In today's episode of the Cashflow for Life podcast, Andrew chats with Marco Kozlowski, a successful real estate investor as he shares his journey from a struggling concert pianist to a real estate mogul. Marco's entry into real estate was motivated by financial difficulties and marital problems, exacerbated by financial stress. He was inspired by an infomercial on Carlton Sheets, which led him to explore real estate seminars and eventually purchase his first property in Syracuse, New York. Despite facing a significant setback during the 2008 financial crash, where he lost a substantial real estate portfolio and suffered personal and financial loss, Marco managed to rebuild his wealth. He attributes his turnaround to a change in perspective, shifting his focus from accumulating wealth to serving others. This mindset change fueled his success in acquiring numerous properties each year, leveraging other people's money and asset-backed lending without relying on personal credit.

Marco elaborates on his investment strategies, emphasizing the importance of buying properties with equity and generating cash flow. He avoids traditional real estate purchasing methods, focusing instead on off-market deals to ensure better returns. He stresses the significance of acquiring properties with at least a 30% equity margin, ensuring positive cash flow and mitigating risks. He discusses his shift from single-family homes to diversified investments, including luxury properties, hotels, motels, assisted living facilities, mobile home parks, and storage units. Marco also highlights his approach to handling market downturns, advising investors to buy when others are selling and vice versa.

Andrew and Marco discuss the nuances of asset-backed lending, a key component of his investment strategy. He explains how asset-backed lending offers high returns with low risk, enabling investors to acquire properties without personal financial risk. Marco advocates for acquiring properties through third-party management to ensure arm's length transactions and minimize personal liabilities. He emphasizes the importance of understanding the deal and the market, cautioning against overpaying for properties.

Enjoy!

What You Will Learn In This Show:

• Marco's shift from being a concert pianist to entering the real estate market, spurred by financial struggles and the desire to provide for his family.
• Lessons Marco learned from building a significant real estate portfolio and then losing it during the 2008 financial crisis.
• How that crisis became a pivotal moment for reshaping his approach to real estate.
• The ins and outs of asset-based lending, a strategy Marco advocates for when investing in real estate.
• Insights into his investment strategies, focusing on buying properties with equity, ensuring positive cash flow, and mitigating risks.
• And much more...