What does it take to successfully invest in multifamily properties out-of-state?

 

Anthony Scandariato shares his experience breaking into out-of-state real estate investing and acquiring his first property in Clearwater, Florida. Learn how he evaluated the Tampa market, performed due diligence on the property, and built a local property management team to oversee it from afar.

 

Prior to forming Red Knight Properties, Anthony Scandariato who graduated from Cornell University with a Bachelor’s degree in Applied Economics and Management, was a Co-Founder in Ridgeview Partners. He specialized in the retail space with a vertical model that provided flexibility to serve multiple customer segments with similar product lines through retail, wholesale, and production contracting channels. He Acquired and developed growth of 110+ retailers within first-year operations. He later moved on to Acquisitions & Asset Manager Vice President for Vision Properties, where he was directly involved and responsible for sourcing, negotiation, and managing the acquisition of $594MM of Class A office assets.

 

(00:00 - 06:00) Opening Segment

Anthony began investing in his local New Jersey market, building a portfolio of around 70 units before expanding out-of-state.

Anthony and his partner acquired their first out-of-state property just over the PA border, about an hour drive from home.

Their first major out-of-state purchase was in Clearwater, FL. Anthony already had some familiarity with the Tampa market from previous commercial real estate experience.

 

(06:00 - 09:00) Evaluating the Clearwater Property

They partnered with a local to the property for initial evaluation before visiting themselves.

Anthony spent a full day walking every unit, taking photos, and making notes on conditions using a property inspection app.

How Anthony verifies the accuracy of the seller's renovation claims and watches for any major structural, environmental, or maintenance issues.

 

(09:00 - 24:00) Assembling a Local Team

To properly manage out-of-state, Anthony likes to start with at least 100 units in a market to have a sufficient team.

He looks at labor market factors to ensure there's enough of a talent pool to hire quality on-site employees.

It's crucial to have trusted partners managing each property. They've had to replace existing staff at new acquisitions.

 

(24:00 - 29:00) Closing Segment:

Best Investment: Marrying his wife

Worst Investment: Junk Food

The most important lesson is to have good partners, partners you can trust.

 

Quotes:

"If you're considering going out of state, me and my partner do day trips, so we'll get on a 6 a.m. flight, or whatever, the earliest flight that we can, and then we're back home to hit the pillow." - Anthony Scandariato

 

" Environmental is a total deal breaker; you can kind of tell when it's always a little bit desperate too." -Anthony Scandariato

 

Connect with Anthony:

www.redknightproperties.com

 

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

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How can targeted text messaging transform a real estate investing business?

 

In this episode, host Taylor Loht interviews real estate investor Mitch Stephen, who has purchased a property every 4 to 5 days for over 30 years, averaging 100 houses per year for three decades. Stephen specializes in buying properties with other people's money at $X, and then selling those properties with seller financing at $2X. He invests his profits into forever cash flow businesses like self-storage, boat storage, open parking, semi-truck parking, and triple net office-warehouse-yard. Stephen is an entrepreneur, author, and educator with over 560 podcast episodes and 180 YouTube video shorts to his credit. He explains how he revolutionized lead generation and sales through an innovative automated phone and text messaging system that better qualifies leads before his salespeople engage. This increased efficiency, achieved faster sales and obtained higher sale prices. Stephen provides a deep dive into how the system works at each stage and key lessons learned from refining it over time.

 

Tune in to learn how targeted text messaging can transform your real estate investing business.

 

Chapters & Key Takeaways:

 

(00:00) Opening Segment

Taylor introduces guest Mitch Stephen, a real estate investor who buys 100+ houses per year using other people's money

Mitch has 30 years experience, buys 100 houses a year, ~3,000 total

How Mithc private money to fund purchases and rehabs

Why Mitch Focuses on cash flowing assets like storage, parking, triple net

 

(05:20) The Problem Mitch Needed to Solve with Texting Marketing

How his previous system overwhelming salespeople with unqualified leads from bandit signs

Callers often lacked funds or motivation to buy

Salespeople couldn't handle call volume or relay correct info

Grew FB following to get exclusive buyers for properties

Text timeline for showings increased competition and prices

Further automated lead vetting with tailored questions

 

(19:12) Hiring and Team Structure

How Mitch hired sales first, acquisitions next, then admin

Why he separates departments to prevent internal competition

Mitch uses assessments to hire specific personality types

 

(24:41) Closing Segment:

Why Mitch doesn't want to be involved in day-to-day operations

Best investment ever: Semi truck parking

Cash flowing asset with huge upside appreciation

Worst investment ever: Raw land loans

Defaulted loan during the recession, created years of payments

Most important business lesson: Stay in your lane

Focus on what you're good at instead of chasing opportunities

 

Connect with Mitch:

www.homes2go.net

 

Quotes:

 

"I had to solve a problem of getting overrun, not delivering the right information, maybe not even answering the phone." - Mitch Stephen

"It's the hardest thing an entrepreneur will ever do, is have one great idea and finish big" - Mitch Stephen

 

 

Apply to Invest with Taylor at www.investwithtaylor.com

 

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

How is technology's evolution impacting how real estate investors manage their properties?

 

Today, Taylor is sitting down with Vikas Gupta, CEO of Azibo, a property technology company for real estate investors, to discuss the availability of tech, how it can make rental properties easier to manage, and the trends they see in the market. They dive into how Azibo's software helps maximize tax benefits and optimize operations through data exchanges and insights into the market. Plus, they explore the importance of building good relationships with agents, lenders, property managers, and vendors for successful real estate investing.

 

Don't miss this episode to get the inside scoop on how you can leverage technology to make the most out of your rental properties!

 

 

[00:01 - 07:30] Opening Segment

• Introducing Azibo, a property technology company for real estate investors

How to streamline the management of properties, from rent collections to maintenance requests and lease signings

• The reason why real estate investors have not streamlined their operations with technology

• Vikas' extensive background in technology, having worked at startups, VCs, enterprise data companies

 

[07:31 - 14:55] A Purpose-Built Accounting Suite for Property Owners

• Business value props like saving time, money and maximizing returns

• The onboarding process is straightforward, with bulk onboarding options available

• Recently launched accounting suite better than QuickBooks for property owners

• Adoption not as high as expected due to people not wanting to think about accounting until tax time

 

[14:56 - 22:16] A Guide to Optimizing Real Estate Operations

• Clean books are essential to maximize tax benefits in real estate

Automation can help people spend less time on their books

Data exchanges and sharing data can be beneficial

• How Azibo helps customers save 1 to 2 hours a month per unit they own

 

[22:17 - 25:38] The Most Important Lesson in Business and Investing

• Real estate investors, in general, aren't great at cyber security

• The importance of two-factor authentication and having a bunch of Fraud checks and screening

Know your customer, know your business checks to protect tenants from fraudsters

• More security does introduce more friction into the system

 

[25:39 - 30:49] Closing Segment

• Best investment: Index funds

• Worst investment: Investing in stocks and crypto

• Most important lesson learned: The importance of a team

 

 

Quotes:

 

 

“No one wants to think about accounting until it's tax time.” - Vikas Gupta

 

“In order to know if you're paying too much, you need to know how much you're paying.” - Vikas Gupta

 

“Being able to optimize your business requires understanding your business, and understanding your business requires having a very good understanding of the finances and the cash flows both in and out.” - Vikas Gupta

 

 

 

Connect with Vikas!

 

Email: [email protected] 

Website: https://www.azibo.com/ 

 

 

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

In this episode, host Taylor Loht interviews Rahul Patel, a commercial real estate attorney, investor, and entrepreneur. They discuss common mistakes new real estate investors make, how to structure LOIs and contingencies, fighting property tax increases, Rahul's background, and more. Rahul shares wisdom and advice from his extensive experience in law, business, real estate, and angel investing.

 

Chapters & Key Takeaways:

 

[00:02] Opening Segment

 

Mitigating risk in offers: Engage experts you want to work with before making offers. Structure offers with ample due diligence periods. Don't take on excessive deposits/earnest money you can't afford to lose.

 

[00:11] Avoiding Rookie Real Estate Mistakes with Attorney & Investor Rahul Patel

 

Structuring LOIs: Be transparent about needing extensions upfront rather than trying to negotiate later from a weaker position. Offer to pay fees for extensions. This builds a reputation with reputable sellers.

Property tax disputes: File lawsuits to dispute unrealistic increased assessments. Reducing assessed value leads to exponential tax savings over time.

Common assessment errors: Assessors use mass appraisal processes with limited time and resources. Owners know details assessors miss that justify lower valuations.

 

[00:26] Closing Segment

Best investment: Invest in people and teams rather than trying to do everything solo. Creates accountability, new perspectives and is more rewarding.

Worst investment: Investing time and energy into businesses relying on other individuals' success rather than your own direct control.

Important lesson: Have a short memory of losses and don't dwell on past decisions - focus on the next win. Quitting can be winning if you learn lessons about why something didn't work out.

 

Connect with Rahul:

 

Website: https://www.patelgaines.com/

 

Key Quotes:

"I think the biggest mistake that I see people really doing is, is trying to figure out how to make maximum money on every deal, especially in the early onset." Rahul Patel

"If you have not gained an expertise in something, then you need to really obtain the services of an expert." Rahul Patel

"Investing in people around you that fit your culture, that's a great investment because I think it just, it pays dividends to what you're trying to do." Rahul Patel

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

Garrett Gunderson, entrepreneur and financial expert, explains the difference between cash flow and accumulation wealth models. He emphasizes that financially free people think value first, cost second, and economic impact third, while those who are not focused on price and price alone. In this episode, Garrett shares his story of success and failure regarding money. Garrett recommends investing in oneself to become a value creator and enjoy life. Garrett's books Killing Sacred Cows and Money Unmasked advise identifying your financial DNA and creating cash flow. Listen to this conversation for advice on managing cash flow, reducing risk, investing intelligently, and creating stability and financial freedom.

 

 

[00:00 - 07:01] Opening Segment

• Financial freedom is a state of mind and being

• Cashflow investing over accumulation is critical to creating financial and economic independence

• In his book "Killing Sacred Cows," Garret explains the failings of the accumulation model

• Garrett's new book "Money Unmasked" helps identify financial and money DNA

 

[07:01 - 13:46] Create Cashflow and Achieve Financial Independence with the Five-Step Framework

• It takes money to make money, but high risk does not always equal high return.

• Invest in infrastructure or marketing to scale business revenue.

• Invest back into yourself and your skillsets to become a better investor.

• Think about how to keep as much as you make without cutting back and turning assets into cashflow machines.

 

[13:46 - 20:32] Unlocking Financial Freedom: How to Identify High Leverage Opportunities in Business

• There is a distinction between financial independence and financial freedom.

• Financial freedom is when money is no longer the primary reason or excuse to do something.

• Use the cycle of creation to improve product and listen to customers.

 

[20:32 - 27:45] Closing Segment:

• Best investment: 400% annualized return on $25,000 house investment

• Worst investment: 45% owner of 45,000 square foot building

• Most important lesson learned: The power of having a due diligence team to ensure the success of any deal.

 

Quotes:

 

"Risk means the chance of losing. So how does increasing our chance of losing actually help us win? It doesn't." - Garret Gunderson

 

"If you don't have the mental capital ideas, knowledge, wisdom insight, strategies and tools, and the right relationship capital people networks, organizations mentors friends, and family you don't have a business you have speculation, and people leverage money before they leverage mental and relationship capital." - Garret Gunderson

 

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

Delve into the captivating world of real estate with Jim Sheils, a full-time real estate investor with 24 years of experience and a fascinating journey of mastering the build-to-rent strategy. Jim shares insight into his lifestyle of working and adventuring, his family education company 18 Summers, why retirement does not interest him, and his advice for investors looking to get involved in building to rent properties. Learn what areas are best avoided when investing in rental properties, the pros and cons of specific designs, the importance of due diligence in property insurance, and much more. 

 

Tune in now and understand why building and renting properties can be a great way to generate income!

 

[00:00 - 07:17] Journey From Real Estate Investor to Build-to-Rent Strategy

Introducing Jim to the show

What keeps him going is the "how" - the ability to work and play from Costa Rica, spend time with family, keep up with health, and take adventures

 

[07:18 - 14:55] Making Build to Rent Deals Work

Focus on high-growth markets with population growth, economic growth, affordability index, and desirable factors

Properties are B+ class with extra finishes like vinyl plank flooring, granite countertops, etc.

Go for established neighborhoods with a good mixture of renters and owners

Have to go to designs for different areas based on hurricane safety and aesthetics

 

[14:56 - 24:22] The Importance of Due Diligence and Property Insurance

Owning too many properties can be a ten-year ache and pain

Insurance costs have gone up in Florida, but vary by area and age of home

New construction is rewarded with lower insurance premiums

Due diligence is essential: visit the site and do market analysis

 

[24:23 - 27:48] Closing Segment

Best investment: Jim's family life

Worst investment: Jim's first properties in Jacksonville, Florida

The most important lesson learned: play to your strengths, not your weaknesses

Quotes:

 

"We always try to go to high-growth markets. We're only focused on Florida because we believe in the fundamentals here. We believe in the landlord laws here, which are super important when investing. You've got to be able to collect your rent." - Jim Sheils

 

"If I could go back 24 years, I'd own less property, a better quality with less leverage." - Jim Sheils

Connect with Jim!

Book: Passive Income Playbook

Website: https://jjplaybook.com 

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

Have you ever felt overwhelmed balancing family, work, and ambitions to build wealth through real estate investing? How does one give adequate time to their family, refine investment strategies, and still achieve their financial goals? 

 

In this episode, Taylor welcomes Aileen Prak to discuss balancing life, family, work and real estate investing. Eileen shares her experience setting priorities and goals and refining the investment strategy with her husband. She talks about managing multiple family, work, and investment commitments, including building a network of connections, creating relationships, and setting small goals. She also explains how two partners with different skill sets can successfully work together to achieve their goals through communication and compromise. 

 

Tune in for an insightful conversation on maintaining balance while building wealth!

 

[00:00 - 06:12] Balancing Life, Family, and Real Estate Investing

Focus on the importance of time and how to spend it

Set priorities, goals and delegate responsibilities

Invest in multifamily apartments outside of your comfort zone

Leverage the experience of a sponsor to learn and be passive investors

 

[06:13 - 11:26] Leveraging Strengths and Weaknesses to Achieve Goals

The power of leveraging off each other's strengths and weaknesses

Having a support network for help with kids and other tasks

Identifying individual strengths and weaknesses

Communicating effectively to divide and conquer tasks

Creating a division of line between what is enjoyed doing and what is good at doing

 

[11:27 - 19:31] Navigating Business Goals Together

Set goals based on family and overall life quality

Break down goals into smaller steps

Handle disagreements by understanding each other's perspective

The end goal is the same, but how to get there may require compromise

 

[19:32 - 24:07] Achieving Financial Independence and Spending Time with Family

Don't forget why you are doing it in the first place

Grow business to have time freedom and be able to spend it with kids

Expose kids to real estate without limiting beliefs

Enjoy current job and make a decision when one of them wants to leave

 

[24:08 - 29:40] Closing Segment

Best investment: first house bought

Worst investment: a property with high deferred maintenance and low market value

The most important lesson: always walk away from a bad deal

Quotes:

 

"I wanted to gain more time and freedom to spend more with my family, not be dependent on that W-2, and have that choice to continue working because I wanted to, not because I had to." - Aileen Prak

 

"If you can overcome those limiting beliefs, you can get there and start so much quicker without having to feel like you're not enough. And you totally are, but you need to start making the right moves and start getting outside of your comfort zone, networking with other people." - Aileen Prak

Connect with Aileen!

Website: https://bonavestcapital.com 

Podcast: How Did They Do It? Real Estate

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

The SEC on Monday announced charges against an alleged Ponzi scheme. Let's dig into their complaints and steps investors can take to protect themselves before getting into a scam. More info on the complaint: https://www.sec.gov/news/press-release/2023-196

 

Learn more about investing with Taylor at https://www.passivewealthstrategy.com/join-the-investor-club/

Have you ever dreamt of breaking the chains of routine, retiring early, and traveling the world? 

 

In this episode, we chat with Erik Hemingway, a highly experienced self-storage investor who achieved early retirement and used his wealth to travel the world. We discuss his journey of building his first storage in Arizona in 2006, moving to Costa Rica a year later, and living on a sailboat in Greece for three and half years while traveling to 24 countries. We learn how they sold their cars, houses, and possessions to make the journey possible and met other boaters who encouraged them. After returning to the US, Erik reveals how he invested in fixing and flipping, constructing buildings, and converting them into storage units to build a nest egg. 

 

Join us as we dive deep into Erik's story of taking risks and achieving financial freedom through self-storage investing!

 

[00:00 - 07:47] From Construction to Self Storage Investor

Introducing Erik to the show

He and his family took an early retirement through self-storage investing and traveled the world

 

[07:48 - 15:17] Exploring the Possibilities Through Boating and Real Estate Investing

Living on a boat is economical and freeing

Found fix and flips, built new construction, and got back into storage

Launched Nomad Capital off the boat adventure

 

[15:18 - 22:47] Facing Fear and Following Gut

Heavy-value add projects like renovating old buildings, grocery stores, K-marts, hosiery mills, and soda bottling facilities

Fear is a muscle that you can exercise

 

[22:48 - 26:23] Closing Segment

Best investment:

Worst investment:

The most important lesson learned:

Quotes:

 

"One key thing about life is always being willing to be surprised. Let life surprise you. And it's certainly done that for us. And I think that's a great way to live." - Erik Hemingway

 

"It's surprising how little you can live on when you're just not distracted by everything that everybody's telling you when you're not kind of sucked into the consumer stuff of just every day on the treadmill." - Erik Hemingway

 

"Fear is kind of a muscle that you can exercise. And as you step out of your comfort zone, that muscle gets strengthened suddenly. The next stretch is not so hard." - Erik Hemingway

Connect with Erik!

Website: www.NomadCapital.us 

Email: [email protected]

Phone: 910-431-3855

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!

How does a young intern with a passion for real estate go on to raise over 1.2 billion for student housing projects? 

 

Dive into the world of Fred Pierce, an experienced and successful investor who has raised over 1.2 billion in investments for his student housing projects across 39 states. He'll dive into how he jumped the queue and attracted capital from institutional investors, family offices, and retail investors. We'll hear about the different tiers of investor capital, from friends-and-family capital to country club capital to family office and institutional investors. He'll also walk us through his capital life cycle in commercial real estate and explain the advantages and disadvantages of each type of investor. 

 

Tune in to gain powerful insights from Fred Pierce!

 

[00:00 - 06:22] Becoming a Billion-Dollar Student Housing Investor

Fred Pierce is an experienced real estate investor, having done over 1.2 billion in student housing projects

His journey started when he was 21 and interned at the Goodkin Group, a market research firm

He took his platform national in 2006 and, within 90 days, had 1.2 billion of development rights at two major universities

 

[06:23 - 12:49] How to Leapfrog the First Couple Rungs in Commercial Real Estate

The capital life cycle in commercial real estate consists of four main food groups and niche sectors

Early in their career, people usually start with friends and family capital

Country club capital route is the next tier, which involves friends of your friends and family

The third tier is the family office, managed by millionaires or billionaires

The fourth tier is institutional capital from investment advisors with multi-billion dollar commingled funds

 

[12:50 - 25:59] Exploring the Benefits for Retail and Family Office Investors

Retail investors have been gaining access to student housing investments

Student housing is a defensive and recession-resistant asset class

Starting in 2016, institutional investors began to allocate capital into niche sectors of commercial real estate such as student housing, senior housing, self-storage and data centers

Transaction volume has slowed significantly, and valuations have decreased due to the higher cost of debt

 

[26:00 - 32:20] Closing Segment

Best investment: in Fred's own company

Worst investment: Fred's first and second home purchase due to bad timing.

The most important lesson learned: keep it simple and scalable

Quote:

 

"Keep it simple and scalable if you want to accept exponentially growing your business and your opportunities." - Fred Pierce

Connect with Fred!

Website: https://pepstudent.com 

Number: 619-297-00400

Apply to Invest with Taylor at www.investwithtaylor.com

 

Track your wealth for free with Personal Capital, go to www.escapingwallstreet.com

 

Please leave a review and help others escape Wall Street and build wealth on Main Street!