
This is software (AWS) generated transcription and it is not perfect.
and and it's always I always love this question because it kind of goes back to my why, you know, everyone has toe have something that that drives him. I think for me it was two. It was two things and I can, you know, from a long as I can remember, I really I really enjoy helping others. Andi, that's a quality You either have or you don't have. I don't know that you can. You could kind of fake it, I guess. But if if you are empathic and you, like, just like to, you know that that feeling it is actually a kind of a selfish thing because you're helping others because it kind of makes you feel good, but it's okay. They're getting something out of it, right? So for me, it's it's a win win, but so that that was one of the things because, you know, initially, when I when I joined the I was going through school and I was trying to figure out what I wanted to do, but the first thing I needed was money for college. I'll start there on DSO. So I joined the National Guard so I could get the g I. Bill and I found out that I really like to serve, you know? And so when I When I when I going back and I finished my degree, I actually got got a commission in the military because something that I thought was just a pathway toe another career ended up being the thing that I wanted at least at least a to that point in time. And so I did 28 years in the military, so and but, you know, and we'll talk about this some more. But, you know, you gotta have something's got to drive you. I mean, to do something for that long and to be successful. Life is life can be short. And so you've got to find those things that you like, and so that that's one thing the other thing is on. This is more related to my current businesses. I always I was the kid that that grew up playing monopoly, and that was the favorite game. You know, it just and from it from a small as I can remember. I remember, you know, that I wanted to play that, you know, I like the whole theory of the process behind you know, you buy it, you land on the property, you start renting it, and then you start improving the property. And when you look at what I do now, it's pretty much it's very similar to that. Obviously, there's a lot of things that go into it. But it is that process to get you to tow, build wealth, generational wealth, Which is kind of what I what I like. So I think hopefully that answer the question, okay?
acquiring single family homes, and I would rent him primarily on Bond. One of the things that I found out is, and I was doing this while I was working in the military wherever time permitted. And one of the things that that I realized is that it's a lot of work, you know, it's it's it's not difficult right there. There's a process, like a lot of things. You work, you refine your process and you finally figure out how to do it. But when you look at all the people that are out there, the barrier to entry is nil. You know, people can. You know, obviously you have to have some income, but it's it's not completely, you know, something that that requires any kind of degree or anything like that. It's basically you gotta have a little money on depending on the program, maybe not even a down payment, depending on when you do it. And so but but the process of finding properties that will cash flow because what you don't want to do is you want to buy an asset that's gonna get, you know, give you cash flow, give you some money, you don't wanna buy a liability, which takes money from you every every month. And so So when you start going through that process, you refine it and then you find out there's just not that many properties that fit that criteria. And then when you do find one, you go through this piece. You know, this this this process and it's a lot of work. And then you may get 203 100 bucks a month, and it's like, Well, wait a minute, I wanna make this like a career. I got to do a little bit better than 300,000 won a month. Inflation is after that right there and so so that that was kind of what one of the things that I was getting towards the tail end of my military career that I realized, OK, if I want to do this and I really want to pursue this other passion in my life, then I gotta figure out how to make it work financially. And so I scaled up like a lot of people do from single family into multifamily acquisitions, and the scale allows you to go through that process. Similar process but its scale allows you to get a lot more cash flow, so there's just a lot of, ah, lot more bang for the buck.
When you talk about my line of work, you gotta understand that it's there's two pieces to it, One is acquiring the properties. You have to go through some due diligence and you have to find the property. But the other thing is, and the beauty of this is you can use other people's capital to acquire these properties and and everyone gains from it. These are equity acquisitions. And so the the the difficulty, at least initially, is okay, How do I get people to give me their money? You know, you know, because I mean, you're offering them something they're gonna have, You know, they're gonna have basically equity in that property in that asset. But they still got to trust you with their money. And so at first it was it was friends and family on colleagues on DSO, you know, and even them when I was actually working in the military and they know I was busy. It's busy, busy kind of work. They're like, Well, how you gonna do this? You know, giving my money. But you may get deployed and you may, you know, it's like So it was It was It was about building trust or having trust one. And using that that network that you already had and then explaining to them are demonstrating more than anything that now I'm committed to this. And I have full time, you know, full time available to make, to secure their money and to make make them wealthy is yeah. And so, as as things progressed, you know, So you start getting word of mouth referrals people when they when they first start getting those returns, they get those quarter dividends. They don't have toe worry about, you know, working with the landlord. They don't they don't get calls about, you know? Hey, my, you know, my toilets clogged whatever. They it doesn't happen because if you have another layer called an asset manager, that is their toe handle everything that the property manager needs assistance with. And you as a passive investor, just you just receive your checks and yeah, you can you can keep you could be as involved as you want. But the whole point is your passive. You know, that's the point of this, right? And so I think that the trust factor and just time doing it is valuable and it's helpful. Onda. Certainly. What channels? And you talked about channels? I Everything drives back to my ability to connect with people. And so how do I do that s o social media. Uh, and then each social media has a different algorithm and, you know, So you have to kind of figure out what works with within those you know. So I use facebook. I'll use instagram. I use LinkedIn as as my three primary. I do have Twitter, and each one is different. You know, the message has to be different based on their their protocols and what they allow. But at the end of the day, what I wanna do is grab your attention based off of a pain point or something as their scrolling through. And I go okay, especially on the social media site on. And then they go to my website because I published the block and they want to read the information that maybe they have single families and they're tired of dealing with, you know, with issues that come with that. And so get him over to the website, getting to sign up and have a conversation with me and having that conversation with me, then will then allow me to explain to them the value proposition on LinkedIn. It's a little bit different because Lincoln is multiple sites. So the best way to sort of connect on that channel is to provide value. Uh, you know, So you, you know, instead of looking for post a t east initially, you wanna figure out who else is in your sphere of what you're trying to do and add value to their conversations to their posts, and eventually that kind of creates your own little network and people start kind of following you, and you can then continue to add value, and you could actually initiate that value. But at first, you you gotta you gotta create that trust and and and and And that that lengthen tribe, if you will, that that that's gonna follow what you have to say, based on what you've already providedthe business. And then there is the sourcing of the properties finding the properties. And what I like about this, which is very similar to my my time in the military, is it takes a team to do this. This is not a one person operation you're not gonna like. You could with the house, you have to have a team. So what I did, and it kind of goes into, you know, into some other potential issue Are things we want to talk about is I figured out who was good at finding properties. I mean, you know, I didn't go into this business, and it was something I started from scratch. There were people. There have been people buying properties and acquiring multi family. And so So I looked around and said, Okay. Based on where I think there is, uh, there is value in acquiring properties based on that market. Uh, you know who is here? And so I started connecting with them. I started connecting them, you know, going to conferences. This is before covert. You'd actually go and go places and have those events, the networking events, Andi, Even now, just on zoom calls or whatever. So finding those people that are in the market marketplace connecting with them and and offering what you you know, offering what you have to give them, whether that's knowledge, whether that's time, whether, you know, there's a variety of things, whether it's money. In my case, I basically said, Hey, I want to do this. I wanna, you know, work with you And here you already have a network. You already talking to brokers, Brokers is kind of the primary method to get multi family properties. You know, once they go on what we call Lieutenant in other places, it's probably not a good deal, at least initially. But you know, so you, you know, in a single family space they call it pocket listings because it's it's the ones that really never make it to the market because they're too good. And so somebody gets them before they get, they get to everyone else. And so I started work figuring out who was getting the deals, and I started saying, Look, I can help you with these deals praying together Now the SEC does have some regulations that are important, and you have to follow as as somebody who's doing these type of deals. We can't. Absolutely. We can't market the deals per se. This is what we call a 506 be offering on DSO. That means that I can't just blast on my website or on Facebook. Hey, we have this property for sale. Here's how much money you're gonna make. And so it's all about getting them on the phone, getting them connected, giving them qualified as either a sophisticated investor or an accredited investor and then providing them that opportunity. Uh, there are other ways to structure these where you can just blast out an email. But honestly, if people don't know you, you know, they're not gonna They're not gonna They're not gonna go with you anyway, correct.