Passive Income Through Multifamily Real Estate

Wayne Patton’s phone number

Passive Income Through Multifamily Real Estate Facebook Group

Free Call with Kyle or Lalita

Episode #86: Due Diligence with Greg Dickerson Apr 10, 2020

Show notes

Now more than ever, due diligence is a vital part of the real estate business. Greg Dickerson is an expert on the subject and has a mammoth amount of experience in the game, having started out back in the 1990s! We hear from Greg about his history in the field of real estate and how he made his way into multifamily before getting into his due diligence process and how he has refined it over the years. Greg does a great job of unpacking the important aspects and which need the most attention and he shows how he keeps his finances covered in these circumstances. He touches on how the coronavirus crisis has only increased the necessity of these precautions too. We speak about tools and systems and Greg alerts us to some of the common hurdles and potholes you may run into during the acquisition process. With a lot of experience on the construction side of things, Greg is well versed enough to keep himself safe from most of the unknown qualities in real estate and he shares about reasonable and healthy amounts of time for these processes and how long each step may take. For a brief yet comprehensive look at this important part of your business, please join us on the show today!

Key Points From This Episode:

Greg's background in real estate development and his current work in the space.
The process of due diligence and who is involved at various phases.
Assessing the different areas of the property and surrounding spaces.
Impacts of the coronavirus on the due diligence process.
The checklist that Greg uses to make sure that standards are met.
Tools for automation and convenience when going through the checks.
The kinds of surprises and problems you can run into when making a purchase.
How Greg's experience in the construction business serves him now.
Time-periods for due diligence and why Greg works on a minimum of 60 days.
Greg's asset management super powers; risk assessment and construction costs.
Preparing for the unforeseen elements of due diligence and allowing time for these.

Tweetables:

“I’ve been in the business since 1997, started as a remodeling contractor, built that to a 30 million dollar company in seven years and sold it.” — @AGregDickerson [0:01:00]

“My whole philosophy has been build businesses that generate cash flow to invest in other assets so for me, that was real estate into commercial real estate, into land development, into bigger projects.” — @AGregDickerson [0:01:10]

Links Mentioned in Today’s Episode:

Greg Dickerson

Greg Dickerson on YouTube

Greg Dickerson on Twitter

Passive Income through Multifamily Real Estate Group on Facebook

Episode #85: Diversification through Passive Investments with Dale Corpus Apr 06, 2020

Show notes

Having a diverse passive investment portfolio is important for many reasons. Not only can it help you withstand crashes in certain asset classes, but it also decreases your risk tremendously. Our guest today, Dale Corpus, is here to share with us the importance of having a diverse portfolio. Since 2006, Dale has been investing in income-producing real estate and has recently added commercial real estate syndications in workforce housing, mobile home parks, and self-storage as a way to scale and grow his investing business.
In this episode, we learn about the different roles Dale has had in real estate and how a growing family pushed him further towards passive income. We also learn more about the different asset classes he’s invested in, how he keeps up to date with what’s happening in his portfolio, and why mortgage note buying excites him the most. Dale also walks us through how he is managing his own retirement account and the different ways he leverages debt and equity. You don’t want to miss out, so tune in today!

Key Points From This Episode:

Dale’s background and how getting laid-off started his real estate journey.
Learn more about the details of Dale’s first passive investment deal.
How Dale is studying the four different asset classes he’s invested in.
Lessons Dale has learned from multiple syndications: Choose your sponsors wisely.
Why Dale chooses to invest in both debt and equity and where he sources each investment.
Dale's strategy preparing for the recession and his most exciting recession-proof asset class.
What Dale does to keep track of all his investments and the importance of communication.
Dale’s advice for anyone out there trying to get involved in passive investing.
Final four questions with Dale: The tool he can’t do without, his biggest mistake, and more.

Tweetables:

“I know that I don’t have the answers for everything but I know somebody in my network has that answer, someone they know has that answer.” — Dale Corpus [0:06:11]

“Choose your sponsors wisely. You're going to be stuck with that sponsor for sometimes a good seven to 10 years.” — Dale Corpus [0:06:35]

“One of the biggest things that I do to reduce my risk in investing is that I really don’t go outside of the box of what’s done historically well during the past recessions.” — Dale Corpus [0:10:28]

Links Mentioned in Today’s Episode:

Dale Corpus on LinkedIn

Dale Corpus on Facebook

Dale Corpus on Instagram

Dale Corpus’s email

Rich Dad Poor Dad

CFC Mentorship Program

Wayne Patton phone number

Passive Income Through Multifamily Real Estate Facebook Group

Free Call with Kyle or Lalita

Episode #84: Custom Tailored Investments with Alina Trigub Mar 30, 2020

Show notes

Our guest on the show today is Alina Trigub, the founder of SAMO Financial, who has a passion for advocating the benefits of passive investing and empowering people to build wealth for themselves and their families. In addition to providing educational content on various platforms, she has helped her investors to participate in the offering of over 1,200 apartment units, a 10-million-dollar storage fund and a five-million-dollar mobile home park fund. In this episode, Alina talks to listeners about her journey getting into multifamily investing, how she educated herself before jumping in, and how she landed her first passive and active syndication deals. Being an educator herself, she shares about the value of the BiggerPockets educational community for investors and the books that have helped to shape her understanding of the industry. She discusses her process of vetting potential partners – which she compares to choosing a spouse – and gives some convincing reasons why multifamily syndication offers more solid investment opportunities than the stock market. Tuning in today, listeners will also hear Alina’s views on healthy diversification, mitigating risk, and the CRM tool she cannot do without!

Key Points From This Episode:

Alina’s educational background in accounting and transitioning to the IT space.
When she decided to look into multi-family investing and realized the tax benefits.
How Alina went about educated herself before getting actively involved.
Breaking into her first syndication deal and having to trust someone she has never met.
Learn about BiggerPockets and how the educational tool can be utilized.
How Alina got her first syndication deal as an active sponsor.
Find out how she approached vetting potential partners and finding the right one.
Why Alina believes multi-family syndications to offer better investments than the stock market.
Thoughts on whether it is necessary to be an expert in all the asset classes to invest safely.
Advice about the best ways to diversify and mitigate the risks.
Alina’s strategy for tailoring their investment approach with each new investor.
The one tool she cannot function without and the biggest mistake she made in the early days.

For today’s show notes, including audio and links to all the resources mentioned, visit www.aptcapitalgroup.com/podcasts.
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To find out more about partnering or investing in a multifamily deal email info@aptcapitalgroup.com.
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Have a question you would like answered on the show? Email us at info@aptcapitalgroup.com.

Episode #83: Property Management Transitions & Due Diligence with Maureen Miles Mar 23, 2020

Show notes

When it comes to due diligence and the construction work on a newly acquired investment, the worst thing you can do is gloss over it and hope for the best. Our guest today on the show is Maureen Miles from 4M Capital and she is an experienced hand in the game of passive investment. She has been a realtor, grown her own construction company and has worked in the tax and title side of things too! Her expertise really lies in acquisitions, due diligence, and property management transitions and Maureen has a very proactive and hands-on approach to her work, preferring to make sure of things herself.
She talks about the key points in any investment process and highlights how having control over the situation can help avoid stormy waters. From good relationships with key tenants to finding the right contractors for work that needs to be done, if you lose the hold of the steering wheel, you will most likely crash! We discuss vetting potential associates, what to do with existing staff, and hiring a property management team. Maureen also shares some great advice for women to get into the game of real estate, believing there to be a special skill set available to them. We hear from her about mistakes, lessons and so much more, so make sure to listen in with us today!

Key Points From This Episode:

A little bit about Maureen, her company, 4M Capital, and the work she does there.
4M Capital's focus on property management transitions and what this process entails.
Avoiding a mass exodus by approaching key members of a community
Keeping staff, shopping for deals and other concerns that go into buying property.
The biggest challenge that Maureen has had to tackle in her real estate career.
Vetting general contractors and Maureen's tips for finding the right people to do work.
Hiring a property management team; problematic areas and best practices for success.
Maureen's due diligence process and the methods that have worked well for her.
The parts of the process that Maureen does herself and the parts she outsources.
Maureen's advice for women wanting to get into real estate: just do it!
The ways that Maureen's phone helps her do her job and her use of security cameras.
Mistakes made and lessons learned around trusting employees and giving them a chance.
Steps that Maureen is currently taking to grow her life to the next level; hiring an assistant.

Tweetables:

“We purchase apartment complexes that have some sort of opportunity, whether it’s just the management – it could be somebody that has just owned them for 30 years and it just needs to kind of be driven a little better.” — Maureen Miles [0:01:56]

“I look for a property with the right thing wrong with it. I know what my team is able to take on and what kind of opportunities we can really improve at a property.” — Maureen Miles [0:03:01]

“Even when I'm having a bad day or something is going wrong, I still enjoy it.” — Maureen Miles [0:09:27]

Links Mentioned in Today’s Episode:

Maureen Miles

4M Capital

Wayne Patton’s Asset Protection

Passive Income through Multifamily Real Estate Group on Facebook

Nathalie de Vos Burchart on Instagram

Episode #82: Co-Sponsoring Deals Equals Time Freedom with Nathalie de Vos Burchart Mar 16, 2020

Show notes

Patience, persistence, and research can really pay off in the real estate game and our guest today, Nathalie de Vos Burchart from Heathwood Enterprises is a great example of that. Maintaining her full-time job and her family life was a condition on which she entered into passive real estate investing. Nathalie started in the single-family space and has since gradually moved over to active multifamily deals. Her success has been in part due to her commitment to co-sponsorship, enabling her to mitigate risk, share expertise and collect useful resources. We discuss her initial focus in Oklahoma and her perspectives on local versus interstate investments. Nathalie kindly shares helpful tools and systems and how she has used them to build and maintain her portfolio. She explains her approach to time management and communication and the importance of staying on top of daily requirements with investors. We get into some great, simple advice for newcomers to the game and Nathalie underlines the usefulness of doing your research and partnering up when possible. Throughout the conversation, Nathalie comes back to the original reasons she entered into this endeavor and how she maintains focus on that, never allowing her investing to eat into other important parts of her life, even as it grows and makes her money! For all this and a whole more from a great example of making multifamily investments work for you, in the way you want, listen in!

Key Points From This Episode:

Nathalie's background and work in real estate, moving from single to multifamily.
Starting out as a passive investor and building to a more active role in deals.
The gradual and easy process of transitioning into this active investment position.
Nathalie's decision to focus on Oklahoma initially and the deal that led to this choice.
Weighing home-state versus out-of-state investments in the current market for new investors.
Systems and tools that have enabled Nathalie to scale her amount of investments.
The challenge of time management that Nathalie has faced as she has grown her portfolio.
Communicating with investors and Nathalie's strategy for staying on top of this.
Nathalie's advice for passive investors and things in the game they should be aware of.
The next five years for Nathalie; her investments and what she is aiming for!
Advice for women wanting to get started in passive investing.
The indispensable tools for Nathalie's real estate work!
Nathalie's two biggest mistakes in her investment journey and the lessons she learned.
A maintained focus on family and parenting and how this plays into Nathalie's vision.

Links Mentioned in Today’s Episode:

Heathwood Enterprises

ExxonMobil

Excel

Asana

United Apartment Group

Trello

Wayne Patton’s Asset Protection

Passive Income through Multifamily Real Estate group on Facebook

Lalita Mitchell on Facebook

Jillian Sidoti on LinkedIn

Episode #81: 506c Offerings & Building Trust with Jillian Sidoti Mar 09, 2020

Show notes

There’s often great uncertainty around raising money for deals, but breaching the associated laws has serious ramifications, which is why it is important to have an in-depth understanding of them. Today's guest, Jillian Sidoti, is her to clarify some of the misconceptions around raising capital with a focus on 506(c) deals. Jillian is one of the country’s leading Regulation A experts. Since 2008, she has submitted many Regulation A offering circulars to the SEC for approval, which makes her one of the few attorneys familiar with the law before the changes under the Jobs Act. Since then, Jillian has helped multiple companies and entrepreneurs fulfill their fundraising goals through crowdfunding 506(c) and Regulation A. In this episode we learn more about how the 2008 crash led Jillian down the path of crowdfunding and why she has chosen to help clients in this way. She also sheds light on the 506(c) parameters and stipulations for accredited investors. While this ‘open’ way of raising capital might seem simple, it is important to build a trustworthy brand to secure investors. Jillian shares some tips on how to do this, along with effective communication advice and much more. Be sure to tune in today!

Key Points From This Episode:

Learn about Jillian’s background and how she’s merged her real estate and legal skills.
Why Jillian has chosen to remain a passive investor rather than an active one.
An explanation of 506(c) offerings and what it means to be an accredited investor.
What investors need to know when opting in on a 506(c) deal.
The importance of building a trustworthy brand to get investors for a deal.
Why it could be a problem to do a 506(b) offering very soon after a 506(c) one.
Jillian’s tips on how to get investors for a 506(c) and the best way to communicate with them.
Find out why asking for money over the internet before building trust is ineffective.
The importance of staying in the law when raising capital and what happens if you don’t.
Final five questions with Jillian: Advice for women, tools she can’t go without, and more!

Tweetables:

“Under 506(c), we can advertise, but all of our investors have to be those accredited investors.” — Jillian Sidoti [0:05:13]

“Money that knows you is always better than money that doesn't know you.” — Jillian Sidoti [0:06:44]

“Don’t wait until you have a deal to start getting people to understand who you are and what your brand is.” — Jillian Sidoti [0:12:28]

Links Mentioned in Today’s Episode:

Jillian Sidoti

The Crowdfunding Myth

Crowdfunding Lawyers

Crowdfunding Lawyers on Facebook

Asset Protection Attorney Wayne Patton

Passive Income through Multifamily Real Estate group on Facebook

Lalita Mitchell on Facebook

Sandhya Seshadri on LinkedIn

Episode #80: Multifamily Over the Stock Market with Sandhya Seshadri Mar 02, 2020

Show notes

Joining us on the show today is Sandhya Seshadri, founder and CEO of Texas Twilight Investments/Multifamily 4 You. Sandhya is currently a general partner and key principal in 476 doors and a passive investor in over 2500 others. She intended to remain mostly passive for the stress-free cash flow but has one or two assets which she actively manages to qualify as a full-time real estate professional, thereby making the most of certain tax benefits.
Sandhya is a firm believer that most wealthy people are in some way involved in real estate, so after building her wealth from the stock market, she immersed herself in passively investing in multifamily and later signed up for a mentorship program that has tremendously accelerated her growth. In this episode, Sandhya speaks to Kyle and Lalita about her technical and business background before entering the real estate space and why she eventually decided to transition into a new role that would allow for more time at home. She shares her reasons for exchanging the stock market for multifamily investing, the criteria for qualifying for a real estate professional designation, and offers her thoughts on diversification, property management, and the importance of vetting your sponsors.

Key Points From This Episode:

Why, when Sandhya is primarily a passive investor, she still actively manages a few assets.
Find out where she was educated as an electrical engineer and later received her MBA.
The circumstances that resulted in her being home and investing in the stock market.
Why she decided to switch from investing in stocks to investing in multifamily.
The tax benefits of being a real estate professional and the contribution of the new tax laws.
The vulnerability of the stock market compared to the steady cash flow produced by rentals.
What you need to qualify for a real estate professional status (REPS) designation.
Investing passively in other people’s deals and her making a point of visiting these properties.
Sandhya’s thoughts on diversification and having most of her portfolios in Texas.
Her rule of thumb for the size of units she invests in.
Preferring a hands-off approach to property management and how that affects her property choices.
Aspects to consider when investing passively, including vetting the sponsorship team.

Tweetables:

“Every rich person I had ever met had something to do with real estate.” — Sandhya Seshadri [0:03:35]

“I want to have time for my family and I want to make money while I sleep. The easiest way to do that is passive income through real estate.” — Sandhya Seshadri [0:09:55]

Links Mentioned in Today’s Episode:

Multifamily 4 You

Southern Methodist University

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