Welcome to the High Voltage Business Builders Podcast

Welcome back to the High Voltage Business Builder podcast. I'm your host, Neil Twah, and today we're diving into the world of business, real estate, motivation, financial development, and wealth creation without Wall Street ventures. We aim to guide you on the path to making your first or next million.

Today, we're focusing on real estate business development and the opportunities it presents in both virtual and physical realms. Joining me today is Joseph, broadcasting all the way from Dallas, Texas. Joseph, thank you for being here.

Joseph: Thank you for having me, Neil.

Neil: Joseph, tell us a bit about your background. Are you originally from Dallas?

Joseph: Yes, I was born and raised in Dallas. Spent some time in California and East Africa during my stint with the Marine Corps and for vacation, respectively.

Neil: That's quite the journey! Joseph, how did you find your way into real estate?

Joseph: It was a very intentional move. I started with trading in the Forex market and learning about stock options. Inspired by Robert Kiyosaki, I transitioned into real estate under a mentor I met while handling business taxes. I didn't close my first deal until 2019, which involved wholesaling properties in Houston and Dallas. Although it was profitable, I realized I was earning money without holding any equity. This led me to become a private equity fund manager, working with operators some of whom rank in the top 200 of the Inc 5000.

Neil: That’s a significant shift. What does your current role involve?

Joseph: As a private equity fund manager, I raise capital to acquire large apartment buildings, working with seasoned operators. We focus on properties with 100 units or more, such as a 160-unit in Charleston and a 432-unit in Phoenix.

Neil: How much capital do you typically manage?

Joseph: Investments range from half a million to two million dollars, depending on the project and partners involved.

Neil: With such large transactions, how do you manage the investment pool?

Joseph: It varies by project. Sometimes it's just three of us in a deal; other times it might extend to five. The key is working closely with operators who prefer a small, experienced group.

Neil: Could you break down the investment terms for us?

Joseph: Sure. These are typically five-year illiquid investments. That means the capital is tied up in physical assets and goes towards operations, renovations, and enhancing property value. It's a hedge against inflation and a way to generate substantial returns through asset appreciation and rental income.

Neil: What's the strategy for these investments?

Joseph: We focus on existing assets that can start generating cash flow quickly, within 90 to 180 days from acquisition. Our goal is to improve these properties and operate them profitably before potentially selling them in five to seven years, depending on market conditions.

Neil: With the current economic landscape, especially with fluctuating interest rates, how has your strategy adapted?

Joseph: The changing interest rates definitely influence our approach. For instance, instead of securing new loans which might come with higher rates, we look at creative financing options like debt assumption which allows us to take over existing loans at more favorable rates.

Neil: Looking ahead, what do you see in the market?

Joseph: 2024 looks promising due to many loans maturing, which will force property sales, potentially at lower prices. It's an excellent opportunity for acquisition and investment.

Neil: For someone new to real estate, what advice would you give?

Joseph: Start now. The market conditions, reminiscent of 2008, provide a robust learning environment. Thriving in today's market prepares you even better for when conditions improve.

Neil: It sounds like you have a solid plan for growth and diversification. Where can our listeners connect with you?

Joseph: You can find me on Instagram and LinkedIn at Joseph Kimbro, spelled J-O-E-P-K-I-M-B-R-O-U-G-H.

Neil: Joseph, thanks for sharing your insights. Folks, if you're interested in building wealth through real estate or want to explore syndicate opportunities, check out Joseph’s work. Remember to like, share, and subscribe to help us get this message out and beat big tech.

Thanks for tuning in, and be sure to join us next week for another episode of the High Voltage Business Builders podcast. If you're serious about starting an e-commerce business on Amazon FBA, text "profit" to 417-413-4200 to learn more about our one-on-one coaching opportunities.

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