100:00:00,000 --> 00:00:03,840Welcome to the Real Estate podcast with Robert Eichert.

200:00:03,840 --> 00:00:10,400We have a podcast for you today, but I do want to let you know that we in our guest do

300:00:10,400 --> 00:00:16,600not provide tax legal investment or accounting advice, and you can read it on the website,

400:00:16,600 --> 00:00:23,520the disclaimer, but the value of real estate can go up and down, it can go up as well

500:00:23,520 --> 00:00:27,560as down, and investors may not get back the money they invested.

600:00:27,560 --> 00:00:34,360So everyone needs to analyze their own real estate deals on their own with their own professionals

700:00:34,360 --> 00:00:36,400before getting into anything.

800:00:36,400 --> 00:00:43,440So our guest today is Joseph Kimbroe, and he is the CEO and founder of Apex Real Estate

900:00:43,440 --> 00:00:44,440Investments.

1000:00:44,440 --> 00:00:48,880Apex Real Estate Investments is a privately held equity investment company.

1100:00:48,880 --> 00:00:54,160Joseph Kimbroe has many years of experience as a professional deal finder and acquires

1200:00:54,160 --> 00:01:00,400properties in landlord friendly states such as Texas and the southeast markets.

1300:01:00,400 --> 00:01:03,800So welcome to the podcast, Joseph.

1400:01:03,800 --> 00:01:05,480Yeah, thank you for having me over.

1500:01:05,480 --> 00:01:08,160Oh yeah, it's my pleasure.

1600:01:08,160 --> 00:01:10,160We actually met on Twitter.

1700:01:10,160 --> 00:01:19,160Yeah, so it's a good place for real estate professionals to connect, and I don't know,

1800:01:19,160 --> 00:01:22,680it's kind of a little bit better because you can see what other people are thinking and

1900:01:22,680 --> 00:01:28,760tweeting out, and you can see what they're interested in, and Joseph's active on that, and I

2000:01:28,760 --> 00:01:31,920am too, and we both met that way.

2100:01:31,920 --> 00:01:35,960And now, I don't know a lot about Joseph or what he does.

2200:01:35,960 --> 00:01:39,600I know a little bit, but I'm going to let you explain.

2300:01:39,600 --> 00:01:43,600So first of all, you're from the Dallas area, right?

2400:01:43,600 --> 00:01:46,600I'm from the Dallas area, grew up here.

2500:01:46,600 --> 00:01:51,640I mean, it was called the Oak Ridge area, until I was 13 and lived all over the W area,

2600:01:51,640 --> 00:01:52,640actually.

2700:01:52,640 --> 00:01:54,720Or are we happy to be right now, and Oak Cliff?

2800:01:54,720 --> 00:02:00,040And thank you to Jim Lake and Amanda Lake for allowing us to use this beautiful building,

2900:02:00,040 --> 00:02:04,240of course, with the beautiful view of downtown Dallas in the background.

3000:02:04,240 --> 00:02:09,800And fun fact, this is my first time being in this building since I was like eight or nine

3100:02:09,800 --> 00:02:11,200years old.

3200:02:11,200 --> 00:02:15,840Well, I hope you like the changes we've made.

3300:02:15,840 --> 00:02:22,560It looks nice here, and we do have some extra office space for lease, if anybody is interested,

3400:02:22,560 --> 00:02:27,120just give me a call in this building.

3500:02:27,120 --> 00:02:34,560So we are in Oak Cliff, and we're on the edge of Oak Cliff in downtown Dallas.

3600:02:34,560 --> 00:02:37,600And as you can see, there's downtown right there.

3700:02:37,600 --> 00:02:39,720So that's where we are.

3800:02:39,720 --> 00:02:43,480And tell me about how you got into real estate, if you don't mind me asking.

3900:02:43,480 --> 00:02:47,560Yep, so I got into real estate when I was 24 years old.

4000:02:47,560 --> 00:02:50,840I got as a host, though, like a family with me.

4100:02:50,840 --> 00:02:52,160Well, you know what?

4200:02:52,160 --> 00:02:55,560This is an educational podcast, so why don't you explain to the guest?

4300:02:55,560 --> 00:02:57,480Because not everybody knows what that means.

4400:02:57,480 --> 00:03:03,480Yep, so as a host, what you do is you go out there and you find properties, off-market

4500:03:03,480 --> 00:03:07,760properties, and you get them under contracts, and then you sell them to the end of the buyer,

4600:03:07,760 --> 00:03:09,880that's going to go out there and flip the property.

4700:03:09,880 --> 00:03:11,960And then they're going to go sell it.

4800:03:11,960 --> 00:03:13,920And so you make the spread in between.

4900:03:13,920 --> 00:03:15,480So you never have to make any renovations.

5000:03:15,480 --> 00:03:17,040That's what you do as a host, though.

5100:03:17,040 --> 00:03:19,080So you're basically holding the paper.

5200:03:19,080 --> 00:03:20,080Exactly.

5300:03:20,080 --> 00:03:23,960So the main trap ended between the previous owner and the new owner.

5400:03:23,960 --> 00:03:25,920Yep, you just literally flipping paper.

5500:03:25,920 --> 00:03:28,960You're taking a piece of paper and you're saying, "I'm selling it to you for $5,000."

5600:03:28,960 --> 00:03:30,960I was selling it to you for $10,000.

5700:03:30,960 --> 00:03:34,920So how I got started was my first couple deals, right?

5800:03:34,920 --> 00:03:37,720The first one was $10,000.

5900:03:37,720 --> 00:03:39,800Lady going in for closure.

6000:03:39,800 --> 00:03:41,600Her ex-husband was living in it.

6100:03:41,600 --> 00:03:42,880She didn't want him in there anymore.

6200:03:42,880 --> 00:03:44,400He was basically squatting.

6300:03:44,400 --> 00:03:46,560So she let it go into for closure.

6400:03:46,560 --> 00:03:47,560Oh, okay.

6500:03:47,560 --> 00:03:48,560To get him out.

6600:03:48,560 --> 00:03:49,560Oh, really?

6700:03:49,560 --> 00:03:50,560Exactly.

6800:03:50,560 --> 00:03:51,560She let it go into for closure.

6900:03:51,560 --> 00:03:52,560That's crazy.

7000:03:52,560 --> 00:03:54,880So you'd be surprised if people do.

7100:03:54,880 --> 00:03:55,880Yeah.

7200:03:55,880 --> 00:03:57,640So we really give the property a safe different for closure.

7300:03:57,640 --> 00:03:59,800It made $10,000 up that property.

7400:03:59,800 --> 00:04:03,880Next deal, another for closure, made $15,000.

7500:04:03,880 --> 00:04:07,880And that was just talking to a bank.

7600:04:07,880 --> 00:04:13,480So within a three week time span, made $25,000, and $24,000.

7700:04:13,480 --> 00:04:15,360Wow.

7800:04:15,360 --> 00:04:19,480And so you started doing, I mean, not for closure, but wholesaling.

7900:04:19,480 --> 00:04:23,560And so then how long did you do that?

8000:04:23,560 --> 00:04:26,920I did that really for about three years.

8100:04:26,920 --> 00:04:33,320And then after so many times, like my third year in, I got so accustomed to seeing $10,000

8200:04:33,320 --> 00:04:34,320checks.

8300:04:34,320 --> 00:04:44,440I was kind of like, okay, this is like a new normal but what I want to do is get passive income.

8400:04:44,440 --> 00:04:49,240And so I was like, I'm tired of just getting checks and then spending the money.

8500:04:49,240 --> 00:04:50,240And then you had to get a lot of money.

8600:04:50,240 --> 00:04:51,240And then you had to get a lot of money.

8700:04:51,240 --> 00:04:52,240And then you had to get a lot of money.

8800:04:52,240 --> 00:04:53,240And then you had to get a lot of money.

8900:04:53,240 --> 00:04:54,240And then you had to get a lot of money.

9000:04:54,240 --> 00:04:55,240And then you had to get a lot of money.

9100:04:55,240 --> 00:04:56,240And then you had to get a lot of money.

9200:04:56,240 --> 00:04:57,240And then you had to get a lot of money.

9300:04:57,240 --> 00:04:58,240And then you had to get a lot of money.

9400:04:58,240 --> 00:04:59,240And then you had to get a lot of money.

9500:04:59,240 --> 00:05:00,240And then you had to get a lot of money.

9600:05:00,240 --> 00:05:01,240And then you had to get a lot of money.

9700:05:01,240 --> 00:05:02,240And then you had to get a lot of money.

9800:05:02,240 --> 00:05:03,240And then you had to get a lot of money.

9900:05:03,240 --> 00:05:04,240And then you had to get a lot of money.

10000:05:04,240 --> 00:05:05,240And then you had to get a lot of money.

10100:05:05,240 --> 00:05:20,240And then you had to get a lot of money.

10200:05:20,240 --> 00:05:22,240And then you had to get a lot of money.

10300:05:22,240 --> 00:05:23,240And then you had to get a lot of money.

10400:05:23,240 --> 00:05:24,240And then you had to get a lot of money.

10500:05:24,240 --> 00:05:25,240And then you had to get a lot of money.

10600:05:25,240 --> 00:05:26,240And then you had to get a lot of money.

10700:05:26,240 --> 00:05:27,240And then you had to get a lot of money.

10800:05:27,240 --> 00:05:28,240And then you had to get a lot of money.

10900:05:28,240 --> 00:05:29,240And then you had to get a lot of money.

11000:05:29,240 --> 00:05:30,240And then you had to get a lot of money.

11100:05:30,240 --> 00:05:31,240And then you had to get a lot of money.

11200:05:31,240 --> 00:05:32,240And then you had to get a lot of money.

11300:05:32,240 --> 00:05:33,240And then you had to get a lot of money.

11400:05:33,240 --> 00:05:34,240And then you had to get a lot of money.

11500:05:34,240 --> 00:05:35,240And then you had to get a lot of money.

11600:05:35,240 --> 00:05:36,240And then you had to get a lot of money.

11700:05:36,240 --> 00:05:37,240And then you had to get a lot of money.

11800:05:37,240 --> 00:05:38,240And then you had to get a lot of money.

11900:05:38,240 --> 00:05:39,240And then you had to get a lot of money.

12000:05:39,240 --> 00:05:40,240And then you had to get a lot of money.

12100:05:40,240 --> 00:05:41,240And then you had to get a lot of money.

12200:05:41,240 --> 00:05:42,240And then you had to get a lot of money.

12300:05:42,240 --> 00:05:43,240And then you had to get a lot of money.

12400:05:43,240 --> 00:05:44,240And then you had to get a lot of money.

12500:05:44,240 --> 00:05:45,240And then you had to get a lot of money.

12600:05:45,240 --> 00:05:46,240And then you had to get a lot of money.

12700:05:46,240 --> 00:05:47,240And then you had to get a lot of money.

12800:05:47,240 --> 00:05:48,240And then you had to get a lot of money.

12900:05:48,240 --> 00:05:49,240And then you had to get a lot of money.

13000:05:49,240 --> 00:05:50,240And then you had to get a lot of money.

13100:05:50,240 --> 00:06:05,240And then you had to get a lot of money.

13200:06:05,240 --> 00:06:06,240And then you had to get a lot of money.

13300:06:06,240 --> 00:06:07,240And then you had to get a lot of money.

13400:06:07,240 --> 00:06:08,240And then you had to get a lot of money.

13500:06:08,240 --> 00:06:09,240And then you had to get a lot of money.

13600:06:09,240 --> 00:06:10,240And then you had to get a lot of money.

13700:06:10,240 --> 00:06:11,240And then you had to get a lot of money.

13800:06:11,240 --> 00:06:12,240And then you had to get a lot of money.

13900:06:12,240 --> 00:06:13,240And then you had to get a lot of money.

14000:06:13,240 --> 00:06:14,240And then you had to get a lot of money.

14100:06:14,240 --> 00:06:15,240And then you had to get a lot of money.

14200:06:15,240 --> 00:06:16,240And then you had to get a lot of money.

14300:06:16,240 --> 00:06:17,240And then you had to get a lot of money.

14400:06:17,240 --> 00:06:18,240And then you had to get a lot of money.

14500:06:18,240 --> 00:06:19,240And then you had to get a lot of money.

14600:06:19,240 --> 00:06:20,240And then you had to get a lot of money.

14700:06:20,240 --> 00:06:21,240And then you had to get a lot of money.

14800:06:21,240 --> 00:06:22,240And then you had to get a lot of money.

14900:06:22,240 --> 00:06:23,240And then you had to get a lot of money.

15000:06:23,240 --> 00:06:24,240And then you had to get a lot of money.

15100:06:24,240 --> 00:06:25,240And then you had to get a lot of money.

15200:06:25,240 --> 00:06:26,240And then you had to get a lot of money.

15300:06:26,240 --> 00:06:27,240And then you had to get a lot of money.

15400:06:27,240 --> 00:06:28,240And then you had to get a lot of money.

15500:06:28,240 --> 00:06:29,240And then you had to get a lot of money.

15600:06:29,240 --> 00:06:30,240And then you had to get a lot of money.

15700:06:30,240 --> 00:06:31,240And then you had to get a lot of money.

15800:06:31,240 --> 00:06:32,240And then you had to get a lot of money.

15900:06:32,240 --> 00:06:33,240And then you had to get a lot of money.

16000:06:33,240 --> 00:06:34,240And then you had to get a lot of money.

16100:06:34,240 --> 00:06:35,240And then you had to get a lot of money.

16200:06:35,240 --> 00:07:01,240Did you have a mentor or how did that work to get into the apartment part?

16300:07:01,240 --> 00:07:04,240And then you had to get a lot of money.

16400:07:04,240 --> 00:07:05,240And then you had to get a lot of money.

16500:07:05,240 --> 00:07:06,240And then you had to get a lot of money.

16600:07:06,240 --> 00:07:07,240And then you had to get a lot of money.

16700:07:07,240 --> 00:07:08,240And then you had to get a lot of money.

16800:07:08,240 --> 00:07:09,240And then you had to get a lot of money.

16900:07:09,240 --> 00:07:10,240And then you had to get a lot of money.

17000:07:10,240 --> 00:07:11,240And then you had to get a lot of money.

17100:07:11,240 --> 00:07:12,240And then you had to get a lot of money.

17200:07:12,240 --> 00:07:13,240And then you had to get a lot of money.

17300:07:13,240 --> 00:07:14,240And then you had to get a lot of money.

17400:07:14,240 --> 00:07:15,240And then you had to get a lot of money.

17500:07:15,240 --> 00:07:16,240And then you had to get a lot of money.

17600:07:16,240 --> 00:07:17,240And then you had to get a lot of money.

17700:07:17,240 --> 00:07:18,240And then you had to get a lot of money.

17800:07:18,240 --> 00:07:19,240And then you had to get a lot of money.

17900:07:19,240 --> 00:07:37,240And then you had to get a lot of money.

18000:07:37,240 --> 00:07:38,240And then you had to get a lot of money.

18100:07:38,240 --> 00:07:39,240And then you had to get a lot of money.

18200:07:39,240 --> 00:07:40,240And then you had to get a lot of money.

18300:07:40,240 --> 00:07:41,240And then you had to get a lot of money.

18400:07:41,240 --> 00:07:42,240And then you had to get a lot of money.

18500:07:42,240 --> 00:07:43,240And then you had to get a lot of money.

18600:07:43,240 --> 00:07:44,240And then you had to get a lot of money.

18700:07:44,240 --> 00:07:45,240And then you had to get a lot of money.

18800:07:45,240 --> 00:07:46,240And then you had to get a lot of money.

18900:07:46,240 --> 00:07:47,240And then you had to get a lot of money.

19000:07:47,240 --> 00:07:48,240And then you had to get a lot of money.

19100:07:48,240 --> 00:07:49,240And then you had to get a lot of money.

19200:07:49,240 --> 00:07:50,240And then you had to get a lot of money.

19300:07:50,240 --> 00:07:51,240And then you had to get a lot of money.

19400:07:51,240 --> 00:07:52,240And then you had to get a lot of money.

19500:07:52,240 --> 00:07:53,240And then you had to get a lot of money.

19600:07:53,240 --> 00:07:54,240And then you had to get a lot of money.

19700:07:54,240 --> 00:07:55,240And then you had to get a lot of money.

19800:07:55,240 --> 00:07:56,240And then you had to get a lot of money.

19900:07:56,240 --> 00:07:57,240And then you had to get a lot of money.

20000:07:57,240 --> 00:07:58,240And then you had to get a lot of money.

20100:07:58,240 --> 00:07:59,240And then you had to get a lot of money.

20200:07:59,240 --> 00:08:00,240And then you had to get a lot of money.

20300:08:00,240 --> 00:08:01,240And then you had to get a lot of money.

20400:08:01,240 --> 00:08:02,240And then you had to get a lot of money.

20500:08:02,240 --> 00:08:03,240And then you had to get a lot of money.

20600:08:03,240 --> 00:08:04,240And then you had to get a lot of money.

20700:08:04,240 --> 00:08:18,240And then you had to get a lot of money.

20800:08:18,240 --> 00:08:19,240And then you had to get a lot of money.

20900:08:19,240 --> 00:08:20,240And then you had to get a lot of money.

21000:08:20,240 --> 00:08:21,240And then you had to get a lot of money.

21100:08:21,240 --> 00:08:22,240And then you had to get a lot of money.

21200:08:22,240 --> 00:08:23,240And then you had to get a lot of money.

21300:08:23,240 --> 00:08:24,240And then you had to get a lot of money.

21400:08:24,240 --> 00:08:25,240And then you had to get a lot of money.

21500:08:25,240 --> 00:08:26,240And then you had to get a lot of money.

21600:08:26,240 --> 00:08:27,240And then you had to get a lot of money.

21700:08:27,240 --> 00:08:28,240And then you had to get a lot of money.

21800:08:28,240 --> 00:08:29,240And then you had to get a lot of money.

21900:08:29,240 --> 00:08:30,240And then you had to get a lot of money.

22000:08:30,240 --> 00:08:31,240And then you had to get a lot of money.

22100:08:31,240 --> 00:08:32,240And then you had to get a lot of money.

22200:08:32,240 --> 00:08:33,240And then you had to get a lot of money.

22300:08:33,240 --> 00:08:34,240And then you had to get a lot of money.

22400:08:34,240 --> 00:08:35,240And then you had to get a lot of money.

22500:08:35,240 --> 00:08:36,240And then you had to get a lot of money.

22600:08:36,240 --> 00:08:37,240And then you had to get a lot of money.

22700:08:37,240 --> 00:08:38,240And then you had to get a lot of money.

22800:08:38,240 --> 00:08:39,240And then you had to get a lot of money.

22900:08:39,240 --> 00:08:40,240And then you had to get a lot of money.

23000:08:40,240 --> 00:08:41,240And then you had to get a lot of money.

23100:08:41,240 --> 00:08:42,240And then you had to get a lot of money.

23200:08:42,240 --> 00:08:43,240And then you had to get a lot of money.

23300:08:43,240 --> 00:08:44,240And then you had to get a lot of money.

23400:08:44,240 --> 00:08:45,240And then you had to get a lot of money.

23500:08:45,240 --> 00:08:46,240And then you had to get a lot of money.

23600:08:46,240 --> 00:08:47,240And then you had to get a lot of money.

23700:08:47,240 --> 00:08:48,240And then you had to get a lot of money.

23800:08:48,240 --> 00:08:49,240And then you had to get a lot of money.

23900:08:49,240 --> 00:09:04,240And then you had to get a lot of money.

24000:09:04,240 --> 00:09:06,240And then you had to get a lot of money.

24100:09:06,240 --> 00:09:07,240And then you had to get a lot of money.

24200:09:07,240 --> 00:09:08,240And then you had to get a lot of money.

24300:09:08,240 --> 00:09:09,240And then you had to get a lot of money.

24400:09:09,240 --> 00:09:10,240And then you had to get a lot of money.

24500:09:10,240 --> 00:09:11,240And then you had to get a lot of money.

24600:09:11,240 --> 00:09:12,240And then you had to get a lot of money.

24700:09:12,240 --> 00:09:13,240And then you had to get a lot of money.

24800:09:13,240 --> 00:09:14,240And then you had to get a lot of money.

24900:09:14,240 --> 00:09:15,240And then you had to get a lot of money.

25000:09:15,240 --> 00:09:16,240And then you had to get a lot of money.

25100:09:16,240 --> 00:09:17,240And then you had to get a lot of money.

25200:09:17,240 --> 00:09:18,240And then you had to get a lot of money.

25300:09:18,240 --> 00:09:19,240And then you had to get a lot of money.

25400:09:19,240 --> 00:09:20,240And then you had to get a lot of money.

25500:09:20,240 --> 00:09:21,240And then you had to get a lot of money.

25600:09:21,240 --> 00:09:22,240And then you had to get a lot of money.

25700:09:22,240 --> 00:09:23,240And then you had to get a lot of money.

25800:09:23,240 --> 00:09:24,240And then you had to get a lot of money.

25900:09:24,240 --> 00:09:25,240And then you had to get a lot of money.

26000:09:25,240 --> 00:09:26,240And then you had to get a lot of money.

26100:09:26,240 --> 00:09:27,240And then you had to get a lot of money.

26200:09:27,240 --> 00:09:28,240And then you had to get a lot of money.

26300:09:28,240 --> 00:09:29,240And then you had to get a lot of money.

26400:09:29,240 --> 00:09:30,240And then you had to get a lot of money.

26500:09:30,240 --> 00:09:31,240And then you had to get a lot of money.

26600:09:31,240 --> 00:09:32,240And then you had to get a lot of money.

26700:09:32,240 --> 00:09:33,240And then you had to get a lot of money.

26800:09:33,240 --> 00:09:34,240And then you had to get a lot of money.

26900:09:34,240 --> 00:09:52,240And then you had to get a lot of money.

27000:09:52,240 --> 00:09:53,240And then you had to get a lot of money.

27100:09:53,240 --> 00:09:54,240And then you had to get a lot of money.

27200:09:54,240 --> 00:09:55,240And then you had to get a lot of money.

27300:09:55,240 --> 00:09:56,240And then you had to get a lot of money.

27400:09:56,240 --> 00:09:57,240And then you had to get a lot of money.

27500:09:57,240 --> 00:09:58,240And then you had to get a lot of money.

27600:09:58,240 --> 00:09:59,240And then you had to get a lot of money.

27700:09:59,240 --> 00:10:00,240And then you had to get a lot of money.

27800:10:00,240 --> 00:10:01,240And then you had to get a lot of money.

27900:10:01,240 --> 00:10:02,240And then you had to get a lot of money.

28000:10:02,240 --> 00:10:03,240And then you had to get a lot of money.

28100:10:03,240 --> 00:10:04,240And then you had to get an amount of money.

28200:10:04,240 --> 00:10:05,240And then you had to get an amount of money.

28300:10:05,240 --> 00:10:06,240And then you had to get a lot of money.

28400:10:06,240 --> 00:10:07,240And then you had to get a lot of money.

28500:10:07,240 --> 00:10:08,240And then you had to get a lot of money.

28600:10:08,240 --> 00:10:09,240And then you had to get a lot of money.

28700:10:09,240 --> 00:10:10,240And then you had to get a lot of money.

28800:10:10,240 --> 00:10:11,240And then you had to get a lot of money.

28900:10:11,240 --> 00:10:12,240And then you had to get a lot of money.

29000:10:12,240 --> 00:10:13,240And then you had to get a lot of money.

29100:10:13,240 --> 00:10:14,240And then you had to get a lot of money.

29200:10:14,240 --> 00:10:15,240And then you had to get a lot of money.

29300:10:15,240 --> 00:10:16,240And then you had to get a lot of money.

29400:10:16,240 --> 00:10:17,240And then you had to get a lot of money.

29500:10:17,240 --> 00:10:18,240And then you had to get a lot of money.

29600:10:18,240 --> 00:10:19,240And then you had to get a lot of money.

29700:10:19,240 --> 00:10:30,240So a capital stack is just different types of ways of putting together all the money needed for these expensive real estate projects like apartments.

29800:10:30,240 --> 00:10:31,240Exactly.

29900:10:31,240 --> 00:10:33,240Yes, someone brings the debt, somebody brings the equity.

30000:10:33,240 --> 00:10:35,240So, okay, so how did it start?

30100:10:35,240 --> 00:10:37,240What was your first deal and how did that work out?

30200:10:37,240 --> 00:10:39,240So for the apartments?

30300:10:39,240 --> 00:10:40,240Yes.

30400:10:40,240 --> 00:10:47,240Okay, so within eight months of start my fund up, in which I own a hundred percent of, I have spent eight months of starting it up.

30500:10:47,240 --> 00:10:51,240I acquired 160 units in Charleston, South Carolina.

30600:10:51,240 --> 00:10:54,240And so you got investors to invest in--

30700:10:54,240 --> 00:10:55,240Exactly.

30800:10:55,240 --> 00:10:56,240Okay.

30900:10:56,240 --> 00:10:57,240--investors to invest in the fund.

31000:10:57,240 --> 00:10:58,240Okay.

31100:10:58,240 --> 00:11:01,240--and I invested that capital into a property in Charleston, South Carolina.

31200:11:01,240 --> 00:11:02,240Okay.

31300:11:02,240 --> 00:11:05,240And so that property was a $30 million acquisition.

31400:11:05,240 --> 00:11:06,240Okay.

31500:11:06,240 --> 00:11:07,240What else?

31600:11:07,240 --> 00:11:08,240Congratulations.

31700:11:08,240 --> 00:11:09,240Thank you.

31800:11:09,240 --> 00:11:11,240And we raised 11 billion, $1,650,000.

31900:11:11,240 --> 00:11:14,240That's my first multi-family deal ever.

32000:11:14,240 --> 00:11:19,240So you raised about a third of the price, over a third of the price of the property?

32100:11:19,240 --> 00:11:24,240So not over a third of the price of the property, but it did bring the substantial amount to the property.

32200:11:24,240 --> 00:11:25,240Okay.

32300:11:25,240 --> 00:11:27,240Forced to acquire that one.

32400:11:27,240 --> 00:11:28,240That's good.

32500:11:28,240 --> 00:11:30,240And tell me about that apartment complex.

32600:11:30,240 --> 00:11:34,240So that apartment, like I said, is in Charleston, South Carolina.

32700:11:34,240 --> 00:11:40,240Currently it is 86 percent occupied, we're pre-leased for 91 percent occupied.

32800:11:40,240 --> 00:11:41,240Oh, okay.

32900:11:41,240 --> 00:11:42,240Right now.

33000:11:42,240 --> 00:11:48,240And they got renovations from about 18 to 19 units in the property.

33100:11:48,240 --> 00:11:50,240So do you find these deals, too?

33200:11:50,240 --> 00:11:52,240No, so I personally don't find the deals.

33300:11:52,240 --> 00:11:54,240The operators, they go out, they find the deals.

33400:11:54,240 --> 00:11:56,240They bring it to me.

33500:11:56,240 --> 00:11:58,240They put together the whole package.

33600:11:58,240 --> 00:12:00,240They bring it to me.

33700:12:00,240 --> 00:12:06,240I look at it and say, yes or no, if I want to invest, my investors capital in that property.

33800:12:06,240 --> 00:12:07,240All right.

33900:12:07,240 --> 00:12:14,240So, I mean, on these deals, they don't just have one fund necessarily invested, do they?

34000:12:14,240 --> 00:12:15,240No.

34100:12:15,240 --> 00:12:16,240They have multiple people.

34200:12:16,240 --> 00:12:18,240So, like, I'll bring capital from my fund.

34300:12:18,240 --> 00:12:19,240Right.

34400:12:19,240 --> 00:12:21,240It might be another fund or like, individual investment.

34500:12:21,240 --> 00:12:22,240Right.

34600:12:22,240 --> 00:12:24,240And then, how do they...

34700:12:24,240 --> 00:12:29,240And some of these questions may be a little legalistic, but that's my background as a lawyer.

34800:12:29,240 --> 00:12:31,240And so, they...

34900:12:31,240 --> 00:12:34,240Do they have a limited partnership as well?

35000:12:34,240 --> 00:12:38,240So, the lease prices do bring limited partners as well.

35100:12:38,240 --> 00:12:39,240Right.

35200:12:39,240 --> 00:12:43,240But the operators, they put together what an LLC or a limited partnership.

35300:12:43,240 --> 00:12:44,240They have a LLC and they're...

35400:12:44,240 --> 00:12:46,240And they're general partners.

35500:12:46,240 --> 00:12:47,240Okay.

35600:12:47,240 --> 00:12:48,240They do lead TPs on the property.

35700:12:48,240 --> 00:12:55,240Which means limited liability company, which is a way of owning property, owning anything,

35800:12:55,240 --> 00:12:57,240with...

35900:12:57,240 --> 00:13:02,240You get the benefits of a corporate limited liability.

36000:13:02,240 --> 00:13:05,240This is a really simple explanation.

36100:13:05,240 --> 00:13:11,240But then, you don't have the tax ramifications of a corporation.

36200:13:11,240 --> 00:13:13,240Or you can possibly have double tax.

36300:13:13,240 --> 00:13:19,240But I'll just check with your own financial advisor and lawyer about these type of different entities.

36400:13:19,240 --> 00:13:21,240That's not what this podcast is about right now.

36500:13:21,240 --> 00:13:28,240We are talking about other things, but it's very intertwined with the legalities and how it sets up.

36600:13:28,240 --> 00:13:34,240I know people are interested in how it's all structured.

36700:13:34,240 --> 00:13:39,240So, mainly your job is to meet with them potential investors, correct?

36800:13:39,240 --> 00:13:40,240Exactly.

36900:13:40,240 --> 00:13:43,240We meet with potential investors, raise capital into the fund,

37000:13:43,240 --> 00:13:51,240and then take that capital and deploy into properties that are going to yield a return for the investors.

37100:13:51,240 --> 00:13:54,240And you just started in 2021 doing that?

37200:13:54,240 --> 00:13:55,2402022, really.

37300:13:55,240 --> 00:13:56,240Oh, wow.

37400:13:56,240 --> 00:14:02,240And then, so February of 2022 acquired my first deal by...

37500:14:02,240 --> 00:14:04,240But in that year?

37600:14:04,240 --> 00:14:05,240Yep.

37700:14:05,240 --> 00:14:06,240From the first...

37800:14:06,240 --> 00:14:07,240Yeah, eight, ten months.

37900:14:07,240 --> 00:14:11,240And then, have you done more deals since then?

38000:14:11,240 --> 00:14:16,240Actually, currently raising capital for property in Phoenix, Arizona.

38100:14:16,240 --> 00:14:18,240Okay, tell us about four.

38200:14:18,240 --> 00:14:20,240Four and two plus units.

38300:14:20,240 --> 00:14:23,240Very great financing, less than 3%.

38400:14:23,240 --> 00:14:24,240I'll just say that.

38500:14:24,240 --> 00:14:26,240I could put it directly on this out.

38600:14:26,240 --> 00:14:29,240But I say it's less than 3% on interest only loan.

38700:14:29,240 --> 00:14:30,240So, it's a great opportunity for...

38800:14:30,240 --> 00:14:33,240How do you find a loan like that in this environment?

38900:14:33,240 --> 00:14:35,240Assume the loan.

39000:14:35,240 --> 00:14:36,240Oh, nice.

39100:14:36,240 --> 00:14:37,240Yep.

39200:14:37,240 --> 00:14:38,240Nice.

39300:14:38,240 --> 00:14:40,240And the bank agreed to that?

39400:14:40,240 --> 00:14:41,240Yes.

39500:14:41,240 --> 00:14:45,240That is a great sponsor group that's over this one.

39600:14:45,240 --> 00:14:46,240They're excellent.

39700:14:46,240 --> 00:14:49,240Also, they'll be monthly distributions as well.

39800:14:49,240 --> 00:14:53,240So, it's just all around great investment for my investors.

39900:14:53,240 --> 00:14:57,240Yeah, anybody else that comes into the fund to invest?

40000:14:57,240 --> 00:14:58,240That's a great opportunity.

40100:14:58,240 --> 00:15:00,240And so, that's why I chose that one.

40200:15:00,240 --> 00:15:02,240Okay, well, I have more questions about that.

40300:15:02,240 --> 00:15:04,240But, assuming a loan...

40400:15:04,240 --> 00:15:05,240I'm going to...

40500:15:05,240 --> 00:15:06,240I try to explain these terms.

40600:15:06,240 --> 00:15:07,240Yeah.

40700:15:07,240 --> 00:15:08,240I want to assume everybody...

40800:15:08,240 --> 00:15:09,240No pun intended.

40900:15:09,240 --> 00:15:10,240Exactly.

41000:15:10,240 --> 00:15:11,240I don't want to assume...

41100:15:11,240 --> 00:15:13,240People know what "assume" means.

41200:15:13,240 --> 00:15:14,240No.

41300:15:14,240 --> 00:15:16,240But, you know, just all these different legal terms.

41400:15:16,240 --> 00:15:20,240It means if somebody has a loan in place with permission of the bank

41500:15:20,240 --> 00:15:26,240and sometimes it'll be written in the bank contract that somebody can assume it

41600:15:26,240 --> 00:15:29,240if they check off this, this, and this box.

41700:15:29,240 --> 00:15:34,240And then sometimes it may not be, but they'll just allow it.

41800:15:34,240 --> 00:15:40,240And that means that, like, let's say Joseph had a 3% loan

41900:15:40,240 --> 00:15:43,240and he said, "Robert, I'm done with this investment."

42000:15:43,240 --> 00:15:44,240And he says, "Do you want it?"

42100:15:44,240 --> 00:15:46,240And I'd say, "Well, what about...

42200:15:46,240 --> 00:15:49,240I don't want to go get 8% financing right now."

42300:15:49,240 --> 00:15:50,240He'll say, "No, no.

42400:15:50,240 --> 00:15:52,240I got 3% financing."

42500:15:52,240 --> 00:15:55,240And you can...

42600:15:55,240 --> 00:15:58,240You can take it over and you can assume my position.

42700:15:58,240 --> 00:15:59,240And he says...

42800:15:59,240 --> 00:16:01,240And then as long as the bank is in agreement

42900:16:01,240 --> 00:16:04,240or the financial institution or insurance company

43000:16:04,240 --> 00:16:09,240or whoever is holding the debt on that,

43100:16:09,240 --> 00:16:14,240if they're in agreement with that, then it can all happen.

43200:16:14,240 --> 00:16:18,240And that's really a good setup for you that you found that.

43300:16:18,240 --> 00:16:23,240The best part about it is it's an inches only into 235.

43400:16:23,240 --> 00:16:25,240That is crazy.

43500:16:25,240 --> 00:16:26,240Yeah.

43600:16:26,240 --> 00:16:28,240So that is a good, good, good, good, good, good, good, good.

43700:16:28,240 --> 00:16:31,240And tell me what about the physical asset?

43800:16:31,240 --> 00:16:35,240Physical asset, class B, locative, Phoenix, Arizona.

43900:16:35,240 --> 00:16:36,240Okay.

44000:16:36,240 --> 00:16:39,240Now, for the benefit of our list centers, why don't you explain...

44100:16:39,240 --> 00:16:40,240We're talking apartments.

44200:16:40,240 --> 00:16:44,240Why don't you explain the difference between class A, B and C?

44300:16:44,240 --> 00:16:51,240So, class C apartments, they're not as like the nice apartments

44400:16:51,240 --> 00:16:56,240in safe neighborhoods, but they're not going to be like your top of the class.

44500:16:56,240 --> 00:16:57,240Okay.

44600:16:57,240 --> 00:17:00,240A class B is like in between the class A and the class C.

44700:17:00,240 --> 00:17:04,240So a class B would be like some apartment buildings, if you're not familiar,

44800:17:04,240 --> 00:17:08,240if you're in Dallas, then you'll know like Frisco area, for example.

44900:17:08,240 --> 00:17:10,240You will find some class B ones there.

45000:17:10,240 --> 00:17:15,240But then you have your class A apartments where those are the ones that everybody want to be at.

45100:17:15,240 --> 00:17:16,240Yeah.

45200:17:16,240 --> 00:17:18,240They have the rooftop pool.

45300:17:18,240 --> 00:17:19,240Right.

45400:17:19,240 --> 00:17:21,240All the hot stuff that people are looking for.

45500:17:21,240 --> 00:17:25,240Well, I mean, we're in Bishop Arts and if you'll take a look out here,

45600:17:25,240 --> 00:17:29,240I don't know how long since you've been here, but everywhere you look,

45700:17:29,240 --> 00:17:32,240there are brand new apartment complexes going up.

45800:17:32,240 --> 00:17:35,240And it's just growing like a weed here.

45900:17:35,240 --> 00:17:42,240So every time I drive down the street, I feel like there's a new building going up.

46000:17:42,240 --> 00:17:45,240Yeah, new apartments and different buildings.

46100:17:45,240 --> 00:17:50,240And we have a lot of office product and then we have a lot of,

46200:17:50,240 --> 00:17:56,240our company has a lot of restaurants and retail in Bishop Arts.

46300:17:56,240 --> 00:18:02,240But it's just, this DFW area is just exploding.

46400:18:02,240 --> 00:18:03,240Yeah.

46500:18:03,240 --> 00:18:05,240It's like that in Frisco.

46600:18:05,240 --> 00:18:11,240I literally, I was driving down 121, saw just the outline of buildings, right?

46700:18:11,240 --> 00:18:15,240Drive down a week later, buildings are going up.

46800:18:15,240 --> 00:18:16,240Yeah.

46900:18:16,240 --> 00:18:18,240But you know, print the dome and build it?

47000:18:18,240 --> 00:18:25,240Well, like right now I can see one, I can see two cranes just right now just looking up the window.

47100:18:25,240 --> 00:18:30,240But wow, yeah, Frisco is a story in and of itself.

47200:18:30,240 --> 00:18:34,240Why aren't you know, since we're talking, I mean, this is just a real estate check.

47300:18:34,240 --> 00:18:36,240Tell us about what's going on in Frisco.

47400:18:36,240 --> 00:18:39,240I'm not necessarily that plugged in up there.

47500:18:39,240 --> 00:18:41,240Yeah, they have like Universal Studios or something like a,

47600:18:41,240 --> 00:18:43,240oh, I'm parked or something like that coming.

47700:18:43,240 --> 00:18:44,240That's coming, right?

47800:18:44,240 --> 00:18:46,240Yeah, that's going to be a few years from now though.

47900:18:46,240 --> 00:18:47,240But that's going to be huge.

48000:18:47,240 --> 00:18:48,240Yeah, that's going to be huge.

48100:18:48,240 --> 00:18:51,240It's going to bring a lot of people in the area.

48200:18:51,240 --> 00:18:52,240I got to meet the mayor.

48300:18:52,240 --> 00:18:55,240They just opened a new library.

48400:18:55,240 --> 00:18:57,240So that's a huge plus.

48500:18:57,240 --> 00:18:58,240I've been to it a few times.

48600:18:58,240 --> 00:18:59,240It's amazing.

48700:18:59,240 --> 00:19:03,240Frisco, Texas, and then it's also home to the Dallas Cowboys.

48800:19:03,240 --> 00:19:04,240Oh, yes, the star.

48900:19:04,240 --> 00:19:05,240You have to start.

49000:19:05,240 --> 00:19:06,240That's nothing.

49100:19:06,240 --> 00:19:08,240Tell the people what that means.

49200:19:08,240 --> 00:19:10,240This is an international podcast.

49300:19:10,240 --> 00:19:15,240Yes, so at the start, you will see like Dallas Cowboys players walking through.

49400:19:15,240 --> 00:19:17,240As a matter of fact, I got mistaken for one.

49500:19:17,240 --> 00:19:21,240Somebody stopped me and he's like, hey, hey, hey, you're a big guy.

49600:19:21,240 --> 00:19:23,240He's like, me? Play for the Cowboys?

49700:19:23,240 --> 00:19:28,240I say, nah, nah, I say, but they are, some of them invest with me though.

49800:19:28,240 --> 00:19:30,240Well, is that right?

49900:19:30,240 --> 00:19:32,240That's good.

50000:19:32,240 --> 00:19:36,240And the Dallas stars is their training camp working on the at least.

50100:19:36,240 --> 00:19:38,240Yes, the Dallas Cowboys.

50200:19:38,240 --> 00:19:41,240So Cowboys Club, I'm not sure if you've ever been.

50300:19:41,240 --> 00:19:45,240I've been up there, but I'm not familiar with all the different names for it all.

50400:19:45,240 --> 00:19:52,240Yeah, so Cowboys Club, when you go there, you can look down and see them practice.

50500:19:52,240 --> 00:19:55,240Yeah, so you will see like, that got there, going to ball.

50600:19:55,240 --> 00:19:56,240Right.

50700:19:56,240 --> 00:20:01,240I mean, Zika, O'Elia, someone used to see him out there running and stuff.

50800:20:01,240 --> 00:20:03,240So yes, it's pretty awesome.

50900:20:03,240 --> 00:20:05,240They even walked through the club there.

51000:20:05,240 --> 00:20:06,240The Cowboys Club.

51100:20:06,240 --> 00:20:07,240Zika isn't coming back, right?

51200:20:07,240 --> 00:20:09,240I don't think so either.

51300:20:09,240 --> 00:20:10,240I don't know.

51400:20:10,240 --> 00:20:11,240Yeah.

51500:20:11,240 --> 00:20:16,240Sorry, you know, Cowboys fans with that bad news, if you don't know it already.

51600:20:16,240 --> 00:20:20,240But, that's funny.

51700:20:20,240 --> 00:20:23,240I mean, it's nothing worse than getting close to winning every year.

51800:20:23,240 --> 00:20:24,240I know.

51900:20:24,240 --> 00:20:25,240I know.

52000:20:25,240 --> 00:20:40,240But, anyway, that is, I think, the most expensive NFL training and football facilities in the

52100:20:40,240 --> 00:20:42,240country is what I've heard.

52200:20:42,240 --> 00:20:45,240Yeah, you have Cowboys Club there, you have restaurants.

52300:20:45,240 --> 00:20:51,240So that's what me, you'll see them at different restaurants.

52400:20:51,240 --> 00:20:56,240I definitely feel like I saw one of them at Mikko's scene just the other day.

52500:20:56,240 --> 00:20:57,240That's a good restaurant.

52600:20:57,240 --> 00:20:58,240Yep.

52700:20:58,240 --> 00:21:02,240And I'm talking, I'm like, "Oh, else, just him and this girl."

52800:21:02,240 --> 00:21:04,240And I'm like, "Now who else gets drunk?"

52900:21:04,240 --> 00:21:06,240I say, "Wait, it is known."

53000:21:06,240 --> 00:21:07,240Yeah, okay.

53100:21:07,240 --> 00:21:09,240Nah, he plays for the Cowboys.

53200:21:09,240 --> 00:21:11,240That's all.

53300:21:11,240 --> 00:21:14,240Who else gets drunk at noon, man?

53400:21:14,240 --> 00:21:17,240Well, it is the offseason, I guess.

53500:21:17,240 --> 00:21:22,240And they were awfully hard, I know, but...

53600:21:22,240 --> 00:21:25,240Well, okay, so you found this project.

53700:21:25,240 --> 00:21:27,240And how did you find one in Phoenix?

53800:21:27,240 --> 00:21:29,240I thought you mainly wanted to focus on the Southeast.

53900:21:29,240 --> 00:21:35,240Yeah, so mainly focus on the Southeast, but if the area makes sense.

54000:21:35,240 --> 00:21:36,240Okay.

54100:21:36,240 --> 00:21:40,240And that deal does sound like the financing is the key.

54200:21:40,240 --> 00:21:43,240Exactly, the financing, like you can't say no to that financing.

54300:21:43,240 --> 00:21:44,240Right.

54400:21:44,240 --> 00:21:49,240And if you find that financing in the Southeast, Marcus, or Texas,

54500:21:49,240 --> 00:21:51,240is very difficult right now.

54600:21:51,240 --> 00:21:52,240Right.

54700:21:52,240 --> 00:21:59,240I did read that some hotel group is handing over the keys to a lot of hotels

54800:21:59,240 --> 00:22:06,240up in Plano or something like that because they just had a lot of debt coming

54900:22:06,240 --> 00:22:09,240and I guess I can't, I don't know.

55000:22:09,240 --> 00:22:12,240The economy is kind of rough right now in a lot of ways.

55100:22:12,240 --> 00:22:14,240Well, let me ask you that.

55200:22:14,240 --> 00:22:18,240Well, before I do that, let me ask you a little bit more about your deal in Phoenix.

55300:22:18,240 --> 00:22:19,240Okay.

55400:22:19,240 --> 00:22:21,240So, how many units did you say it is?

55500:22:21,240 --> 00:22:22,240Over 400.

55600:22:22,240 --> 00:22:23,240Oh, okay.

55700:22:23,240 --> 00:22:27,240So, how much is the apartment complex selling for?

55800:22:27,240 --> 00:22:32,240So, it's $131 million asset that we'll be acquiring.

55900:22:32,240 --> 00:22:33,240Wow.

56000:22:33,240 --> 00:22:37,240The debt assuming is about $80 million.

56100:22:37,240 --> 00:22:38,240Okay.

56200:22:38,240 --> 00:22:40,240And what's the occupancy?

56300:22:40,240 --> 00:22:44,240The occupancy, I have to double check though.

56400:22:44,240 --> 00:22:46,240I think so around like 90 something percent though.

56500:22:46,240 --> 00:22:47,240Oh, okay.

56600:22:47,240 --> 00:22:48,240Yep.

56700:22:48,240 --> 00:22:51,240So, it's so much double check though.

56800:22:51,240 --> 00:22:52,240Oh, okay.

56900:22:52,240 --> 00:22:55,240And like, it puts, like, you want more details and stuff.

57000:22:55,240 --> 00:22:56,240Feel free to reach out to me.

57100:22:56,240 --> 00:22:57,240Oh, yeah.

57200:22:57,240 --> 00:22:58,240Twitter.

57300:22:58,240 --> 00:23:03,240Well, if I forget too though, why don't you tell people how to, I may forget easily.

57400:23:03,240 --> 00:23:08,240So, why don't you tell people how to contact you in case I get lost on a tangent or something?

57500:23:08,240 --> 00:23:09,240Oh, yeah, yeah.

57600:23:09,240 --> 00:23:15,240So, Twitter, you can find me at Real J Kimbrough and then on Instagram, you can find me at

57700:23:15,240 --> 00:23:17,240Joseph Kimbrough.

57800:23:17,240 --> 00:23:19,240And what you're, you can they call you?

57900:23:19,240 --> 00:23:20,240Yeah, yes.

58000:23:20,240 --> 00:23:26,240And you can also call me at 4694589295.

58100:23:26,240 --> 00:23:28,240And finally, what's your email?

58200:23:28,240 --> 00:23:34,240My email is Joseph@apxreahodings.com.

58300:23:34,240 --> 00:23:37,240So, you made me say that one more time if you don't mind.

58400:23:37,240 --> 00:23:41,240Joseph@apxreahodings.com.

58500:23:41,240 --> 00:23:43,240All right.

58600:23:43,240 --> 00:23:45,240And apx is your, your baby.

58700:23:45,240 --> 00:23:46,240Yeah.

58800:23:46,240 --> 00:23:47,240Apx, real estate investments.

58900:23:47,240 --> 00:23:48,240Okay.

59000:23:48,240 --> 00:23:51,240Now, how do you find your investors?

59100:23:51,240 --> 00:23:53,240A lot of networking.

59200:23:53,240 --> 00:23:54,240Okay.

59300:23:54,240 --> 00:23:55,240Plus, I'm allowed to market.

59400:23:55,240 --> 00:23:57,240It's a 5.6c fund.

59500:23:57,240 --> 00:23:58,240Okay.

59600:23:58,240 --> 00:24:01,240Tell the folks at home what that means.

59700:24:01,240 --> 00:24:04,240Basically, the difference between a 5.6b and a 5.6c.

59800:24:04,240 --> 00:24:13,240As a 5.6b, you have to go out there and do word of mouth, talk to people, establish a big existing relationship with the person.

59900:24:13,240 --> 00:24:18,240That's how my funds start it off with me raising capital is a 5.6b.

60000:24:18,240 --> 00:24:25,240When you switch over to a 5.6c, though, then you can literally screen from the mountain tops, invest in my fund.

60100:24:25,240 --> 00:24:30,240You can do any type of marketing, billboards, commercials, social media.

60200:24:30,240 --> 00:24:34,240You can just advertise everywhere as a 5.6c.

60300:24:34,240 --> 00:24:42,240The difference is you have to only take in, you can only accept accredited investors in a 5.6c fund.

60400:24:42,240 --> 00:24:44,240And tell them what an current investor is.

60500:24:44,240 --> 00:24:45,240Yes.

60600:24:45,240 --> 00:24:53,240So, accredited investors, those are people who they either make 200,000 a year for the past two years consecutively.

60700:24:53,240 --> 00:25:04,240As a single individual or 300,000 if they're married, they have a net worth of $1 million excluding your primary residence according to the SEC.

60800:25:04,240 --> 00:25:09,240And that makes you an accredited investor and it is where you're allowed to come in to that fund.

60900:25:09,240 --> 00:25:10,240Exactly.

61000:25:10,240 --> 00:25:21,240So you can't just, okay, so what kind of tranches of money do people, do you require from your investors in order to come in to your fund?

61100:25:21,240 --> 00:25:24,240So the minimum investment is $100,000.

61200:25:24,240 --> 00:25:25,240Okay.

61300:25:25,240 --> 00:25:26,240That's where we started.

61400:25:26,240 --> 00:25:27,240Okay.

61500:25:27,240 --> 00:25:42,240Plus I have to note that you are an accredited investor, so your CPA attorney or a registered investment agent, like your advisor or someone, they have to sign off on a form that I give you that qualifies you as an accredited investor.

61600:25:42,240 --> 00:25:46,240And 501c and 501c3 and 506c.

61700:25:46,240 --> 00:25:51,240These are income tax, I'm sorry, 501 is.

61800:25:51,240 --> 00:26:00,240But 506c, these are all, even the charitable one, they're all provisions of the income tax code is what we're talking about.

61900:26:00,240 --> 00:26:02,240And they have different points.

62000:26:02,240 --> 00:26:13,240Yes, and they have different rules and rules and what they applied to, 501c, you may have heard of is for charitable institutions.

62100:26:13,240 --> 00:26:18,240And now he's doing 506b and c, right?

62200:26:18,240 --> 00:26:19,240Yeah, 506c.

62300:26:19,240 --> 00:26:21,240I'm sorry, 506c.

62400:26:21,240 --> 00:26:25,240And then the other one you talked about was a 506b.

62500:26:25,240 --> 00:26:27,240506b, that's the previous one I did.

62600:26:27,240 --> 00:26:29,240And what are the rules on that one?

62700:26:29,240 --> 00:26:37,240506b, like I was saying, with that one, you can take none accredited up to 22 none accredited investors.

62800:26:37,240 --> 00:26:41,240And you don't have to do all the extra precautions to make sure that they are accredited.

62900:26:41,240 --> 00:26:43,240But you cannot advertise that.

63000:26:43,240 --> 00:26:45,240But you cannot advertise it.

63100:26:45,240 --> 00:26:49,240These have to be basically the idea is they're supposed to be people you know.

63200:26:49,240 --> 00:26:50,240Exactly, already.

63300:26:50,240 --> 00:26:51,240Exactly.

63400:26:51,240 --> 00:26:53,240So basically, let's put it like this.

63500:26:53,240 --> 00:27:03,240Let's say you have a 506c fund, you raise capital, you have a thousand investors on your email list, you know for a fact that quite a few of them are none accredited.

63600:27:03,240 --> 00:27:13,240So, you close out one fund, you sit up another fund, you can start it up as a 506b and give x number of days, let your investors know look.

63700:27:13,240 --> 00:27:18,240You have 30 days as a none accredited investor to invest in this fund.

63800:27:18,240 --> 00:27:23,240I'm only accepting 22, so take your position.

63900:27:23,240 --> 00:27:29,240Then after that 30 days, you kind of take your attorney, hey, switch it over to a 506c.

64000:27:29,240 --> 00:27:33,240You've already gotten, let's see, let's see, you raise a million dollars already.

64100:27:33,240 --> 00:27:39,240Now you switch it over to a 506c, you turn around, you market that out to the masses.

64200:27:39,240 --> 00:27:43,240And then you bring in only accredited investors.

64300:27:43,240 --> 00:27:55,240On top of the, on top of the, on top of the none accredited, so now you give your none accredited investors an opportunity to be invested in these properties just as if they were already accredited.

64400:27:55,240 --> 00:28:03,240Okay, so the first group that does not have to be accredited, what kind of dollar amounts do you take from them, the same, 100,000 or what?

64500:28:03,240 --> 00:28:07,240I still say 100,000 but I would let them in for like 50,000.

64600:28:07,240 --> 00:28:11,240You could even do 25,000.

64700:28:11,240 --> 00:28:16,240So I guess you've been doing real estate for a lot of years and this is how you've made a lot of your connections, I suppose.

64800:28:16,240 --> 00:28:20,240Yes, a lot of my connections do real estate through the wholesaling.

64900:28:20,240 --> 00:28:28,240Yeah, through wholesaling. I mean, you had a list of what, 5,000 to 6,000 just cash buyers on one list.

65000:28:28,240 --> 00:28:30,240Oh, okay.

65100:28:30,240 --> 00:28:34,240Well, that's how I was able to sell properties in 24 hours.

65200:28:34,240 --> 00:28:36,240I see.

65300:28:36,240 --> 00:28:38,240But you wanted to move it.

65400:28:38,240 --> 00:28:44,240Now, do you take an equity position in the, the apartments?

65500:28:44,240 --> 00:28:48,240So yes, I can't reinvest in my fund with my own capital as well.

65600:28:48,240 --> 00:28:51,240Okay, and that's good.

65700:28:51,240 --> 00:28:56,240And so you're just getting started, you're brand new in a way.

65800:28:56,240 --> 00:28:59,240It's only 23 and you did it.

65900:28:59,240 --> 00:29:01,240But so that's good, that's interesting.

66000:29:01,240 --> 00:29:05,240We'll have to follow your progress over time.

66100:29:05,240 --> 00:29:12,240And tell me about the type of people that like to invest with you.

66200:29:12,240 --> 00:29:17,240I mean, I know we talked about different definitions of how you define different people.

66300:29:17,240 --> 00:29:20,240Tell me about who, who does this?

66400:29:20,240 --> 00:29:25,240So the people who invest with me are people who have a lot of money, no time.

66500:29:25,240 --> 00:29:29,240So that would be, for an example, let's say professional athletes.

66600:29:29,240 --> 00:29:30,240Right.

66700:29:30,240 --> 00:29:31,240And money, no time.

66800:29:31,240 --> 00:29:33,240They don't want to deal with looking for properties.

66900:29:33,240 --> 00:29:37,240And they mean, they also may not have the sophistication that you deal with.

67000:29:37,240 --> 00:29:38,240That's true, too.

67100:29:38,240 --> 00:29:44,240Yes. And then also doctors, surgeons, plastic surgeons, they have a lot of money, no time.

67200:29:44,240 --> 00:29:45,240Right.

67300:29:45,240 --> 00:29:47,240And also same again.

67400:29:47,240 --> 00:29:48,240Exactly.

67500:29:48,240 --> 00:29:53,240The lack of sophistication and you know, you may be a doctor or lawyer or a football player.

67600:29:53,240 --> 00:29:54,240But this is a big layer.

67700:29:54,240 --> 00:29:55,240You can also go about a building.

67800:29:55,240 --> 00:29:56,240Right.

67900:29:56,240 --> 00:29:57,240Right.

68000:29:57,240 --> 00:30:00,240Because it takes a whole other skill set to get involved in real estate and know what you're doing there.

68100:30:00,240 --> 00:30:02,240And so they know you have that.

68200:30:02,240 --> 00:30:03,240Exactly.

68300:30:03,240 --> 00:30:06,240Subwraening my skill set, pardoning that with their money.

68400:30:06,240 --> 00:30:08,240And that's how we have required these buildings.

68500:30:08,240 --> 00:30:09,240Okay.

68600:30:09,240 --> 00:30:14,240And really, I think a lot of professional athletes would benefit by getting,

68700:30:14,240 --> 00:30:21,240I mean, how many examples could you say of athletes that have made a lot of money if they would have put it in a pool?

68800:30:21,240 --> 00:30:23,240Let's just talk about apartments, nothing else.

68900:30:23,240 --> 00:30:24,240Yes.

69000:30:24,240 --> 00:30:29,240What, I mean, that's actually one of my missions is to get in front of more professional athletes.

69100:30:29,240 --> 00:30:30,240Yes.

69200:30:30,240 --> 00:30:35,240To show them what this is so that they can get invest into these apartment buildings and secure a much better future.

69300:30:35,240 --> 00:30:36,240Right.

69400:30:36,240 --> 00:30:37,240Financial future.

69500:30:37,240 --> 00:30:38,240Right.

69600:30:38,240 --> 00:30:41,240And because, I mean, these guys are great athletes.

69700:30:41,240 --> 00:30:46,240But they'll come out of high school or college and boom, boom, boom.

69800:30:46,240 --> 00:30:47,240It's all sports.

69900:30:47,240 --> 00:30:48,240It's all sports.

70000:30:48,240 --> 00:30:49,240And yes.

70100:30:49,240 --> 00:30:54,240And then they'll go buy a big home, which is not really an asset.

70200:30:54,240 --> 00:30:55,240It's not an investment.

70300:30:55,240 --> 00:30:56,240Okay.

70400:30:56,240 --> 00:30:58,240Why is a big home not an investment?

70500:30:58,240 --> 00:30:59,240Because you live in it.

70600:30:59,240 --> 00:31:00,240You can't rent it.

70700:31:00,240 --> 00:31:01,240You're not renting it out.

70800:31:01,240 --> 00:31:02,240There's no money coming in.

70900:31:02,240 --> 00:31:03,240There's no money coming in, right?

71000:31:03,240 --> 00:31:04,240Yeah.

71100:31:04,240 --> 00:31:05,240It's just the money suck.

71200:31:05,240 --> 00:31:07,240Same as far as buying a car.

71300:31:07,240 --> 00:31:09,240Like, you can buy a car, but that's depreciating that's it.

71400:31:09,240 --> 00:31:10,240Right.

71500:31:10,240 --> 00:31:12,240And then, you know, it's $20,000 going down a drain just like that.

71600:31:12,240 --> 00:31:13,240Right.

71700:31:13,240 --> 00:31:14,240Can't we silly?

71800:31:14,240 --> 00:31:15,240Right.

71900:31:15,240 --> 00:31:19,240And so, a lot of these guys, they come from poor families.

72000:31:19,240 --> 00:31:22,240They, this is the first time they've been throwing all this money.

72100:31:22,240 --> 00:31:25,240And they're like, all right, I'm going to live it up and all that.

72200:31:25,240 --> 00:31:29,240But really, I think, and I like your mission too.

72300:31:29,240 --> 00:31:39,240Because I would like to help them also, if they ever need any help, because the thing is,

72400:31:39,240 --> 00:31:46,240if you have an asset and it's paying you a return, you know, through rants, through,

72500:31:46,240 --> 00:31:49,240like, what you get in real estate.

72600:31:49,240 --> 00:31:50,240Exactly.

72700:31:50,240 --> 00:31:54,240That's the money you can use to go buy your, you're a nice car.

72800:31:54,240 --> 00:31:56,240You're a nice car, you're a nice home.

72900:31:56,240 --> 00:32:03,240But then, you don't touch the money that you have invested in the principal, you know, the principal.

73000:32:03,240 --> 00:32:05,240And then, you'll have a good life.

73100:32:05,240 --> 00:32:09,240You take your active income and you turn it into passive income.

73200:32:09,240 --> 00:32:10,240Right.

73300:32:10,240 --> 00:32:11,240That's how you create financial freedom.

73400:32:11,240 --> 00:32:16,240And you use the passive income to go buy your house and your car and everything like that.

73500:32:16,240 --> 00:32:20,240But you first need the investment income.

73600:32:20,240 --> 00:32:21,240Exactly.

73700:32:21,240 --> 00:32:23,240Like, I have one rule.

73800:32:23,240 --> 00:32:27,240I will not work to maintain a lifestyle.

73900:32:27,240 --> 00:32:33,240Meaning, I'm not going to go out there and work, sweat, toil,

74000:32:33,240 --> 00:32:36,240to go in buy a car.

74100:32:36,240 --> 00:32:40,240I'm going to be more than a hard word and I'm buying an asset that's going to buy the car.

74200:32:40,240 --> 00:32:41,240Right.

74300:32:41,240 --> 00:32:42,240Exactly.

74400:32:42,240 --> 00:32:43,240Yes.

74500:32:43,240 --> 00:32:46,240That's very smart.

74600:32:46,240 --> 00:32:50,240And some people, you know, I already told my friends, I was like, "If you see me in the rose,

74700:32:50,240 --> 00:32:55,240Royce, just know that that was covered with one month of passive income."

74800:32:55,240 --> 00:32:57,240Otherwise, you're not buying it.

74900:32:57,240 --> 00:32:59,240Otherwise, I'm paying cash.

75000:32:59,240 --> 00:33:00,240That's it.

75100:33:00,240 --> 00:33:02,240Well, I mean, I always find it fascinating.

75200:33:02,240 --> 00:33:10,240Warren Buffett lives, I think, in a $300,000 house that he's lived in forever in Omaha, Nebraska.

75300:33:10,240 --> 00:33:12,240And that's how he lives.

75400:33:12,240 --> 00:33:13,240Yep.

75500:33:13,240 --> 00:33:16,240And the guy is one of the richest people on earth.

75600:33:16,240 --> 00:33:19,240But he doesn't need a fancy.

75700:33:19,240 --> 00:33:23,240And they asked him one time, I think, in an interview, they said, "Why don't you have a yacht?"

75800:33:23,240 --> 00:33:24,240You know, you could afford a yacht.

75900:33:24,240 --> 00:33:29,240And he said, "All that other people worry about having yachts and I'll go for a trip with them."

76000:33:29,240 --> 00:33:30,240Exactly.

76100:33:30,240 --> 00:33:37,240But that's a really smart investor, you know, because he's not, he's more focused on making the money

76200:33:37,240 --> 00:33:46,240and being prudent and conservative with his lifestyle and not all of his life style.

76300:33:46,240 --> 00:33:48,240The goal is generation of wealth.

76400:33:48,240 --> 00:33:49,240Yes.

76500:33:49,240 --> 00:33:50,240Okay, tell them what that means.

76600:33:50,240 --> 00:33:55,240Generation of wealth means you're not just acquiring a wealth of lasting your lifetime,

76700:33:55,240 --> 00:34:01,240but the less in your children's lifetime, their children's lifetime, and their children's lifetime.

76800:34:01,240 --> 00:34:04,240You want to pass down.

76900:34:04,240 --> 00:34:05,240Right.

77000:34:05,240 --> 00:34:10,240And there's actually, I used to be in a state planning attorney that are actually trusts you can set up.

77100:34:10,240 --> 00:34:11,240Exactly.

77200:34:11,240 --> 00:34:15,240That will, if you have enough money to pay the lawyer bills and everything,

77300:34:15,240 --> 00:34:19,240to set them up that can help out through the generations.

77400:34:19,240 --> 00:34:31,240And where your children and grandchildren aren't necessarily able to get to the money and foolishly spend it,

77500:34:31,240 --> 00:34:37,240where there's some direction and conservative management, can be a corporately managed day.

77600:34:37,240 --> 00:34:39,240You've got to leave clear instructions for them, too.

77700:34:39,240 --> 00:34:40,240Yes.

77800:34:40,240 --> 00:34:41,240Like the Raufstow's film.

77900:34:41,240 --> 00:34:43,240Ever read the book, "The House of Raufstow"?

78000:34:43,240 --> 00:34:44,240No.

78100:34:44,240 --> 00:34:45,240It's a great book.

78200:34:45,240 --> 00:34:46,240Tell me what you learn there.

78300:34:46,240 --> 00:34:50,240So it talks about, this is actually like my whole investment philosophy I learned from this area.

78400:34:50,240 --> 00:34:55,240So they funded two sides of a ward.

78500:34:55,240 --> 00:34:56,240Right?

78600:34:56,240 --> 00:34:57,240So no competition.

78700:34:57,240 --> 00:34:58,240No.

78800:34:58,240 --> 00:35:00,240Because you funded two sides of a ward.

78900:35:00,240 --> 00:35:01,240Right.

79000:35:01,240 --> 00:35:02,240So either way you win.

79100:35:02,240 --> 00:35:03,240Right.

79200:35:03,240 --> 00:35:09,240So that's my whole investment philosophy when it comes to investing as a fund manager in these apartment buildings.

79300:35:09,240 --> 00:35:15,240I don't consider myself having competition because I'm willing to invest with whomever is providing a good deal.

79400:35:15,240 --> 00:35:16,240Right.

79500:35:16,240 --> 00:35:18,240As well as going to find my own deals.

79600:35:18,240 --> 00:35:19,240Right.

79700:35:19,240 --> 00:35:28,240So when you invest with everybody who's at the top of the top or close to it or up and coming, then you effectively have no competition.

79800:35:28,240 --> 00:35:32,240Everyone is collaborating and you go a lot further.

79900:35:32,240 --> 00:35:33,240Right.

80000:35:33,240 --> 00:35:44,240And so when you do you have, do you put on seminars to your investors or is it mostly just connections that you've had?

80100:35:44,240 --> 00:35:48,240And you work the phone and you meet them in person.

80200:35:48,240 --> 00:35:49,240Mixable.

80300:35:49,240 --> 00:35:54,240The first part, like you said, and then also advertising, bringing in leads.

80400:35:54,240 --> 00:35:56,240They go through my email list.

80500:35:56,240 --> 00:35:57,240They get a few emails.

80600:35:57,240 --> 00:36:01,240They reach out, get on the phone, they invest.

80700:36:01,240 --> 00:36:02,240Right.

80800:36:02,240 --> 00:36:04,240So it's a whole system.

80900:36:04,240 --> 00:36:07,240And you have a perspective or a perspective they can look over.

81000:36:07,240 --> 00:36:10,240They look over my private placement memorandum.

81100:36:10,240 --> 00:36:16,240Okay. And they have to read through the subscription agreement, sign off on it, and then they can invest.

81200:36:16,240 --> 00:36:19,240Once they see pay, of course, say their credit.

81300:36:19,240 --> 00:36:20,240Right.

81400:36:20,240 --> 00:36:24,240And of course there's no guarantees with this or anything else, right?

81500:36:24,240 --> 00:36:25,240Yes, there's no guarantees.

81600:36:25,240 --> 00:36:33,240But we do have like things in place such as preferred returns and performance downsides and downside performance protection hurdles.

81700:36:33,240 --> 00:36:35,240Oh, okay.

81800:36:35,240 --> 00:36:45,240Well, the thing is, I mean, yes, there are risks, but the thing is I've seen companies like stocks, which I'm not a great fan of.

81900:36:45,240 --> 00:36:48,240Maybe because I don't understand them.

82000:36:48,240 --> 00:37:00,240I do understand real estate better, but stocks I've often seen, I mean, not often, but it can happen where there's some scandal with an executive or there's something going on.

82100:37:00,240 --> 00:37:04,240And the stock is worth, you know, next to nothing in a few days.

82200:37:04,240 --> 00:37:11,240The thing about real estate, there may be a scandal or two or whatever, but the real estate is still there.

82300:37:11,240 --> 00:37:12,240Exactly.

82400:37:12,240 --> 00:37:27,240You're not relying on some hot shot Wall Street Wizard or Tech Wizard or whoever the wizard is that that formed the company to, you're kind of investing in that person when you're investing in stocks in a way.

82500:37:27,240 --> 00:37:27,240Exactly.

82600:37:27,240 --> 00:37:34,240But when you're invested in real estate, you're not really investing in some wizard, you're investing in a hard asset.

82700:37:34,240 --> 00:37:39,240A hard asset. That's why you got to look at the numbers and trust the numbers.

82800:37:39,240 --> 00:37:45,240Like I said, if that formed a plus unit property in Phoenix, the numbers don't lie. Like it's a great deal.

82900:37:45,240 --> 00:37:54,240Well, the thing is also, what I like about real estate is you can look at the numbers on a particular investment, okay?

83000:37:54,240 --> 00:37:58,240And that's good and that's encouraged. You should do that.

83100:37:58,240 --> 00:38:04,240But you can also research neighborhoods. You can research demographic change trends.

83200:38:04,240 --> 00:38:09,240You can research like, this is one thing I've done.

83300:38:09,240 --> 00:38:15,240And this is kind of, it may sound like a crazy idea, but I like to talk to policemen.

83400:38:15,240 --> 00:38:16,240Oh, yes.

83500:38:16,240 --> 00:38:22,240Believe it or not. I'll talk to policemen on the street in the area where I'm thinking of doing an investment.

83600:38:22,240 --> 00:38:28,240And I will say, can I talk to you for a minute? And usually they're happy to talk to you.

83700:38:28,240 --> 00:38:31,240And you know, they're not out to get everybody.

83800:38:31,240 --> 00:38:38,240But the thing is, you say, and I've done this. I've talked to them. I said, is this neighborhood in five years?

83900:38:38,240 --> 00:38:43,240Do you see it getting better or worse? I've had that conversation with police.

84000:38:43,240 --> 00:38:48,240And they believe it or not know more about neighborhoods.

84100:38:48,240 --> 00:38:49,240Well, of course.

84200:38:49,240 --> 00:38:52,240I mean, it's not that in the field. They're in the field. They see.

84300:38:52,240 --> 00:38:56,240It's like, that's going to military officer about the past, the war zone.

84400:38:56,240 --> 00:38:59,240He knows everything about he's in.

84500:38:59,240 --> 00:39:04,240Yes. Yes. And they've also seen the past. The past doesn't mean that's where the future.

84600:39:04,240 --> 00:39:07,240But they can spot trends. And policemen can do that.

84700:39:07,240 --> 00:39:14,240You know, policemen and other people. But yes, they can tell you, oh well, you know,

84800:39:14,240 --> 00:39:20,240crime used to be really bad here 10 years ago, but it's gotten a lot better. And there's all kinds of nice stuff going things.

84900:39:20,240 --> 00:39:24,240You may not see when you're just coming in boom, cold into an area.

85000:39:24,240 --> 00:39:32,240You don't see trends necessarily. But a policeman and people like that who are on the street, they see the trends.

85100:39:32,240 --> 00:39:38,240And they can tell you the other way too. They can say, oh, this, they can say this place is going down or whatever.

85200:39:38,240 --> 00:39:48,240And that can happen too. But you know, and I've also talked and like with apartments, I've actually looked, I've also talked to tenants.

85300:39:48,240 --> 00:39:52,240Oh, yes. How's it going here? How do you like it here?

85400:39:52,240 --> 00:39:59,240And you can just, you can get a feel for it for it there. And some of them say, I love it here.

85500:39:59,240 --> 00:40:02,240And some of them may say, oh, the management is terrible or whatever.

85600:40:02,240 --> 00:40:09,240Or the management is great or we have new management and they're doing great or they're, or the events and stuff.

85700:40:09,240 --> 00:40:19,240Events, yep. All that kind of stuff. And they can, they can be a wealth of information if you're studying a real estate asset.

85800:40:19,240 --> 00:40:24,240And that's what people like you do.

85900:40:24,240 --> 00:40:29,240Exactly. You do your research. You do, do some boots on the ground research.

86000:40:29,240 --> 00:40:34,240Because your investors aren't really going to be able to go to all these places. Exactly.

86100:40:34,240 --> 00:40:41,240And do that, you know. So that's good. And those are, those are just some ideas.

86200:40:41,240 --> 00:40:47,240If you're wanting to buy a piece of real estate in a certain neighborhood, you obviously don't want to buy in a neighborhood that's going down.

86300:40:47,240 --> 00:40:50,240Exactly. There's no upside. There's no upside to that.

86400:40:50,240 --> 00:40:56,240And some neighborhoods are going down. You know, some neighborhoods are going up. And you want to find those neighborhoods.

86500:40:56,240 --> 00:41:08,240And you got to realize also when you talk to a policeman, they, their view may be a little bit hard because all they deal with is crime.

86600:41:08,240 --> 00:41:13,240That's what they only see the worst of the worst people in situations.

86700:41:13,240 --> 00:41:19,240But they will see trends too. And if they say it's getting better, I believe them.

86800:41:19,240 --> 00:41:29,240A neighborhood or they can also say it's probably going to be about the same in five years. And that's actually not bad if they say that.

86900:41:29,240 --> 00:41:41,240So this apartment complex is they have a pool and it has a pool, a workout facility, everything, every hole in New York.

87000:41:41,240 --> 00:41:50,240And the thing about the opportunity is, whoa, this particular property is I'm leaving it open to accepting investors for this one. Until the end of the month.

87100:41:50,240 --> 00:41:54,240Oh, this month. Okay. Until the end of July.

87200:41:54,240 --> 00:41:55,240Yeah.

87300:41:55,240 --> 00:41:59,240So let's see, not, not, not much left of July.

87400:41:59,240 --> 00:42:00,240Yep.

87500:42:00,240 --> 00:42:08,240And so that's good. And are you still going to be doing any wholesaling or you just, oh, not.

87600:42:08,240 --> 00:42:12,240You put that in your rear view mirror. Yeah.

87700:42:12,240 --> 00:42:13,240Leave it where it was.

87800:42:13,240 --> 00:42:15,240Okay. The more hamster will make.

87900:42:15,240 --> 00:42:16,240Yeah.

88000:42:16,240 --> 00:42:18,240Got enough cardio.

88100:42:18,240 --> 00:42:25,240Well, I mean apartments are a solid investment. I've always liked them because, um, well, it's interesting.

88200:42:25,240 --> 00:42:28,240In fact, I'm glad I remembered to ask you this.

88300:42:28,240 --> 00:42:34,240I wanted to ask you, um, interest rates. We talked about that a little bit earlier.

88400:42:34,240 --> 00:42:38,240Well, it's hidden potential homeowners real hard. Oh, yeah.

88500:42:38,240 --> 00:42:41,240And so how's that affecting the apartment industry?

88600:42:41,240 --> 00:42:46,240So the way it works is interest rates, but a lot of pressure.

88700:42:46,240 --> 00:42:50,240People that can't necessarily afford to go buy houses.

88800:42:50,240 --> 00:42:54,240So they start living in apartment buildings.

88900:42:54,240 --> 00:42:58,240So if further benefits apartment buildings in the long run, right?

89000:42:58,240 --> 00:43:02,240Because you have a much higher renter population.

89100:43:02,240 --> 00:43:07,240Right. So in this time, you want to be invested in apartment buildings.

89200:43:07,240 --> 00:43:11,240If you have capital to do so, because it's only going to appreciate from here.

89300:43:11,240 --> 00:43:14,240As well as I think we have a housing shortage.

89400:43:14,240 --> 00:43:15,240Yeah. That's what I'm right.

89500:43:15,240 --> 00:43:18,240That's what I'm looking at. The other housing shortage people can't build quick enough.

89600:43:18,240 --> 00:43:19,240Right.

89700:43:19,240 --> 00:43:21,240It's not a whole lot of developers out there.

89800:43:21,240 --> 00:43:28,240Yes. And, um, and really, I think a lot of these developments are stopping because they're having trouble.

89900:43:28,240 --> 00:43:29,240Interst rates.

90000:43:29,240 --> 00:43:30,240Right.

90100:43:30,240 --> 00:43:31,240So that's interest rates.

90200:43:31,240 --> 00:43:32,240That's interest rates.

90300:43:32,240 --> 00:43:33,240Yeah.

90400:43:33,240 --> 00:43:34,240For two reasons.

90500:43:34,240 --> 00:43:37,240It hits the developer.

90600:43:37,240 --> 00:43:40,240Well, three reasons that I didn't think of right now.

90700:43:40,240 --> 00:43:44,240It's can hit the developer for a bank may not want to make them the loan.

90800:43:44,240 --> 00:43:45,240Yeah.

90900:43:45,240 --> 00:43:47,240Like they may have in a lower interest rate environment.

91000:43:47,240 --> 00:43:48,240Number one.

91100:43:48,240 --> 00:43:54,240Number two is they're trying to sell it to people.

91200:43:54,240 --> 00:43:57,240And people are looking at.

91300:43:57,240 --> 00:44:01,240Because the rates go up, obviously the amount of home you can afford goes down.

91400:44:01,240 --> 00:44:02,240Exactly.

91500:44:02,240 --> 00:44:07,240And because your income doesn't really change because interest rates keep going up.

91600:44:07,240 --> 00:44:10,240So the amount of home you can afford goes down and down.

91700:44:10,240 --> 00:44:21,240And in the DFW area, we, I mean, yes, we're affordable, still compared to other places in the country.

91800:44:21,240 --> 00:44:23,240But it's becoming less and less so.

91900:44:23,240 --> 00:44:24,240Yeah.

92000:44:24,240 --> 00:44:27,240And you're having to go further and further out from the middle.

92100:44:27,240 --> 00:44:28,240Yeah.

92200:44:28,240 --> 00:44:29,240And it's like that, too.

92300:44:29,240 --> 00:44:30,240But it is?

92400:44:30,240 --> 00:44:31,240Yeah.

92500:44:31,240 --> 00:44:33,240It's picking up like a lot of people moving there.

92600:44:33,240 --> 00:44:34,240And they're moving out.

92700:44:34,240 --> 00:44:35,240I see.

92800:44:35,240 --> 00:44:36,240Yeah.

92900:44:36,240 --> 00:44:40,240They're moving further out in order to find affordable housing.

93000:44:40,240 --> 00:44:42,240But even so.

93100:44:42,240 --> 00:44:46,240And I, oh, and then there's a third thing that's going on with interest rates.

93200:44:46,240 --> 00:44:47,240Yes.

93300:44:47,240 --> 00:44:53,240I think a lot of individuals who are on the fence about buying a home.

93400:44:53,240 --> 00:44:58,240Well, first of all, you kind of missed the boat in a way.

93500:44:58,240 --> 00:44:59,240Yeah.

93600:44:59,240 --> 00:45:02,240Because they've gone up so fast in such a short period of time.

93700:45:02,240 --> 00:45:03,240I should have done a couple of years ago.

93800:45:03,240 --> 00:45:04,240Yes.

93900:45:04,240 --> 00:45:11,240And if they didn't, now they're saying, well, actually, I ran a poll on Twitter.

94000:45:11,240 --> 00:45:18,240And I asked for, I don't know if you saw it or voted, but I know not everybody sees everything in people posts.

94100:45:18,240 --> 00:45:23,240But I said, where do you see interest rates?

94200:45:23,240 --> 00:45:24,240Home mortgage rates.

94300:45:24,240 --> 00:45:25,240I threw that word in there.

94400:45:25,240 --> 00:45:26,240Yeah.

94500:45:26,240 --> 00:45:28,240I said, where do you say it in one year or three?

94600:45:28,240 --> 00:45:29,240Oh, no.

94700:45:29,240 --> 00:45:40,240I said, do you see all mortgage interest rates coming down again in one year, three years, six years, or ten years or more?

94800:45:40,240 --> 00:45:45,240And so far, I've gotten votes on three years and ten years or more.

94900:45:45,240 --> 00:45:46,240Yep.

95000:45:46,240 --> 00:45:48,240And that's kind of a gloomy--

95100:45:48,240 --> 00:45:50,240So it's definitely a renters nation.

95200:45:50,240 --> 00:45:51,240Like--

95300:45:51,240 --> 00:45:52,240Yes, it is turning into--

95400:45:52,240 --> 00:45:57,240And people have been pitching that for the longest saying, America is going to be a renters nation.

95500:45:57,240 --> 00:45:58,240Yes.

95600:45:58,240 --> 00:46:00,240So you want to be invested in the apartment buildings.

95700:46:00,240 --> 00:46:01,240This is the time.

95800:46:01,240 --> 00:46:02,240Yes.

95900:46:02,240 --> 00:46:09,240And also, you know, apartment living is a good option for a lot of people when they look at--

96000:46:09,240 --> 00:46:10,240Like--

96100:46:10,240 --> 00:46:11,240The amenities alone.

96200:46:11,240 --> 00:46:12,240It's a great option for people.

96300:46:12,240 --> 00:46:14,240Yes.

96400:46:14,240 --> 00:46:16,240Many of you can't necessarily afford it at home.

96500:46:16,240 --> 00:46:17,240Exactly.

96600:46:17,240 --> 00:46:21,240You don't have to tend to stuff like cutting the grass, watering the yard.

96700:46:21,240 --> 00:46:22,240You have a swimming pool.

96800:46:22,240 --> 00:46:23,240You have a swimming pool.

96900:46:23,240 --> 00:46:27,240You eliminate a lot of your responsibilities.

97000:46:27,240 --> 00:46:28,240Yes.

97100:46:28,240 --> 00:46:29,240That's a good word.

97200:46:29,240 --> 00:46:32,240And you may have a gym.

97300:46:32,240 --> 00:46:33,240You have a gym.

97400:46:33,240 --> 00:46:34,240Exactly.

97500:46:34,240 --> 00:46:38,240You know, if you potentially eliminate a gym membership, now you're saving that $200 a month.

97600:46:38,240 --> 00:46:39,240Yes.

97700:46:39,240 --> 00:46:42,240So you could have-- exactly.

97800:46:42,240 --> 00:46:44,240And well, then there are social events.

97900:46:44,240 --> 00:46:45,240Yep.

98000:46:45,240 --> 00:46:46,240Social events.

98100:46:46,240 --> 00:46:47,240You can meet people.

98200:46:47,240 --> 00:46:48,240Right.

98300:46:48,240 --> 00:46:49,240If you're single, that's great.

98400:46:49,240 --> 00:46:50,240Yeah.

98500:46:50,240 --> 00:46:52,240You don't necessarily want to be in a house all by yourself in a--

98600:46:52,240 --> 00:46:53,240Is that--

98700:46:53,240 --> 00:46:54,240Suburban or something.

98800:46:54,240 --> 00:46:55,240Yeah, exactly.

98900:46:55,240 --> 00:46:57,240And so the thing is, when--

99000:46:57,240 --> 00:46:58,240When--

99100:46:58,240 --> 00:47:02,240Interest rates keep going up, it's really, I think, tilting--

99200:47:02,240 --> 00:47:05,240I mean, but it's a two-edged sword.

99300:47:05,240 --> 00:47:08,240The financing for apartment complex is going to get more complex.

99400:47:08,240 --> 00:47:10,240Complicated, too.

99500:47:10,240 --> 00:47:11,240I think--

99600:47:11,240 --> 00:47:12,240What are your thoughts on that?

99700:47:12,240 --> 00:47:19,240I think so, but then there's a lot of opportunities due to just deferred maintenance with some operators,

99800:47:19,240 --> 00:47:24,240where you will have opportunities to assume loans.

99900:47:24,240 --> 00:47:29,240So, it's why I choose the most experienced people to invest with, because in a time like that,

100000:47:29,240 --> 00:47:34,240they're going to be the most savvy investors to be able to go on and assume that loan.

100100:47:34,240 --> 00:47:36,240The bank is more willing to work with them.

100200:47:36,240 --> 00:47:40,240They're like a new guy coming in and saying, "I'm going to do this by myself."

100300:47:40,240 --> 00:47:41,240They're not going to--

100400:47:41,240 --> 00:47:42,240He's not going to get the--

100500:47:42,240 --> 00:47:45,240He's going to have to get a new loan.

100600:47:45,240 --> 00:47:47,240He's not going to get the same benefit.

100700:47:47,240 --> 00:47:48,240Right.

100800:47:48,240 --> 00:47:49,240Right.

100900:47:49,240 --> 00:47:54,240So, it's discrimination against the new guy, but it's a tough environment out there.

101000:47:54,240 --> 00:47:55,240Exactly.

101100:47:55,240 --> 00:47:56,240And they want to know--

101200:47:56,240 --> 00:47:57,240They want to know.

101300:47:57,240 --> 00:47:58,240Oh, yeah.

101400:47:58,240 --> 00:47:59,240And you're going to be able to handle this.

101500:47:59,240 --> 00:48:00,240You'd like, well, it's my first deal.

101600:48:00,240 --> 00:48:01,240No, they don't.

101700:48:01,240 --> 00:48:02,240No.

101800:48:02,240 --> 00:48:03,240They're going to work with the person.

101900:48:03,240 --> 00:48:04,240Oh, that comes in.

102000:48:04,240 --> 00:48:05,240I don't know.

102100:48:05,240 --> 00:48:06,240They're going to be able to handle this.

102200:48:06,240 --> 00:48:07,240I'm going to work with you.

102300:48:07,240 --> 00:48:08,240Right.

102400:48:08,240 --> 00:48:10,240So, that's because you've been around the block.

102500:48:10,240 --> 00:48:11,240Exactly.

102600:48:11,240 --> 00:48:15,240And operating in an apartment complex is not necessarily easy either.

102700:48:15,240 --> 00:48:16,240It's not.

102800:48:16,240 --> 00:48:18,240And so, there's a lot to go into that.

102900:48:18,240 --> 00:48:19,240That's another thing.

103000:48:19,240 --> 00:48:22,240You say, "Well, I went full cycle on 26 properties.

103100:48:22,240 --> 00:48:24,240I average disamounted.

103200:48:24,240 --> 00:48:26,240I owned 10,000 units.

103300:48:26,240 --> 00:48:28,240The banks is--

103400:48:28,240 --> 00:48:29,240They're going to--

103500:48:29,240 --> 00:48:30,240Even brokers, they're going to respect you.

103600:48:30,240 --> 00:48:32,240The banks are going to respect you.

103700:48:32,240 --> 00:48:34,240The operator, your bank, your buying from,

103800:48:34,240 --> 00:48:35,240is going to respect you.

103900:48:35,240 --> 00:48:37,240Says just much more beneficial.

104000:48:37,240 --> 00:48:38,240Right.

104100:48:38,240 --> 00:48:40,240To work with experienced operators.

104200:48:40,240 --> 00:48:41,240Exactly.

104300:48:41,240 --> 00:48:42,240That's good.

104400:48:42,240 --> 00:48:48,240And so, where do you see yourself in, let's just say, five years from now?

104500:48:48,240 --> 00:48:49,240Five years from now?

104600:48:49,240 --> 00:48:50,240See myself?

104700:48:50,240 --> 00:48:52,240That may be an unfair question, but whatever.

104800:48:52,240 --> 00:48:53,240Yeah.

104900:48:53,240 --> 00:48:54,240I mean, I'm just curious.

105000:48:54,240 --> 00:48:58,240One, you sell something you see a building, so I'm getting a cash lump sum.

105100:48:58,240 --> 00:48:59,240That's one.

105200:48:59,240 --> 00:49:01,240But in all seriousness though.

105300:49:01,240 --> 00:49:10,240But also, sitting up my $100 million funds, taking one or two of them public,

105400:49:10,240 --> 00:49:15,240and acquiring 10 billion in assets under management with one of those funds,

105500:49:15,240 --> 00:49:19,240or both actually, and then you can turn around resell it.

105600:49:19,240 --> 00:49:21,240You can do anything with that.

105700:49:21,240 --> 00:49:22,240And just get--

105800:49:22,240 --> 00:49:27,240Take it public, get the cash infusion from that, turn around, and buy more buildings.

105900:49:27,240 --> 00:49:28,240Okay.

106000:49:28,240 --> 00:49:31,240And so, are you--

106100:49:31,240 --> 00:49:33,240But you want to keep your focus on apartments?

106200:49:33,240 --> 00:49:37,240Yes, I want to keep my focus on apartments, a multi-family, and another one.

106300:49:37,240 --> 00:49:42,240And I might venture into some free standing emergency rooms,

106400:49:42,240 --> 00:49:46,240or just keep that as like a personal investment for myself, but we should see on that one.

106500:49:46,240 --> 00:49:47,240Okay.

106600:49:47,240 --> 00:49:50,240And, yeah, medical is a strong area.

106700:49:50,240 --> 00:49:51,240Yeah, medical.

106800:49:51,240 --> 00:49:52,240You're going to always need medical.

106900:49:52,240 --> 00:49:54,240You're going to always need car washes.

107000:49:54,240 --> 00:49:58,240So, like, I'm noticing some other things that I can invest in as well with--

107100:49:58,240 --> 00:50:01,240Because when you sit up private equity funds, the--

107200:50:01,240 --> 00:50:04,240The Horizons is-- is there is so much you can invest in.

107300:50:04,240 --> 00:50:06,240You can invest in liquor.

107400:50:06,240 --> 00:50:09,240Now, I don't-- I'm not investing in liquor because I don't believe in that.

107500:50:09,240 --> 00:50:13,240I don't like the fact that people literally die every day because of that kind of stuff.

107600:50:13,240 --> 00:50:14,240Right.

107700:50:14,240 --> 00:50:16,240So, that's why I would not invest in that.

107800:50:16,240 --> 00:50:17,240Right.

107900:50:17,240 --> 00:50:22,240Car washes, medical facilities, that is much better.

108000:50:22,240 --> 00:50:28,240So, in other words, your philosophy is you want to get into real estate investments

108100:50:28,240 --> 00:50:30,240where you see a strong demand.

108200:50:30,240 --> 00:50:31,240Exactly.

108300:50:31,240 --> 00:50:34,240And so, that would be those type of things.

108400:50:34,240 --> 00:50:42,240And I used to manage like five hospitals for a company, and it was very strong.

108500:50:42,240 --> 00:50:51,240They had very strong balance sheets and outlook, and dividend payment history and things like that.

108600:50:51,240 --> 00:50:54,240So, I just wanted to glance a little bit.

108700:50:54,240 --> 00:50:57,240I'm not into--

108800:50:57,240 --> 00:51:02,240Okay, here I did want to-- I did have a few questions that I wrote out of.

108900:51:02,240 --> 00:51:03,240Okay.

109000:51:03,240 --> 00:51:07,240What are some basic principles that you like about real estate that you share with your clients?

109100:51:07,240 --> 00:51:09,240Basic principles?

109200:51:09,240 --> 00:51:10,240Yes.

109300:51:10,240 --> 00:51:14,240Real estate as opposed to maybe some other investments that they can--

109400:51:14,240 --> 00:51:15,240Okay, they're money into it.

109500:51:15,240 --> 00:51:19,240I would say that they get above market returns, tax advantages,

109600:51:19,240 --> 00:51:22,240and then also cash flow.

109700:51:22,240 --> 00:51:25,240Like, you're investing something that's a hard asset that's going to pay you,

109800:51:25,240 --> 00:51:28,240I go on a monthly or quarterly basis.

109900:51:28,240 --> 00:51:34,240So, just like I was saying with the property and Phoenix, that one in particular will be paying my investors on a monthly basis.

110000:51:34,240 --> 00:51:38,240And then I have other properties that will pay my investors on a quarterly basis.

110100:51:38,240 --> 00:51:40,240Do they get the payment right away?

110200:51:40,240 --> 00:51:41,240Right away.

110300:51:41,240 --> 00:51:42,240They have to wait a certain period.

110400:51:42,240 --> 00:51:44,240They have to wait a certain period of time.

110500:51:44,240 --> 00:51:48,240So, within 90 to 180 days of acquisition of the property is when you see a first--

110600:51:48,240 --> 00:51:50,240You see a first distribution.

110700:51:50,240 --> 00:51:51,240Oh, okay.

110800:51:51,240 --> 00:51:57,240And that first period is for just the settlement of the legal and the management.

110900:51:57,240 --> 00:51:58,240Exactly.

111000:51:58,240 --> 00:52:05,240Do you-- do your people and your organization do you change management?

111100:52:05,240 --> 00:52:07,240Or does it depend?

111200:52:07,240 --> 00:52:09,240We typically keep the same management.

111300:52:09,240 --> 00:52:10,240Okay.

111400:52:10,240 --> 00:52:11,240Now, that we place, right?

111500:52:11,240 --> 00:52:12,240Oh, you place the management.

111600:52:12,240 --> 00:52:13,240No, we place management.

111700:52:13,240 --> 00:52:17,240We're not going to just assume the same management team because, well, obviously.

111800:52:17,240 --> 00:52:19,240So, you do change the management right away?

111900:52:19,240 --> 00:52:20,240Yeah, you do change management right away.

112000:52:20,240 --> 00:52:21,240Okay.

112100:52:21,240 --> 00:52:24,240But then we keep our management team there.

112200:52:24,240 --> 00:52:25,240Right.

112300:52:25,240 --> 00:52:26,240But that's good.

112400:52:26,240 --> 00:52:28,240I mean, management is so important.

112500:52:28,240 --> 00:52:31,240I do a lot of property management.

112600:52:31,240 --> 00:52:38,240You can now underestimate how important real estate management is.

112700:52:38,240 --> 00:52:39,240Exactly.

112800:52:39,240 --> 00:52:42,240And good experienced managers.

112900:52:42,240 --> 00:52:49,240So, let's say a school teacher company came-- our couple came into you and they're in their late 20s.

113000:52:49,240 --> 00:52:55,240How would you advise them to look at real estate as an investment?

113100:52:55,240 --> 00:53:04,240So, depending on their amount of cash on hand that they have, typically if you're a school teacher, you're not accredited.

113200:53:04,240 --> 00:53:05,240Okay.

113300:53:05,240 --> 00:53:09,240So, at this particular fund, they wouldn't be able to invest.

113400:53:09,240 --> 00:53:14,240But they do have an option of reach that they can invest in.

113500:53:14,240 --> 00:53:18,240I would suggest that they look into--

113600:53:18,240 --> 00:53:20,240And that stands for real estate investment trust.

113700:53:20,240 --> 00:53:21,240Exactly.

113800:53:21,240 --> 00:53:23,240And many of them are publicly traded.

113900:53:23,240 --> 00:53:24,240Exactly.

114000:53:24,240 --> 00:53:26,240And it's a way to get in the real estate.

114100:53:26,240 --> 00:53:27,240And have it in lower cost.

114200:53:27,240 --> 00:53:28,240Yes.

114300:53:28,240 --> 00:53:29,240And I plan on sending something up like that.

114400:53:29,240 --> 00:53:30,240That's why I'm selling--

114500:53:30,240 --> 00:53:31,240Okay.

114600:53:31,240 --> 00:53:32,240--a hundred million dollar fund.

114700:53:32,240 --> 00:53:35,240It's not going to be a hundred million dollar if I was to see.

114800:53:35,240 --> 00:53:47,240It would be a hundred million dollar or a 75 million dollar, a RIG-8 plus fund where it's set up similar to a REIT where you can invest as little as a couple thousand dollars.

114900:53:47,240 --> 00:53:48,240Okay.

115000:53:48,240 --> 00:53:55,240So, you want to have that option for people in the future where you can have different tiers for different people.

115100:53:55,240 --> 00:53:56,240Yes, exactly.

115200:53:56,240 --> 00:53:58,240You can have your accredited investor tier.

115300:53:58,240 --> 00:54:03,240Like I said, you want 25 million of the 75 million to be all accredited investors.

115400:54:03,240 --> 00:54:08,240That should be pretty quick if you've been doing this long enough to have the investor base to raise that.

115500:54:08,240 --> 00:54:09,240Okay.

115600:54:09,240 --> 00:54:16,240And that should get you already in some deals so that your people invest in 2,000, 5,000 are not just coming into a blind pool fund.

115700:54:16,240 --> 00:54:17,240Okay.

115800:54:17,240 --> 00:54:18,240So you still have a 50 million for them.

115900:54:18,240 --> 00:54:22,240You can even take that public once you get your accredited investors to take it public.

116000:54:22,240 --> 00:54:29,240And then have everybody come in to fill in the 50 million dollar position and they already invest in property.

116100:54:29,240 --> 00:54:30,240Okay.

116200:54:30,240 --> 00:54:44,240And so this is not so technical, but how do you help people that might be stuck in a run financially or motivationally?

116300:54:44,240 --> 00:54:46,240Stuck financially or motivationally?

116400:54:46,240 --> 00:54:55,240In other words, they don't feel like they're making any progress financially or they're having trouble motivating themselves.

116500:54:55,240 --> 00:54:59,240They say, they'll say, I mean, there's a lot of people that'll say, yeah, I'd like,

116600:54:59,240 --> 00:55:01,240I'd like to do that.

116700:55:01,240 --> 00:55:03,240Or that's interesting to me.

116800:55:03,240 --> 00:55:10,240But they don't have the end to just go and get it done.

116900:55:10,240 --> 00:55:11,240Yes.

117000:55:11,240 --> 00:55:13,240How do you motivate somebody like that?

117100:55:13,240 --> 00:55:17,240And I know that's maybe not your job, but I think it's all of our jobs in a way.

117200:55:17,240 --> 00:55:18,240Yeah, that's tough.

117300:55:18,240 --> 00:55:23,240I mean, as far as somebody wants to get started, I would tell them you have to really invest in yourself.

117400:55:23,240 --> 00:55:31,240Be willing to pay for mentors, be willing to pay for, and really the motivation for an accountability department, right?

117500:55:31,240 --> 00:55:33,240That's what a mentor is.

117600:55:33,240 --> 00:55:37,240They're going to make sure you're doing the right track, taking care of business.

117700:55:37,240 --> 00:55:41,240So I've, like, I can say that technically always have mentors.

117800:55:41,240 --> 00:55:43,240How do you find mentors?

117900:55:43,240 --> 00:55:46,240Right place, right time, be out out and about.

118000:55:46,240 --> 00:55:49,240I talk to everyone.

118100:55:49,240 --> 00:55:55,240Just be curious about people, be open-minded, open to talking to people.

118200:55:55,240 --> 00:55:56,240Exactly.

118300:55:56,240 --> 00:55:59,240Even out the country, I talk to people.

118400:55:59,240 --> 00:56:00,240Learn the language.

118500:56:00,240 --> 00:56:02,240Swahili, for example.

118600:56:02,240 --> 00:56:03,240Oh, really?

118700:56:03,240 --> 00:56:04,240Yeah.

118800:56:04,240 --> 00:56:07,240Learn how to speak a little bit of that language when you're over there.

118900:56:07,240 --> 00:56:08,240Oh, nice.

119000:56:08,240 --> 00:56:10,240Learn in Amaric.

119100:56:10,240 --> 00:56:11,240Oh, okay.

119200:56:11,240 --> 00:56:14,240Learn in, you know, how to speak Hebrew fluently.

119300:56:14,240 --> 00:56:18,240So just like talking to people.

119400:56:18,240 --> 00:56:21,240And just learning and showing an interest.

119500:56:21,240 --> 00:56:22,240Exactly.

119600:56:22,240 --> 00:56:23,240And it's amazing.

119700:56:23,240 --> 00:56:29,240A lot of people who have a lot of experience, they don't get anybody to ask you how they did it.

119800:56:29,240 --> 00:56:30,240Yeah.

119900:56:30,240 --> 00:56:32,240Or they were, they rarely do.

120000:56:32,240 --> 00:56:38,240And so when somebody does come up, they're more than happy to share their knowledge with you.

120100:56:38,240 --> 00:56:39,240Isn't that right?

120200:56:39,240 --> 00:56:40,240Exactly.

120300:56:40,240 --> 00:56:44,240But motivational, it's hard.

120400:56:44,240 --> 00:56:50,240You know, I've read a lot of books about real estate and I've read so many of them that I can see a pattern.

120500:56:50,240 --> 00:56:58,240And the information isn't too, um, none of the information is really new to me anymore.

120600:56:58,240 --> 00:57:03,240But what I like about them is each one of them will motivate you in a certain way.

120700:57:03,240 --> 00:57:05,240And it's usually the beginning of the book.

120800:57:05,240 --> 00:57:06,240Yep.

120900:57:06,240 --> 00:57:07,240And you reach it.

121000:57:07,240 --> 00:57:10,240And they'll, I mean, there's just all kinds of real estate books.

121100:57:10,240 --> 00:57:15,240But that's what I love most about them is they, they are kind of motivational.

121200:57:15,240 --> 00:57:16,240Yep.

121300:57:16,240 --> 00:57:17,240Exactly.

121400:57:17,240 --> 00:57:18,240And those are the best books.

121500:57:18,240 --> 00:57:19,240Yep.

121600:57:19,240 --> 00:57:20,240So.

121700:57:20,240 --> 00:57:24,240Well, thank you so much for, for being our guest today on the podcast.

121800:57:24,240 --> 00:57:34,240And, um, I want to definitely, if you don't mind, in the future, get together with you for podcasts, especially since you're local to the area.

121900:57:34,240 --> 00:57:35,240Yep.

122000:57:35,240 --> 00:57:39,240And I want to see what your projects are in the future and how things are working out.

122100:57:39,240 --> 00:57:40,240Definitely.

122200:57:40,240 --> 00:57:42,240And I'll be happy to give up dates on it.

122300:57:42,240 --> 00:57:43,240Okay, great.

122400:57:43,240 --> 00:57:45,240And I'll be happy to have you.

122500:57:45,240 --> 00:57:46,240Well, thank you very much.

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