BiggerPockets Real Estate Podcast

Copyright: © Copyright © 2023 BiggerPockets LLC, All Rights Reserved. Disclaimer: The information contained in this podcast is for general information purposes only. In no event will we be liable for any loss or damage derived from the information provided.

Latest Episodes:

390: 7 Figures from ONE Deal with Leka Devatha Jul 09, 2020

Show notes

From fashion design work in India, to a corporate career with Nordstrom... to leaving that career to flip 40+ houses in 6 years – all in one of the hottest markets on the planet!

Seattle investor Leka Devatha has quite a story to tell, and a lot of hard-won wisdom too! From her 6 tips for finding and keeping great contractors, to the exact criteria she uses when looking for a flip opportunity, Leka spills the beans and outlines a framework you can apply whether you choose to flip, BRRRR, wholesale, or buy and hold.

We cover a crucial tax tip for anyone hiring a contractor, ever. Leka shares an unexpected silver lining brought on by the pandemic. And your mind will be blown when she tells how a "cosmetic" flip opportunity morphed into 3-year odyssey and wound up rewarding her with a 7-figure (yes, 7-figure) payday.

Give Leka (pronounced "LAY-kuh") a follow on Instagram and let her know if you appreciate this episode... and make sure you subscribe to the show in your favorite podcast app, so you won't miss the next one.

In This Episode We Cover:

Flipping 40 homes in 6 years
A "cosmetic flip" that turned into a 7-figure (!) profit through the magic of subdivision
Why you should get to know the land use planner in your city
Leka's system for finding and retaining great contractors
How to start a real estate meetup
Why virtual networking amid COVID-19 is more efficient
Why she pays her broker a commission even if she keeps a house as a rental
Leka's criteria for a great flip opportunity
What W-9s are and why it's so important to get them signed up front
And SO much more!

Links from the Show

Check the full show notes here: https://www.biggerpockets.com/show390

Learn more about your ad choices. Visit megaphone.fm/adchoices

389: He Changed His Strategy & Is Now Making $1M/Year! With Mike Simmons Jul 02, 2020

Show notes

Are you tired of toiling in the trenches... and ready to run a business that cranks out profits without your constant involvement?

That's what today's guest has managed to do! In this episode, Michigan-based investor Mike Simmons shares exactly how he went from moderate success to $1 million in annual profit.

You'll learn why Mike switched gears from flipping to wholesaling real estate, what he's learned from spending hundreds of thousands of dollars on various marketing channels, and the four-point checklist you must use when considering any kind of partnership.

Ultimately, expert marketing tactics are fine and well. But to scale, you've got to master leadership and hiring—topics Mike covers in great detail here and in his new book, Level Jumping.

So pick up a copy (see link below), and share this episode with a friend, family member, or fellow investor who you think would enjoy it!

In This Episode We Cover:

Mike's remedy to cure a bad case of "analysis paralysis"
Why he switched gears from flipping to wholesaling
Why wholesaling is NOT always a great thing for newbies
The marketing channels Mike uses to do 100 deals per year
Ultra-specific direct mail tips (from a guy who's sent hundreds of thousands of dollars of direct mail!)
What most do wrong with direct mail marketing
How he made a $50K assignment fee and the key lesson he learned
Hiring and managing transaction coordinators
Hiring his first salesperson on a "straight commission" pay structure
Using personality assessments like DISC and Kolbe when hiring
Why intelligence is not the most important predictor of success in real estate investing
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show389

Learn more about your ad choices. Visit megaphone.fm/adchoices

388: The 7-Step “Playbook” for Scaling Your Real Estate Business With AJ Osborne Jun 25, 2020

Show notes

Do you dream of stepping back from the day to day and working on your business rather than in it? Of course you do!

AJ Osborne has achieved that goal—and having experienced a harrowing health emergency that incapacitated him for months (see show 286), this Boise, Idaho, investor is ultra-qualified to discuss the value of documenting, delegating, and streamlining your real estate business so it can run without you.

AJ owns and operates over 1 million square feet of self-storage. Today he breaks down the seven-step process he uses to improve operations, unlock hidden value, and scale fast.

If you're thinking, "I don't do deals that big," rest assured: AJ reveals that he actually lost money on his very first deal but gained a ton of wisdom, which he's generous enough to share with us today—and which applies across the board.

Plus, AJ shares a tip on financing deals that may totally change the way you think about growing your portfolio!

Check him out, and pick up a copy of his book, The Investor's Guide to Growing Wealth in Self-Storage: How to Turn a Real Estate Asset into a Thriving Business.

Learn more about your ad choices. Visit megaphone.fm/adchoices

387: Time Freedom Through 7 Deals in Her First 3 Years With Megan Greathouse Jun 18, 2020

Show notes

On today's show: the massive impact of just a few flips and a few small multifamily rental properties.

Starting in 2017, that combination allowed our guest Megan Greathouse to step aside from her W-2 job (her husband still works) and spend much more time with her two young kids... all while dedicating just 5 hours per month to self-managing her portfolio in St. Louis.

Want to know how she did it? Megan spells it all out in this episode and provides the exact tools and templates she uses to maximize her efficiency—enabling her business to serve her and allowing more time for what really matters.

Give Megan a follow, and share this episode with a friend, partner, spouse, or family member who you think might enjoy it!

In This Episode We Cover:

Starting out with a fourplex
Investing with a full-time job and kids
The P.R.O.P. system for property management
How Megan and her husband use the "2 in 5 Rule" to avoid capital gains taxes
How she uses real estate to create time freedom and hang out more with her kids
Flipping an old house near Washington University in St. Louis
A BRRRR "fail" (contractor issues) that turned out OK
Lessons she learned in the military
The key to avoiding analysis paralysis: "Get to 80% and go!"
Buying a 60-acre farm outside the city
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show387

Learn more about your ad choices. Visit megaphone.fm/adchoices

Still Doing Deals... Thanks to These 2 Pivots With Marcus Maloney (Part 2, Post-Coronavirus) Jun 12, 2020

Show notes

Yesterday, Marcus Maloney showed us how he built his deal-finding machine. Today, he tells us how he's hanging onto it by making two big shifts in his business.

When the pandemic hit, lenders got nervous... and that put a couple of Marcus' deals in danger. So did he give up? No! He tapped his own network of private lenders to provide financing to his end buyers—a win-win-win.

Plus, Marcus tells us why he's shifted focus to the Midwest since we first spoke and how he worked out a deal with a "great tenant" who wound up unemployed and unable to pay rent.

Wondering how to adjust your business to the new normal? Check out this episode, and subscribe to the BiggerPockets Real Estate Podcast so you won't miss the next one.

In This Episode We Cover:

The problems Marcus ran into in mid-March
How he plugged the gap with private money
Developing relationships with private lenders before you really need them
Why he's concentrating on a lower-priced market
How he negotiated with a resident who could no longer afford rent
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show386-5

Learn more about your ad choices. Visit megaphone.fm/adchoices

386: Starting Out With $200 and Investing for Profit AND Cash Flow With Marcus Maloney (Part 1, Pre-Coronavirus) Jun 11, 2020

Show notes

From "bad drug dealer" in his youth... to earning a master's degree, then jumping into real estate at age 36 and crushing his first deal!

Today, Marcus Maloney shares his wild ride in Part 1 of two episodes this week. This one was recorded before the coronavirus pandemic, so we don't discuss that topic. Tomorrow, we'll dive into how Marcus pivoted to keep doing deals in these trying times.

In this episode, you'll learn how Marcus used just $200 to launch his career, how he acquired nine rental properties, and how he's completed dozens of local (Phoenix) and long-distance (Chicago) real estate transactions.

He also discusses the strategies he's using to generate leads, how he builds trust with both sellers and buyers, and how he works with acquisition managers, who take a cut of the deals they bring him.

Plus—the guys have a great conversation about performance coaching and why the thing that's holding you back probably isn't something you're going to fix at a real estate boot camp.

Marcus was nice enough to take some time out from riding his Harley to share some of his hard-won wisdom, so say hello to him on the BiggerPockets Forums, where he's a frequent contributor.

And don't forget to subscribe to the BiggerPockets Real Estate Podcast so you won't miss the next show!

In This Episode We Cover:

How Marcus "flipped piglets" as a boy
How a rescinded job offer led to him to pursue real estate
The personal development he had to do to become a successful real estate investor
Direct mail marketing
Closing deals on the phone
Attracting partners by creating valuable content
Why Marcus lives in Phoenix but buys rentals near Chicago
What separates successful "bird dogs" and wholesalers from those who give up
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show386

Learn more about your ad choices. Visit megaphone.fm/adchoices

385: Once Homeless, Now Investing in an Expensive Market (With No Money of His Own) With Greg Gaudet Jun 04, 2020

Show notes

Flipping with no money down... in Hawaii? You heard that right.

Greg Gaudet actually considers himself "risk-averse" and still holds a full-time job, but he's able to make nice chunks of change by hustling to find deals and managing rehabs for Brandon's team on Maui.

Today, Greg walks us through his journey from "rock bottom," including bouts with addiction and homelessness, to living the life of his dreams, buying a Porsche cash, and owning a handful of properties free and clear.

You'll learn the right way to approach investing in condos, how to bring value to a potential partner or mentor, how Greg manages risk by keeping his living expenses low, and the mindset shifts that allowed him to 1) get clean and 2) "get out of his own way" in the real estate business.

This is truly one of the most powerful stories we've told on the BiggerPockets Real Estate Podcast, and it's guaranteed to get your wheels spinning!

In This Episode We Cover:

How tragedy shaped much of Greg's early years
Bad advice he received when jumping into investing
What to look for (and avoid) when investing in condos
How Greg bought a condo for less than 50¢ on the dollar
How he and Brandon structure their flip deals
How anyone can flip without risk—if they're willing to work
Greg's "why" (and his paid-for Porsche)
How to approach a mentor without making it awkward
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show385

Learn more about your ad choices. Visit megaphone.fm/adchoices

10 Deadly Mistakes Real Estate Investors Make with Brandon and David May 29, 2020

Show notes

After yesterday's deep dive interview discussing 2 disastrous flip projects, we have a solo show for you today.

And the title says it all, really.

Brandon and David boiled down nearly 400 podcast episodes, countless forum threads, books, and real-life conversations, and their own missteps and now present: the Top 10 Ways Real Estate Investors Lose Money.

These aren't the only ways to go wrong in this business, but at some point you're in danger of falling into at least one of these traps.

So, what did we miss? Let us know in the forums, the comments section on our show notes, or in the Official BiggerPockets Facebook Group. And be sure to subscribe to the BiggerPockets Real Estate Podcast so you won't miss an episode.

In This Episode We Cover:

Focus vs. spreading yourself too thin
The #1 way to lose money that you haven't thought of
Managing the people who manage your asset
What David calls "Spreadsheet magic"
Investing in areas with diverse employment
Over-renovating after watching too much HGTV
Inheriting tenants from a seller
Evaluating real estate agents
The myth of "more money down = more safety"
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show384-5

Learn more about your ad choices. Visit megaphone.fm/adchoices

384: Losing $60k on His First 2 Flips so You Won't Have To with Spencer Cornelia May 28, 2020

Show notes

You can put a dollar number on the losses Spencer Cornelia took on his first two long-distance flips... but it's hard to quantify the value of the lessons he learned and is now passing on to you.

We noticed Spencer's thread detailing his struggles in the BiggerPockets forums and invited him on the show; he bravely accepted.

In this episode, you'll learn the pitfalls to watch out for when taking on heavy renovations (anywhere, but especially long-distance), how to ensure quality work is getting done, and the dangers of letting projects drag on when you're locked into expensive short-term financing.

Plus, it's not a total downer... because Spencer's seeing a bunch of success with his new Youtube venture, and plans to continue investing in (less aggressively leveraged) real estate projects.

Brandon and David add their own perspectives having made some similar errors in their careers, and tomorrow in Part 2 they'll break down the 10 Deadliest Mistakes Investors Make.

New investors: heed the advice in these two shows! And as always: run your numbers conservatively, know your own risk tolerance, and run deals by trusted advisors before jumping in.

In This Episode We Cover:

What went wrong with Spencer's rehabs
How to ensure contractors are doing quality work
Incentivizing team members and keeping them accountable
How much money he paid in interest and fees to his hard money lenders
Functional obsolescence and complications with older homes
Why you can't always trust an appraisal
"Home buyer turnoffs" and why it's easy to miss them
Why Spencer sold and took a loss rather than choosing another exit strategy
Why he's not giving up on real estate
How you can "go broke buying good deals"
And SO much more!

Links from the Show

Check the full show notes here: http://biggerpockets.com/show384

Learn more about your ad choices. Visit megaphone.fm/adchoices

383: Finding Your Perfect Partner and the Top 6 Factors When Choosing a Market with Ben Leybovich & Sam Grooms May 21, 2020

Show notes

Interested in someday making the leap to bigger investments? Don't miss this one!

Ben Leybovich and Sam Grooms join us for a high-level conversation about how they transitioned from flips and smaller assets to 100-plus-unit, value-add multifamily deals.

Since the first part of this show was recorded pre-coronavirus, we brought the guys back on to hear their thoughts on today's market and get an update on how their business is doing amid the volatility (spoiler: pretty well!).

In This Episode We Cover: