The Phenomenal Power of Leverage That Built a 400-Unit Empire in Four Years with Andrew Freed

[0:00] Welcome to the REI Agent, a holistic Welcome to the REI Agent, a holistic Welcome to the REI Agent, a holistic approach to life through real estate. approach to life through real estate. approach to life through real estate. I’m Matias, an agent and investor, I’m Matias, an agent and investor, I’m Matias, an agent and investor, and I’m Erica, a licensed therapist. and I’m Erica, a licensed therapist. and I’m Erica, a licensed therapist. Join us as we interview guests that also Join us as we interview guests that also Join us as we interview guests that also strive to live bold and fulfilled lives strive to live bold and fulfilled lives strive to live bold and fulfilled lives through business and real estate through business and real estate through business and real estate investing.

[0:14] investing. investing. Tune in every week for interviews with Tune in every week for interviews with Tune in every week for interviews with real estate agents and investors. real estate agents and investors. real estate agents and investors. Ready to level up? Ready to level up? Ready to level up? Let’s do it. Welcome back to the REI Agent. Uh it is Welcome back to the REI Agent. Uh it is Welcome back to the REI Agent. Uh it is your friendly host, Matias here. Uh your friendly host, Matias here. Uh your friendly host, Matias here. Uh Erica is currently uh doing I think swim Erica is currently uh doing I think swim Erica is currently uh doing I think swim lessons. Uh so we we’re we are not able lessons. Uh so we we’re we are not able lessons. Uh so we we’re we are not able to have Erica um on the show uh today.

[0:39] to have Erica um on the show uh today. to have Erica um on the show uh today. But uh we had a great guest Andrew Freed But uh we had a great guest Andrew Freed But uh we had a great guest Andrew Freed um and I you definitely pay attention to um and I you definitely pay attention to um and I you definitely pay attention to this one. It’s great for uh people that this one. It’s great for uh people that this one. It’s great for uh people that are looking to grow businesses to scale are looking to grow businesses to scale are looking to grow businesses to scale um or people that are just wanting to um or people that are just wanting to um or people that are just wanting to kind of understand more about how they kind of understand more about how they kind of understand more about how they can uh you know invest in in passive can uh you know invest in in passive can uh you know invest in in passive ways uh or you know if they want to ways uh or you know if they want to ways uh or you know if they want to learn how to get into like bigger things learn how to get into like bigger things learn how to get into like bigger things like commercial deals and multif family.

[1:03] like commercial deals and multif family. like commercial deals and multif family. Uh I think in thinking about the what we Uh I think in thinking about the what we Uh I think in thinking about the what we discussed uh there’s the the word discussed uh there’s the the word discussed uh there’s the the word leverage really comes to mind and I leverage really comes to mind and I leverage really comes to mind and I think that’s kind of a underlying theme think that’s kind of a underlying theme think that’s kind of a underlying theme throughout this episode. I just want to throughout this episode. I just want to throughout this episode. I just want to talk about that a little bit before we talk about that a little bit before we talk about that a little bit before we have Andrew come on. Um, but leverage is have Andrew come on. Um, but leverage is have Andrew come on. Um, but leverage is just something that is, you know, people just something that is, you know, people just something that is, you know, people often think about leverage as as, you often think about leverage as as, you often think about leverage as as, you know, debt, uh, mortgages, which is is

[1:26] know, debt, uh, mortgages, which is is know, debt, uh, mortgages, which is is definitely a form of leverage, but, you definitely a form of leverage, but, you definitely a form of leverage, but, you know, there’s leveraging your time, know, there’s leveraging your time, know, there’s leveraging your time, leveraging people, um, are all ways of leveraging people, um, are all ways of leveraging people, um, are all ways of really growing to something much larger really growing to something much larger really growing to something much larger than just yourself. I think the vast than just yourself. I think the vast than just yourself. I think the vast majority of people are being leveraged majority of people are being leveraged majority of people are being leveraged um when they are employees uh when um when they are employees uh when um when they are employees uh when they’re working for other people, their they’re working for other people, their they’re working for other people, their time is being leveraged uh for somebody time is being leveraged uh for somebody time is being leveraged uh for somebody else’s gain. Like if you’re in a

[1:50] else’s gain. Like if you’re in a else’s gain. Like if you’re in a company, you’re building somebody else’s company, you’re building somebody else’s company, you’re building somebody else’s empire. Um I mean that’s not that’s kind empire. Um I mean that’s not that’s kind empire. Um I mean that’s not that’s kind of a blanket statement. That’s not 100% of a blanket statement. That’s not 100% of a blanket statement. That’s not 100% always true. Uh there’s different ways always true. Uh there’s different ways always true. Uh there’s different ways that obviously employment is structured, that obviously employment is structured, that obviously employment is structured, etc. And if you’re you know in a in a etc. And if you’re you know in a in a etc. And if you’re you know in a in a field like uh teaching or something like field like uh teaching or something like field like uh teaching or something like that that you might feel that your that that you might feel that your that that you might feel that your service that you’re doing the the work service that you’re doing the the work service that you’re doing the the work you’re doing is is very important and uh

[2:12] you’re doing is is very important and uh you’re doing is is very important and uh bigger than you know just what kind of bigger than you know just what kind of bigger than you know just what kind of money you’re earning etc. And I’m not money you’re earning etc. And I’m not money you’re earning etc. And I’m not dissing that stuff at all, but if you dissing that stuff at all, but if you dissing that stuff at all, but if you are a person that uh it wants to kind of are a person that uh it wants to kind of are a person that uh it wants to kind of be um freed, Andrew Freed, he made that be um freed, Andrew Freed, he made that be um freed, Andrew Freed, he made that joke earlier. Um if you are wanting to joke earlier. Um if you are wanting to joke earlier. Um if you are wanting to kind of pursue your own things and and kind of pursue your own things and and kind of pursue your own things and and be your own boss and kind of live your be your own boss and kind of live your be your own boss and kind of live your own life and and build uh your own own life and and build uh your own own life and and build uh your own empire, your own whatever, you know,

[2:38] empire, your own whatever, you know, empire, your own whatever, you know, leverage is just such an important leverage is just such an important leverage is just such an important piece. Uh and he gets into this uh a piece. Uh and he gets into this uh a piece. Uh and he gets into this uh a good amount. He he grew uh very fast. uh good amount. He he grew uh very fast. uh good amount. He he grew uh very fast. uh his his kind of company and and what he his his kind of company and and what he his his kind of company and and what he did and it’s it’s an impressive and he’s did and it’s it’s an impressive and he’s did and it’s it’s an impressive and he’s and he attributes it all to leverage. So and he attributes it all to leverage. So and he attributes it all to leverage. So I mean we talked about leveraging uh I mean we talked about leveraging uh I mean we talked about leveraging uh with debt and you know how what how that with debt and you know how what how that with debt and you know how what how that can really make a huge difference in in can really make a huge difference in in can really make a huge difference in in your net worth your your portfolio. Um

[3:03] your net worth your your portfolio. Um your net worth your your portfolio. Um and you know he explains it really well and you know he explains it really well and you know he explains it really well in this podcast. Uh but if you know if in this podcast. Uh but if you know if in this podcast. Uh but if you know if you’re if you own a ton of different you’re if you own a ton of different you’re if you own a ton of different properties um you know you wouldn’t be properties um you know you wouldn’t be properties um you know you wouldn’t be able to do that if you just paid cash. able to do that if you just paid cash. able to do that if you just paid cash. Um if they increase in value that you Um if they increase in value that you Um if they increase in value that you know substantially increases uh your net know substantially increases uh your net know substantially increases uh your net worth. Um or you know paying down the worth. Um or you know paying down the worth. Um or you know paying down the debt. If your tenants are paying down debt. If your tenants are paying down debt. If your tenants are paying down the debt that increases your net worth.

[3:27] the debt that increases your net worth. the debt that increases your net worth. Uh you know you could do rent increases. Uh you know you could do rent increases. Uh you know you could do rent increases. All that stuff just uh really builds. All that stuff just uh really builds. All that stuff just uh really builds. And then you know leveraging other And then you know leveraging other And then you know leveraging other people like if there are things we you people like if there are things we you people like if there are things we you know he talked about this and I talk know he talked about this and I talk know he talked about this and I talk about it a lot too but you know if you about it a lot too but you know if you about it a lot too but you know if you really focus in on your strengths as really focus in on your strengths as really focus in on your strengths as opposed to just trying to like grit opposed to just trying to like grit opposed to just trying to like grit through the things like if you just feel through the things like if you just feel through the things like if you just feel like you’re not disciplined cuz you

[3:46] like you’re not disciplined cuz you like you’re not disciplined cuz you don’t enjoy doing something um and that don’t enjoy doing something um and that don’t enjoy doing something um and that you should be better. You might compare you should be better. You might compare you should be better. You might compare yourself to other people that are you yourself to other people that are you yourself to other people that are you know great at answering emails. This is know great at answering emails. This is know great at answering emails. This is a personal thing here like I hate a personal thing here like I hate a personal thing here like I hate emails. I hate emails so much and I hate emails. I hate emails so much and I hate emails. I hate emails so much and I hate uh all the correspondence that happens.

[4:01] uh all the correspondence that happens. uh all the correspondence that happens. Um and and so you know focus on getting Um and and so you know focus on getting Um and and so you know focus on getting that off your plate, getting that to that off your plate, getting that to that off your plate, getting that to somebody who does really well with that. somebody who does really well with that. somebody who does really well with that. Um and if you do that’s going to you Um and if you do that’s going to you Um and if you do that’s going to you know get you to a place where you are know get you to a place where you are know get you to a place where you are able to focus on the things that move able to focus on the things that move able to focus on the things that move the needle further faster. Um so yeah the needle further faster. Um so yeah the needle further faster. Um so yeah leverage is a theme today. Um and I leverage is a theme today. Um and I leverage is a theme today. Um and I think it’s it’s a huge huge opportunity.

[4:23] think it’s it’s a huge huge opportunity. think it’s it’s a huge huge opportunity. uh and if if you focus on how you can uh and if if you focus on how you can uh and if if you focus on how you can leverage people, leverage money, uh it leverage people, leverage money, uh it leverage people, leverage money, uh it it’s going to, you know, take you a lot it’s going to, you know, take you a lot it’s going to, you know, take you a lot further than if you are just being further than if you are just being further than if you are just being leveraged. So, without further ado, leveraged. So, without further ado, leveraged. So, without further ado, let’s get right into the show. It’s a let’s get right into the show. It’s a let’s get right into the show. It’s a great one. Uh Andrew Freed, welcome back to the REI Agent. I’m here welcome back to the REI Agent. I’m here welcome back to the REI Agent. I’m here with Andrew Freed. Andrew, thanks so with Andrew Freed. Andrew, thanks so with Andrew Freed. Andrew, thanks so much for joining us today.

[4:46] much for joining us today. much for joining us today. I am I am ecstatic to be here. Thank you I am I am ecstatic to be here. Thank you I am I am ecstatic to be here. Thank you for having me. Andrew, you um we were for having me. Andrew, you um we were for having me. Andrew, you um we were talking a little bit before the show, talking a little bit before the show, talking a little bit before the show, but you are a perfect fit for this uh but you are a perfect fit for this uh but you are a perfect fit for this uh this show. You have experience in all this show. You have experience in all this show. You have experience in all the right places. Um you are primarily the right places. Um you are primarily the right places. Um you are primarily into the uh commercial or like the into the uh commercial or like the into the uh commercial or like the multif family investing space, but you multif family investing space, but you multif family investing space, but you also have a team of agents. Um but to also have a team of agents. Um but to also have a team of agents. Um but to let’s just start back from square one.

[5:10] let’s just start back from square one. let’s just start back from square one. How did you get into real estate How did you get into real estate How did you get into real estate investing or just real estate in investing or just real estate in investing or just real estate in general? general? general? So you really bring me back to my So you really bring me back to my So you really bring me back to my childhood where I was under the childhood where I was under the childhood where I was under the impression that you know getting the impression that you know getting the impression that you know getting the American dream was the was the path American dream was the was the path American dream was the was the path towards financial freedom like getting a towards financial freedom like getting a towards financial freedom like getting a good education getting a nice six figure good education getting a nice six figure good education getting a nice six figure job getting a master’s uh getting a job getting a master’s uh getting a job getting a master’s uh getting a masters working at a prestigious

[5:32] masters working at a prestigious masters working at a prestigious organization get a nice swanky condo in organization get a nice swanky condo in organization get a nice swanky condo in a city like I did all that through my a city like I did all that through my a city like I did all that through my 20s um you know I I eventually I was a 20s um you know I I eventually I was a 20s um you know I I eventually I was a grant manager I worked at the broad grant manager I worked at the broad grant manager I worked at the broad institute of MIT in Harvard as a project institute of MIT in Harvard as a project institute of MIT in Harvard as a project manager like I did the recipe to reach manager like I did the recipe to reach manager like I did the recipe to reach financial independence. But, you know, financial independence. But, you know, financial independence. But, you know, come around at the end of the day, yeah, come around at the end of the day, yeah, come around at the end of the day, yeah, I was mean I was I mean, I was making I was mean I was I mean, I was making I was mean I was I mean, I was making good money, but I still only had maybe 6

[5:53] good money, but I still only had maybe 6 good money, but I still only had maybe 6 12 months of reserves and I had to go 12 months of reserves and I had to go 12 months of reserves and I had to go crawling back to that job. And that crawling back to that job. And that crawling back to that job. And that really scared the living hell out of me really scared the living hell out of me really scared the living hell out of me to be frank. And at that point, I really to be frank. And at that point, I really to be frank. And at that point, I really decided that, you know, is this the life decided that, you know, is this the life decided that, you know, is this the life I want to live? I ended up reading Rich I want to live? I ended up reading Rich I want to live? I ended up reading Rich Dad Poor Dad. It really kind of I ate Dad Poor Dad. It really kind of I ate Dad Poor Dad. It really kind of I ate the purple pill. It opened my eyes to the purple pill. It opened my eyes to the purple pill. It opened my eyes to the fact that like I was doing the fact that like I was doing the fact that like I was doing everything wrong my entire life from a

[6:12] everything wrong my entire life from a everything wrong my entire life from a financial perspective. You know, financial perspective. You know, financial perspective. You know, everybody’s telling you to go left and everybody’s telling you to go left and everybody’s telling you to go left and the right direction’s right. Um, and I the right direction’s right. Um, and I the right direction’s right. Um, and I realized that when I read this book and realized that when I read this book and realized that when I read this book and you know and the answer to that you know and the answer to that you know and the answer to that question, did I want the status quo to question, did I want the status quo to question, did I want the status quo to continue? The absolute answer was no.

[6:25] continue? The absolute answer was no. continue? The absolute answer was no. You know, every time I came from home You know, every time I came from home You know, every time I came from home from work, I I escaped to vices. I from work, I I escaped to vices. I from work, I I escaped to vices. I escaped to anything I could to take my escaped to anything I could to take my escaped to anything I could to take my mind off the fact that I wasn’t really mind off the fact that I wasn’t really mind off the fact that I wasn’t really going after the dream life that I wanted going after the dream life that I wanted going after the dream life that I wanted to live. So, at that point, I really to live. So, at that point, I really to live. So, at that point, I really decided to go all into real estate. I decided to go all into real estate. I decided to go all into real estate. I helocked my one-bedroom conduit for in helocked my one-bedroom conduit for in helocked my one-bedroom conduit for in Boston for $200,000, which was 80% of my Boston for $200,000, which was 80% of my Boston for $200,000, which was 80% of my net worth at that time. And then I

[6:47] net worth at that time. And then I net worth at that time. And then I started house hacking multifamily in started house hacking multifamily in started house hacking multifamily in Western Massachusetts, which is the Western Massachusetts, which is the Western Massachusetts, which is the second largest city of Massachusetts. second largest city of Massachusetts. second largest city of Massachusetts. And for your viewers, house hacking is And for your viewers, house hacking is And for your viewers, house hacking is when you get into a multifamily when you get into a multifamily when you get into a multifamily property, preferably a three or four property, preferably a three or four property, preferably a three or four unit with a low owner occupied loan.

[7:00] unit with a low owner occupied loan. unit with a low owner occupied loan. We’re talking FHA 3 and a half% down. We’re talking FHA 3 and a half% down. We’re talking FHA 3 and a half% down. We’re talking a 5% down conventional. So We’re talking a 5% down conventional. So We’re talking a 5% down conventional. So that’s what I did. I house hacked the that’s what I did. I house hacked the that’s what I did. I house hacked the property. End up buying the property property. End up buying the property property. End up buying the property across my neighbor all with that heliloc across my neighbor all with that heliloc across my neighbor all with that heliloc money. I went into a syndication as a money. I went into a syndication as a money. I went into a syndication as a limited partner with that heliloc money.

[7:15] limited partner with that heliloc money. limited partner with that heliloc money. And a syndication is when you buy a And a syndication is when you buy a And a syndication is when you buy a larger property. You know, you fund larger property. You know, you fund larger property. You know, you fund money from investors, the GPS, the money from investors, the GPS, the money from investors, the GPS, the people putting the deal together, get people putting the deal together, get people putting the deal together, get upside, but more or less I recycled all upside, but more or less I recycled all upside, but more or less I recycled all of that money um into about 30 units. of that money um into about 30 units.

[7:26] of that money um into about 30 units. And then I ran out of my own cash, but I And then I ran out of my own cash, but I And then I ran out of my own cash, but I had all of these amazing deals coming my had all of these amazing deals coming my had all of these amazing deals coming my way. So at that point I figured out how way. So at that point I figured out how way. So at that point I figured out how to raise money from investors, how to to raise money from investors, how to to raise money from investors, how to syndicate larger properties and in a syndicate larger properties and in a syndicate larger properties and in a matter of four years I started this matter of four years I started this matter of four years I started this during co I went from zero to 400 doors.

[7:41] during co I went from zero to 400 doors. during co I went from zero to 400 doors. Wow. Wow. There’s a lot to unpack right Wow. Wow. There’s a lot to unpack right Wow. Wow. There’s a lot to unpack right there. Um man, my goodness, that’s there. Um man, my goodness, that’s there. Um man, my goodness, that’s that’s that’s amazing. And I I like how that’s that’s amazing. And I I like how that’s that’s amazing. And I I like how um infinite it feels to do do play with um infinite it feels to do do play with um infinite it feels to do do play with uh with funds like like you know the the uh with funds like like you know the the uh with funds like like you know the the equity lines and stuff like that. Like equity lines and stuff like that. Like equity lines and stuff like that. Like I’ve done bunch of different things like I’ve done bunch of different things like I’ve done bunch of different things like that where it um you know you feel like that where it um you know you feel like that where it um you know you feel like you can retap into it. You can uh you you can retap into it. You can uh you

[8:05] you can retap into it. You can uh you know if you do like a cash out refinance know if you do like a cash out refinance know if you do like a cash out refinance that kind of stuff you you kind of like that kind of stuff you you kind of like that kind of stuff you you kind of like get all your your cash back. get all your your cash back. get all your your cash back. Um and it’s a great a great leverage Um and it’s a great a great leverage Um and it’s a great a great leverage tool for sure. And I think it’s you know tool for sure. And I think it’s you know tool for sure. And I think it’s you know you got to be smart about it. But you got to be smart about it. But you got to be smart about it. But um I’m surprised you got into a um I’m surprised you got into a um I’m surprised you got into a syndication uh that early like as far as syndication uh that early like as far as syndication uh that early like as far as an investor. kind of what what brought an investor. kind of what what brought an investor. kind of what what brought you into that that space and and um you you into that that space and and um you

[8:27] you into that that space and and um you know what what introduced it to you and know what what introduced it to you and know what what introduced it to you and what made you feel comfortable with it what made you feel comfortable with it what made you feel comfortable with it because that’s not usually people because that’s not usually people because that’s not usually people usually are as further on down the line. usually are as further on down the line. usually are as further on down the line. That’s that’s a fantastic question. So That’s that’s a fantastic question. So That’s that’s a fantastic question. So at that point, you know, I was reading at that point, you know, I was reading at that point, you know, I was reading everything I could about real estate everything I could about real estate everything I could about real estate investing. I probably read a 100 books investing. I probably read a 100 books investing. I probably read a 100 books at that point. I probably listen to six at that point. I probably listen to six at that point. I probably listen to six to 700 hours of Bigger Pockets podcast.

[8:46] to 700 hours of Bigger Pockets podcast. to 700 hours of Bigger Pockets podcast. So I was really just diving into all the So I was really just diving into all the So I was really just diving into all the asset classes and trying to figure out asset classes and trying to figure out asset classes and trying to figure out like what do I want to do? Do I do do I like what do I want to do? Do I do do I like what do I want to do? Do I do do I want to do a rent by the room model? Do want to do a rent by the room model? Do want to do a rent by the room model? Do I want to do multifamily? Do I want to I want to do multifamily? Do I want to I want to do multifamily? Do I want to do syndication where, you know, I give do syndication where, you know, I give do syndication where, you know, I give my money to somebody else and they’re my money to somebody else and they’re my money to somebody else and they’re and they invest on my behalf? Like, I and they invest on my behalf? Like, I and they invest on my behalf? Like, I didn’t know. Um, and in the process of didn’t know. Um, and in the process of didn’t know. Um, and in the process of exploring all of my real estate

[9:05] exploring all of my real estate exploring all of my real estate endeavors, I ran across somebody in my endeavors, I ran across somebody in my endeavors, I ran across somebody in my local market who owned hundreds of units local market who owned hundreds of units local market who owned hundreds of units and and was where I wanted to be five and and was where I wanted to be five and and was where I wanted to be five years from now. And I really wanted an years from now. And I really wanted an years from now. And I really wanted an excuse to leverage that person as a excuse to leverage that person as a excuse to leverage that person as a mentor. So they actually were mentor. So they actually were mentor. So they actually were syndicating this deal. I took money from syndicating this deal. I took money from syndicating this deal. I took money from my helock. I think they offered a 15% my helock. I think they offered a 15% my helock. I think they offered a 15% annualized return on my helock at that annualized return on my helock at that annualized return on my helock at that time. It was during co I was paying a

[9:27] time. It was during co I was paying a time. It was during co I was paying a 3%. 3%. 3%. And if anybody if anybody knows the And if anybody if anybody knows the And if anybody if anybody knows the concept of arbitrage and this is how concept of arbitrage and this is how concept of arbitrage and this is how hedge funds operate. This is how rich hedge funds operate. This is how rich hedge funds operate. This is how rich people operate is you borrow money at people operate is you borrow money at people operate is you borrow money at one rate and you leverage it. You one rate and you leverage it. You one rate and you leverage it. You leverage it into a asset that provides leverage it into a asset that provides leverage it into a asset that provides you a higher return. That’s exactly what you a higher return. That’s exactly what you a higher return. That’s exactly what I did. I took money that I was paying 3% I did. I took money that I was paying 3% I did. I took money that I was paying 3% on. I put into something that, you know, on. I put into something that, you know, on. I put into something that, you know, was supposed to pay me 15% on from

[9:46] was supposed to pay me 15% on from was supposed to pay me 15% on from somebody I wanted to mentor under and somebody I wanted to mentor under and somebody I wanted to mentor under and providing value. And thankfully that providing value. And thankfully that providing value. And thankfully that project uh sold a year later for an 89% project uh sold a year later for an 89% project uh sold a year later for an 89% return. And on top of that, I got a return. And on top of that, I got a return. And on top of that, I got a mentor I can lean on uh for advice. mentor I can lean on uh for advice. mentor I can lean on uh for advice. Yeah. Did you also uh consider or was Yeah. Did you also uh consider or was Yeah. Did you also uh consider or was one of the motiv this is like a the me one of the motiv this is like a the me one of the motiv this is like a the me this is what I did when I first got into this is what I did when I first got into this is what I did when I first got into syndication but um I also saw it as an syndication but um I also saw it as an syndication but um I also saw it as an opportunity to uh get experience on the

[10:13] opportunity to uh get experience on the opportunity to uh get experience on the other side if I was going to lean or if other side if I was going to lean or if other side if I was going to lean or if I was going to lead one of these one day I was going to lead one of these one day I was going to lead one of these one day you know I wanted to have that you know I wanted to have that you know I wanted to have that experience as a limited partner uh so experience as a limited partner uh so experience as a limited partner uh so that I could you know see what it’s like that I could you know see what it’s like that I could you know see what it’s like and and and kind of go through the whole and and and kind of go through the whole and and and kind of go through the whole process. Was that another piece of the process. Was that another piece of the process. Was that another piece of the puzzle for you?

[10:27] puzzle for you? puzzle for you? That was absolutely a piece for sure. That was absolutely a piece for sure. That was absolutely a piece for sure. Sure. I mean, at that point, I had no Sure. I mean, at that point, I had no Sure. I mean, at that point, I had no dream of syndications. I think my dream of syndications. I think my dream of syndications. I think my original goal was to house hack 10 original goal was to house hack 10 original goal was to house hack 10 multifamilies in 10 years, all three multifamilies in 10 years, all three multifamilies in 10 years, all three units, have 30 units, ride off into the units, have 30 units, ride off into the units, have 30 units, ride off into the sunset, you know, and retire, right?

[10:40] sunset, you know, and retire, right? sunset, you know, and retire, right? That was my dream, right? And you also That was my dream, right? And you also That was my dream, right? And you also got to think about it during this time, got to think about it during this time, got to think about it during this time, I did have a W2 while I was building I did have a W2 while I was building I did have a W2 while I was building this real estate portfolio. So, I was this real estate portfolio. So, I was this real estate portfolio. So, I was really looking for assets that provided really looking for assets that provided really looking for assets that provided good return, but didn’t require a lot of good return, but didn’t require a lot of good return, but didn’t require a lot of time for me. Because, as I you and I time for me. Because, as I you and I time for me. Because, as I you and I both know, investing is great money, but both know, investing is great money, but both know, investing is great money, but it’s not passive income. is extremely it’s not passive income. is extremely it’s not passive income. is extremely active income. Right? So, those were

[11:00] active income. Right? So, those were active income. Right? So, those were some of the ideas going through my mind. some of the ideas going through my mind. some of the ideas going through my mind. And the other benefit to syndications, And the other benefit to syndications, And the other benefit to syndications, which really wasn’t a benefit to me at which really wasn’t a benefit to me at which really wasn’t a benefit to me at that time because I had a W2, was a cost that time because I had a W2, was a cost that time because I had a W2, was a cost segregation study. So, the amazing thing segregation study. So, the amazing thing segregation study. So, the amazing thing about cost segregation studies, you pay about cost segregation studies, you pay about cost segregation studies, you pay a third party vendor to do this is what a third party vendor to do this is what a third party vendor to do this is what they do is they go through your they do is they go through your they do is they go through your property, they make a list of all the property, they make a list of all the property, they make a list of all the things that have, you know, a three-ear

[11:19] things that have, you know, a three-ear things that have, you know, a three-ear life, a 5year life, a 10ear life, and life, a 5year life, a 10ear life, and life, a 5year life, a 10ear life, and they figure out what’s the cost of that they figure out what’s the cost of that they figure out what’s the cost of that if you depreciate it. out. More or less, if you depreciate it. out. More or less, if you depreciate it. out. More or less, the name of the game is you’re allowed the name of the game is you’re allowed the name of the game is you’re allowed to write off 20 to 30% of your property to write off 20 to 30% of your property to write off 20 to 30% of your property in year one and use it as a write off, in year one and use it as a write off, in year one and use it as a write off, right?

[11:33] right? right? And the reason why that’s so powerful is And the reason why that’s so powerful is And the reason why that’s so powerful is a W2. I think my write- off was limited a W2. I think my write- off was limited a W2. I think my write- off was limited to 12,000 unless I make above 150,000. to 12,000 unless I make above 150,000. to 12,000 unless I make above 150,000. Don’t quote me on that, but more or less Don’t quote me on that, but more or less Don’t quote me on that, but more or less your your the amount of depreciation you your your the amount of depreciation you your your the amount of depreciation you can utilize is limited if you have a W2. can utilize is limited if you have a W2.

[11:47] can utilize is limited if you have a W2. However, if you’re a real estate agent However, if you’re a real estate agent However, if you’re a real estate agent or you’re a real estate professional, or you’re a real estate professional, or you’re a real estate professional, you get this golden designation called you get this golden designation called you get this golden designation called the real estate professional the real estate professional the real estate professional designation. And the reason why that’s designation. And the reason why that’s designation. And the reason why that’s so magical is it allows you to use so magical is it allows you to use so magical is it allows you to use depreciation to offset your active depreciation to offset your active depreciation to offset your active income. For instance, say for example, income. For instance, say for example, income. For instance, say for example, you’re an agent, you make $100,000 in you’re an agent, you make $100,000 in you’re an agent, you make $100,000 in commissions, but you have $100,000 of commissions, but you have $100,000 of

[12:09] commissions, but you have $100,000 of depreciation from one of these contact depreciation from one of these contact depreciation from one of these contact studies. You know how much taxes you pay studies. You know how much taxes you pay studies. You know how much taxes you pay that 100,000 in commissions? Absolutely that 100,000 in commissions? Absolutely that 100,000 in commissions? Absolutely zero. zero. zero. Yeah. Yeah, you’re you’re absolutely Yeah. Yeah, you’re you’re absolutely Yeah. Yeah, you’re you’re absolutely right and it’s it is such a a benefit right and it’s it is such a a benefit right and it’s it is such a a benefit that being a real estate agent, I think that being a real estate agent, I think that being a real estate agent, I think a lot of people don’t understand. Um, a lot of people don’t understand. Um, a lot of people don’t understand. Um, and something I definitely preach and and something I definitely preach and and something I definitely preach and with these uh commercial deals, these with these uh commercial deals, these with these uh commercial deals, these bigger deals, like you said, uh there’s

[12:31] bigger deals, like you said, uh there’s bigger deals, like you said, uh there’s a lot of work that goes into just a lot of work that goes into just a lot of work that goes into just managing a portfolio or managing, you managing a portfolio or managing, you managing a portfolio or managing, you know, one rental there, it it’s work. know, one rental there, it it’s work. know, one rental there, it it’s work. It’s not completely passive, just like It’s not completely passive, just like It’s not completely passive, just like you said. Um, and when you get into like you said. Um, and when you get into like you said. Um, and when you get into like a let’s say, you know, a large multif a let’s say, you know, a large multif a let’s say, you know, a large multif family, like when somebody buys that, family, like when somebody buys that, family, like when somebody buys that, they’re buying a business. This is a they’re buying a business. This is a they’re buying a business. This is a business. This is not just an asset.

[12:47] business. This is not just an asset. business. This is not just an asset. It’s it’s a business and you are needing It’s it’s a business and you are needing It’s it’s a business and you are needing to run that effectively. It is a job and to run that effectively. It is a job and to run that effectively. It is a job and it has to be done properly uh to execute it has to be done properly uh to execute it has to be done properly uh to execute some of these deals. The syndication uh some of these deals. The syndication uh some of these deals. The syndication uh deals which mostly revolve around like deals which mostly revolve around like deals which mostly revolve around like making it more profitable. So it makes making it more profitable. So it makes making it more profitable. So it makes it more valuable. Um and the benefit on it more valuable. Um and the benefit on it more valuable. Um and the benefit on top of that is that the the the scale of top of that is that the the the scale of top of that is that the the the scale of it allows it allows it allows you know to get these fancy cost

[13:11] you know to get these fancy cost you know to get these fancy cost segregations done you know done right. segregations done you know done right. segregations done you know done right. Um and then that really maximizes that Um and then that really maximizes that Um and then that really maximizes that you know that you know that you know that um write off ability uh for the um write off ability uh for the um write off ability uh for the investors as well. Even if you are a investors as well. Even if you are a investors as well. Even if you are a limited partner, you are very passive. limited partner, you are very passive. limited partner, you are very passive. You’re not actively managing the You’re not actively managing the You’re not actively managing the property at all, but you get to take property at all, but you get to take property at all, but you get to take advantage of that tax write off. Um and advantage of that tax write off. Um and advantage of that tax write off. Um and so yes, as a real estate professional, so yes, as a real estate professional, so yes, as a real estate professional, it’s a huge advantage. And I know a lot

[13:35] it’s a huge advantage. And I know a lot it’s a huge advantage. And I know a lot of um I’ve heard a lot of um agents get of um I’ve heard a lot of um agents get of um I’ve heard a lot of um agents get into the business because their their into the business because their their into the business because their their their spouse is like a you know high their spouse is like a you know high their spouse is like a you know high income person like a doctor or whatever. income person like a doctor or whatever. income person like a doctor or whatever. Um and then that kind of unlocks that Um and then that kind of unlocks that Um and then that kind of unlocks that door uh for them. Um, and then not to door uh for them. Um, and then not to door uh for them. Um, and then not to get too much further in the weeds, I get too much further in the weeds, I get too much further in the weeds, I haven’t heard the latest news, but I haven’t heard the latest news, but I haven’t heard the latest news, but I believe the 100% depreciation is in the believe the 100% depreciation is in the believe the 100% depreciation is in the docket of trying to get past maybe it

[13:57] docket of trying to get past maybe it docket of trying to get past maybe it has already um to bring that back has already um to bring that back has already um to bring that back because we were down to what, like 60 or because we were down to what, like 60 or because we were down to what, like 60 or 40% uh that we could take of the of that 40% uh that we could take of the of that 40% uh that we could take of the of that bonus depreciation, something like that. bonus depreciation, something like that. bonus depreciation, something like that. Yeah, I mean, you’re exactly right. I Yeah, I mean, you’re exactly right. I Yeah, I mean, you’re exactly right. I think bonus depreci depreciation was think bonus depreci depreciation was think bonus depreci depreciation was enacted maybe four or five years ago enacted maybe four or five years ago enacted maybe four or five years ago when Trump was in office and now it’s when Trump was in office and now it’s when Trump was in office and now it’s actually downgrading every year by 20%.

[14:17] actually downgrading every year by 20%. actually downgrading every year by 20%. And I think you’re alluding to the fact And I think you’re alluding to the fact And I think you’re alluding to the fact that they’re trying to put law in place that they’re trying to put law in place that they’re trying to put law in place to get it back to 100% depreciation, to get it back to 100% depreciation, to get it back to 100% depreciation, more or less allowing you to get the more or less allowing you to get the more or less allowing you to get the maximum for the accelerated maximum for the accelerated maximum for the accelerated depreciation, depreciation, depreciation, right? So, just, you know, again, if right? So, just, you know, again, if right? So, just, you know, again, if you’re, you know, if you are a real you’re, you know, if you are a real you’re, you know, if you are a real estate agent that makes a lot of money, estate agent that makes a lot of money, estate agent that makes a lot of money, um, don’t really want to get a, you um, don’t really want to get a, you um, don’t really want to get a, you know, into buying a rental or whatever

[14:37] know, into buying a rental or whatever know, into buying a rental or whatever because of the headache, um, this is an because of the headache, um, this is an because of the headache, um, this is an awesome bonus of another otherwise a awesome bonus of another otherwise a awesome bonus of another otherwise a really good investment, you know, really good investment, you know, really good investment, you know, obviously depending on the deal, obviously depending on the deal, obviously depending on the deal, but but but yeah. Yeah. I mean, you know, ju just, yeah. Yeah. I mean, you know, ju just, yeah. Yeah. I mean, you know, ju just, you know, from an investor standpoint, you know, from an investor standpoint, you know, from an investor standpoint, like you have to understand, you know, like you have to understand, you know, like you have to understand, you know, returns and time are inversely returns and time are inversely returns and time are inversely correlated, right? So, if you want the correlated, right? So, if you want the correlated, right? So, if you want the highest return, it’s going to require

[14:57] highest return, it’s going to require highest return, it’s going to require you to put the most amount of time in you to put the most amount of time in you to put the most amount of time in that asset. And at vice versa, a low that asset. And at vice versa, a low that asset. And at vice versa, a low return is going to require a a a low return is going to require a a a low return is going to require a a a low amount of time, right? So, say for amount of time, right? So, say for amount of time, right? So, say for example, short-term rentals. Short-term example, short-term rentals. Short-term example, short-term rentals. Short-term rentals historically might have 20% rentals historically might have 20% rentals historically might have 20% return, but that’s going to require a return, but that’s going to require a return, but that’s going to require a crap ton of your time and or really good crap ton of your time and or really good crap ton of your time and or really good systems versus, you know, syndications, systems versus, you know, syndications, systems versus, you know, syndications, they typically provide, you know, a 15

[15:17] they typically provide, you know, a 15 they typically provide, you know, a 15 to 17 17% annualized return. But it to 17 17% annualized return. But it to 17 17% annualized return. But it literally requires you just to vet the literally requires you just to vet the literally requires you just to vet the deal, put your money in there and deal, put your money in there and deal, put your money in there and collect mailbox money, right? So, you collect mailbox money, right? So, you collect mailbox money, right? So, you know, I think people have to take that know, I think people have to take that know, I think people have to take that into account with their investing into account with their investing into account with their investing decisions and how much time they have decisions and how much time they have decisions and how much time they have available because that’s going to be available because that’s going to be available because that’s going to be directly correlated to kind of the directly correlated to kind of the directly correlated to kind of the return structure that might be the best

[15:36] return structure that might be the best return structure that might be the best fit for you. fit for you. fit for you. Yeah. But I mean, if you look at buying Yeah. But I mean, if you look at buying Yeah. But I mean, if you look at buying uh you know, a single family rental just uh you know, a single family rental just uh you know, a single family rental just on the market on if you’re I mean, on the market on if you’re I mean, on the market on if you’re I mean, especially if you’re in like the East especially if you’re in like the East especially if you’re in like the East Coast, West Coast, if you’re on the Coast, West Coast, if you’re on the Coast, West Coast, if you’re on the coasts, like the more appreciationheavy coasts, like the more appreciationheavy coasts, like the more appreciationheavy uh markets, I mean like you’re not uh markets, I mean like you’re not uh markets, I mean like you’re not getting that kind of return. Uh I mean getting that kind of return. Uh I mean getting that kind of return. Uh I mean it’s it’s tough. It’s tough to get a it’s it’s tough. It’s tough to get a

[15:55] it’s it’s tough. It’s tough to get a good return. good return. good return. Yeah, it it definitely it definitely is Yeah, it it definitely it definitely is Yeah, it it definitely it definitely is tough to get a good return right now. tough to get a good return right now. tough to get a good return right now. That’s why I love playing in value ad That’s why I love playing in value ad That’s why I love playing in value ad multifamily because with value ad multif multifamily because with value ad multif multifamily because with value ad multif family is me and the loan, right? And family is me and the loan, right? And family is me and the loan, right? And value ad multifamily, it’s valued based value ad multifamily, it’s valued based value ad multifamily, it’s valued based on how much income it spits out, right?

[16:13] on how much income it spits out, right? on how much income it spits out, right? So, I have control over what’s it worth So, I have control over what’s it worth So, I have control over what’s it worth and I have the ability to increase the and I have the ability to increase the and I have the ability to increase the income of the property. So there’s a lot income of the property. So there’s a lot income of the property. So there’s a lot more control in you know the the more control in you know the the more control in you know the the valuation in my hands versus these small valuation in my hands versus these small valuation in my hands versus these small you know one to four unit properties you know one to four unit properties you know one to four unit properties which are based on the sales comp which are based on the sales comp which are based on the sales comp approach as you alluded to.

[16:28] approach as you alluded to. approach as you alluded to. Right. Exactly. And um it’s be beautiful Right. Exactly. And um it’s be beautiful Right. Exactly. And um it’s be beautiful because it you know it has cash flow because it you know it has cash flow because it you know it has cash flow from day one um or it has income coming from day one um or it has income coming from day one um or it has income coming in from day one at least and you’re and in from day one at least and you’re and in from day one at least and you’re and you’re able to then turn it and make it you’re able to then turn it and make it you’re able to then turn it and make it more profitable. Um, like you said, uh, more profitable. Um, like you said, uh, more profitable. Um, like you said, uh, and I mean another way people can think and I mean another way people can think and I mean another way people can think about this or understand this a little about this or understand this a little about this or understand this a little bit better is typically these are this bit better is typically these are this bit better is typically these are this is basically like a large scale flip

[16:49] is basically like a large scale flip is basically like a large scale flip except instead of just like looking at except instead of just like looking at except instead of just like looking at the properties um, you know, like the the properties um, you know, like the the properties um, you know, like the cosmetic things that will make it a cosmetic things that will make it a cosmetic things that will make it a buyer pay more for it, we’re looking at buyer pay more for it, we’re looking at buyer pay more for it, we’re looking at the numbers, we’re making it um, more the numbers, we’re making it um, more the numbers, we’re making it um, more profitable. And so uh, in this, you profitable. And so uh, in this, you profitable. And so uh, in this, you know, in that in that regard, it could know, in that in that regard, it could know, in that in that regard, it could be that you have to fix up the units to be that you have to fix up the units to be that you have to fix up the units to get more rent. It could be that you have get more rent. It could be that you have get more rent. It could be that you have to reduce the expenses so that it it

[17:08] to reduce the expenses so that it it to reduce the expenses so that it it just gets more profit and that that’s just gets more profit and that that’s just gets more profit and that that’s what makes the the value higher with what makes the the value higher with what makes the the value higher with capital. capital. capital. Yeah. I mean I think you mentioned this Yeah. I mean I think you mentioned this Yeah. I mean I think you mentioned this earlier. It’s like buying real estate is earlier. It’s like buying real estate is earlier. It’s like buying real estate is like buying a business, right? And when like buying a business, right? And when like buying a business, right? And when you buy a business, you value it based you buy a business, you value it based you buy a business, you value it based off how much cash flow it spits out.

[17:23] off how much cash flow it spits out. off how much cash flow it spits out. That’s how Warren Buffett buy a That’s how Warren Buffett buy a That’s how Warren Buffett buy a business. That’s how most people buy business. That’s how most people buy business. That’s how most people buy businesses. They buy it based off Ebata businesses. They buy it based off Ebata businesses. They buy it based off Ebata on a multiple of the cash flow. Right? on a multiple of the cash flow. Right? on a multiple of the cash flow. Right? real estate, commercial real estate acts real estate, commercial real estate acts real estate, commercial real estate acts the exact same way based on the income the exact same way based on the income the exact same way based on the income it produces versus the cap rate, right?

[17:39] it produces versus the cap rate, right? it produces versus the cap rate, right? Extremely similar methodology. I mean, Extremely similar methodology. I mean, Extremely similar methodology. I mean, it’s and you could really use this to it’s and you could really use this to it’s and you could really use this to easily unlock value and really know easily unlock value and really know easily unlock value and really know where it will land at the end state. where it will land at the end state. where it will land at the end state. Yeah. Yeah. 100%. Um it is it is a crazy Yeah. Yeah. 100%. Um it is it is a crazy Yeah. Yeah. 100%. Um it is it is a crazy game changer too once you realize what game changer too once you realize what game changer too once you realize what um the power of it all when you’re um the power of it all when you’re um the power of it all when you’re playing at this level when you’re playing at this level when you’re playing at this level when you’re playing with cap rates um and playing is playing with cap rates um and playing is playing with cap rates um and playing is probably not the right word but um you

[18:06] probably not the right word but um you probably not the right word but um you are you know instead of flipping a are you know instead of flipping a are you know instead of flipping a property and getting 20,000 $40,000 or property and getting 20,000 $40,000 or property and getting 20,000 $40,000 or whatever you might be getting and we’re whatever you might be getting and we’re whatever you might be getting and we’re talking millions of dollars uh because talking millions of dollars uh because talking millions of dollars uh because you know just adjusting you know making you know just adjusting you know making you know just adjusting you know making it uh whatever the expense expenses a it uh whatever the expense expenses a it uh whatever the expense expenses a little bit cheaper per unit every month little bit cheaper per unit every month little bit cheaper per unit every month uh can have a huge impact on the overall uh can have a huge impact on the overall uh can have a huge impact on the overall value of the of the property. So, it’s value of the of the property. So, it’s value of the of the property. So, it’s it’s pretty cool.

[18:29] it’s pretty cool. it’s pretty cool. Yeah. I mean, it’s literally a multiple, Yeah. I mean, it’s literally a multiple, Yeah. I mean, it’s literally a multiple, right? Like what like if you increase right? Like what like if you increase right? Like what like if you increase your your income on the property by $1 your your income on the property by $1 your your income on the property by $1 and it’s a 10 cap, you literally and it’s a 10 cap, you literally and it’s a 10 cap, you literally increase the value of that property increase the value of that property increase the value of that property 10fold, 10fold, 10fold, right? So, you you can see if you are right? So, you you can see if you are right? So, you you can see if you are really good at getting the NOI up, like really good at getting the NOI up, like really good at getting the NOI up, like it can have exponential effects on the it can have exponential effects on the it can have exponential effects on the value of the property.

[18:48] value of the property. value of the property. Yeah, 100%. And that’s that’s the beauty Yeah, 100%. And that’s that’s the beauty Yeah, 100%. And that’s that’s the beauty of it. And and you know, it’s something of it. And and you know, it’s something of it. And and you know, it’s something that it it could be a fun avenue for that it it could be a fun avenue for that it it could be a fun avenue for somebody to take on, but I think for somebody to take on, but I think for somebody to take on, but I think for many just understanding the way it many just understanding the way it many just understanding the way it works, having a basic knowledge of it, works, having a basic knowledge of it, works, having a basic knowledge of it, understanding kind of the metrics or understanding kind of the metrics or understanding kind of the metrics or what what what makes it all happen um is what what what makes it all happen um is what what what makes it all happen um is a good step in the right direction to to a good step in the right direction to to a good step in the right direction to to you know, make sure that a deal makes

[19:09] you know, make sure that a deal makes you know, make sure that a deal makes sense when you are thinking about sense when you are thinking about sense when you are thinking about investing in it. Um and and then also, investing in it. Um and and then also, investing in it. Um and and then also, you know, getting a good u pulse on on you know, getting a good u pulse on on you know, getting a good u pulse on on the operators. I mean that’s that’s a the operators. I mean that’s that’s a the operators. I mean that’s that’s a huge piece of it. Uh to make sure that huge piece of it. Uh to make sure that huge piece of it. Uh to make sure that the operators are uh you know good uh so the operators are uh you know good uh so the operators are uh you know good uh so that you you want to place your money that you you want to place your money that you you want to place your money with them because it it is what there is with them because it it is what there is with them because it it is what there is risk. I mean it we saw uh going through risk. I mean it we saw uh going through risk. I mean it we saw uh going through you know speaking of the pandemic when

[19:31] you know speaking of the pandemic when you know speaking of the pandemic when there was 3% interest rates we saw a lot there was 3% interest rates we saw a lot there was 3% interest rates we saw a lot of people having bridge loans which is of people having bridge loans which is of people having bridge loans which is basically short-term debt that you know basically short-term debt that you know basically short-term debt that you know they penciled out with some risk they penciled out with some risk they penciled out with some risk tolerance. If the interest rates went tolerance. If the interest rates went tolerance. If the interest rates went from 3% to 5% then you know we’re still from 3% to 5% then you know we’re still from 3% to 5% then you know we’re still good but they didn’t do that. They went good but they didn’t do that. They went good but they didn’t do that. They went to you know 7 8%. So, uh, a lot of to you know 7 8%. So, uh, a lot of to you know 7 8%. So, uh, a lot of people when that short-term loan loans people when that short-term loan loans people when that short-term loan loans came due, they had to then, uh, get, uh,

[19:52] came due, they had to then, uh, get, uh, came due, they had to then, uh, get, uh, other financing at much higher rates and other financing at much higher rates and other financing at much higher rates and that, uh, hurt the numbers big time. So, that, uh, hurt the numbers big time. So, that, uh, hurt the numbers big time. So, there is risk in this space. I think there is risk in this space. I think there is risk in this space. I think right now since we’ve kind of are on the right now since we’ve kind of are on the right now since we’ve kind of are on the other side of that, um, buying deals other side of that, um, buying deals other side of that, um, buying deals that are coming up now, it seems much that are coming up now, it seems much that are coming up now, it seems much safer. Um, at least from that angle.

[20:08] safer. Um, at least from that angle. safer. Um, at least from that angle. Yeah. I mean, I’m just talking to your Yeah. I mean, I’m just talking to your Yeah. I mean, I’m just talking to your agents out there, but ultimately your agents out there, but ultimately your agents out there, but ultimately your goal as an agent is to get on the goal as an agent is to get on the goal as an agent is to get on the investor side. Because when you own real investor side. Because when you own real investor side. Because when you own real estate, you don’t realize how much money estate, you don’t realize how much money estate, you don’t realize how much money you make. You make money from the you make. You make money from the you make. You make money from the tenants paying your mortgage down. You tenants paying your mortgage down. You tenants paying your mortgage down. You make money from the actual leverage, make money from the actual leverage, make money from the actual leverage, right? If you bring 20% down, your right? If you bring 20% down, your right? If you bring 20% down, your property increases by 20%. Your down

[20:26] property increases by 20%. Your down property increases by 20%. Your down payment literally freaking double, payment literally freaking double, payment literally freaking double, right? You make money from the cash right? You make money from the cash right? You make money from the cash flow. And most importantly, you make flow. And most importantly, you make flow. And most importantly, you make money from the tax benefits, right? So, money from the tax benefits, right? So, money from the tax benefits, right? So, the key is to get on the other side and the key is to get on the other side and the key is to get on the other side and become an investor. And one easy way for become an investor. And one easy way for become an investor. And one easy way for some of your some of your agents to do some of your some of your agents to do some of your some of your agents to do that is to find one of these larger that is to find one of these larger that is to find one of these larger commercial assets for a good deal and commercial assets for a good deal and commercial assets for a good deal and bring it to an experienced syndicator,

[20:46] bring it to an experienced syndicator, bring it to an experienced syndicator, right? And rather than getting your right? And rather than getting your right? And rather than getting your commission, like ask for equity in the commission, like ask for equity in the commission, like ask for equity in the deal, right? And then at that point, you deal, right? And then at that point, you deal, right? And then at that point, you can kind of follow them along in the can kind of follow them along in the can kind of follow them along in the process and they’re going to want to process and they’re going to want to process and they’re going to want to help you because you brought value to help you because you brought value to help you because you brought value to them, right? That’s an easy introductory them, right? That’s an easy introductory them, right? That’s an easy introductory way to, you know, take on one of these way to, you know, take on one of these way to, you know, take on one of these deals in a very easy capacity and kind deals in a very easy capacity and kind deals in a very easy capacity and kind of, you know, and ease your way into

[21:04] of, you know, and ease your way into of, you know, and ease your way into kind of closing on some of these larger kind of closing on some of these larger kind of closing on some of these larger properties. Yeah, that’s really a good properties. Yeah, that’s really a good properties. Yeah, that’s really a good point. Uh that that would be a really point. Uh that that would be a really point. Uh that that would be a really great way. And um you know there’s so great way. And um you know there’s so great way. And um you know there’s so many people say like if you know a lot many people say like if you know a lot many people say like if you know a lot of people think they don’t have the of people think they don’t have the of people think they don’t have the money to buy you know a uh whatever money to buy you know a uh whatever money to buy you know a uh whatever 400plex uh apartment complex. Um but you 400plex uh apartment complex. Um but you 400plex uh apartment complex. Um but you know finding a good deal uh and and and know finding a good deal uh and and and know finding a good deal uh and and and understanding what is a good deal and

[21:28] understanding what is a good deal and understanding what is a good deal and finding something that uh could you know finding something that uh could you know finding something that uh could you know have a plan like a value ad um is so have a plan like a value ad um is so have a plan like a value ad um is so many doors will open. um from just many doors will open. um from just many doors will open. um from just having a good deal and you know like you having a good deal and you know like you having a good deal and you know like you said partnering with somebody that has said partnering with somebody that has said partnering with somebody that has the experience is going to be important the experience is going to be important the experience is going to be important if you need investors I mean they’re if you need investors I mean they’re if you need investors I mean they’re going to want to see that experience and going to want to see that experience and going to want to see that experience and then also with the banks right I mean then also with the banks right I mean then also with the banks right I mean like non-reourse loan uh a debt would be

[21:51] like non-reourse loan uh a debt would be like non-reourse loan uh a debt would be another huge benefit to these kind of another huge benefit to these kind of another huge benefit to these kind of deals and and to get that is difficult deals and and to get that is difficult deals and and to get that is difficult especially if you’re brand new especially if you’re brand new especially if you’re brand new I mean even recourse debt all that you I mean even recourse debt all that you I mean even recourse debt all that you have to be guaranurs and a lot of time have to be guaranurs and a lot of time have to be guaranurs and a lot of time your net worth has to be more than the your net worth has to be more than the your net worth has to be more than the actual loan right actual loan right actual loan right right right right so so so Right yeah exactly But no, absolutely. I Right yeah exactly But no, absolutely. I Right yeah exactly But no, absolutely. I mean, I think, you know, if we’re going mean, I think, you know, if we’re going mean, I think, you know, if we’re going to quote Robert Kiyosaki or talk about

[22:10] to quote Robert Kiyosaki or talk about to quote Robert Kiyosaki or talk about him at all, I mean, there’s the whole him at all, I mean, there’s the whole him at all, I mean, there’s the whole cash flow quadrant, which you’re cash flow quadrant, which you’re cash flow quadrant, which you’re probably familiar with, and and you probably familiar with, and and you probably familiar with, and and you know, it starts with the employee, and I know, it starts with the employee, and I know, it starts with the employee, and I think most agents uh feel like they’ve think most agents uh feel like they’ve think most agents uh feel like they’ve won. They’ve gotten out of the rat race won. They’ve gotten out of the rat race won. They’ve gotten out of the rat race or whatever by getting from the employed or whatever by getting from the employed or whatever by getting from the employed to the self-employed, which I, you know, to the self-employed, which I, you know, to the self-employed, which I, you know, I think we both would agree is is a I think we both would agree is is a I think we both would agree is is a great place to be, um, compared to being

[22:29] great place to be, um, compared to being great place to be, um, compared to being employed. Um, but then there’s the other employed. Um, but then there’s the other employed. Um, but then there’s the other side of the quadrant, which is, you side of the quadrant, which is, you side of the quadrant, which is, you know, owning businesses and being an know, owning businesses and being an know, owning businesses and being an investor. And and I think that’s really investor. And and I think that’s really investor. And and I think that’s really the where where we want to kind of keep the where where we want to kind of keep the where where we want to kind of keep focusing on growing. Um, even if you’re focusing on growing. Um, even if you’re focusing on growing. Um, even if you’re not going to own a business, you know, not going to own a business, you know, not going to own a business, you know, putting money into syndications like putting money into syndications like putting money into syndications like this will help build up that passive this will help build up that passive this will help build up that passive income where you’re making money while

[22:47] income where you’re making money while income where you’re making money while you sleep. And and just the I mean, my you sleep. And and just the I mean, my you sleep. And and just the I mean, my my almost my entire net worth is based my almost my entire net worth is based my almost my entire net worth is based on equity growth. Um, just from having on equity growth. Um, just from having on equity growth. Um, just from having rentals. um they’ve just you know gone rentals. um they’ve just you know gone rentals. um they’ve just you know gone up in value and uh if I had sat you know up in value and uh if I had sat you know up in value and uh if I had sat you know put that into a stock market it wouldn’t put that into a stock market it wouldn’t put that into a stock market it wouldn’t have done near as well because I also have done near as well because I also have done near as well because I also bird most of these places so like I have bird most of these places so like I have bird most of these places so like I have basically infinite returns on them basically infinite returns on them basically infinite returns on them equity-wise because I got all my cash

[23:12] equity-wise because I got all my cash equity-wise because I got all my cash out. out. out. Yeah. I I don’t I don’t think people Yeah. I I don’t I don’t think people Yeah. I I don’t I don’t think people realize how the rich get rich and the realize how the rich get rich and the realize how the rich get rich and the rich get rich by using debt rich get rich by using debt rich get rich by using debt intelligently. Right. And I could just I intelligently. Right. And I could just I intelligently. Right. And I could just I could just prove that to you by asking could just prove that to you by asking could just prove that to you by asking you a simple question. What would you you a simple question. What would you you a simple question. What would you rather have? Would you rather have a rather have? Would you rather have a rather have? Would you rather have a zero net worth and zero assets or would zero net worth and zero assets or would zero net worth and zero assets or would you rather have zero net worth and five you rather have zero net worth and five you rather have zero net worth and five million in assets?

[23:36] million in assets? million in assets? Yeah. I mean, I’d rather have the 5 Yeah. I mean, I’d rather have the 5 Yeah. I mean, I’d rather have the 5 million in assets. Yeah. million in assets. Yeah. million in assets. Yeah. Yeah. Exactly. And there’s a good reason Yeah. Exactly. And there’s a good reason Yeah. Exactly. And there’s a good reason for that because what if your assets for that because what if your assets for that because what if your assets went up by 10%. What would that mean? went up by 10%. What would that mean? went up by 10%. What would that mean? Your net worth instantly went from zero Your net worth instantly went from zero Your net worth instantly went from zero to $500,000, right? Versus the versus to $500,000, right? Versus the versus to $500,000, right? Versus the versus the alternative. It went up 10% or equal the alternative. It went up 10% or equal the alternative. It went up 10% or equal zero, right? So I don’t think people zero, right? So I don’t think people zero, right? So I don’t think people realize, you know, the power in having a realize, you know, the power in having a

[23:56] realize, you know, the power in having a lot of assets because they compound lot of assets because they compound lot of assets because they compound exponentially over time. exponentially over time. exponentially over time. Yeah. No, it’s it’s very true. It’s very Yeah. No, it’s it’s very true. It’s very Yeah. No, it’s it’s very true. It’s very true. And and you know that that’s true true. And and you know that that’s true true. And and you know that that’s true in multiple levels like rent increases in multiple levels like rent increases in multiple levels like rent increases for example like you know the we saw for example like you know the we saw for example like you know the we saw over you know over COVID again we saw over you know over COVID again we saw over you know over COVID again we saw you know prices go up which was great if you know prices go up which was great if you know prices go up which was great if you owned assets. Um it it made your net you owned assets. Um it it made your net you owned assets. Um it it made your net worth higher. Uh but then also rent and worth higher. Uh but then also rent and

[24:19] worth higher. Uh but then also rent and you know if if you if you have one you know if if you if you have one you know if if you if you have one rental um you know you raise the rent by rental um you know you raise the rent by rental um you know you raise the rent by 50 bucks that’s okay. 50 bucks that’s okay. 50 bucks that’s okay. You have 10 that’s 500 bucks you know You have 10 that’s 500 bucks you know You have 10 that’s 500 bucks you know and it it just becomes a lot more it and it it just becomes a lot more it and it it just becomes a lot more it becomes a lot greater uh when you yeah becomes a lot greater uh when you yeah becomes a lot greater uh when you yeah when you have more assets.

[24:35] when you have more assets. when you have more assets. Yeah. Even the mortgage payown like Yeah. Even the mortgage payown like Yeah. Even the mortgage payown like literally every month my net worth goes literally every month my net worth goes literally every month my net worth goes up 100 grand because tenants are paying up 100 grand because tenants are paying up 100 grand because tenants are paying down my mortgage. down my mortgage. down my mortgage. It’s crazy. It’s crazy. It’s crazy. That’s awesome. That’s awesome. That’s awesome. Um well, okay, let’s let’s shift gears a Um well, okay, let’s let’s shift gears a Um well, okay, let’s let’s shift gears a little bit. Tell me a little bit about little bit. Tell me a little bit about little bit. Tell me a little bit about your uh real estate team.

[24:52] your uh real estate team. your uh real estate team. So, my real so I have a property So, my real so I have a property So, my real so I have a property management company. We self-manage 300 management company. We self-manage 300 management company. We self-manage 300 of my 400 doors. So, I actually have of my 400 doors. So, I actually have of my 400 doors. So, I actually have about 20 employees under that umbrella. about 20 employees under that umbrella. about 20 employees under that umbrella. We have a range from virtual assistants, We have a range from virtual assistants, We have a range from virtual assistants, I have operations manager, I have a I have operations manager, I have a I have operations manager, I have a financial director, I have a maintenance financial director, I have a maintenance financial director, I have a maintenance team, I have about five different team, I have about five different team, I have about five different property manager under under me. and you property manager under under me. and you property manager under under me. and you know they really help grow my property

[25:14] know they really help grow my property know they really help grow my property management company but not only that management company but not only that management company but not only that really helps grow my syndication really helps grow my syndication really helps grow my syndication company. So that’s the bread and butter company. So that’s the bread and butter company. So that’s the bread and butter of how I you know make money. I make of how I you know make money. I make of how I you know make money. I make money off my cash flow. I make money off money off my cash flow. I make money off money off my cash flow. I make money off you know um acquisition fees. A lot of you know um acquisition fees. A lot of you know um acquisition fees. A lot of times my property management companies times my property management companies times my property management companies break even because if anybody knows break even because if anybody knows break even because if anybody knows anything about property management anything about property management anything about property management company it’s it’s a loss leader a lot of

[25:31] company it’s it’s a loss leader a lot of company it’s it’s a loss leader a lot of times it doesn’t make money. Uh but it times it doesn’t make money. Uh but it times it doesn’t make money. Uh but it saves me time from having to manage all saves me time from having to manage all saves me time from having to manage all my doors. Right. my doors. Right. my doors. Right. Right. Um, so that’s what like my my Right. Um, so that’s what like my my Right. Um, so that’s what like my my syndication, my private equity sort of syndication, my private equity sort of syndication, my private equity sort of arm looks like from an Asian arm looks like from an Asian arm looks like from an Asian perspective. I I I lead the uh Worcester perspective. I I I lead the uh Worcester perspective. I I I lead the uh Worcester team, which is the second largest city team, which is the second largest city team, which is the second largest city in Massachusetts. Uh, the candle in Massachusetts. Uh, the candle in Massachusetts. Uh, the candle worester team. We’re investor focused worester team. We’re investor focused worester team. We’re investor focused agents and I have about eight agents

[25:53] agents and I have about eight agents agents and I have about eight agents under me and to to date, I think we’ve under me and to to date, I think we’ve under me and to to date, I think we’ve done around 35 million in volume. done around 35 million in volume. done around 35 million in volume. That’s awesome. Yeah. Oh, wow. You’re That’s awesome. Yeah. Oh, wow. You’re That’s awesome. Yeah. Oh, wow. You’re So, okay. So those eight agents are So, okay. So those eight agents are So, okay. So those eight agents are sales agents that are focused more on sales agents that are focused more on sales agents that are focused more on investing and then you have a separate investing and then you have a separate investing and then you have a separate property management division team. Is property management division team. Is property management division team. Is that that that Yep. That’s that’s Yep. That’s correct.

[26:13] Yep. That’s that’s Yep. That’s correct. Yep. That’s that’s Yep. That’s correct. And I have a and and my property And I have a and and my property And I have a and and my property management team also helps with uh my um management team also helps with uh my um management team also helps with uh my um investing right so helps you know helps investing right so helps you know helps investing right so helps you know helps stabilize my buy hold properties will stabilize my buy hold properties will stabilize my buy hold properties will help me with my flip because I flip I help me with my flip because I flip I help me with my flip because I flip I flip value at multi typically two to flip value at multi typically two to flip value at multi typically two to four unit properties to house hackers a four unit properties to house hackers a four unit properties to house hackers a lot right. So, it helps me with that lot right. So, it helps me with that lot right. So, it helps me with that component of my investing. So, um it’s component of my investing. So, um it’s component of my investing. So, um it’s just a like it’s just a resource center

[26:35] just a like it’s just a resource center just a like it’s just a resource center for a lot of my my business components. for a lot of my my business components. for a lot of my my business components. Yeah. Well, and I like the idea, too. I Yeah. Well, and I like the idea, too. I Yeah. Well, and I like the idea, too. I think you could be a onees one-stop shop think you could be a onees one-stop shop think you could be a onees one-stop shop for investing clients. Um, and I’ I’ve for investing clients. Um, and I’ I’ve for investing clients. Um, and I’ I’ve heard people describe themselves as more heard people describe themselves as more heard people describe themselves as more of like a hybrid of like a, you know, of like a hybrid of like a, you know, of like a hybrid of like a, you know, they they can’t call themselves they they can’t call themselves they they can’t call themselves financial adviserss or wealth adviserss financial adviserss or wealth adviserss financial adviserss or wealth adviserss by any means, but you know, taking that by any means, but you know, taking that by any means, but you know, taking that approach of like, you know, hey, we’re

[26:56] approach of like, you know, hey, we’re approach of like, you know, hey, we’re going we’re going to uh, you know, help going we’re going to uh, you know, help going we’re going to uh, you know, help you in the long term. We’re not just you in the long term. We’re not just you in the long term. We’re not just going to sell you a property and we’re going to sell you a property and we’re going to sell you a property and we’re thinking about your net worth and and thinking about your net worth and and thinking about your net worth and and all that kind of stuff. And and then, all that kind of stuff. And and then, all that kind of stuff. And and then, you know, if you want to buy your own you know, if you want to buy your own you know, if you want to buy your own property and we can help manage it, we property and we can help manage it, we property and we can help manage it, we can help, you know, we maybe help flip can help, you know, we maybe help flip can help, you know, we maybe help flip it. Um, you know, potentially all that it. Um, you know, potentially all that it. Um, you know, potentially all that stuff. Um or if you if you’re not

[27:15] stuff. Um or if you if you’re not stuff. Um or if you if you’re not wanting that headache, um you could, you wanting that headache, um you could, you wanting that headache, um you could, you know, invest with us. know, invest with us. know, invest with us. Yeah. I mean, more or less it’s a Yeah. I mean, more or less it’s a Yeah. I mean, more or less it’s a private equity firm for the for normal private equity firm for the for normal private equity firm for the for normal folks, right? Like it allows normal folks, right? Like it allows normal folks, right? Like it allows normal folks to actually get into sophisticated folks to actually get into sophisticated folks to actually get into sophisticated investments either with themselves as investments either with themselves as investments either with themselves as them managing it or as part of a joint them managing it or as part of a joint them managing it or as part of a joint venture or syndication or potentially venture or syndication or potentially venture or syndication or potentially part of a flip.

[27:34] part of a flip. part of a flip. Yeah. Yeah. It’s awesome. Um, and yeah, Yeah. Yeah. It’s awesome. Um, and yeah, Yeah. Yeah. It’s awesome. Um, and yeah, it’s it’s it’s just a really cool I it’s it’s it’s just a really cool I it’s it’s it’s just a really cool I mean, have like you you did this all mean, have like you you did this all mean, have like you you did this all since 2020? since 2020? since 2020? I owned I closed my first multi December I owned I closed my first multi December I owned I closed my first multi December 2020. 2020. 2020. Wow. You’ve built a lot. Wow. You’ve built a lot. Wow. You’ve built a lot. Do you sleep ever? Do you sleep ever? Do you sleep ever? I I I do sleep very well. And honestly, I I I do sleep very well. And honestly, I I I do sleep very well. And honestly, it’s because I’ve built a fantastic team it’s because I’ve built a fantastic team it’s because I’ve built a fantastic team and also I’ve led into delegation. Like and also I’ve led into delegation. Like and also I’ve led into delegation. Like you know what I will say is like it you know what I will say is like it

[28:05] you know what I will say is like it sounds great right now but when I was at sounds great right now but when I was at sounds great right now but when I was at 150 units it was just me and my partner 150 units it was just me and my partner 150 units it was just me and my partner we were two men army and I was we were two men army and I was we were two men army and I was completely burnt out. completely burnt out. completely burnt out. Yeah. Yeah. Yeah. And like leaning into seeing how other And like leaning into seeing how other And like leaning into seeing how other people built these 500,000 unit people built these 500,000 unit people built these 500,000 unit portfolios and just following their portfolios and just following their portfolios and just following their advice. For instance like I end up advice. For instance like I end up advice. For instance like I end up hiring a consultant. He helped me build hiring a consultant. He helped me build hiring a consultant. He helped me build the org shard. He helped me create good the org shard. He helped me create good the org shard. He helped me create good hiring practices with you know

[28:25] hiring practices with you know hiring practices with you know personality tests and I was really personality tests and I was really personality tests and I was really intentional about building this intentional about building this intentional about building this business. And now it feels great, but at business. And now it feels great, but at business. And now it feels great, but at the time I can assure you the growing the time I can assure you the growing the time I can assure you the growing process was very painful. process was very painful. process was very painful. Yeah. Yeah, I can imagine. Oh, that’s Yeah. Yeah, I can imagine. Oh, that’s Yeah. Yeah, I can imagine. Oh, that’s like the whole um what was it? 10x is like the whole um what was it? 10x is like the whole um what was it? 10x is better than 2x or 5x is better than better than 2x or 5x is better than better than 2x or 5x is better than whatever that book is.

[28:42] whatever that book is. whatever that book is. 10x better than 2x. Love that book. 10x better than 2x. Love that book. 10x better than 2x. Love that book. Yeah. Yeah. That that whole concept Yeah. Yeah. That that whole concept Yeah. Yeah. That that whole concept where you’re you’re really I mean where you’re you’re really I mean where you’re you’re really I mean because like you know you might have because like you know you might have because like you know you might have been making hires for example that been making hires for example that been making hires for example that you’re like oh can we really afford this you’re like oh can we really afford this you’re like oh can we really afford this or you know like it you know I’m going or you know like it you know I’m going or you know like it you know I’m going to cut this my income’s going to be cut to cut this my income’s going to be cut to cut this my income’s going to be cut by this much. I’ve been doing this by this much. I’ve been doing this by this much. I’ve been doing this myself anyway. like it was. But like if myself anyway. like it was. But like if

[28:58] myself anyway. like it was. But like if you have that mindset where you’re like, you have that mindset where you’re like, you have that mindset where you’re like, “Okay, we’re not just doubling next “Okay, we’re not just doubling next “Okay, we’re not just doubling next year. We’re going 10x.” Um, you can you year. We’re going 10x.” Um, you can you year. We’re going 10x.” Um, you can you can start making sense like this is the can start making sense like this is the can start making sense like this is the obvious choice. We need this to be able obvious choice. We need this to be able obvious choice. We need this to be able to scale more. to scale more. to scale more. Or or like how can I buy back my time?

[29:11] Or or like how can I buy back my time? Or or like how can I buy back my time? That’s really important because when I That’s really important because when I That’s really important because when I if I’m making $300 to $500 an hour like if I’m making $300 to $500 an hour like if I’m making $300 to $500 an hour like and I’m doing a $50 and I’m doing a $50 and I’m doing a $50 50 per hour dollar task, it doesn’t make 50 per hour dollar task, it doesn’t make 50 per hour dollar task, it doesn’t make any sense, right? Like that that’s any sense, right? Like that that’s any sense, right? Like that that’s really that was really big really that was really big really that was really big uh with helping me scale. Um yeah.

[29:26] uh with helping me scale. Um yeah. uh with helping me scale. Um yeah. Yeah. So um yeah. Okay. So the Yeah. So um yeah. Okay. So the Yeah. So um yeah. Okay. So the consultant uh is that something is that consultant uh is that something is that consultant uh is that something is that a path you would go down again? a path you would go down again? a path you would go down again? Absolutely. So so so at the time we Absolutely. So so so at the time we Absolutely. So so so at the time we ended up paying $20,000 for this ended up paying $20,000 for this ended up paying $20,000 for this consultant. We didn’t have $20,000 at consultant. We didn’t have $20,000 at consultant. We didn’t have $20,000 at the time. We actually put it on a the time. We actually put it on a the time. We actually put it on a company credit card. But the power of company credit card. But the power of company credit card. But the power of this consultant is he really allowed us this consultant is he really allowed us this consultant is he really allowed us to figure out the exact role that we to figure out the exact role that we

[29:48] to figure out the exact role that we need and how to identify all stars in need and how to identify all stars in need and how to identify all stars in that particular role. Because if you that particular role. Because if you that particular role. Because if you identify an all-star hire, 1 plus 1 identify an all-star hire, 1 plus 1 identify an all-star hire, 1 plus 1 doesn’t equal two. 1 plus 1 equals 10, doesn’t equal two. 1 plus 1 equals 10, doesn’t equal two. 1 plus 1 equals 10, right? Like these allstar hires can right? Like these allstar hires can right? Like these allstar hires can exponentially grow your business, right? exponentially grow your business, right? exponentially grow your business, right? And I got this operations manager that And I got this operations manager that And I got this operations manager that fill my entire back office, right? I got fill my entire back office, right? I got fill my entire back office, right? I got this finance director that does all my this finance director that does all my this finance director that does all my loan request packages, my appraisal

[30:10] loan request packages, my appraisal loan request packages, my appraisal packages, everything in my portfolio packages, everything in my portfolio packages, everything in my portfolio appraises because we’re proactive about appraises because we’re proactive about appraises because we’re proactive about creating those financial models that he creating those financial models that he creating those financial models that he does for me, right? Like prior to doing does for me, right? Like prior to doing does for me, right? Like prior to doing that, I was doing literally everything that, I was doing literally everything that, I was doing literally everything and you know, leaning into hiring all and you know, leaning into hiring all and you know, leaning into hiring all stars, leaning into investing in stars, leaning into investing in stars, leaning into investing in ourselves because like when we’re hiring ourselves because like when we’re hiring ourselves because like when we’re hiring these people, we’re in the negative, these people, we’re in the negative, these people, we’re in the negative, right? But at the same time, like you

[30:29] right? But at the same time, like you right? But at the same time, like you have to be comfortable with throwing a have to be comfortable with throwing a have to be comfortable with throwing a 100red, 200 grand in the wind. Not just 100red, 200 grand in the wind. Not just 100red, 200 grand in the wind. Not just not just throwing it away, but what not just throwing it away, but what not just throwing it away, but what you’re actually doing is you’re you’re actually doing is you’re you’re actually doing is you’re investing in yourself, investing in yourself, investing in yourself, what you’re doing. And there are many what you’re doing. And there are many what you’re doing. And there are many times when me and my partner were like, times when me and my partner were like, times when me and my partner were like, you know, if we make these key hires, you know, if we make these key hires, you know, if we make these key hires, you know, we’re going to be two $3,000 you know, we’re going to be two $3,000 you know, we’re going to be two $3,000 in the negative each month. Like we’re in the negative each month. Like we’re

[30:45] in the negative each month. Like we’re cool with each throwing 50 grand in the cool with each throwing 50 grand in the cool with each throwing 50 grand in the operating account, giving this a try for operating account, giving this a try for operating account, giving this a try for three or four months and seeing what three or four months and seeing what three or four months and seeing what happens. Right. happens. Right. happens. Right. Right. Yeah. That’s powerful and that’s Right. Yeah. That’s powerful and that’s Right. Yeah. That’s powerful and that’s a yeah really a hard thing for a lot of a yeah really a hard thing for a lot of a yeah really a hard thing for a lot of people to to to grasp. Um you mentioned people to to to grasp. Um you mentioned people to to to grasp. Um you mentioned virtual assistants uh earlier. What what virtual assistants uh earlier. What what virtual assistants uh earlier. What what does that look like for you all?

[31:05] does that look like for you all? does that look like for you all? Uh so if you are not using virtual Uh so if you are not using virtual Uh so if you are not using virtual assistants in your business, you are assistants in your business, you are assistants in your business, you are literally missing out on the largest literally missing out on the largest literally missing out on the largest like leverage point in business today, like leverage point in business today, like leverage point in business today, right? Like you could hire college right? Like you could hire college right? Like you could hire college master educated people for as little as master educated people for as little as master educated people for as little as four to eight four to eight dollars an four to eight four to eight dollars an four to eight four to eight dollars an hour, right? It’s incredibly powerful hour, right? It’s incredibly powerful hour, right? It’s incredibly powerful and these these people are incredibly and these these people are incredibly and these these people are incredibly smart and I hire a a broad range of

[31:26] smart and I hire a a broad range of smart and I hire a a broad range of virtual assistants in the Philippines. virtual assistants in the Philippines. virtual assistants in the Philippines. So a lot of a lot of them will be like, So a lot of a lot of them will be like, So a lot of a lot of them will be like, you know, my leasing coordinator or my you know, my leasing coordinator or my you know, my leasing coordinator or my bookkeeper or my social media editor or bookkeeper or my social media editor or bookkeeper or my social media editor or my executive assistant. Those are some my executive assistant. Those are some my executive assistant. Those are some key roles that are hired in the key roles that are hired in the key roles that are hired in the Philippines. But not only that, like you Philippines. But not only that, like you Philippines. But not only that, like you can actually hire seuite executives can actually hire seuite executives can actually hire seuite executives internationally. For instance, my head internationally. For instance, my head internationally. For instance, my head of operations, she’s in Ireland. My

[31:48] of operations, she’s in Ireland. My of operations, she’s in Ireland. My other head of finance, he’s in Colombia, other head of finance, he’s in Colombia, other head of finance, he’s in Colombia, right? And they are fantastic workers right? And they are fantastic workers right? And they are fantastic workers and we’re paying them, you know, 50 and we’re paying them, you know, 50 and we’re paying them, you know, 50 cents in the dollar and they’re making cents in the dollar and they’re making cents in the dollar and they’re making like two to threex what they would make like two to threex what they would make like two to threex what they would make in their country. We’re, you know, we’re in their country. We’re, you know, we’re in their country. We’re, you know, we’re saving money. So, it’s a win-win, saving money. So, it’s a win-win, saving money. So, it’s a win-win, right? So, like we’ve been able to right? So, like we’ve been able to right? So, like we’ve been able to leverage a team to 20 plus people while leverage a team to 20 plus people while leverage a team to 20 plus people while keeping our overhead, you know, a lot

[32:06] keeping our overhead, you know, a lot keeping our overhead, you know, a lot lower than if we hired it US-based. lower than if we hired it US-based. lower than if we hired it US-based. Yeah. Yeah. That’s uh that’s so true. Yeah. Yeah. That’s uh that’s so true. Yeah. Yeah. That’s uh that’s so true. And it is it is a great um I I’ve heard And it is it is a great um I I’ve heard And it is it is a great um I I’ve heard I’ve heard of different systems or I I’ve heard of different systems or I I’ve heard of different systems or I mean so I I use virtual assistants as mean so I I use virtual assistants as mean so I I use virtual assistants as well, but I I have different um seen well, but I I have different um seen well, but I I have different um seen different companies that offer things different companies that offer things different companies that offer things like the extra management as well. Um so like the extra management as well. Um so like the extra management as well. Um so that you if you’re feeling like you that you if you’re feeling like you that you if you’re feeling like you can’t maybe take on a virtual assistant

[32:29] can’t maybe take on a virtual assistant can’t maybe take on a virtual assistant and and really oversee everything they and and really oversee everything they and and really oversee everything they do, there are companies that would then do, there are companies that would then do, there are companies that would then also offer um yeah, management as well. also offer um yeah, management as well. also offer um yeah, management as well. Of course, it’s going to come with a Of course, it’s going to come with a Of course, it’s going to come with a higher price tag. Did you explore any of higher price tag. Did you explore any of higher price tag. Did you explore any of those type of services or did you go those type of services or did you go those type of services or did you go straight to just like a job marketplace straight to just like a job marketplace straight to just like a job marketplace and posted job?

[32:47] and posted job? and posted job? So, when I first started, I used utilize So, when I first started, I used utilize So, when I first started, I used utilize online job.ph, which specializes people online job.ph, which specializes people online job.ph, which specializes people in the Philippines. in the Philippines. in the Philippines. I use that a lot, right? But what I did I use that a lot, right? But what I did I use that a lot, right? But what I did was for some of the higher level was for some of the higher level was for some of the higher level positions, you can actually hire virtual positions, you can actually hire virtual positions, you can actually hire virtual assistant head hunters like in Argentina assistant head hunters like in Argentina assistant head hunters like in Argentina or the South America. And they actually or the South America. And they actually or the South America. And they actually hired some of my highlevel people. Um, hired some of my highlevel people. Um, hired some of my highlevel people. Um, and you know, I I think I started paying and you know, I I think I started paying

[33:07] and you know, I I think I started paying them uh I think they coordinated like a them uh I think they coordinated like a them uh I think they coordinated like a higher hourly wage and we end up just higher hourly wage and we end up just higher hourly wage and we end up just buying buying that person out of the buying buying that person out of the buying buying that person out of the contract. contract. contract. Got it. Sure. Yeah. Because that’s those Got it. Sure. Yeah. Because that’s those Got it. Sure. Yeah. Because that’s those are all skills that you know uh are are are all skills that you know uh are are are all skills that you know uh are are skills. I mean like to to actually find skills. I mean like to to actually find skills. I mean like to to actually find somebody to hire somebody to uh manage somebody to hire somebody to uh manage somebody to hire somebody to uh manage somebody. That’s all stuff that uh needs somebody. That’s all stuff that uh needs somebody. That’s all stuff that uh needs to be learned as well. Um, and yeah, it to be learned as well. Um, and yeah, it to be learned as well. Um, and yeah, it can feel I’m sure that all that stuff

[33:29] can feel I’m sure that all that stuff can feel I’m sure that all that stuff could feel very daunting um, when you’re could feel very daunting um, when you’re could feel very daunting um, when you’re already doing everything you and your already doing everything you and your already doing everything you and your partner uh, to to start taking this partner uh, to to start taking this partner uh, to to start taking this stuff on. But if you keep that end in stuff on. But if you keep that end in stuff on. But if you keep that end in mind, it it’s, you know, the clear path mind, it it’s, you know, the clear path mind, it it’s, you know, the clear path to growth. to growth. to growth. It’s, you know, I I think one of the It’s, you know, I I think one of the It’s, you know, I I think one of the biggest things slept on in business is biggest things slept on in business is biggest things slept on in business is per utilizing personality test per utilizing personality test per utilizing personality test effectively, effectively, effectively, right? And you don’t only want to do right? And you don’t only want to do

[33:51] right? And you don’t only want to do that with um you don’t only want to do that with um you don’t only want to do that with um you don’t only want to do that with employees. You also want to do that with employees. You also want to do that with employees. You also want to do that with partners, with vendors because that with partners, with vendors because that with partners, with vendors because the better you understand them and the the better you understand them and the the better you understand them and the better you understand their work style, better you understand their work style, better you understand their work style, the more you can actually utilize them the more you can actually utilize them the more you can actually utilize them in their genius, in their strengths and in their genius, in their strengths and in their genius, in their strengths and mitigate their weaknesses because mitigate their weaknesses because mitigate their weaknesses because ultimately that’s how you exponentially ultimately that’s how you exponentially ultimately that’s how you exponentially grow is like growing up like I’ve always

[34:09] grow is like growing up like I’ve always grow is like growing up like I’ve always learned the United States like you want learned the United States like you want learned the United States like you want to like mitigate your weaknesses and you to like mitigate your weaknesses and you to like mitigate your weaknesses and you want to be as good as you can in every want to be as good as you can in every want to be as good as you can in every single category and that’s the complete single category and that’s the complete single category and that’s the complete wrong way to be successful. What you wrong way to be successful. What you wrong way to be successful. What you want to do is you want to lean into the want to do is you want to lean into the want to do is you want to lean into the things that you’re amazing at that things that you’re amazing at that things that you’re amazing at that you’re a genius in. And anything you’re you’re a genius in. And anything you’re you’re a genius in. And anything you’re weak at, you want to either eliminate, weak at, you want to either eliminate, weak at, you want to either eliminate, delegate, or mitigate, right? Like

[34:27] delegate, or mitigate, right? Like delegate, or mitigate, right? Like that’s how you really exponentially that’s how you really exponentially that’s how you really exponentially scale in today’s market today. scale in today’s market today. scale in today’s market today. Yeah. And that’s, you know, forcing Yeah. And that’s, you know, forcing Yeah. And that’s, you know, forcing yourself to do the things you hate, uh, yourself to do the things you hate, uh, yourself to do the things you hate, uh, that drag you down, that you’re not good that drag you down, that you’re not good that drag you down, that you’re not good at, that’s what burns you out, too. I at, that’s what burns you out, too. I at, that’s what burns you out, too. I mean, that that doesn’t give you any mean, that that doesn’t give you any mean, that that doesn’t give you any kind of fulfillment. It just is, it’s kind of fulfillment. It just is, it’s kind of fulfillment. It just is, it’s just the thing that you put off, the just the thing that you put off, the just the thing that you put off, the thing that you Yeah, 100%. um where I’m

[34:46] thing that you Yeah, 100%. um where I’m thing that you Yeah, 100%. um where I’m curious if you use disk assessment. Um curious if you use disk assessment. Um curious if you use disk assessment. Um I’ve I’ve gone through the process and I’ve I’ve gone through the process and I’ve I’ve gone through the process and I’ve had a a coach on this show for um I’ve had a a coach on this show for um I’ve had a a coach on this show for um the um Clifton Strengths uh profile the um Clifton Strengths uh profile the um Clifton Strengths uh profile which uh was that was actually kind of which uh was that was actually kind of which uh was that was actually kind of fun. We my wife and I we did it live fun. We my wife and I we did it live fun. We my wife and I we did it live where we both um where we both um where we both um did it separately and we saw our own did it separately and we saw our own did it separately and we saw our own results and then she worked on us as results and then she worked on us as results and then she worked on us as like live on the air as to how we worked like live on the air as to how we worked

[35:09] like live on the air as to how we worked together which was almost like a live together which was almost like a live together which was almost like a live counseling session. But um I I I’m counseling session. But um I I I’m counseling session. But um I I I’m imagining DISC is kind of more imagining DISC is kind of more imagining DISC is kind of more approachable and easier to understand approachable and easier to understand approachable and easier to understand from like the the onset. Clifton is more from like the the onset. Clifton is more from like the the onset. Clifton is more in depth, but uh would be harder to I in depth, but uh would be harder to I in depth, but uh would be harder to I couldn’t nail down your 34 strengths, couldn’t nail down your 34 strengths, couldn’t nail down your 34 strengths, you know, just by talking to you.

[35:25] you know, just by talking to you. you know, just by talking to you. Yeah. I actually utilize this software Yeah. I actually utilize this software Yeah. I actually utilize this software called the cultural index. called the cultural index. called the cultural index. Okay. Okay. Okay. And the reason why I like this software And the reason why I like this software And the reason why I like this software versus other personality tests is it ask versus other personality tests is it ask versus other personality tests is it ask you know what are you a genius in, you know what are you a genius in, you know what are you a genius in, right? And then based then like based right? And then based then like based right? And then based then like based off that like what’s your expectations off that like what’s your expectations off that like what’s your expectations in the workplace, right? So then it ends in the workplace, right? So then it ends in the workplace, right? So then it ends up giving you two graphs, right? It up giving you two graphs, right? It up giving you two graphs, right? It shows you what your genius is based off

[35:46] shows you what your genius is based off shows you what your genius is based off how you believe yourself to be and then how you believe yourself to be and then how you believe yourself to be and then it shows you how you’re utilizing your it shows you how you’re utilizing your it shows you how you’re utilizing your genius in the workplace. Like and if genius in the workplace. Like and if genius in the workplace. Like and if you’re sitting in your genius, if you’re you’re sitting in your genius, if you’re you’re sitting in your genius, if you’re in the best state, both graphs would in the best state, both graphs would in the best state, both graphs would match, right? But when when both graphs match, right? But when when both graphs match, right? But when when both graphs don’t match, then you could easily see don’t match, then you could easily see don’t match, then you could easily see areas for improvement. For instance, areas for improvement. For instance, areas for improvement. For instance, like I personally don’t like following like I personally don’t like following like I personally don’t like following rules. I don’t like conforming. My last

[36:07] rules. I don’t like conforming. My last rules. I don’t like conforming. My last name is Freed. What a surprise, right? name is Freed. What a surprise, right? name is Freed. What a surprise, right? But, you know, when I first did this, I But, you know, when I first did this, I But, you know, when I first did this, I came to the realization that like in my came to the realization that like in my came to the realization that like in my job behavior, like I felt the need to job behavior, like I felt the need to job behavior, like I felt the need to follow more rules, right? So, how did I follow more rules, right? So, how did I follow more rules, right? So, how did I negate that? And how did I sit in my negate that? And how did I sit in my negate that? And how did I sit in my genius? I end up finding an executive genius? I end up finding an executive genius? I end up finding an executive assistant that could really focus on the assistant that could really focus on the assistant that could really focus on the followup and the rules so I could sit in followup and the rules so I could sit in

[36:26] followup and the rules so I could sit in my genius, right? So like understanding my genius, right? So like understanding my genius, right? So like understanding the dynamics between your genius and how the dynamics between your genius and how the dynamics between your genius and how how you interact with your genius is is how you interact with your genius is is how you interact with your genius is is really important in my opinion on really important in my opinion on really important in my opinion on selecting a good uh personality test. selecting a good uh personality test. selecting a good uh personality test. That makes a lot of sense. Um so that That makes a lot of sense. Um so that That makes a lot of sense. Um so that one was cultural. What was it?

[36:42] one was cultural. What was it? one was cultural. What was it? That’s called the cultural index and it That’s called the cultural index and it That’s called the cultural index and it is a hefty bill for that one. There’s is a hefty bill for that one. There’s is a hefty bill for that one. There’s also a similar one. I think it’s called also a similar one. I think it’s called also a similar one. I think it’s called the predictive index, right? And but the predictive index, right? And but the predictive index, right? And but what’s really cool about those what’s really cool about those what’s really cool about those particular ones is you can there’s I particular ones is you can there’s I particular ones is you can there’s I think there’s 19 arch types and you can think there’s 19 arch types and you can think there’s 19 arch types and you can because every arch type has a strengths because every arch type has a strengths because every arch type has a strengths assasses weaknesses. So you can identify assasses weaknesses. So you can identify assasses weaknesses. So you can identify the perfect arch type for that role and

[37:02] the perfect arch type for that role and the perfect arch type for that role and filter 90% of the the the employees out filter 90% of the the the employees out filter 90% of the the the employees out the potential employees out the the potential employees out the the potential employees out the applicants and only focus on that 10% applicants and only focus on that 10% applicants and only focus on that 10% that have the personality and have the that have the personality and have the that have the personality and have the skills to be successful in this role. skills to be successful in this role. skills to be successful in this role. I love that. I love that. Um, yeah, I love that. I love that. Um, yeah, I love that. I love that. Um, yeah, that’s that’s exactly we’re we’re that’s that’s exactly we’re we’re that’s that’s exactly we’re we’re building a team. Um, I’m building a building a team. Um, I’m building a building a team. Um, I’m building a sales team and that is, you know, what sales team and that is, you know, what sales team and that is, you know, what we’re we’re basing we’re doing the the

[37:26] we’re we’re basing we’re doing the the we’re we’re basing we’re doing the the Clifton strengths, but um, you know, Clifton strengths, but um, you know, Clifton strengths, but um, you know, basing focusing on the strengths and and basing focusing on the strengths and and basing focusing on the strengths and and focusing on, you know, that we’re all focusing on, you know, that we’re all focusing on, you know, that we’re all doing things that that bring us joy that doing things that that bring us joy that doing things that that bring us joy that that we’re good at. Um, and and then that we’re good at. Um, and and then that we’re good at. Um, and and then filling in the gaps. So, I love it. I’m filling in the gaps. So, I love it. I’m filling in the gaps. So, I love it. I’m I’m definitely going to check that out.

[37:40] I’m definitely going to check that out. I’m definitely going to check that out. Yeah. Hey, if you want an introduction Yeah. Hey, if you want an introduction Yeah. Hey, if you want an introduction to my consultant, I can 100% tell you it to my consultant, I can 100% tell you it to my consultant, I can 100% tell you it is absolutely worth it. is absolutely worth it. is absolutely worth it. Okay. Yeah, that sounds great. Um, yeah, Okay. Yeah, that sounds great. Um, yeah, Okay. Yeah, that sounds great. Um, yeah, I mean, I guess I I I would love to hear I mean, I guess I I I would love to hear I mean, I guess I I I would love to hear what kind of golden nuggets you have for what kind of golden nuggets you have for what kind of golden nuggets you have for our listeners.

[37:55] our listeners. our listeners. So, I think the main thing holding So, I think the main thing holding So, I think the main thing holding people back from scaling is trust and people back from scaling is trust and people back from scaling is trust and delegation, right? So, one really good delegation, right? So, one really good delegation, right? So, one really good tip I have for people really looking to tip I have for people really looking to tip I have for people really looking to get to the next level and really looking get to the next level and really looking get to the next level and really looking to leverage others and delegate is every to leverage others and delegate is every to leverage others and delegate is every morning when you’re doing your to-do morning when you’re doing your to-do morning when you’re doing your to-do list and you’re journaling and you’re list and you’re journaling and you’re list and you’re journaling and you’re figuring out what you have to do today figuring out what you have to do today figuring out what you have to do today to get you closer to your one year, 5

[38:17] to get you closer to your one year, 5 to get you closer to your one year, 5 year, and 10 year goal, rather than year, and 10 year goal, rather than year, and 10 year goal, rather than asking yourself how I can do this, you asking yourself how I can do this, you asking yourself how I can do this, you should ask yourself who can do this, should ask yourself who can do this, should ask yourself who can do this, right? and go down each item and figure right? and go down each item and figure right? and go down each item and figure out who you can delegate to via a person out who you can delegate to via a person out who you can delegate to via a person via a system where you’re not actually via a system where you’re not actually via a system where you’re not actually doing the work but you’re figuring out doing the work but you’re figuring out doing the work but you’re figuring out how other people can do the work for you how other people can do the work for you how other people can do the work for you and that’s really how you scale and get and that’s really how you scale and get and that’s really how you scale and get to the CEO level position where you

[38:39] to the CEO level position where you to the CEO level position where you deserve to be honest. deserve to be honest. deserve to be honest. I love it. Yeah, that’s great. That’s a I love it. Yeah, that’s great. That’s a I love it. Yeah, that’s great. That’s a great tip. Um and then uh favorite book great tip. Um and then uh favorite book great tip. Um and then uh favorite book or fundamental book you think everybody or fundamental book you think everybody or fundamental book you think everybody should read. So, I think one of the one should read. So, I think one of the one should read. So, I think one of the one of my favorite books, and this is an of my favorite books, and this is an of my favorite books, and this is an absolute must readad for everybody alive absolute must readad for everybody alive absolute must readad for everybody alive is this book called Limitless by Jim is this book called Limitless by Jim is this book called Limitless by Jim Quick. And the book Limitless teaches Quick. And the book Limitless teaches Quick. And the book Limitless teaches you best practices on how to learn,

[39:03] you best practices on how to learn, you best practices on how to learn, right? And like honestly, if you’re a right? And like honestly, if you’re a right? And like honestly, if you’re a good learner, that’s literally the best good learner, that’s literally the best good learner, that’s literally the best superpower I could imagine because it superpower I could imagine because it superpower I could imagine because it allows you to tap into every other allows you to tap into every other allows you to tap into every other expertise that you possibly can. So, I expertise that you possibly can. So, I expertise that you possibly can. So, I highly recommend, you know, read the highly recommend, you know, read the highly recommend, you know, read the book Limitless List and treat it like a book Limitless List and treat it like a book Limitless List and treat it like a Bible because it will literally it will Bible because it will literally it will Bible because it will literally it will literally teach you best practices on literally teach you best practices on literally teach you best practices on how to learn and really sit in flow,

[39:22] how to learn and really sit in flow, how to learn and really sit in flow, which ultimately that’s really when which ultimately that’s really when which ultimately that’s really when you’re sitting in your genius. you’re sitting in your genius. you’re sitting in your genius. I love it. That’s awesome. Thank you. I love it. That’s awesome. Thank you. I love it. That’s awesome. Thank you. Um, and I don’t think that one’s been on Um, and I don’t think that one’s been on Um, and I don’t think that one’s been on yet. So, perfect. Um, yeah. And then I yet. So, perfect. Um, yeah. And then I yet. So, perfect. Um, yeah. And then I guess if if people are interested in guess if if people are interested in guess if if people are interested in learning more about you, um, the deals learning more about you, um, the deals learning more about you, um, the deals that you’re doing, uh, is there a good that you’re doing, uh, is there a good that you’re doing, uh, is there a good place to follow you or reach out?

[39:39] place to follow you or reach out? place to follow you or reach out? Yeah, absolutely. So, you can follow me Yeah, absolutely. So, you can follow me Yeah, absolutely. So, you can follow me on Instagram uh at investor freedom. on Instagram uh at investor freedom. on Instagram uh at investor freedom. YouTube at InvestorFree. You can follow YouTube at InvestorFree. You can follow YouTube at InvestorFree. You can follow me at AndrewFreed on LinkedIn and me at AndrewFreed on LinkedIn and me at AndrewFreed on LinkedIn and Facebook. Uh definitely feel free to Facebook. Uh definitely feel free to Facebook. Uh definitely feel free to reach out, jump on my newsletter. I reach out, jump on my newsletter. I reach out, jump on my newsletter. I always have a ton of value in there.

[39:52] always have a ton of value in there. always have a ton of value in there. Awesome. Well, Andrew, thanks so much Awesome. Well, Andrew, thanks so much Awesome. Well, Andrew, thanks so much for being on the show. It’s been a for being on the show. It’s been a for being on the show. It’s been a pleasure. pleasure. pleasure. Thanks for having me. Thanks for having me. Thanks for having me. Thanks for listening to the REI Agent. Thanks for listening to the REI Agent. Thanks for listening to the REI Agent. If you enjoyed this episode, hit If you enjoyed this episode, hit If you enjoyed this episode, hit subscribe to catch new shows every week. subscribe to catch new shows every week. subscribe to catch new shows every week. Visit reiagent.com Visit reiagent.com Visit reiagent.com for more content.

[40:07] for more content. for more content. Until next time, keep building the life Until next time, keep building the life Until next time, keep building the life you want. All content in the show is not you want. All content in the show is not you want. All content in the show is not investment advice or mental health investment advice or mental health investment advice or mental health therapy.