifamily Real Estate

Asset protection is a crucial part of growing your wealth, yet it is often overlooked by entrepreneurs. Today’s guest, Wayne Patton is an asset protection attorney, and he is here to share his expertise with us. In this episode, Wayne explains how he approaches asset protection for his clients, and then how he helps them mitigate risk. We also hear about some of the key changes that the pandemic has brought to the space. Not only are more people thinking about the importance of asset protection, but it has also given them the time to put the right plans in place. As Wayne highlights, protecting your assets requires a proactive approach, and it cannot be done as a reactionary measure when a business is in trouble. Asset protection must be an integral part of an overall scaling strategy. Along with this, Wayne also sheds light on why operators should protect themselves, how limited partners can look after their assets, and separating personal and business assets to ensure maximum protection. To hear more about

Scaling is probably one of the ultimate goals of any business, so it’s important to be prepared to manage this growth properly. In today’s episode, Jeff Klotz, of The Klotz Group of Companies joins us to discuss scaling and how they have successfully managed to do it. We hear about the importance of timing, how a good team makes all the difference, and why you need to be ready to face many roadblocks. Along with this, we also talk about Jeff’s obsession with KPIs and how they help the team make informed decisions, and why getting your mind right will get you to the next level every time. If you are looking for some advice on how to effectively scale, this is the show for you!Key Points From This Episode:Hear about Jeff’s background, and what the Klotz Group of Companies does.The key factors and decisions that contributed to Jeff being able to scale his business.Some of the ways Jeff and his team overcame the obstacles of multifamily.The role that KPIs have played in Jeff’s decision-making.Using technology to

With the wealth of resources available online, anybody can teach themselves about investing, but some knowledge can only be gained through experience. Here to talk about his investment journey and the lessons he has learned along the way is data-driven investor, mindset coach, and realtor Ali Mahdavi! Being an immigrant born in Iran, Ali quickly learned to adapt, which has allowed him to successfully grow personally and financially. We hear from Ali about his college education in the U.S and how he only learned about investing after graduating. By devouring podcasts, books, and videos, Ali taught himself what he could, and he solidified his knowledge through networking and taking action on what he learned. Ali talks about his first real estate investment, a condo in LA, and what he learned about investing in appreciating but negative cash flow assets from it. From there, we get into some of Ali’s investing tips, and he weighs in on diversification, how to underwrite deals and syndications, how to manage prope

Today we get to hear from Amy Tiemann, a real estate syndicator who also owns and manages apartment complexes. Being both a property manager and multifamily investor, Amy has a rare advantage when it comes to asset management. For her, it is imperative to first gain experience as a property manager before you can truly be great at asset management. In this episode, Amy talks about the pros and cons of being vertically integrated, the importance of hiring for company culture fit, and why she believes in employing cross-functional team members rather than ones who are skilled at only a single role. She also advises on retaining your best workers and making data-driven decisions. Be sure to listen in! Key Points From This Episode:What Amy does and the areas she is currently focused on. The advantages and disadvantages of being vertically integrated. Hear how Amy goes about building her teams around her company culture philosophy. How their team collaborates cross-functionally and why it is beneficial to all the

Why would someone start their own property management company instead of just hiring a third party? Today’s guest, Colin Douthit has some answers. Colin is the founder and owner of Atlas Property Management, has been in the real estate space for just three years, and already manages over 360 doors, with another hundred in the pipeline. In this episode, we talk about why Colin decided to start his own property management company, and the pros and cons of doing do versus hiring a third party. He explains some of the challenges, standard operating procedures, and tools he uses, as well as some tips about what owners can do to partner with property management companies to make it a little easier for both parties. Don’t miss this episode!Key Points From This Episode:Colin introduces himself and explains how he got into real estate as an investor.The pros and cons of starting your own management company versus hiring a third party.Inversely, why someone would hire a third party versus starting their own company.Som

For this Asset Management Fridays edition of the show, Chris Jackson from Sharpline Equity joins us to talk about renewal management now versus a few months back! Chris is a multifamily investor and syndicator with 10 years of experience, who has raised over 12 million dollars and completed over 500 unit transactions. Chris weighs in on the value of having more communication touchpoints with tenants now that so many people are canceling leases. This strategy also works when it comes to keeping track of whether a renewal plan is working – simply gauge if tenants are staying or leaving and you’ll know! In sum, Chris swears by the importance of being a good people person when it comes to asset management, talking about how it benefits everything from renewal management to delinquency management, resident marketing, community development, and teams on-site. Other takeaways from Chris today include how renewal management should change on a property over time, and a few lessons he learned after trying to scale a si

Many people will tell you that you need heaps of money to get started in real estate. But Sterling White, today’s guest, is proof that you don’t always need money to start making money. With just under 400 units, Sterling is a top BiggerPockets contributor and hosts the Real Estate Experience Podcast too. We begin our conversation with Sterling giving us some background. He talks about growing up in a “red-zone” neighborhood and how his entrepreneurial spirit led him into real estate investing. Having transitioned from owning 150 single-family homes, we ask him how he got into multi-family investing. In an expensive market, where people were paying more than they should have, Sterling shares how he bypassed the brokers by tracking down owners and dealing with them directly. We discuss his strategy of tracing down owners and then cold calling them. Illustrating the success of his model, Sterling talks about how he landed a deal with a mom and pop run property. Even though they didn’t want to initially sell, St

Executing your business plan is not always easy as many variables can derail your initial course of action. Today’s guest, Devin Elder, knows the importance of sticking to your guns and has seen firsthand the benefits of persevering with a tried and tested investment thesis. In this episode, Devin sheds light on his company, DJE’s business plan, their desired ROI on money spent on interiors, and the asset classes they invest in. While doing heavy value-adds may not appeal to all operators, for Devin, it’s a chance to be creative. We also touch on systems and how software has helped the businesses streamline their processes for optimal efficiency. Along with this, Devin shares some wise words as well as a look at what his asset management superpower is. Tune in today!Key Points From This Episode:Hear about Devin’s background, where he’s based, and his current investment focus.Devin’s most frequently implemented business plan for apartment purchases.Why dealing with people is the most challenging part of execut

A fund is probably one of the most powerful and safest ways to diversify your assets, but how do you know when you’re ready to start a fund? And which markets should you invest in? Today’s guest, Dave Seymour, has some experience in this area. After 16 years as a firefighter and paramedic, Dave launched his real estate career, rapidly becoming one of the nation’s top real estate investors. Within his first few years, Dave has transacted millions of dollars of real estate and had become a leading expert in both residential and commercial transactions. Some of Dave’s areas of expertise lie in lending, commercial multifamily, financing, and retirement strategies. In this episode, we’re talking all there is to know about funds: how they work, how to start one, and how to know when you’re ready. Dave shares his experience with his partner, Walter Novicki, and shares some key advice for starting a fund of your own. Tune in today to find out more!Key Points From This Episode:Dave introduces himself and shares why he

When it comes to raising and managing capital, it’s all about putting the investor first. Today’s guest is Brian Adams, and he joins us to talk about all lessons he has learned about this syndication fundamental. Brian is the Principal and Founder of Excelsior Capital, and he starts out today talking about his journey into capital raising as well as his focus on buying up multi-tenant office properties in secondary markets in the Midwest and Southeast. From there, Brian gets into how he raised over $60 million of equity in three years after learning the power of listening to his investors’ needs! Brian raised so much capital that managing it brought a whole new bag of challenges, and we hear how this taught him to value things like reporting and transparency as highly as he does. For Brian, networking is key, and he weighs in on how he took the opportunity provided by some family connections initially and used it to build an ever-expanding community of investors who trust him. Brian gets into essential softwa

We all have LinkedIn profiles, but how can we use them to actively pursue leads and build lists of prospective investors? Today’s guest is Yakov Smart, who is considered to be the leading expert when it comes to attracting A-list investors and raising capital using LinkedIn. He’s the author of the book, Disrupting LinkedIn, and a sought after authority by top business owners and sales leaders worldwide. Yakov currently focuses on training and consulting others on how to transform their LinkedIn profiles into priceless relationship-building assets. In this episode, he shares with us some tips and tricks for using LinkedIn to maximize engagement, create powerful connections, and get potential investors curious. We discuss time spent on attracting leads, pushing content, using hashtags, and benefitting from your business page, as well as five ways to build lists of prospective investors that Yakov finds useful. Yakov has some impressive, valuable, and easy-to-implement advice for any real estate investor looking

Welcome to Asset Management Friday! Today’s episode is all about insurance, and our special guest is Daniel Garzella, President of The Garzella Group, which is an insurance brokerage that specializes in multifamily property insurance. Dan founded the Garzella Group in 2014 and, prior to starting his own firm, he was selected as one of America’s top commercial insurance agents of the year for five years in a row. This episode focuses on the processes one needs to go through to get the best insurance deal, from learning about the different devices available within multifamily and commercial insurance to learning how the requirements change as the asset increases in value. Dan covers all of this and more, sharing with us how The Garzella Group uses its knowledge and expertise to set itself apart from other insurance companies, helping to reduce your insurance costs by doing extensive market research and creating a number of different options for better value. For more on what new syndicators need to obtain a quo

Jerome Maldonado’s passion for, and knowledge of, real estate development (and the art of making money), will pique everyone’s interest in the subject. He started out with very little, managed to survive the 2008 recession, and has built up an extremely successful real estate development company, J. Jacob Enterprises Inc. Jerome focuses on the opportunities that exist in seemingly dire situations, and through hard work, skill, and the valuable relationships he has built up over his 20 years in the real estate business, he managed to sail through the shock of the COVID-19 pandemic unscathed. One of his current main ventures is warehouses, specifically those which service the booming e-commerce industry; Jerome sees the beauty in this ‘ugly real estate’ and is excited about the potential for major capital generation in this space. Jerome is clearly a master of his field and he is eager to impart his wealth of knowledge (and knowledge of wealth) onto others. His Real Estate Domination event is taking place on th

Sometimes we might forget the importance of community and engagement in the field of real estate and particularly the multi-family sector. Here to talk to us about community management and the best ways to use it as a tool for your business, is Eric Upchurch from Active Passive Income! He has a strong message about getting out of your comfort zone and getting a community involved, with a specific focus on honoring military heroes of the past! Eric explains the reasons he believes community engagement to be so important to all of us, and we talk about some of the events and campaigns which he has run. The conversation also covers the financial impact that community management can have and Eric gives us a few great examples of the results he has seen. We touch on learning fast and taking lessons forward before Eric unpacks his own asset management superpower; as you may have guessed, networking! As a somewhat surprising introvert, Eric needs time to recharge and be alone but that does not mean he does not go ou

While COVID-19 is a total black swan event and it is hard to predict its effects, it could be a blessing in disguise for multifamily. Neal Bawa joins us again on the show today, and this time to give us his data-driven insights into the impacts of coronavirus on real estate. Neal is a technologist, data scientist, and self-proclaimed geek. He is the CEO and Founder of the highly successful commercial real estate investment company Grocapitus Investments and is also the CEO of MultifamilyU, an apartment investing education company. A big takeaway from our chat with Neal is about how we only feel the effects of recessions in real estate after a long lag. With COVID things have been slightly different though, and Neal gives us his insights into why we will see rents continue to drop but in the long run, the fact that multifamily is a need-based asset could make it extremely recession-resistant. From there, we hear about what Neal is doing to cover himself for the coming temporary dip, and also hear about a great

Going full cycle on deals is often very important, particularly when you’re trying to build a track record. But seeing a deal through till the projected end isn’t always necessary if returns are high before this point. Today's guest, Michael Becker, Principal at SPI Advisory, is here to share more on disposition with us. In this show, Michael sheds light on a host of disposition-related topics, such as SPI’s adaptive approach to selling their properties, why he believes that going full cycle is necessary for newer operators and the importance of not being over-distributed when exiting a deal. Along with this, we also get into keeping a pulse on trailing and forward-looking numbers, and why you shouldn’t think a deal is done if it’s only under contract. For this and much more, tune in today!Key Points From This Episode:Learn more about Michael’s background and what SPI Advisory does.Find out about SPI’s flexible, data-driven approach in planning to sell properties.An example of a property SPI sold and som

There are three main objections to investing in the California real estate market: there is a barrier to entry, the cap rates are too low, and the properties are too expensive. On today’s show, listeners will hear real estate broker Juan Huizar convincingly refute each of these popular claims, showing that this market not only has a promising future but is performing surprisingly well despite the recession. The show starts with our guest sharing his story of coming to the US with his family at a young age and how his parents instilled in him the values of perseverance and a strong work ethic. After being told that an accounting degree was the ticket to a prosperous financial future, Juan obtained this degree intending to become a CPA, but his path crossed with someone who introduced him to real estate investing and who led him to ultimately switch directions after graduation. We change gears to speak about the notoriety of the Southern California market, and Juan unpacks each of the common concerns and explai

Today, Kyle Mitchel and Gary Lipsky look back at their latest summit, talk about the raging success that it was, and why you can’t miss out on the next one. The Asset Management Summit was hosted in September and October, and was born out of one question: How do we become best-in-class operators in asset management? To create maximum value, Gary and Kyle got in touch with the best speakers in the business and asked them to share their industry knowledge. For Kyle, this summit wasn’t just about sharing insider tips. It was about breaking down the barrier between competitor and community. Their summit was a space where like-minded individuals could come together, share their know-how, and improve themselves professionally. In this episode, you’ll hear Kyle and Gary’s favorite takeaways from the summit, including system methods for asset management and how to go about asking the right questions. You’ll also catch a glimpse of the future, as the two talk about future summits and a book set to be released in early

Not all landlords want to hire property managers. It could be that fees are too expensive and erase the margins completely or just that they would like more control. Whatever the case, landlords need systems to self-manage their property. Today’s guest, Laurence Jankelow, co-founded a company, Avail, that has built an all-in-one suite of tools to help landlords manage their rental properties. We kick off the show by hearing about how Laurence’s desire to earn passive income and achieve financial freedom led him to real estate investing and ultimately starting Avail. He shares the company’s founding story and how it solves the pain points he and his partner, Ryan, faced as self-managing landlords. From there, we learn more about Avail and the tools it offers landlords and tenants. From tenant screening to maintenance requests to rental payments, the platform currently offers a range of services that are both safe and convenient for users. There are several other features in the pipeline, which Laurence also sh

Fritz Ritter and his team at Kronos Investment Partners are skilled at obtaining tenant data to help them form their business plans and fit properties with the appropriate amenities. The age, family size, professions, and hobbies of your families play a large role in the type of property that they are interested in. In this episode, Fritz shares his tools and strategies for creating tenant profiles that can be used to make smart investment choices. For Fritz, understanding the lifestyle of your prospective tenant is key to serving them well and getting the most out of your assets. Key Points From This Episode:Learn some background about our guest Fritz Ritter and his journey into multifamily. The most important tenant information to obtain. What the strategic evaluation of a target area (SEOTA) entails and how it serves them. The tools they use to source the information. Examples of how they use the information to provide the preferred amenities.The importance of understanding the lifestyle of your prospectiv