Financial Freedom with Real Estate Investing

You may have heard the idea that only 20% of what we do in business produces 80% of the results. And it follows that if you identify the right 20% and focus on that, you can scale a syndication business fast. But what does that look like in practice? How do you apply the 80/20 rule to make decisions around how to spend your time?

Endorsed by Forbes and Inc. Magazine, Perry Marshall is one of the most expensive business strategists in the world and the creator of the world’s largest science research challenge, the $10M Evolution 2.0 Prize. Perry’s reinvention of the Pareto Principle is published in the Harvard Business Review, and he is the author of eight books, including 80/20 Sales and Marketing and Memos from the Head Office.

On this episode of the Financial Freedom with Real Estate Investing, Perry joins cohost Garrett Lynch and me to explain the concept of the Pareto Principle and discuss how it applies to real estate syndication. He describes how we can leverage the 80/20 pattern to scale an investing business, challenging us to focus 50% of our attention on the right 1% of our investments. Listen in for Perry’s advice on identifying and marketing to the right investors and learn how YOU can use the 80/20 rule to prioritize your time as a multifamily syndicator!   

Key Takeaways 

The concept of the 80/20 principle 

  • Originated by Italian economist Vilfredo Pareto
  • Identified 20% of people have 80% of wealth

Perry's realization re: the fractal nature of 80/20

  • Pattern of 80/20 inside every 80/20
  • 1% of customers make 50% of purchases

How a syndication businesses can scale using 80/20 

  • 1% of investments produce 50% of profits
  • Focus half of attention on right 1%

How to identify the 20% of investors to focus on

  • Make prospects DO something to qualify lead
  • Focus marketing on 20%, then repeat process 

Perry’s insight around the 20/120 rule of business

  • 20% of activity makes 120% of revenue
  • Bottom 20% takes you backward

The message in Perry’s book Memos from the Head Office

  • Tap into spirituality and faith for decision-making
  • Listen to insight from God to resolve conflict

Connect with Perry Marshall 

Perry’s Website 

Sell 80/20

Resources 

Register for Michael’s Platform Builders Masterclass

Learn More About Michael’s Mentoring Program

Join the Nighthawk Equity Investor Club

Financial Freedom with Real Estate Investing by Michael Blank

80/20 Sales and Marketing: The Definitive Guide to Working Less and Making More by Perry Marshall

‘80/20 Is a Fractal Law of Nature’ in Harvard Business Review

John Paul Mendocha

Memos from the Head Office: Channeling the Muse in Business and in Life by Perry Marshall and John Fancher

Ultimate Guide to Google Ads by Perry Marshall, Mike Rhodes and Bryan Todd

Ultimate Guide to Facebook Advertising by Perry Marshall, Keith Krance and Thomas Meloche

Michael on Facebook 

Michael on Instagram 

Michael on YouTube 

Apartment Investor Network Facebook Group 

Podcast Show Notes

Direct download: Financial_Freedom_with_Real_Estate_Investing_EP289.mp3
Category:Commercial Real Estate -- posted at: 1:00am EST

Most people wait until they need something to start networking. But it’s a real challenge to talk people into helping you when they haven’t heard from you in years. On the other hand, if you make networking a priority and ‘dig the well before you’re thirsty,’ those connections become true friends who fight for you when you need it.

Jordan Harbinger is the host of iTunes Top 100 ranked The Jordan Harbinger Show, a podcast where he interviews the world’s top performers, including legendary actors and musicians, intelligence operatives, professional athletes, iconic writers and other visionary change-makers. Jordan is best known for creating one of the leading self-development programs in the world, with a special emphasis on social capital and relationship building.

On this episode of Financial Freedom with Real Estate Investing, Jordan joins cohost Garrett Lynch and me to share his proactive approach to networking, explaining why it’s crucial to build relationships before you need them. He offers insight on making connections with A-listers and other high-net-worth individuals, challenging us to provide value and be ‘politely persistent’ for as long as it takes. Listen in for Jordan’s advice on starting over after the breakup of a business partnership and find out why relationships are the best insurance policy money can’t buy.

Key Takeaways 

How to find the right level of fearlessness and curiosity

  • Can’t throw caution to wind without strategy
  • 'Nobody ever went broke selling when up 10%’

 

 

Jordan’s transition from law to entrepreneurship

  • Firm losing clients when market tanked in ‘08
  • Money saved from Wall Street gave runway
  • Went all-in on weekly radio show (side hustle)

Jordan’s proactive approach to networking

  • Build relationships before you need them
  • Leverage system to keep people top of mind

How Jordan builds relationships with A-listers 

  • Be politely persistent and follow up for years
  • Make it worth their time to work with you

How Jordan provides value to celebrities

  • Make publicist’s job easy, introduce network
  • 'Everybody needs something’

How Jordan started over after a business breakup

  • Took team along (strong relationships) 
  • ‘Best revenge is to live well’

What lessons Jordan learned from starting over

  • Gut check re: who you work with
  • Recognize people grow at different rates
  • Double down on networking

Connect with Jordan Harbinger

The Jordan Harbinger Show 

Jordan’s Networking Course

Resources

Learn More About Michael’s Mentoring Program

Join the Nighthawk Equity Investor Club

Superhuman 

Dig Your Well Before You’re Thirsty: The Only Networking Book You’ll Ever Need by Harvey Mackay

Michael on Facebook 

Michael on Instagram 

Michael on YouTube 

Apartment Investor Network Facebook Group 

Podcast Show Notes

Direct download: Financial_Freedom_with_Real_Estate_Investing_EP288.mp3
Category:Commercial Real Estate -- posted at: 1:00am EST

If I could go back in time, I’d return to 2010 and take advantage of the big buying moment in real estate at the time. But Ronan McMahon argues that if you set your sights beyond the States, there are circumstances like that at play somewhere in the world right now—if you’re willing to invest in international markets.

Ronan is a contributing editor at International Living and founder of Real Estate Trend Alert, a newsletter where he explores investment opportunities from all over the world. Ronan spends six months of the year on the road, looking for the best real estate investments around the globe. He is also the author of Profit Principle: An Insider’s Guide to Doubling Your Money in Real Estate Overseas.

On this episode of the Financial Freedom with Real Estate Investing, Ronan joins cohost Garrett Lynch and me to explain why investors should consider diversifying with international real estate. He offers insight on the international markets he likes right now, describing how to invest in the path of progress and choose projects with significant upside potential. Listen in for Ronan’s advice on partnering with trusted operators in other countries and learn how his team connects investors with opportunities overseas.

Key Takeaways 

How Ronan got into international real estate investing

  • Invested in home country of Ireland until values too high 
  • Invited to travel, identify projects for International Living

Why investors should consider international real estate

  • Big buying moments always happening somewhere
  • Less competition with other investors vs. US

Ronan’s advice on shortening your learning curve

  • Find trusted partner on ground with local knowledge
  • Start with market one step from home beat (e.g.: Cabo)

Ronan’s insight on securing financing in international markets

  • 'Forget it’ (come with capital)
  • Choose projects with incredibly high returns

The international markets Ronan likes right now

  • Algarve region of Portugal
  • Tulum and Cabo San Lucas, Mexico
  • Panama City

How Ronan’s business model is set up

  • Partner with developers for access to first 100 units
  • Members purchase individual condos at discount

Ronan’s advice on navigating the legal system in other countries

  • Partner with locals in business for multiple generations
  • Little recourse in handshake countries with weak courts

How Ronan’s team navigates regulatory issues outside the US

  • Avoid by connecting developers with individual buyers
  • Mindful of liability around holding title in Mexico

Connect with Ronan McMahon

Real Estate Trend Alert 

Ronan at International Living

Resources

Learn More About Michael’s Mentoring Program

Join the Nighthawk Equity Investor Club

Access Michael’s Blueprint to Your First Multifamily Deal Training

International Living

What Is the Fideicomiso?

Michael on Facebook 

Michael on Instagram 

Michael on YouTube 

Apartment Investor Network Facebook Group

Podcast Show Notes

Direct download: Financial_Freedom_with_Real_Estate_Investing_EP287.mp3
Category:Commercial Real Estate -- posted at: 1:00am EST

You might think it would be easy for a well-known flipper to transition to multifamily. But the truth is, a successful career in single-family does NOT translate to the world of apartment building investing.

So, how do you make the leap from single-family rentals and flips to multifamily investor?

J Scott serves as Partner at Bar Down Investments, a multifamily investing firm with a portfolio of 1,000 units. J got his start in single-family real estate and built a reputation in the flipping business, rehabbing 500 properties and authoring four bestselling books in the BiggerPockets library. And then 18 months ago, J made the transition to multifamily investing.

On this episode of the podcast, J joins cohost Garrett Lynch and me to share what inspired his move into multifamily and explain why flipping houses is not the path to financial freedom. He opens up about lacking credibility in the multifamily space, offering insight on how to get brokers to trust you if you’re new to the game. Listen in to understand the 3 things you need to get investors to work with you and learn how to build a reputation in the multifamily space—with or without prior real estate experience!

Key Takeaways 

How J got into the real estate space

  • Work long hours as corporate engineer in tech space
  • Shift to real estate in 2008 to 'put family first'

What inspired J’s transition to multifamily

  • Burned out on flips and single-family rentals
  • Had cash to invest but didn’t trust anyone else

Why flipping houses is not the path to financial freedom

  • Transactional (trade time for money)
  • Need passive income stream

Why it took J so long to make the shift to multifamily

  • Ego (reputation as ‘flip guy’)
  • No credibility in multifamily space

What J did to compensate for his lack of credibility 

  • Admit had to start over, build new relationships
  • Find mentor and add value

How to get brokers to trust you if you’re new to multifamily

  • Partner with someone who has track record
  • Prove serious by underwriting and giving feedback

J’s advice for investors considering a shift to multifamily

  • Build marketing machine for 6 months first
  • Multifamily scales much better

The benefit of having single-family experience

  • Learn mechanics of deal with less money at risk
  • Skills of acquisitions, underwriting, raising money

The 3 things you need to get an investor to work with you

  • Build relationship so they LIKE and TRUST you
  • Make them NEED you (e.g.: retirement plan)

How to differentiate yourself from bigger operators

  • Do what you’re good at, educate new investors
  • Tap into personal network

Connect with J Scott

J’s Website

Bar Down Investments

Resources

Join the Nighthawk Equity Investor Club

Learn More About Michael’s Mentoring Program

Access Michael’s Blueprint to Your First Multifamily Deal Training

Financial Freedom with Real Estate Investing by Michael Blank

Books by J Scott

Rich Dad Poor Dad by Robert T. Kiyosaki

Ashley Wilson

How to Win Friends & Influence People by Dale Carnegie

Michael’s Website 

Michael on Facebook 

Michael on Instagram 

Michael on YouTube 

Apartment Investor Network Facebook Group

Podcast Show Notes

Direct download: Financial_Freedom_with_Real_Estate_Investing_EP286_v2.mp3
Category:Commercial Real Estate -- posted at: 1:00am EST

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