Real Estate Runway

In this episode of Real Estate Runway, we are joined by Jeff Davis, a seasoned expert in Global Supply Chain and Logistics with over 17 years of experience in the field. Jeff began his career as a data entry clerk in a logistics company after Hurricane Katrina forced him to move from New Orleans to Houston. He quickly worked his way up the ranks by helping clients solve complex supply chain issues and eventually became a global sales representative for a Fortune 200 global firm. In 2015, Jeff began investing in real estate to earn commissions on his commissions, and has since grown his portfolio to include 952 doors as both a Limited Partner and General Partner, with a total value of over $100M. Throughout this episode, Jeff shares his insights into the current supply chain crisis and its impact on the real estate market, as well as his expertise on making smart investment decisions based on future product needs. Tune in to learn more from this seasoned expert.

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital

• Instagram: @TeamQuattroCapital

• Facebook: @TeamQuattroCapital

• Website: www.TheQuattroWay.com 

[00:00 - 09:58] Lessons on Supply Chain and Inflation

• Inflation is a result of printing money in 2020, causing supply chain-induced inflationary time

• The supply chain industry can predict future events up to 12 months, making it relevant to real estate development and renovation

• The delicate nature of the supply chain allows it to be dynamic, unique, and touch every part of the globe

• The world of supply chain foreshadows what is to come in the future, allowing for better preparedness and decision-making

[09:59 - 19:35] The Impact of Supply Chain Disruptions on Inflation

• Supply chain disruption created a demand problem leading to a spike in pricing

• Cost of goods sold has caught up to the high prices, vendors will increase prices again

• There is a one-year lag time for the actual price level to work itself through the distribution channels

• There is a potential end in sight due to the supply chain normalization, decrease in demand and shipping, and the federal reserve's interest rate hikes

[19:36 - 27:36] The Impact of Warehousing on the Rental Market and Real Estate

• Real estate market is strong, especially the rental market for those who cannot afford to buy homes due to low-interest rates

• Careful with lower-quality residents susceptible to job loss or lower income

• Warehousing space demand increased due to 116 vessels parked outside Long Beach

• Warehouses full, no space to store inventory, and importers canceling orders

Connect with Jeff:

Website: http://www.multifamilyadvice.com

Social Media: LinkedIn, Facebook

Quotes:

“Money is always moving, it's always in circulation. And so it eventually makes its way into certain pockets uh you know where a lot of the consumer spending goes.“ -Chad Sutton

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

On this episode of the Real Estate Runway Podcast, join host Chad Sutton,Tammy Sutton, 

Erin Hudson,and Kim Wedland from Quattro Capital as they delve into the challenges of closing real estate deals in today's market. They share their experience navigating the Covid-related debt seizure of 2020 and provide valuable insights on how to succeed in a rapidly changing real estate environment. From the importance of strong relationships with partners and brokers to negotiating price and being prepared to pivot, this episode offers practical advice for closing transactions in uncertain times. Listen to learn how Quattro Capital successfully closed two major deals in 2022 despite inflation, interest rate fluctuations, and the Fed's funds rate. Tune in for a must-listen conversation on the crucial role of communication and relationships in real estate investing and stay ahead of the curve."

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital

• Instagram: @TeamQuattroCapital

• Facebook: @TeamQuattroCapital

• Website: www.TheQuattroWay.com 

[00:00 - 11:28] Navigating Today's Changing Debt Market

• The debt market has cycles, or "debt drama", which can impact the closing of deals

• Understanding the cycles and patterns in the debt market is key for success in investing or operating in real estate

• The debt market can seize up suddenly, as seen in 2020, and it is important to be prepared for these changes

• Knowledge of past market changes, such as in 2020, can help investors and operators navigate current market challenges

[11:29 - 22:07]Lessons Learned from Acquiring Deals in a Shifting Market

• Nothing is fixed in a deal until it's purchased, and the market conditions can change quickly

• Renegotiating price may become necessary in certain circumstances, such as an increase in cost of capital

• Investing for the long-term horizon is crucial (5-10 years) rather than short-term profits

• It's important to choose the right team and partners, as lenders are becoming increasingly critical in the current market condition

[22:08 - 25:12] Closing Segment

• Invest in real estate, not debt

• Focus on the upside potential of the property

• Remember the fundamentals of the market, supply and demand, and rental real estate

• Keep your eyes on the horizon and invest for wealth growth in the future, not for transactional purposes

Quotes:

“We're investing for the horizon, the five to 10 year horizon.We're not investing for something that's going to yield a ultimate profit and sale in a year.“ -Chad Sutton

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Julie Holly is the founder of Three Keys Investment, who helps people achieve financial freedom through multifamily real estate investing.She has extensive experience in various forms of real estate investment, including single-family homes, house-hacking, and passive investment. With nearly 300 passive doors and a general partnership in 264 units, including a ground-up development project, Julie is a seasoned professional. She also hosts "The Conscious Investor" podcast, which offers a comprehensive guide to real estate investing, with a focus on mindset, personal development, and expert insights.

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 11:06] The Importance of Partnering with the Right People in Real Estate

• Focus on finding partners who have similar values and will look out for your best interests
• Consider how partners handle tough situations and whether their morals align with your own
• Money only magnifies who a person already is, so it's important to find partners whose values align with your own
• Building a successful relationship with partners involves understanding and knowing them well

[11:07 - 21:31] Building Trust with Limited Partners

• Limited partners should be treated as the number one partner and their interests should always be the priority
• Understanding the personal landscape and financial goals of limited partners is crucial for better advocacy
• Ethical considerations, such as presenting metrics accurately and soberly, are essential for building trust
• Building trust takes time, as people often invest in those they know and trust, rather than just the numbers

[21:32 - 30:50] Critical Lessons for Vetting a New Sponsor

• Ask about a tough time they went through as a team to see if they are battle-tested and have a strong relationship
• Look at money as a tool rather than something driving life and business decisions
• Grow in a methodical, slower way to build momentum and establish a consistent and dependable reputation
• People buy why you do something, so consistently communicating your purpose and values is critical to building relationships and making impactful introductions

[30:51 - 37:29] Closing Segment

• God is not punishing you, he's challenging you, and these challenges help make you stronger and shape who you are
• Julie is the host of the "Conscious Investor" podcast and is always working on exciting projects
• Julie runs a book and networking club and a coaching community, where she has formed many partnerships and watched people's lives transform
• Julie's philanthropic interest is centered around connection, as she believes the world is too disconnected and people are lonely

Quotes:

"this world is really disconnected and people really are lonely and people want to feel connected and they want community and it's not happening enough. ”- Julie Holly

Connect with Julie:

Website: https://www.threekeysinvestments.com/

Socials: LinkedIn, Facebook

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

In this episode of the Real Estate Runway Podcast Quatro Roundtable Edition,Chadand Kim Wendland delve into a failed real estate investment project. They explore why the investment seemed promising, citing factors like its location in a high-rent growth market and potential for organic rent growth. The partners then examine the unexpected risks that arose, such as eviction moratoriums during the pandemic, increased security needs, and issues with pre-1975 water lines. The conversation highlights the importance of effective risk management in rental property investing, with Kim sharing her three principles: understanding risks, finding ways to minimize them, and being proactive. The partners emphasize the need for proper insurance coverage and advise hiring an independent adjuster if necessary. Finally, they discuss creating a physical baseline document of your property as a risk mitigation strategy. Join the conversation as they share their experiences and insights on managing risks for successful real estate investing.

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 03:20] Opening Segment

• Introducing Amy to the show
• Real estate investments come with inherent risks, and success in this industry depends on how well investors and operators handle those risks and prevent others
• Effective risk management is key to successful asset management

[03:21 - 11:58] Risk Mitigation in Real Estate

• Due diligence is key in evaluating a potential property investment and understanding its potential challenges and risks
• It's important to identify and control risks that can be managed, and prepare for risks that are out of control, such as natural disasters or government policies
• Turnover of the tenant base is a crucial part of the business plan, but it can also be impacted by external factors, like eviction moratoriums
• Despite challenges, staying flexible and finding creative solutions, such as cash for keys programs, can help mitigate risks and ensure success in a real estate investment

[15:23 - 23:11] The Challenges of Maintaining Order in a Post-Pandemic Community

• Local government support is crucial for property management industry to overcome challenges
• Police shortage leads to decreased service, prolonged response times and increased crime
• Inspecting plumbing before property purchase prevents expensive repairs, including water meters, drain lines, and cast iron pipes checks
• Keeping track of the property's billing cycle to prevent overpayment and spot potential issues by monitoring bill frequency and irregularities/credits

[23:12 - 31:02] The Challenges of Maintaining Order in a Post-Pandemic Community

• Be cautious of accepting erratic bills and be aware that the true cause of such bills may bring peril
• Plumbing is a basic necessity but can be expensive and may cause a problem for residents
• Consider allocating capital for unexpected expenses
• When dealing with underground pipes and the unknown unknowns, it's important to have a plan and be liquid in all phases of crisis

[31:03 - 34:04] Closing Segment

• Proactively manage risk by having due diligence and contingency plans in place to minimize impact, and being proactive rather than reactive
• Not all risks are in your control, but all will have an impact, so focus on eliminating, preventing and minimizing the impact to ensure a positive outcome in the long run

Quotes:

"Be proactive. Do not wanna be reactive, and if you have to be reactive, ensure the heck out of it. ” - Kim Wendland

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Chad Sutton interviews Mark Deadens, the founder and CEO of iStorm Group. Mark shares his experience as a serial entrepreneur and his journey in discovering how insurance companies can take advantage of multi-family property owners when they have a fair, reasonable, legitimate storm damage or catastrophic loss. Learn how to protect against unmitigated risks with Mark's help and gain insight into iStorm's services that provide risk management and claim services for their clients. From pre-storm inspections to post-storm inspections and proprietary weather tracking systems, find out how iStorm gives property owners the edge when it comes to getting their claims settled quickly. Don't miss this eye-opening episode filled with useful advice on how to become a successful investor!

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 06:27] Opening Segment

• Introducing Mark to the show
• Mark Deadens is the founder and CEO of iStorm Group
• iStorm Group has settled over 120 million in large claim losses to date with a 95% indemnification rate
• Insurance companies are investors, not risk managers

[06:28 - 15:22] Uncovering Insurance Carrier's Deniability Tactics and Streamlining the Settlement Process for Property Damage Claims

• Property owners need to understand their coverage limitations and exclusions in their policy
• iStorm Group helps property owners protect themselves from insurance companies' delay, deny, and reject tactics
• Baseline inspection of the exterior of the building to document condition and detect any wind or hail damage
• Proprietary weather tracking system to monitor for wind and hail
• Reinspections to compare with baseline and rule out dates when no damage occurred
• Ability to provide before and after pictures of damages to insurance adjusters
• Fast settlement process with the goal of completing in one round
• Settlements move quickly to get the project underway and return the property to pre-loss operating condition

[15:23 - 28:25] Murphy's Law in Property Management

• Focus on what you are best at and hire the rest out
• Have a risk management plan in place
• Get policy reviewed by a licensed public adjuster
•  Mark shares a story of an SUV barrel rolling into a building at high speed
• Passion and belief in yourself lead to success
• Mark’s biggest mistake was trusting a non-certified contractor

[28:26 - 30:26] Closing Segment

• Philanthropic interests focus on children's health and wellness
• Connect with Mark through the links below

Quotes:

"Insurance can be a very tumultuous world, especially in the commercial real estate world and there are about six ways that they find out how not to pay your claim. And it is really on you to make sure you have the right risk mitigation strategy and prep work in place.” - Mark Deddens

Connect with Mark through LinkedIn, Facebook, or visit www.iStormGroup.com. You can also contact him at 937-572-0746.

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Tammy, Erin, and Kim discuss the importance of giving back and how it can benefit society. The team shares their experiences with philanthropy, including their initiative Alphabet for Humanity, which teaches children values rather than just the alphabet and has a donation program to ensure children around the world can receive it. They have also planted over 75,000 trees and traveled to countries such as Nicaragua, Haiti, and Belize to serve those less fortunate. Additionally, Maurice hops in to highlight their partnership with Volumetric Building Company (VBC) to help build Veterans Village in Pennsylvania - an affordable housing complex for veterans. This episode provides insight into how people can make an impact in society, no matter how small or large!

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:01 - 03:05] Opening Segment

• Introducing the guests

[03:06 - 07:43] The Alphabet for Humanity 

• The secret to living is giving
• Leesa McGregor created "A New Alphabet for Humanity" book which teaches values and mindset in addition to the alphabet
• The donation program allows people to partner with Lisa and plant trees
• 75,000 trees have already been planted

[07:44 - 20:33] Making an Impact: Jonathan's Path and the Ripple Effect of Giving

• Quatro Capital was formed to help free moms from living in trash dumps and build homes
• Team Cuatro is going to Burundi Africa with 500+ investors
• Tammy was a teacher for 15 years and encountered a little boy named Jonathan 
• Jonathan's Path is a foundation created in memory of Jonathan to provide stability and love for teenagers removed from their homes

[20:34 - 23:40] "Discover the Power of Giving: Join the Veterans Housing Initiative

• Flex the giving muscle and influence one and then the next
• Team Quatro is partnering with VBC Giving Foundation to help build a Veterans Village in Pennsylvania
• The secret to living is giving; show your heart and help improve the world

Quotes:

"The secret to living is giving." - Chad Sutton

"It's one thing to sit on the couch and wish it could be different, and it's another to do something whether that's financially or physically or rally a group. But to engage in life and make a difference to have a contribution in a way that is positive and helpfully encouraging. That's the stuff of life." - Kim Wendland

Resources Mentioned:

• A New Alphabet for Humanity by Leesa McGregor
• www.VBCGivingFoundation.org 

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Join Chad Sutton as he hosts the first-ever Quatro Roundtable. In this episode, Chad is joined by Erin Hudson, Maurice Philogene, and Tammy Sutton to discuss the current real estate market and alternative business and investment strategies for maximizing wealth. They dive into topics such as tax-lean investing, multi-family investing, asymmetric risk award, stocks, and bonds, single-family rental properties, finding the right investment vehicle, and market research. They also discuss how people are feeling the effects of losses in their retirement accounts and suggest smarter investments such as real estate and life insurance that can provide asymmetric risk. Lastly, they share best practices for keeping a pulse on current market conditions in order to make wise decisions about investments. Tune into this informative podcast episode full of valuable advice from experts to learn how you can amplify life and maximize wealth!

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:01 - 07:18] Maximize Wealth and Amplify Life with Asymmetric Risk Strategies

• People are becoming more aware and enlightened about their investments
• The stock market downturn has caused people to reassess their retirement plans
• Pensions may not be as valuable in the long run due to inflation
• Real estate, life insurance, and other smart investments can mitigate downside risk

[07:19 - 18:28] Battling Inflationary Pressures: How Team Cuatro Vets Properties and Looks to the Future

• Investment vehicles such as multi-family investing can provide the potential for a 5x return
• Refined investment criteria and vetting process provide comfort when investing
• Market research is key to understanding where people are moving, job growth, and wage growth
• Continuous monitoring of market trends is necessary to ensure investments remain profitable

[18:29 - 28:11] Making Lemonade Out of Lemons: Seizing Opportunities in the Multi-Family Market During Uncertain Times

•  The injection of money to keep the economy rolling has caused prices to shoot up
• People need to find the positive in inflation and look for opportunities
• The rental market is boosted due to the challenged housing market
• A tight labor market still exists with 700,000 job openings

[28:12 - 28:55] Closing Segment

• Reach out to the Quatro team!

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Chad Sutton is joined by Logan Rankin for an in-depth conversation about how his company is taking a unique approach to property management. From hiring a president and then expanding from there, Logan has successfully built a vertically integrated business with 2000 units in Wisconsin. Hear him talk about why he chose this route — control over assets, the opportunity for disruption in the industry, and the ability to reposition properties quickly for faster capital returns — as well as the systems his team has implemented for quicker turnaround on service requests and reduced delinquency rates. Learn more about their process of having dedicated teams for specific tasks such as service requests and rehabilitation, using pre-inspections seven days before moving out to maximize ROI and reduce operating costs, and monitoring metrics such as Net Income per Unit (PPU) and Capital Expenditure per Unit (CPU) to understand burn rate and ensure sufficient cash flow. 

Logan is an experienced & strategic entrepreneur that achieved financial freedom by the age of 30. He has built 2 multi-million dollar businesses and owns over 1,900 units valued at over $200 million in real estate. He spent the first decade of his professional working career with a fortune 50 corporation leading retail operations. He escalated quickly through various leadership positions where he built high-performing teams and managed large P&L portfolios. During that time, he led and implemented strategic operational changes at the enterprise level across the US. Currently, he is focused on growing his 3 real estate-related businesses, velocitizing his money, and investing/consulting for other businesses. Beyond his investments, he is passionate about financial education on all levels.

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 06:30] Opening Segment

• Welcoming Logan back to the show
• He vertically integrated his business to have more control over his assets and protect them for the future
• He hired a president of the company so he could focus on building systems and working on the business
• Speed of capital was key, so he built a construction company to reposition properties quickly and increase the value

[06:31 - 15:24] Streamlining Property Management with Innovative Work Streams and Teams

• Property managers wear 25 different hats, so we designed a system where one person or two people are only responsible for a few things and expectations are high
• Delinquency is run out of headquarters with one person, resulting in a 0.7 delinquency rate
• Teams complete 150 units per month, with 10-20k rehabs completed in 72 hours
• Speed is prioritized over cost and quality when it comes to purchasing widgets from outside sources

[15:25 - 28:00] Controlling the Work Stream for Optimal Property Management

• 80-85% of work is done in-house while -25% of work is contracted out
• Cleaning is done in-house while painting is 50/50 in-house/contracted out
• Speed is prioritized over cost
• Process for unit turn includes 60-day notice, 24-hour response, 7-day pre-inspection
• Property management companies should provide an ROI for each type of rehab
• Suppliers should be given 50 days' notice before the tenant moves out to avoid material problems
• The leasing specialist should advertise the unit 50 days in advance to ensure no missed rent

[28:01 - 38:10] Understanding the Balance Between Construction and Operations: Exploring PPU, CPU, and Burn Rate

• Property management companies should provide the ability to rehab units in-house
• Burn rate is when you are investing more than you are taking out, creating a negative PPU
• Net income divided by units and CapEx load are two metrics to look at
• Running out of money or time can lead to trouble in the business

[38:11 - 40:48] Closing Segment

Quotes:

"Part of being financially free is also having control right over your assets. I never felt like I had control over the assets in my 401k. I thought that was more gambling and just hoping right." - Logan Rankin

"You can only be great at a few different things. So what we did is we thought of how we could run these properties in work streams so that one person or two people can be only responsible for a few things. And our expectations should be that they're great." - Logan Rankin

Connect with Logan through LinkedIn, Facebook, or visit www.LoganRankin.com.

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Ian Djuric is the managing member of the Djuric Family Office overseeing the family's real estate portfolio and equity investments for the past several years. The family office invests as both a GP and sole owner and has an ownership interest in over 5,200 multifamily units. Before running the family office full-time, Mr. Djuric had a prolific career as an owner-operator in the waste management industry. 

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 06:27] Opening Segment

• Introducing Ian to the show
• Brief background and career
• Developing build-to-rent communities and storage portfolios
• Investing 10 - 50 million a year in LP checks for land development deals

[06:19 - 14:24] Exploring the Growing Appetite for Build-to-Rent Communities in the Real Estate Market

• The risk profile of buying class A properties versus C and B class properties
• The average cost of running class A properties is 37-39%
• Lower tenant turnover and delinquency rates in class A properties
• Ability to push rent organically without having to spend a lot of money on it
• Appetite for build-to-rent communities due to lack of supply and people choosing not to buy due to high-interest rates

[14:25 - 29:35] Renting Makes More Sense: Exploring the Benefits of Institutional Equity in Build-to-Rent Development Deals

• Partnering with a life insurance company to provide debt and equity up to 92-90% LTC
• Bringing in a passive institutional partner for additional equity at 7% LTC
• Paying a 2.5% acquisition fee and a 2% asset manager fee
• Multi-family deals average 60-80 million but only get 50-60% leverage
• Institutional equity provides no investor reporting, but high fees
• Having prep in a deal can be beneficial when structured correctly
• Two mantras of how to make a return on a deal: syndicated equity or pref equity

[29:36 - 30:53] Closing Segment

• Final words
• See the links below to connect with Ian

Quotes:

"I never did one of the weekend classes or mastermind programs. I just kind of paid for my education by sponsoring the entire deal and getting every single day thing. That I think, is the best education money can buy" - Ian Djuric

"Don't be nervous about having prep. Having prep can be great, especially if it's structured the right way." - Ian Djuric

Connect with Ian through Instagram, Facebook, or visit www.DjuricFamilyOffice.com. 

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.

Chad Sutton welcomes back entrepreneur and real estate investor Reid Goossens to discuss multi-family real estate investing, life with a new baby, navigating the current market conditions, and strategies for success. With his background in real estate, Reid shares his insights on striking a balance between family, business, and health. They also dive into the impact of the Federal Reserve's decision to raise interest rates over the past year and how these changes are affecting the multifamily space. Whether you’re an experienced investor or just starting in the real estate world, tune in for this valuable conversation that will help move your business forward!

In 2012, Reed quit his job in Australia and moved halfway across the globe to the US to change his life, and chase a dream. With limited funds, no investing experience, and no credit, Reed went from purchasing a small duplex to growing his real estate investment firm, SN Property Group. Reed now syndicates large multi-million dollar deals across the U.S.: he has now achieved financial freedom and taken control of his life.

Learn more about ALTERNATIVE BUSINESS and INVESTMENT STRATEGIES through QUATTRO CAPITAL!

• LinkedIn: /TeamQuattroCapital
• Instagram: @TeamQuattroCapital
• Facebook: @TeamQuattroCapital
• Website: www.TheQuattroWay.com 

[00:00 - 05:43] Opening Segment

• Welcoming Reed back to the show

[05:44 - 12:05] Finding Balance in Life

• Having a balance between family, business, and health is key
• Americans are often raised to work to live rather than live to work
• Entrepreneurs should not be afraid to take time off and test their systems and processes
• Hire enough people and put systems processes and people in place to replace you out of the business

[12:06 - 23:46] Inflationary Pressure Causes Standstill in Multifamily Space, Fed Quadruples Interest Rates in 12 Months

• Global inflation is causing pressure on people's pockets and the cost of living is going up
• Central banks are trying to control inflation by raising interest rates
• Cash Flow problems due to rising interest rates faster than business plans can be implemented
• Midterm elections are also causing historically slow market movements
• Increased interest rates are having pain on the single-family housing market

[23:47 - 29:27] How to Make Decisions and Find Buying Opportunities

• Arbitrage between what is paid for a property and the interest rate
• Cap rates will follow interest rates
• Expectations for rent growth may be reduced
• Focus on adding value to an asset
• Hard money has gone out the window in competitive markets
• Fed will have to reduce interest rates to prevent inflation
• Recession is short-term and will pass

[29:27 - 36:00] The Quattro Trio

• What is your superpower?
• • Perspective
• Biggest mistake and lesson learned
• • Standing in my true value sooner
• Links and podcast
• • See the links below
• Philanthropic venture
• • Water conservation

Quotes:

“As you start getting some success and the business starts making money, do you decide to hoard those like a chipmunk to an acorn, or do you go and reinvest in good talent and the business?” - Reed Goossens

Connect with Reed Goossens through LinkedIn, or visit http://www.reedgoossens.com. Check out his podcast, Investing in the U.S.

LEAVE A 5-STAR REVIEW + help someone who wants to explode their business growth by sharing this episode. Find out how team Quattro can help you by visiting www.TheQuattroWay.com.

Real Estate Runway Podcast is all about alternative business and investment strategies to help you amplify life, and maximize wealth! Click here to find out more about the host, Chad Sutton.