Speaker 0 00:02 Welcome to the untold stories of real estate investing hosted by Wayne courageous, a third, a place where active and passive investors come to hear the good, bad and ugly of real estate investing. Our guests consist of experienced operators and investors who want others to succeed by sharing their stories. If you're looking to send the key deals or grow your wealth passively in real estate, you've come to the right show. It's now time, sit back, take minutes on notes and enjoy our next episode of the untold stories of real estate investing.
Speaker 1 00:39 Welcome to the untold stories of real estate investing. I'm your host when courageous, I'm really excited to have James kind of semi with the chief investment group on our show. I see someone, I call a friend and mentor based out of Austin. James has syndicated nine multifamily properties valued over $130 million. In addition, James is a number one bestseller for his book, passive investing in commercial real estate, insider secrets for achieving financial independence. Before we dive further with James, I wanted to ask our listeners to download my intro podcast, to get a full background on this podcast and myself, since it's our first episode, let me provide a high level intro. I'm your host Wayne courageous with 13 years of experience of commercial real estate, managing properties I've enjoyed and been fortunate to have spent my real estate career assisting clients, creating investor wealth through advising and implementing their property strategic plans. In addition, I'm a deal sponsor and founder of a real estate investment company named C R E I partners CREI partners invest in value, add multifamily properties in Austin, San Antonio, and Houston. I wanted to start a podcast, provide an Avenue for me to learn from others, these type of interviews, but also bring that value back to others who share my passion of real estate. The intent of this podcast is to make the path
Speaker 2 01:51 Easier
Speaker 1 01:52 By learning from experienced investors and operators, success and their challenging moments. It's going to go deep into what really is the good, bad and ugly of real estate investing across all asset classes. Lastly, for our frequency of shows, we will have a new episode every other week. I hope you enjoy this podcast and in return, subscribe and share to your network to help elevate our podcasts of the untold stories of real estate investing. Without further ado, I'm honored to have James kind of signed me on our podcast. Welcome to our show, James. Hey, happy to be on your show. Yeah, it's a big one. It's the first one. So you have a lot of experience with this, with your, your very popular podcasts. So just wanted to welcome you and thank you for being on today. Yeah. I'm happy that
Speaker 2 02:34 You have taken the step, not to really, you know, give out content out there to any listeners, right? Who's going to be resonating you too. I'm going to learn from you and from the guests that you're going to bring. Right. So that's a really good value that you do to your listeners. And I'm sure you're going to get a manifold of value given back to you as you move forward in this journey.
Speaker 1 02:55 Well, just real quick, I want to thank you for all that. You've done me back in December. I took a webinar of yours regarding real estate taxes. And you had mentioned your mentorship program. So I want to do a shout out to you and your mentorship program started your program in January, and I've really, really enjoyed it. And, uh, I appreciate your guidance and your weekly calls. And, you know, I think that adds a lot of value. So anybody out there that's looking to get into, into a multifamily syndication, you know, James has been a, been a great mentor for me, so thank you for that.
Speaker 2 03:27 Yup. Yeah, I really don't promote a lot of my mentorship program. Not like some of the gurus out there, but it isn't exclusive. It's very focused a lot on being an operator at the same time, raising money, doing asset management, property management. It's not many people teach, but that is the most important thing right now, right during the COVID-19 recession. Right. So yeah. I mean contact me if you guys want to know more, let's start with the podcast.
Speaker 1 03:53 Yeah. So for our listeners, can you introduce yourself and provide a bit more of background of how you started in this industry and what asset class do you focus on?
Speaker 2 04:01 Sure, sure. I focus a lot on residential and started with my w two job. Right? And then, um, three years ago I left my w two job working full time on real estate, but I was doing real estate along more longer than that. I think six years ago is when I started my single family journey.
Speaker 1 04:17 And
Speaker 2 04:18 Two years into my single family, I jumped up to my multifamily journey and my single family, I think I had like 13 houses and it was just so much a work with single family. Right. And I see somewhere we need to scale, right? So we started looking at multifamily, had a goal at the end of my single family journey where I said within six months, I'm going to buy a multifamily. Right. And it's hard to penetrate into multifamily asset class. Right. But you know, we use a lot of off market strategies to find our first deals, first deal. And we started with 45 units. And then now we own almost 1700 units in central Texas
Speaker 1 04:59 And in single family. So over a few years you acquired 13 properties. What did you like about single family? What'd you not like, obviously there was a scaling factor that you wanted to, to grow your wealth a lot faster, but for those that are starting out in single family, what were some good and bad things with that investment?
Speaker 2 05:17 Oh, a single family is awesome. Right? Uh, you can, you can buy deals out of anywhere. There's a lot of single family houses. You can buy a deal on your own. You can go and get a loan up like 10 loan per person on underfunding. May the normal housing loan. Yeah. I liked it because you can find deals everywhere. Right? I mean, not say it's easy to find deals nowadays anyway, but you can buy like one at a time. Right. And it's all within you. Right. You own the whole house by itself on your own name. Whereas on multifamily, we do a lot more syndication because it's much more higher value asset class, right? So, and single family, you can find really good cash and cash and cash. Uh, the return compared to multifamily, if you just look at cash and cash. But the reason why I was went to multifamily compared to single family, uh, you know, I was reading when I was doing my single family.
Speaker 2 06:08 I was like, I was making like 30 to 50% cash in cash, which is crazy, right? I mean, how can you get that? But, uh, and I had few in financial returns too, because we do very little money, zero money into our single family. And, uh, come to multifamily. I was how many people are talking about eight to 10% return, seven to 10% return cash. And Ken, I was thinking, why should I go to multifamily? But know, after one week and I was doing all kinds of calculation, can never figure it out. At one point I realized, Oh my God, multifamily, there's something called NOI and value. Add
Speaker 2 06:39 Where you can basically put your sweat equity into that asset class and push up the value of that asset by doing something called a value add strategy. Right. So, and you can go refinance out and you can take out the money. You have almost a free building or a building with very, very little money. All right. You can still do that in the single family as well. But I think the single family is know your value of the asset. It's really based on the comps surrounding it. Right? So when you build a palace in far off, all the other houses surrounding it, your palace might be maybe 10% more than then the rest of the houses, right. Because that's how single family business work. Whereas multifamily is all based on the income that multifamily is producing. And I think it's very important that, um, you know, you can, you know, if you are really good operator or a businessman, you can basically do all kinds of strategy to push up that income on multifamily. And, uh, you know, you can really make a lot of money on their family for you and also for your investors.
Speaker 1 07:43 Yeah. So you've got the levers of increasing revenue through rents and finding miscellaneous income while trying to find efficiencies within the property to lower expenses to drive up your net operating income.
Speaker 2 07:56 It's a very interesting business, right? Because now you're able to use money PSE, so many levels to really change the value, but a single family, you can't do that. Right. Or you are your after repair values after repair value, that's it. Right. Everything is based on the comps.
Speaker 1 08:10 Yeah. And then, you know, a nice thing with, uh, with multifamily is you have multiple streams of income. Cause there's multiple units. You know, when I owned a rental property in California, you know, when our tenant moved out, it was, there was no income coming in. Right. So the stress level of trying to release and, and renovate to get that property back on the market is, uh, you know, you're putting all your eggs in one basket with single, you know, one property versus, you know, when you have multiple units to rent.
Speaker 2 08:36 Yeah, yeah. And scalability, right? I mean, Malta, I mean, single family, of course you own everything you go and, you know, take care of the tenants and you know, you, of course you can use contractors to do the construction. Whereas multifamily, I think it is a business, right. You can have an employee working on the site on site and you can scale quickly because now your time, your time can be leveraged much more efficiently. Right. So you can do bigger deals, more deals. And, and one of the most important aspect of multifamily, I mean, I know we started with single family and moving to multifamily, but I just want to put a contrast because it's very important here. Right? So a lot of times family, a lot of the loans, which is offered by government agencies, which is like almost 93% out of the loan out there is offered by government agencies, which is like Fannie and Freddie Mac. They all are non-recourse loans, which means, you know, in case the economy goes down, the, you don't have any personal guarantee on that, uh, investment. Right. They will go after the asset, they will not come after your house, your car. So it's a basically it's called nonrecourse loan, which is basically the borrower. I'm not personally liable for that loan.
Speaker 1 09:42 Well, and yeah, that's a huge benefit. So if you're not able to make your debt service and you default on the loan, you're saying that with the non-recourse, you know, they're going after the property, you're handing the keys in figuratively to the lender and they're not coming after you or your, your investor. So it's definitely a great benefit.
Speaker 2 09:59 Yeah. Yeah. Of course. There's bad boy, cower. I mean, you can't do frauds and all that. Right. So this is for something that's completely out of control and all that. I mean, imagine now with COVID-19, if I have a recourse loan, I mean, all my loans has been non-recourse right. Because I know the market's picking and, and that's what I teach you guys too. Right. I mean, at this time, do not do recourse a recourse loan, right? Uh, modern market is recovering back. That's one of the best time to take a lot more risk, but you know, in the past three, four months, and then for the past one year, I've moved all my deals to a nonrecourse loan to reduce resent and I can sleep peacefully because it's all non-recourse.
Speaker 1 10:37 So we are going to transition to multifamily. But for those that are getting into single family or wanting to buy their own property, what are some major pitfalls to look out for? Whether there are any times where, you know, you got burned or you're, you're just like scratching your head. Like, how am I going to get through this with your single family? Or did it overall go pretty well?
Speaker 2 10:55 No, no. There's no such thing as overall going pretty well. If it's easy, everyone would be doing and making a lot of money. Right. There's no such thing. I mean, do not believe the gurus out there who's presenting from the stage and asking them to buy education costs because it's all easy. There's no not thing. This is very, very hard work. Right. So yeah, of course we had a lot of pitfalls, a lot of learnings, even in single family. And some of it is like where we have, I think I did all 1390, 11 rentals and two of it was flipped. So the flips is one thing that I really regret, but it was so stressful. I mean, on one fleet we made almost $40,000 on another fleet. We made negative thousand dollars, which is okay. I mean, you still made a lot of money on the flip side, but the amount of stress that we have to go through on the flavor is just so painful.
Speaker 2 11:42 Right. So, so yeah, flips were very hard to do. A rentals was a hard to do because you're managing residents who are renting, but, you know, because of the timeline and because of we are taking it slow and we know you're going to get that one year rental, a payment rental payment so that we can avoid the tax and all that counting and gives us less stress on the rentals. Yeah. Contractor management was really hard on all these deals. You went on single family. In fact, contacted management is one of the hardest thing to do just are not easy to manage contractors on a single family level. They always disappear. They always, uh, you know, miss code, you, they always, you know, do a change order and ask you for more money. So many other problems. That's some of the key learnings that we have learned in single family
Speaker 1 12:29 And y'all manage the, all the homes yourself. I mean, that could, I mean, having 13 families in the homes and you've been on call 24 seven, you know, how was that like? Or did you, or did you outsource the management?
Speaker 2 12:41 No, no, no. We did our own managing directly the residents, because I mean in the beginning is it's always hard, but after one to two years, you know, it becomes easy because people already use to staying in the house and you know, everything is following up, you know, as it is. Yeah. We didn't outsource it. We did also, I mean, it was hard to manage that many people, but single family residents are much better than apartment residents because in a single family, rents are higher, which means the, the renters base is also paid higher. So there with more well to do, compared to apartment residents. So it was still painful since that's how, uh, you know, one of the new, new ventures right from after I am being a w two employee though. So it was hard, but we were able to manage it
Speaker 1 13:27 Well, uh, transitioning over to multifamily, you continue to syndicate larger and larger deals behind all the good and the opportunities that, you know, investors have been benefited from over the past few years, you know, where are some challenges that you were put in a position that made you think, how am I going to get through this?
Speaker 2 13:45 Presumably asking one multifamily, right? What are the challenges, sorry.
Speaker 1 13:48 Yeah. Transitioned over to multifamily, you know, with all the good, is there something that you want to share the listeners on the lesson learned, or, you know, just a time where you were you struggling to get through it, obviously you did. Um, and you came out better for it, but any
Speaker 2 14:04 Oh yeah, sure. Yeah. There's a lot of things that didn't go. Right, right. So, yeah, it was a lot of finding the deals are really hard because a lot of times when you are newbie on a multifamily business, you know, you don't get the respect of the brokers. Most brokers, does anyone want to talk to you? And I, and I feel that frustration, you know, because people say call the brokers called the brokers, rebuild a relationship. And every time I call them, they're not really listening to you. They may be, they may be talking to you on the phone, but they're not really listening to you because they know this guy is a new guy. You know, who's trying to find, to buy, you know, multimillion dollar deal. And they're not going to risk a hundred to 300,000 off commission with a new guy. Right.
Speaker 2 14:45 So, so it was a bit frustrating because I realized that after a few calls with the brokers and, and I realized I have to figure out some other way to penetrate into the market. So that's what I started doing my own off market strategy with some of the things I teach you guys. Right. So, you know, I think it's very important for first few deals to be really, really good, you know, rather than just buying from the brokers and, you know, reading, reading, and yourself reading until the maximum price and out of the day, uh, you, you, you win the wall, but you lost the battle or maybe the other way around. Yeah. I knew you have to really pray hard to market to carry up. So Katie, you up to make sure that your, you know, your property cash flows, right. Because you've paid so much.
Speaker 2 15:27 So yeah. That's one biggest thing, right? Finding the deals was always hard finding the right staff was always hard, right. I mean, I know we said you can put a star and then we can get a property manager and then move on. But we chose to self manage. And that has been, always been something that we want to do because we do a lot of difficult projects. We do a lot of value at deals, which needs quick turnaround, and we want to move quickly to right. So, but involves a lot of hard work for us. So, and finding the right people has always been hard. So starting with 45 units, we had a full time manager, but part-time maintenance. And after that, after that we have all full time, you know, maintenance and manage it, but just finding the right people has been always hard. These are the, some of the, you know, hard part on multifamily.
Speaker 1 16:09 Yeah. And then with multifamily, I mean, you're, you started out with what 45 units, knowing you, you, you went through every unit to inspect and you know, you check in the roof, you check in the, the age and the, the HPAC equipment, but are there things that new investors or even existing investors with infrastructure, things that they need to look out for that you've experienced as a junior?
Speaker 2 16:33 Yeah. A lot of things, right. I mean, things like roof know how old is the roof, whether the roof was damaged by hail, you know, we had a case where we missed that part on one of the property and, you know, we had to put a lot of money out after we closed just we didn't do a good inspection. So that is something we learned order to make sure we do a thorough inspection. Some of the things in the due diligence, like, you know, sewer line breakage, you know, you have to make sure that you get someone to scope all the sewer lines. We, until now we didn't have any issues with that. Some of the older properties in the yard to be watch out with the whole piping system to make sure that it's not too old, as calcium with dub know, it can cause a lot of issues in terms of water, circulation, and distribution.
Speaker 2 17:20 So we had some issues there and just in general, just the knowing the tenant demographic, right. Sometimes we missed, how many of you see the almonds are occupied, but you know, they may not be occupied by real tenants. Right. Real qualified tenants, right. Because, you know, during, during a sale, I mean, all sellers and are they put in all kinds of people to fill up the property just to sell, right. But once you sell it, now it's your responsibility to turn around the property. So these are some of the things that you have to really watch out when you're doing due diligence on multifamily.
Speaker 1 17:49 So for active investors.
Speaker 2 17:50 So one of the most overlooked aspects of real estate investing that can cause investment mistakes that you see in the industry. I wouldn't say overload, but I think over aggressive, uh, especially people who are coming new into the industry, they always like, yeah, like a, what you call a, you know, they try to achieve the proforma numbers on paper, but, but that may not be reality on the ground, right? So that's one of the most overlooked, uh, almost, uh, miscalculated judgment call by sponsors. Cause it's very hard. You need a lot of experience to really match the tenant behavior on Excel. Whenever you do modeling, because that's what we're doing, right. When reading, modeling, you know, spreadsheets and spreadsheet, but you're basically modeling how the panel will behave compared to your capital injection, your renovation and whatever you're doing to the property, how are they going to behave?
Speaker 2 18:41 Right. So it needs a lot of, uh, experience because you have to look at whether the tenant can pay for it or not, whether they're willing to pay for it or not. Is there any of the competition or surrounding standing new construction coming in and what kind of, you know, you need size, you have, will, they want to pay that many amount of money for that unit size. So a lot of things you have to consider in terms of modeling that tenant behavior on an Excel spreadsheet. And that's, that's one of the hardest part in underwriting.
Speaker 1 19:08 And how does passive investors, when they're trusting the active investor to underwrite properly, what are some questions that you feel at passive investors should be asking to just get a sense of like, Hey, is this a one? Does this person know what he or she is doing? And to, you know, is this something I feel comfortable in investing with?
Speaker 2 19:27 Yeah. I mean, for passive investors, they have to understand 90% of any deal is the operator, right? So they have to have bet on the jockey that in the operator. So the 10% you can definitely ask questions about the day, like, you know, what kind of location is it? Why do you think this location is good? When most of the time the operators should cover all that when they present that operator to the passive investor, right? Why the location's good. And you want to find, I mean, as a passive, you really want to understand what is the play here? What is the value add that the operator is talking is the value add is because we have cheap money right now that we're printing so much money. The mortgage rate is so low. It's the value that is on the rents. The rents are low and this is fine compared to this calm surrounding it is the expense to hide. Now these operators going to go and fix it. Yeah. These are the things that they want to know from, from any presentation or any deals that the operator give it to the passive investor.
Speaker 1 20:22 One thing, you know, reading your book about passive investors, it's really also, they need to find out what is their goal and their strategy. I'm investing. All the investors obviously are look for capital preservation, but some are willing to take a bigger risk, right? To, to grow an equity and have a future higher payout. And you're five or seven. Whenever the end of the strategy is verse somebody who is looking maybe for a nicer property that has stability, more stability, less capital, but in return, less risk. Are you seeing any of your passive investors as each year? You go on, are you seeing any of those of your investors or yourself going more towards a stable assets? Are you looking at continuing to look for those true deep value, add opportunities?
Speaker 2 21:09 A lot of my investors wants both. They want deep value add at the same time they want cashflow, right? So they have some investors who just said, I would just want to give me like any type of a deal. I just get cash flow. A lot of them, uh, you know, they want both, especially when I bring deals, I bring a combination of both. I don't do too much of a high risk deal. Is this too much of a, you know, no cashflow deal. I usually bring some white middle ground, which effect combination of investment, right. Moving forward post COVID. I probably will take much higher risk deal, which means much higher returns as well. But, you know, I didn't do that for the past two years before COVID because I know the market is going too high and I want long term loans and you know, more predictability in terms of our risk. But yeah, my versus a, you know, they, they, they look for both.
Speaker 1 21:58 Well, and then you mentioned the post COVID-19 environment. How has achieve investment group adapted to your operating the existing properties and buying new properties? Are you looking at different asset classes or, you know, what in general has changed since a few months ago?
Speaker 2 22:12 So I think in terms of operation, we have taken an approach of, uh, you know, filling up our property as high as possible, as much as possible, right. Because right now there is no eviction process, right. And our delinquency, I mean, we are like 1990 2% collections, right. From what we supposed to get. So, you know, the higher occupancy days, the higher, you know, collection's gonna be, so we're just, you know, pushing everyone to release as much as possible because then also reducing all the MTV. So I might not increasing. So a lot of MTVs are either not living or living less compared to what they used to be right now. And we are trying to be very careful with our capex budget and only do what's the bank is asking us to do and nothing really discretionary. I mean, we don't do discretionary at all, but we are really being selective with the projects.
Speaker 2 23:00 And also we are really pushing all of our staff to Lees, Lees, Lees as much as possible at the same time, collect, collect, collect as much as possible as well. So we are basically looking for some really good opportunities coming up, but you know, how do you take advantage of the studies? That's what I'm, you know, cracking my head right now. I mean, no one knows how the market's going to be, but I do know they may not be a lot of deals in multifamily, but there could be a lot of deals in multifamily, too. Right. Multifamily right now is being supported by the government money, right? Until until July, right. From April to July, that's additional $600 of employment per week, right. On empire people. Right. So because of that, people are paying a lot of their rents after July, hopefully that everybody go back to work or they still get more money from the government until things got stabilized.
Speaker 2 23:47 So, but there will be people who are already in trouble before, you know, Kuwait, you know, they just continue to be in trouble, right. That other people's going to be, you know, in the next few months you gotta say, okay, I'm getting out for finally, right? Because I was on trouble and now it made it worse. Now I did took a lot of cash out of their pocket and to sustain the operation, they, and once thanks to become a bit stable they'll they want to get out quickly. So there will be opportunities from that aspect in multifamily. There's also other aspects that are, you know, hotels. And if you find some hotels and now you can buy price, but you have to know how to operate hotels and you are not operated as dial out, but you can partner up with people, Oh, you can look at hotel conversion to apartment as well. Right. So that's another one. Alright. If you can find some way in good location and good cities, that'll be a really good place as well. So yeah, I'm basically looking for people who need help, uh, you know, either to buy out their deals and, uh, you know, so that we can buy more. But we are really, really focusing a lot on our operations right now, which is what all operators should be doing. There's not many deals, which makes sense right now. Uh, and I just, at this time,
Speaker 1 24:58 Yeah. So what I'm hearing, especially on the operations side is just being very mindful of the spend if there's not a value creation at the end of it, right. Yeah. Correct. And then for existing, your tenants that are existing, trying to have them renew or, you know, stay in the property. And one thing that has, has helped is having our relationship prior to COVID and having just that relationship with tenants, doing a good job, handling their work orders, you know, all those things that make them have a good taste in their mouth about, you know, staying at the property longer. Right? Yeah, yeah, absolutely. Absolutely.
Speaker 2 25:34 Thailand do appreciate good management. And this is when they're going to really appreciate you back. Right. I mean the eviction laws and you can force them to pay, but now there's that thing doesn't exist. Right. So you'll see a lot of property management company, a lot of assets, which didn't take of tenant and now the tenant is going to take revenge. Right. So, cause they know you can't even me and you didn't treat me well previously, so I'm not going to take care of you. Right. Because I'm going to get out, I'm just not going to pay because you can't leave with me. Right. So, so yeah, it's always important to take care of the residents in the property.
Speaker 1 26:10 So a gene investment group, correct me if I'm wrong, but the focus has really been on class B, maybe C plus, but mostly in the B area where there's true value, add opportunity other than maximizing potential, the potential of maximizing wealth at the end of the, at the end of the five years or the whole period, while you renovate, when you're comparing it to class a and let's just say a class B class a and class B what's the elevator pitch for both right now for investors. And is class a in this post COVID environment, better than a class B in your opinion?
Speaker 2 26:46 I think in my opinion, well, we always taught that class B and C is the darling of the multifamily class. A maybe not the new construction, not a plus, but class a minors probably would be a good play as well. I mean, I still believe class a minus is a good asset, but during COVID-19 a lot of people who lost jobs are the class B and C people. Right. But I think a, you know, class a, you know, people can still work from home and all that, but you know, if the economy continues to go down like this, like what we have right now, a class a will be impacted as well. Plus B and C may be able to go back to their work because they, they live on paycheck to paycheck and yeah. More, you know, paid lower. Right. So a lot of people can take them back, whereas class A's and a much more higher paid and a lot of companies and it might be impacting class a later on.
Speaker 2 27:36 So yeah, I would say, you know, the elevator pitch is do class B more because that's in between class B a and C, but as long as you buy dried, you budget your capex. Right. You know, you should be doing very well. I mean, when you buy class a right paid rights, new asset, no, there should be, it's not like people leaving class a right now and going to class B and C, I made it didn't happen. Right. But you know, even classy, you know, if you have budget, uh, you know, reserves and reserves and capex budget, now you should be okay.
Speaker 1 28:07 So shifting gears a little bit, when you started, we've talked in the past that you woke up really early in the mornings, cause you had a w two job and you're trying to make it all work. What were some of those routine habits that helped you stay focused and helped you keep motivated when you were juggling a lot with raising capital finding deals and just building the foundation for your success, how did you juggle it all? And what, what are some habits that you recommend others do?
Speaker 2 28:36 Uh, I think, you know, in the Mo well, yeah, when I was working W2, you know, it's, it's a, it's a very interesting time because I was doing W2 and I also want to do this business, which I know can be a Parkway to, you know, generational wealth. Alright. W2. There's no, it's always a cap. Right. Well, how much guy can you go? Right. There's always someone on top of you and your pay is always kept. Right. And, uh, and I like taking risks. I like being a creative thinker. And uh, that's why I said, I'm going to do some kind of business. Right? So when we decided on real estate, we say, how are we going to do it is because now we want to up quickly at the same time you had to take care of W2's. So I always wake up very early and put my mind into, you know, if you read this book called the miracle morning, they talk about doing like five different things.
Speaker 2 29:24 The savers, I think some of the meditation visualization. So save as a silence. Formation is for a viz for visualization. I can't remember what is he? Right. And that's another aspect I've completely forgot, but you do these five things and you can get your mind focus early morning and wake up early morning. It'll be, he'll be surprised to see how much focus you can have within the next on a one to two hours before you go into, into your routine. W two job, right? So the power of that hours, you know, when you wake up early morning, let's say we were a couple like four 30 or five, and we'll say you do all this for 30, 40 minutes. And let's say at six to eight, you know, you can do a lot of work focused work, which can be very, very powerful for your growth right. In another business. So that's how, that's what I did. You know, that was very helpful. Yeah. It's a lot of work, a lot of sweat equity. Um,
Speaker 1 30:21 And you know, you really have to enjoy what you're doing, right? I mean, it, you can't, it needs to really be a passion. It's gotta be more about money. And for me, and same with you, it's that, you know, real estate is, it's fun. It's a hobby, it's, it's a job, but it's also a way to do something that you enjoy every day. And Oh, by the way, it helps others make money and helps you make money. But that's not the end of the day, the underlying cost while we get in, we just, we love real estate and what we do and look at the impact that you, you will put in
Speaker 2 30:51 On a people, right? I mean, when you're working for someone you are within that domain, right? You probably will work on a project on an asset. No, you're just an employee, right? When you go out there and when you are being an entrepreneur and you are, you know, buying a deal, which needs help, first of all, you're helping the deal itself. The asset itself, right? You are remodeling the property. Second is your, you are basically contributing to the community surrounding it. And you're contributing to the community that staying in that assets and you are actually giving jobs to people who are coming and doing construction in your asset. And you're also helping lenders make money. And at the same time, uh, you know, you are just all the vendors that, you know, coming and, you know, selling things to your community, you know, they are making money.
Speaker 2 31:39 And so the, the, the quality of life for all this, you know, four to five groups of people and the amount of influence that you, you personally putting into all these people is huge. Right? So gives you a lot of fulfillment and of the day, right? I mean, yeah, of course you can make money out of it, but your money doesn't come to the grave. Right. So your fulfillment comes to the crave, right? So one day when you're really only little bit thinking, wow, I've made that much of impact to the community. Right. So, and that's what makes a lot of people happy. Yeah. You can work for a long time in a, in a job. There's nothing wrong. I mean, I worked for almost 20 something years on a job, and I really enjoyed it by this always ceiling. There's always a, you know, your influence is so limited to, within that domain, right. That small domain that you're talking about probably four to five people, and you are just a small fish in a big thing. Right. So here you are, the, you are the big fish. Yes. Right. So, so do you see a lot of fulfillment? Yeah. That's a great perspective,
Speaker 1 32:40 Especially thinking about all the value you can add in other people's lives. So, you know, as we start closing up on our podcast on a positive here, what are, what are some of your proudest moments investing in real estate?
Speaker 2 32:51 Howard moment is giving jobs to people. I mean, I mean, not in multifamily when I was doing my single family thing, either my third house or my fourth house I went to, by the way, nobody ever asked me this question. Yeah. Correct. So, but I always had that in my mind. Right. So what could a fault house? I went to this house and, uh, I saw, I saw my contract at my GC AGC and I saw another guy behind him. He was a really old guy, you know, it's like very old Verity in any sweeping, sweeping the Hollis and I was secure, Oh my God, the impact that I'm making this person live is huge. Right. So, I mean, otherwise who's going to give this very old man a job. Right. And because of me, he's having a job. Right. So I was just so proud to be making an impact on other people's life at that time. So that's one of the proudest moments that I always have in my mind.
Speaker 1 33:55 Well, James, I appreciate you being our first guest and, um, appreciate your insights. Are there any other items you want to share on the show or
Speaker 2 34:02 About your company? My company. I mean, you can reach me at achieve investment group achieve like ACH I E. Achieve investment group.com. My email
[email protected]. You can get my
[email protected] is called passive investing in commercial real estate. And, uh, one of the fastest way to get connected with me, just texts. Uh, three eight, four seven zero texts achieved two, three eight, four seven zero. Uh, that's uh, that's the newest geek. I have to get people to connect with me. If the texts achieve two, three, eight, four, seven zero, you should be able to get connected with me through my email. That's it data I'm available in Facebook. We have a 5,000 member Facebook group called multifamily investors group. I'm in LinkedIn. My podcast is called achieve wealth. The true value of relisted investing. Yeah, I think that's, that's the, the whole gamut of what I do.
Speaker 2 34:58 Right. And, and on top of that, I doing, I do mentoring as well. And my mentoring website is achieve-academy.net. And I'm going to be soon launching a passive investor costs, which is going to be awesome. It's going to be so of valuable, uh, passive investors. And I would really encourage you guys at least listen, and look at that passive investor calls and learn how to invest passively because you know, it's not easy to get information about how to strategize or what are the tactics for passive investors. There's a lot of books on active investors, passive investors.
Speaker 1 35:38 I'm going to be a very interesting time there. Yeah, that's all sounds great, James. I really appreciate all that you do for others. Adding value, educating and just making this multifamily industry real estate industry in general. Better for also thank you for being on our show and we'll talk soon. Absolutely happy to be here. Thank you.
Speaker 0 35:58 That's all. For this episode, we hope you subscribe, share and leave a review of the show for more information about passively investing in multifamily apartments, check out Wayne's free ebook by going to <inaudible> dot com or slash ebook. Also follow us on Facebook by searching C R E I partners. This was the untold stories of real estate investing.
