Today we're going to talk about Adaptive Re-use of Commercial Space and how it can be turned into an Asset Class that is Very Attractive & Extremely Profitable.
My guest is Scott Krone, the managing partner of Coda Management Group, a company that teams up with investors to purchase and convert undervalued warehouse space into climate controlled Self-Storage Facilities.
Scott has a Masters of Architecture Degree from the Illinois Institute of Technology and he's created 47 syndications and has over 400,000 sq. ft. & 2,759 storage units under management, along with over 25 years of development & design-build experience.
Scott is going to share the process he goes through in converting old warehouse space to self-storage, including his typical costs per sq. ft. for acquisition, construction & soft costs. He'll discuss the financing that's available for these projects and how Coda builds and sells their developments to REITS.
Scott & I also discuss the importance of Mentors, what ever happened to the original 'Lincoln Log' factory in Chicago, and how he uses personality profiling techniques to build his team and understand his clients better.
I know you're going to enjoy this episode, and you can learn more about Scott by going to his website:
My guest today is Frank Maratta, a listener & fan of the show who contacted me with some great questions. So I thought I'd have him on the show to answer them with the help of Justin Workman, another friend of the show who's been on many episodes.
Frank is an experienced investor and landlord with 12 units that he rehabbed & manages. Frank's favorite strategy is to buy a property, rehab it using his own subs and serving as the General Contractor, and then complete a cash-out refinance in order to pay himself back and raise money for the next deal.
Frank has some excellent questions that Justin & I do our best to answer, even though we disagree on several of our answers:
Should Frank get a 30-year or 20-year mortgage?
Should he "buy down" the points in order to get a lower interest rate?
Will a new roof increase the appraisal value? (the answer to this will surprise you)
What is our current outlook on the market?
Frank's questions make for a lively discussion (& arguments) with Brian & Justin. This is a fun episode that I know you're going to enjoy. If you'd like to get ahold of Frank, you can email him at:
Jonathan Twombly spent 12 years as a corporate attorney for some of the most prestigious law firms in New York, Boston, and London, before switching tracks and becoming a full-time real estate investor and syndicator.
Now, Jonathan is the owner of Two Bridges Asset Management and his attention to detail, creative thinking, and tendency to notice overlooked connections has had a huge impact on his returns, as well as those of his investors.
Today we'll discuss how Jonathan chooses his partners, and why you shouldn't treat your partnership like a marriage. You'll also learn how Jonathan overcame some setbacks early on when his deals didn't pan out, and how he spent three years chasing opportunities before completing his first deal.
Jonathan also shares tips on working with attorneys, how he presents his opportunities and tells the story of the deal, what it means to have a fiduciary responsibility to your investors, and his outlook on the multifamily and apartment market.
Jonathan also hosts the Real Estate Launchpad podcast (I was a guest on episode #28), and can be reached through his website & Facebook page:
Multifamily Investment Community (Facebook)
Today we're going to talk about Raising Capital from a source that we typically don't consider when putting together the equity for our investment opportunities. We've discussed syndication and raising funds from high net-worth accredited investors, but what about the Ultra-Wealthy - those with over $30 Million in net worth?
My guest today is Richard Wilson, the Founder & CEO of Family Office Club, and he is going to help us understand what the Ultra-Wealthy look for when investing their capital, and the top 6 headaches of Family Offices worth over $100 Million. He'll also reveal how you might be able to help them while funding your own opportunities.
Richard also shares what he teaches investors about coming up with their 'one-line pitch', why its better to be 'long-term greedy' and create lasting relationships with family offices, what a typical deal structure might look like, and what not to do when pitching to the Ultra-Wealthy.
Richard is also the author of "Centimillionaire Migraines", as well as other books on Family Offices. He runs the largest community of family offices globally called "The Family Office Club", with over 1,750 registered family offices, and hosts the "Family Office Podcast".
You can find out more about Richard by going to his websites:
Todd Dexheimer is a former teacher who has been investing in real estate since 2008. He's accomplished over 200 flips and currently controls over $15 million in Apartments and Multifamily.
Today, Todd is going to share how he's managed to grow his portfolio so quickly, and what he's done to raise over $10 million in private equity.
Todd is also the host of the "Pillars of Wealth Creation" Podcast where he interviews successful business leaders. He's also the principal owner of Venture D Properties which syndicates Apartment Opportunities in emerging markets around the country.
Todd and I will discuss how he scaled his business from Single-Family to Apartments, investing in markets outside your backyard, the importance of realistically budgeting for Cap Ex improvements, and the mentors and books that have helped him achieve his success.
There's a lot of great insight and information packed into this episode. You can contact Todd through the following websites:
Today we're going to talk about New Construction & what it takes to be a Real Estate Developer. A lot of people think this is an exciting and rewarding career - but is it?
My guest today is going to help us figure that out. Bradley Hartwell is the Founder and Real Estate Strategist with North Town Real Estate, a West Michigan Real Estate firm specializing in acquisition, brokerage, consulting, and development of residential and commercial properties. He's also a Professor of Real Estate at Central Michigan University.
Bradley has been an instrumental player in developing several large commercial and residential projects in the Grand Rapids area, and today he is going to take us through the process - from identifying the site and other pre-development tasks, to the construction process and the eventual completion and leasing of the property.
We'll also discuss the strategy of building apartments that can be converted to condos later on, and the role financing and fund raising plays in the process. Bradley also has a lot of experience & stories that he'll be sharing with us.
If you've ever considered developing your own real estate project, or are interested in the development and construction process, then this is a 'must-listen' episode with a seasoned expert. You can contact Bradley through his linkedin or email:
Today we're going to talk about Mobile Home Park Investing with a renowned expert on the subject. Many of you know Kevin Bupp from his popular podcast "Real Estate Investing For Cashflow". Kevin is a serial entrepreneur with over $100 Million in transactions, including apartments, single family homes, office buildings, raw land, condos, and his favorite, mobile home parks.
Today Kevin is going to tell us how a lunch meeting turned him into a Mobile Home Park Investor, how this asset class compares to apartment investing, why cities and municipalities are zoning these parks out of existence, and what you're really investing in when you buy one of these communities.
Kevin will also share his tips on working with the homeowners and residents of these parks, the criteria he uses when conducting due diligence on an investment opportunity, and how to avoid the pitfalls that can cost investors a lot of money. Kevin shares a scary story about a very lucrative-seeming investment that went wrong because the utilities needed replacing.
Kevin also teaches his methods to Mobile Home Park Investors across the country, and you can learn more by going to his websites:
One of the bonuses of attending the RPOA's Annual Conference this past February, is that everyone had the opportunity to enjoy a special Q&A session with Jeremy Cole & Ramon Huerta. If you don't know who these guys are, you soon will.
They're the stars of "Gritty To Pretty", an HGTV show that was just about to air its 2nd episode on the DIY Network, and has since been picked up for a full season by HGTV - which they are currently shooting.
Jeremy & Ramon are both passionate about improving the Kalamazoo, Michigan neighborhoods they invest in, and Jeremy is on a mission to save homes that the city would prefer to tear down. In this episode he goes into detail on the true cost of tearing down homes in terms of dollars, neighborhood impact, and the availability of affordable housing.
This is a wide-ranging Q&A with a lot of great questions from the audience about investing, rehabbing, and being on a hit reality tv show. It was a lot of fun to record, and I know you're going to enjoy this episode and everything Jeremy & Ramon have to share.
Anna Myers acquired her first 500 Multifamily units in 2018, and another 300 units in 2019 (so far). Today we're going to find out how she's been able to grow her portfolio so quickly through her systematic approach to analyzing markets and opportunities, as well as her ability to create pivotal & strategic partnerships.
From single-mother, to surviving the tech market crash of 2000, to becoming a small business owner and eventually the Vice President of Grocapitus, Anna has always relied on her analytical skills to improve her opportunities. Today we're going to learn how she's seized certain opportunites along the way that have led to her success. Whether it be volunteering to build an analysis tool for her mentor, Neil Bawa, or becoming an educator and trainer on commercial underwriting through MultifamilyU.
Anna will share how she uses her systematic approach and knowledge of data science to find the best markets that will weather the next downturn, analyze potential multifamily opportunities, and improve the management and leasing of the apartments she owns. And yes, Anna will name the markets that she finds most compelling.
Anna's perspective is unique in this industry, and you'll definitely appreciate the wisdom & knowledge she's about to share. You can find out more about Anna and the courses she teaches for MultifamilyU by going to https://multifamilyu.com
One of the biggest fears landlords and rental property owners have is nightmare residents. I'm talking about tenants who seem okay at first, but then decide they're not going to pay rent, damage your property, and cost you thousands of dollars trying to evict them and clean up their mess.
How can we avoid this problem? Well, the best answer is proper tenant screening. But not everyone understands what the best practices are, or even how to go about it.
Today, I'm talking with DJ Newman, the owner of Grand Slam Investigations. DJ is a licensed private investigator and an expert on running background, criminal & credit checks on potential tenants. DJ is going to share his screening methods in order to help you find the very best residents for your property.
Grand Slam Investigations is also affiliated with the RPOA, and DJ will discuss the benefits they provide to RPOA members. He also has some great stories of the private investigation work he's done, including the survelliance work that led to having a shotgun pointed at his head, along with some other scary encounters.
I know you'll enjoy this conversation with DJ, and you'll definitely get some tips that will help you find better residents. You can contact DJ through Grand Slam Investigations' website or by phone.
Larry Goins is a visionary, entrepreneur, real estate investor, and educator. He's been investing in real estate for over 30 years, and has previously served as the president of the Metrolina Real Estate Investors Association in Charlotte, North Carolina.
Today, Larry is not only going to share details on his Real Estate Day-Trading system, he's also going to show exactly how he builds Confidence, Credibility, and Rapport with Sellers. He'll take us through real-life conversations to illustrate how you can get people to like and trust you, Price-Condition your sellers, and close the deal.
Larry will also share how he builds his lists, vets and funnels his buyers, conducts due-diligence on his opportunities, and the process he follows once the property is under contract. This is all top-level information that any investor will benefit from.
Larry also travels throughout the U.S. speaking and training students on buying HUD Homes, Virtual Real Estate Day Trading, Seller Financing, and his "Filthy Rich" system of investing. He's also a noted author and hosts an excellent podcast called "Brain-Pick a Pro Podcast".
You can get a free copy of Larry's book "Getting Started in Real Estate Day Trading" by calling 1-877-LARRY GO and asking for a copy. Be sure to mention this podcast.
Larry can also be contacted through his website at www.larrygoins.com
Real Estate Investing and Property Management is a People Business, and Chelsea Roelofs was trained early on how important that concept is. Chelsea has a background in social work that has helped her attract clients and residents through her company Rockfinch Realty, a full-service property management and real estate brokerage company.
Today we're going to learn how Chelsea transitioned into real estate from social work, as well as the house-hacking investments she made in the historic neighborhoods of Grand Rapids, MI.
Chelsea is also going to discuss her single-family & vacation rental investments in Grand Rapids & Muskegon, a lodge she recently purchased in Newaygo, and her property management philosophy that has helped build her successful business.
I know you're going to enjoy hearing Chelsea share her experiences in real estate, and the lessons she's learned along the way. You can find out more about Chelsea by going to:
Owning and Managing Student Housing Rental Property can be very rewarding, but it takes a unique approach and strategies that are different from traditional property management. If you are considering purchasing property for student housing, or you currently own & manage student housing, then you'll definitely want to hear the best practices and advice from our guest today.
Jared Behrens is the General Manager at American Realty Property Management, which specializes in managing A-class single family rentals and student housing in the West Michigan area. They currently manage over 325 units for 60 different owners.
Jared is going to share his tips on leasing to students and managing their expectations, along with their parent's expectations. We're going to discuss which months you have to be prepared to move all your students in & out of the units, as well as when you must have them leased by.
You'll learn why Jared advises having the students sign a 'jointly and severally liable' lease, and what type of properties and bedroom/bathroom configurations work best for students.
There's a ton of great advice packed into this episode. You can contact Jared through his email, website, phone, Twitter, or Instagram:
Performing and Non-Performing Notes. You've definitely heard us talk on this podcast about this area of investing. While the returns can be quite lucrative, there are many risks to consider, as well as barriers to entry. When entering this arena it pays to be well informed.
That's why, at the recent RPOA Annual Conference, we held an Expert Q & A Panel Discussion on Note Buying. We had three experts there to help us understand what notes are, the investment opportunity they provide, the pro’s and con’s of investing in notes, and how they've each been successful in the single-family and commercial note investing arena.
If you’re interested in investing in notes yourself, then you definitely will get a lot of great information from our expert panel today.
Sue Nelson is a trainer and coach who has done almost every type of creative real estate deal. Sue is an expert in commercial, multifamily, REOs and notes, and I actually joined her commercial note training program back in 2012. Sue was recently a guest on the podcast - episode #162.
Gene Chandler has 45 years of real estate investing experience and is the asset manager for Chandler & Chandler Financial, which specializes in buying one-off and small pools of distressed assets directly from banks, hedge funds, and private equity groups.
Gene was a guest on episode #80, and I was so impressed by our conversation that I ended up investing with Gene, and together we’ve purchased 12 non-performing notes.
Kyle Zimpleman is also a note investor with a mission of helping distressed home-owners stay in their homes. Kyle is the President & CEO of Expand Capital Group and purchases distressed mortgages throughout the U.S. He’s also started a fund to help passive investors invest in this space. Kyle was a guest on episode #151.
Today we're going to talk about an asset-class that I love: Performing & Non-Performing Notes. Notes are the underlying contract or mortgage that a home-owner is paying on, or sometimes not paying on. Whether they're performing or non-performing, notes can offer a lucrative opportunity to make money and help distressed homeowners in the process.
Wylea Griggs, the owner of Eleesee Solutions, LLC, is a local Grand Rapids investor who has been purchasing non-performing notes. Today she is going to walk us through three of her recent deals and show us how she was able to make 30 to 60% returns, while helping several homeowners get past some difficult setbacks and get current with their mortgage payments.
Wylea also hosts a local meet up group: "Grand Rapids Note Closers - Wine & Notes for Self Directed IRA Real Estate Investors". They'll be meeting this Wednesday, May 8th, from 6 to 9pm at the Cascade Winery, 4665 Broadmoor, Kentwood, MI 49512.
I know you're going to enjoy hearing Wylea's story of how she got started investing in real estate and ended up realizing the benefits of investing in notes. You can contact her by phone, email, or her website:
Jason Pero bought his first duplex in 2001 and never looked back. He quickly acquired more units, started a management company, and left his W-2 job by 2012. He now owns over 650 Units that he manages through his company, Pero Real Estate, located in Erie Pennsylvania.
Jason recently completed his first syndication of 86 units and is going to share with us how he structures his deals for investors. We'll also learn how & why he prefers to acquire properties in his own backyard, off-market, and directly from sellers. And Jason will share the tools and software he uses in his property management business.
Jason is also the President of his local REIA, the Apartment Association of North West Pennsylvania. We discuss why its important to be active in your local real estate groups and how its helped both of us make huge progress in our investments while giving back to the investor community.
I know you're going to enjoy this conversation with Jason. He shares a lot of the details on how he grew his portfolio, and how he and his wife were both able to leave their W-2 jobs.
Jason can be contacted by email at firstname.lastname@example.org
With the recent legalization of marijuana in Michigan and other states around the country, many real estate investors and landlords have been wondering what this means for their investment property.
Are tenants now able to smoke marijuana in their units? Do we need to change our leases to accommodate this new law? Can we get in trouble if we evict a tenant for smoking marijuana? How can we as investors profit from this new law? How do we identify these new opportunities?
At the recent RPOA annual conference we held an expert Q&A discussion with Justin Wheeler, a real estate attorney with the law firm Bolhouse, Hofstee & McLean. Justin practices in the areas of business and real estate and has several clients in the marijuana space.
If you are at all concerned about the implications of the legalization of marijuana on your investment property, or you're excited to know where the opportunities are in this space, then you'll enjoy hearing Justin discuss the in's & out's of this new law.
Justin can be reached by email:
If you're looking for opportunities in today's hot market, and chasing after those that are listed on the MLS by realtors or brokers, chances are you're experiencing a great deal of competition and frustration.
My guest today has managed to avoid that agony by finding off-market deals. Of his last 20 acquisitions, he's only gone through the MLS one time. That's 19 off-market deals that he's been able to find in the past year!
Today, Patrick Spitzley is going to take us through his most recent rehab acquisitions and how he found them without going through the traditional channels. Patrick is a SFH rehabber and long-term investor who specializes in buying the worst house on the block and turning it into a cash cow. He's also a friend of the show who has appeared on episodes #13, 87 & most recently #168.
Patrick's going to take us through, deal by deal, how he found these opportunities. From auctions to hoarder houses, from his insurance agent to a contact he made through the Deal Room at the RPOA's Annual Conference, Patrick knows how to beat the bushes and is going to share his secrets.
Jack Bosch owns rental houses, commercial properties and even large apartment communities. However, Jack's main passion is for buying and selling Lots and Unimproved Land.
Jack and his wife began investing in land back in 2002, and it took them only 18 months to make over $1 Million dollars. Now Jack is known as "The Land Guy", and he teaches his strategies to investors all over the world. Today he's going to tell us how he finds, funds, and profits from buying land.
Jack is also the #1 Best-Selling Author of the financial literacy book "Forever Cash: Break the earn-spend cycle, take charge of your life, and build everlasting wealth". Jack also hosts the successful podcast "Forever Cash Life- Real Estate Podcast".
This is a great episode for anyone who is interested in investing in real estate but doesn't want to deal with tenants, toilets & trash. Jack shares a lot of real-life examples and detailed knowledge from his experiences buying & selling land. You can contact Jack in the following ways:
facebook: forever cash group & land for pennies
"Forever Cash Life - Real Estate Podcast"
I met Ramond Harris II at the RPOA's Annual Conference last month, and after hearing his story I knew that we needed to record a podcast immediately. You see, Ramond is seemingly a successful Detroit-based wholesaler, rehabber & flipper. But there was something wrong with his business model, and he was trying to figure out how to fix it.
So I invited Patrick Spitzley and Justin Workman, two experienced rehabbers and Friends of the Show, to join us for a Mastermind Session, in which we learned about the challenges facing Ramond in his business, analyzed his situation, and helped him come up with concrete solutions to improve his systems and create more profit for himself.
And I thought we were doing a pretty good job. Until half-way through the mastermind session Ramond dropped a bomb into the conversation. At that point we realized what the real problem was...!
I know you're going to enjoy this conversation with Ramond. You'll learn a lot about what it means to be an entrepreneur and investor, and how some of the decisions we make can impact us without even realizing it. Ramond really opens himself up to the group and isn't afraid to share the whole truth about his business.
At the end of the episode you'll also get to enjoy a recent update from Ramond, as well as the conversation that took place after everyone thought I'd turned of the microphones! This is one of my favorite episodes, so I hope you enjoy it as much as we did!
Ramond can be reached by email: email@example.com
As Rental Property Owners and Landlords, we need to be aware of the changing demographics, trends, and technologies that are shaping the future of Real Estate Investing, especially when it comes to the impact of Millenials and Generation Z on our businesses.
Linda Liberatore speaks on these topics all over the country and is the Founder & CEO of Secure Pay One, a company dedicated to Landlord Empowerment. She's also the author of the bestselling books: "Landlord's Secrets", "My Landlord Helper: The Keys to Managing Your Real Estate", and "Daily Inspirations to Achieve Your Real Estate Investment Goals".
Linda's going to help us understand Demographic Trends and the expectations of Generation Z that you must consider, Cost-Effective Technology Solutions that you can apply to your rental business, Social Media Marketing, Navigating the Friction Points in Leasing & Marketing, and her projections of what changes we should expect in the coming years.
Linda shares a lot of great knowledge and experience in this episode. You can get in touch with her by email, phone or website:
Hiring Contractors, handling Maintenance issues and dealing with City Inspections are a reality of owning residential rental property. The level of efficiency and quality employed in handling these issues can either add huge value or create huge problems for your investment properties. It can be helpful to understand the best practices employed by the professionals in our industry to make sure we're following the rules and not wasting money.
That's why today's conversation is a must listen for anyone who owns or is thinking of owning Rental Property. We are going to break down the process of taking proper care of your investment property. We're going to discuss the logistics of scheduling repairs with your tenants, managing expectations of owners and residents, finding and hiring the best vendors and contractors, and handling city inspections.
Having this conversation with me today are two experts in their field: Amanda Szabo is a general manager at LeaseGR, a West Michigan Property Management Company that has been in business for over 15 years. Tom Harrold is the manager of Rental Property Maintenance (RPM), a West Michigan company that handles maintenance, repairs, and rehabs for landlords and property managers in the Grand Rapids area.
This is a great nuts & bolts episode for understanding the best ways to take care of your rental property investments. You can reach Amanda and Tom in the following ways:
Amanda Szabo, General Manager at LeaseGR
Tom Harrold, Manager @ Rental Property Maintenance (RPM)
Joseph Gozlan is a Multifamily Investment Specialist with a portfolio of over 500 units in strong secondary markets in Texas. He's also a former lieutenant in the Israeli Defense Force and has over 17 years of leadership experiences in the software industry, which helped him sharpen his business and analytical skills as well as his "big picture" perspective.
Joseph is also a fascinating guy with a lot of great real estate wisdom to share. In today's conversation Joseph takes us through his thought process comparing multifamily investing to other types of investing, and how this helped him go from zero to 500 units in less than three years.
We also discuss the massive generational shift in demographics that is having an enormous impact on rental housing, Joseph's three rules of investing that will see him through good and bad economic cycles, and how he's in the process of changing out his management team.
Joseph also makes it clear that Multifamily investing is not as easy as some might say. It takes a lot of work and perseverance, and Joseph discusses the many challenges that he's had to face.
I know you're going to enjoy this highly enlightening conversation. Joseph is also a broker and uses his 360 degree perspective of multifamily investing and ownership to help his buyers and sellers. You can learn more about Joseph through his brokerage website and his acquisition website:
Last year we saw the passage of the Trump Administration's Tax Cuts and Jobs Act which created opportunities for investors and small business owners to lower the amount of taxes owed. However, there were still some outstanding questions that needed to be answered.
Luckily we have Duane Culver back on the show today to shed some light on those lingering questions and how they apply to your 2018 tax preparation. Duane is a CPA and President of Culver CPA Group. Today he'll give us the low-down on the following topics:
Qualified Business Income Deduction (QBID) and how it relates to your rental income.
Do you still have to pay the Affordable Care Act Health Insurance Penalty?
Reminder on the larger Standard Deduction you're able to take.
Change in how you can deduct charitable contributions.
What you need to know about Opportunity Zones.
If you're about to sit down & do your own taxes, or you have a professional prepare them, it pays to learn as much as possible about tax rules & how they apply to real estate investing. The more you understand, the more you'll be able to use tax law to your advantage, avoid mistakes, and prevent IRS audits. You can also go back and listen to last years tax conversation with Duane, Ep#112, where we discuss the Tax Cuts and Jobs Act in more detail.
Duane can be contacted by email, his website, or phone:
Enjoy the show, and please take a moment to go to itunes to subscribe, rate & review.
My guest today started investing in Real Estate by buying and selling over 100 single family homes before transitioning into multifamily. Within 3 years he went from owning zero to 300 units across the country!
Sterling White is an investor and business owner on a mission to make the world a better place through principled and efficient real estate investment. He's also helped other investors raise money for their deals and attract private money through a software platform he co-developed called "Syndication Pro".
Today Sterling and I discuss how he was able to grow his portfolio so quickly, and the differences he sees between fixing & flipping and owning multifamily. Sterling also has some great stories on the methods he uses to build rapport with sellers and investors, and how a 'thank-you' card helped him beat out multiple higher offers.
Sterling will also share why he avoids brokers and prefers to find off-market deals. We'll also talk about syndication and why he helped design and build an on-line investor portal to make the process more efficient and profitable.
Sterling shares a lot of great knowledge in this conversation that will be helpful to anyone looking to find off-market deals or raise money from investors. You can contact Sterling through email or his website: