Episodes

One asset class for passive investors that often gets overlooked is Short-Term Rentals. Like in other asset classes, there are companies that will manage the whole process starting with identifying the properties and managing them from start to scratch. You can get monthly cash flow with properties in great vacation destination markets with a lot of appreciation. Leslie Anne Morris, The Cabin Lady, is the owner of Josh’s Cabins, a company that finds properties for out-of-state investors, and han...

By controlling all the construction and property management processes, you can successfully operate Multifamily properties, as long as you don’t overpay for the properties and you know how to manage expenses. Matthew Shields, Founder and CEO of Significan, has been buying and operating Multifamily properties mostly in Northeast Ohio and Atlanta since 2017, and generating excellent returns. Matt is a serial entrepreneur who also owns other companies including Virtus Ventures, a software company t...

Passive investing can generate cash flow, appreciation, and tax benefits through depreciation. By investing with others, you don’t have to spend time managing properties which may not even cash flow. They key is finding operators with the right experience and skills to make sure your investment is secure. Whitney Elkins Huttten, Director of Investor Education at Passiveinvesting.com, is a partner in $700M+ of real estate including over 5000+ residential units (Multifamily, Mobile Home Parks, Sin...

If you want to invest in Real Estate but don’t want to be a hands-on operator, a great way to participate is through hard money lending. When you invest with the right company, it’s a conservative investment that provides high yield, consistent passive income with better liquidity than hard assets. Brock VandenBerg, President of Talimar Financial, started out lending his own money to house flippers before raising money from other investors. He now has a fund that lends mostly on single family ho...

40% of floating rate Multifamily projects acquired over the past few years will not be able to get refinanced. This will cause distress for operators and opportunities for acquirers. Additionally, increased insurance costs, especially for older properties, and increased property taxes are further burdening properties’ net operating incomes. As a result of these challenges, experience and the ability to flawlessly execute on business plans has become of paramount importance over the last year as ...

As the cost of capital has increased dramatically, and generating yield has gotten more challenging, institutional investors are increasingly looking for specialized niches within sectors to invest in. Outside Storage, Cold Storage, Senior Living, and Affordable Housing are just a few examples of burgeoning niches. Institutions also prefer vertical integration and invest heavily in underwriting the managers of assets to reduce risk. Deborah Smith, Co-Founder and CEO of The CenterCap Group, provi...

When it comes to investing, there are always risks. Despite countless resources on how to vet operators and deals, the most important decision you’ll make is who you invest with. Proformas and projections are at best, educated guesses, and things rarely go according to plan, so the differentiator is the operator. The best operators have moral fiber, and as important, successful track records, competence, and an ability to adapt to changing circumstances on the ground. Litan Yahav, an experienced...

Increasingly, Real Estate investors on the coasts are deploying money into the Midwest. Not only are these markets less expensive, but many of them are thriving like never before, and are less volatile. Markets like Columbus, Indianapolis, Kansas City and several others are seeing massive job and population growth. People are leaving the coasts and moving to these markets for a higher quality of life. Lee Ripma, a multifamily broker and investor, started investing in Kansas City and moved during...

Nothing has caused more heartache and stress in Real Estate than too much debt. Leverage can work great in upmarkets, but it can cut the other way in a downturn. Joel Friedland, Principal of BRIT properties, has been buying infill industrial properties with all cash since learning the hard way during the 2008-09 financial crises. Joel and his investors are seeking very conservative investments with the number one goal of capital preservation. He buys highly sought-after properties that result in...

Nothing ensures success more than focusing on what you love and what you’re truly good at. Real Estate is a multi-trillion-dollar industry with many avenues to pursue, but you’ll thrive the most by identifying your strengths, and as important, your weaknesses. Logan Freeman, Co-founder of FTW Investments, made some costly mistakes early on, but now specializes in select asset classes and markets in the Midwest within driving distance of Kansas City. Logan is now sticking with what he understands...

Over the past several years, most operators in Real Estate did incredibly well, often regardless of experience. The rising tide lifted all boats. Today, more experience and skill will be required to acquire properties at the right price and operate them successfully. Having an established network of local brokers, local lending sources, and vendor contacts are becoming more critical in a market with far less margin for error. Specific asset class and market focus will also be paramount. Josh Fer...

In commercial Real Estate, most asset classes are already saturated with competition. It’s difficult to identify opportunities that are still relatively undiscovered and provide great cash flow at the same time. An exception to this is RV Parks. Over 10,000,000 families in the U.S. own RVs and they’re hitting the road in greater numbers than ever before. As a result, many RV parks are operating at full capacity and raising their Average Daily Rates. There are over ten thousand RV parks in the co...

One asset class that performs well in any economy is self-storage. When people are downsizing, they need self-storage. When they’re moving, changing relationship status, or running out of space for any reason, they need self-storage. Self-Storage is also great because rents are typically month-to-month, so you can raise rents with relative ease and not a lot of resistance from tenants. Charles Kao is an expert in self-storage development and operations who consults with investors all over the co...

Finding strong cash flowing properties has become increasingly difficult over the past several years as the amount of money chasing Real Estate has risen dramatically. Most properties typically require a value-add business plan which can take months, if not years, to complete before generating cashflow. In-place cash flow, however, is a rarity. One exception is government-sponsored Section 8 homes, or smaller, 1–4-unit apartments. These properties cash flow right out of the gate. Mat Simmons, Ma...

The market for multifamily right now is seeing severe headwinds. Escalating insurance costs, rising property taxes, and rising interest rates are just a few. As such, sponsors need to deploy special deftness and adaptability to survive over the next couple years. On the transaction side, sales volume has fallen 70% from last year as the buyer-seller bid/ask delta still remains high. Even though there are danger signs, distress has not yet been ubiquitous and sellers and buyers still have a wide ...

Investing in older, infill markets that are poised for repositioning and growth can be a recipe for huge appreciation. Over the past decade, several cities in Northern New Jersey with easy access to transportation have seen explosive growth in values. Gentrification has led to changes that have made these areas desirable to live in for upscale demographics. Aaron Fragnito, Co-founder of People’s Capital Group, is an apartment syndicator who invests in smaller apartment buildings in Northern N...

One of the oldest, tried-and-true ways to make money in Real Estate is to flip houses. Although not easy, it can be started with almost no money, just a lot of effort. Most people fail at it, but some do well, a select few make millions. If you don’t have capital, there are hard money lending companies and private individuals who will lend you all the money you need to buy and rehab a house. When it comes to finding the right house to buy, you can buy from a wholesaler who buys the home directly...

When you operate in the market where you live, it reduces a tremendous amount of risk. It takes years to develop relationships and the historical perspective to have a block-by-block familiarity that stacks the deck in your favor. This intimate knowledge enables you to more easily find deals across asset types and identify great local partners to ensure success. Tyler Cauble, Founder of the Cauble Group, a boutique commercial brokerage firm in Nashville, has also done various development project...

There tends to be a prevailing focus on markets with growing population and job growth as the places to invest. While this makes obvious sense, these markets are much harder to identify discounted opportunities and often promise lower returns. That’s why smaller, older markets with less competition sometimes offer better returns, especially when you have an operator that specializes in the market. Axel Ragnarsson, Founder of Aligned Real Estate Partners, owns 200 units in Southern New Hampshire ...

Warren Buffet and Charlie Munger invest on the basis of value, not the economy. Good investing, versus speculating, should be boring, like watching paint dry. You want to protect your capital and get appreciation as a bonus. Chasing unrealistically high returns can cost a lot of money and create a lot of pain. Paul Moore, Managing Partner of Wellings Capital, has an impressive track record in investing in conservative asset classes and assets that are resilient, recession resistant, and stand th...

In the past several years, it got increasingly difficult to find the right deals in Real Estate, especially Multifamily. People were just paying too much across the board. In the past several months, however, the market has turned significantly with far less competition and many more distressed sellers, especially with C class properties. Amy Rubenstein, CEO of Clear Investment Group, has an incredible track record acquiring distressed C class properties 300+ units in secondary and tertiary mark...

As an entrepreneur, it often takes a lot of attempts at different things before you find your niche and path to riches. Some key characteristics of many entrepreneurs are the ability to learn from mistakes and the fortitude to bounce back from failures that sometimes cost a lot of money. Peter Vekselman, Real Estate investor and Coach, has done several different things including being a top Amway performer in his early years before getting into Real Estate. Peter shares his story including his c...

Even though you can buy and operate properties on your own, it can be time consuming and a hassle. Partnering with syndicators in larger deals, however, can generate better returns without the headaches and stresses of managing property. There are quality syndicators that have years of experience in specialized asset classes and markets, and a track record of generating consistently high investor returns. Joe Giuliacci, a Passive Entrepreneurial Investor, has invested in 35 passive deals over th...

Most new businesses fail within their first five years. That’s why, if you’re considering going into business, investing in a franchise can be the best way to go. Investing in a successful franchise mitigates a lot of risk by aligning yourself with a proven concept and a leadership team that teaches you the operational components of the business and how to become successful. Kim Daly, a franchise consultant with Franchoice, is one of America’s top franchise consultants. Kim matches people with v...