Agent Investor Podcast

How to Source Capital By Partnering With Investors w/Joe Bell

Many agents who want to invest in some capacity feel limited by a lack of experience and more importantly a lack of capital. What we often overlook is the value that we bring to the table as agents - and how that value allows us to attract capital. 

 

Our access to deals (which we take for granted as agents) is something that appeals to the people with money, and if we partner with them, it can be a huge win-win. Because of the value of access to deals, capital should be the last thing holding us back from investing. 

 

How do we approach the people with capital in our markets - to make it a win-win? How can we have the conversations and ask the questions that help us gain their trust? What can being an agent allow us to do on the investing side?

 

In this episode, agent investor, entrepreneur, and real estate coach, Joe Bell shares a simple way for us to enter the world of investing by getting clear on the value we bring to the table as agents. 

You might have limited resources and limited capital, but you can provide value by finding the deals. -Joe Bell

 

Three Things You’ll Learn In This Episode

 

• The value real estate agents bring to the table: 
  
  Many capital investors don’t want to hunt around for deals. Being an agent with the ability to find deals is a big value proposition we can bring to these people. We can take that to the market as an offer and use it to find deals. The combination of their money and our proximity to deals can be the basis of a winning partnership. 
  
  
• How to start finding deals: 
  
  As agents, we should already be a source of valuable information and we should be utilizing social media to showcase that expertise. We can find capital by putting out content that includes information about the deals we’re coming across in order to attract investors. If we’re not willing to have those conversations and ask those questions in our markets, we’ll never be able to find capital. 
  
  
• Why investing is important for our communities: 
  
  Investing is a way for us to keep wealth in our communities. When iBuyers take over our markets, they use the profits elsewhere. When we invest, we can keep the profits in our communities. We can develop our own markets and protect our real estate professionals from the players who want to wipe them out. 

 

Guest Bio:

 

Joe Bell is an agent, entrepreneur, real estate coach, and founder of Legacy Beyond Listings. He helps real estate professionals build true wealth and create a lasting legacy through real estate investing. Providing support and help through private customized coaching, education, and done-with-you services, Joe gets his clients unparalleled results to skyrocket their real estate business and start building a legacy quickly.

For more information, visit http://www.legacybeyondlistings.com/.

Flip and Flourish: The Beginner’s Guide to Fix and Flips w/Jared Holland

People in real estate come from all walks of life, and that allows us to bring our expertise into our current businesses. For agents with a background in construction, this is great news, because these talents allow them to more easily foray into fix and flips.

 

However, our backgrounds aren’t the only deciding factor, and investors who don’t have a history in construction can still get huge returns renovating older properties - I know this because I was just a nerdy accountant who now flips over 125 homes per year.  

 

With that being said, what do we need to know before getting involved with flips and how can agents get into flipping - even if they don't have a construction background at all.  

 

In this episode, Founder of JH1 Homes, Jared Holland shows you how any agent can invest - including some unique ways of doing deals with no money - like partnering on deals with your seller clients.

 

If you’re new to fix and flips, start at a smaller scale. -Tom Cafarella

 

Three Things You’ll Learn In This Episode

• The importance of having a dedicated fix and flip team: 
  
  Flips are a complex process, and it can be difficult to juggle that along with everything else we have going on. Build a team solely dedicated to the flipping side of the business to make sure it gets the attention it deserves. 
  
  
• Why flips don’t need to be a total remodel: 
  
  Not all properties need extensive renovations to get a high return. Simple cosmetic changes, like new countertops, cabinets, and a fresh coat of paint can do wonders for a property without breaking the bank.
  
  
• How to get started if you’re new to construction: 
  
  Not having experience in construction shouldn’t hold investors back from fix and flips. Look out for a contractor who has worked with investors in the past, find solid comps, and everything else will fall into place.

 

Guest Bio:

 

Jared Holland is the Founder of JH1 Homes. A developer and investor, Jared began his career in the construction industry before deciding to not only build homes, but sell them too. In addition to being an investor, Jared is a licensed real estate broker and a Managing Broker at Compass. 

 

To find out more, head to:

http://www.jh1homes.com/agents/jared-holland/ 

https://www.compass.com/agents/jared-holland/

https://www.linkedin.com/in/jared-holland-61bb9440

https://www.instagram.com/jaredflipsseattle/

The Benefits of Building Relationships & Working With Other Agents in Your Market

For agent investors, there’s a huge benefit to building and nurturing relationships with other agents in our markets. Instead of competing with them on transactions, networking with agents allows us to turn them into our partners and collaborators. 

Local agents bring a ton of value to the table, and working with them on investing deals can often be a win-win. If we want to find more investing deals and raise more capital, having conversations with the agents, teams, and brokerages in our markets can be the least expensive way to do that. 

What are the benefits of networking for investing deals and capital with other agents in our market? How is this also a great opportunity for them? In this episode, I share why it’s so valuable for us to get in front of more agents in our local markets and how to do it. 

Forging relationships with real estate brokers and agents in your market can be hugely beneficial. -Tom Cafarella

 

Three Things You’ll Learn In This Episode

 

• The value our deals bring to agents: 
  
  Agents typically get a 5-6% commission which they have to split with a buyer’s agent. By helping us find deals, they have the opportunity to not only make 100% of the commission, but they also have the opportunity to list the home once the renovation is done. 
  
  
• Why agents are great partners for investors: 
  
  Half the battle when you’re trying to raise private money is getting the person to understand real estate. Real estate agents are a great niche market for raising capital because they already understand real estate and know how to identify a good deal. 
  
  
• Who we should be approaching: 
  
  Identify the brokerages and teams in your market with 30 or more agents. Prepare a presentation explaining the opportunity, and nurture a relationship with the people who express an interest in working with you.

 

How to Tap Into an Existing Investor Demand to Fund & Finance Deals w/Chris Craddock

Agents have the skill and access to deals that would make them naturally excel at investing, yet it’s not very common for agents to become investors

We often make the mistake of assuming that the person with the capital has more leverage, but when you have access to deals, you hold the true value. There’s a huge investor demand for good deals in every market. Agents bump into these deals without even trying and let them slip through their fingers. 

There’s no one better at identifying a good deal than an agent who knows that market. This is valuable knowledge that can allow us to become successful investors. 

What are the advantages of merging our real estate business with an investing component? How do we tap into the investor demand and access capital? Why is there so much leverage in being the person with the deal? In this episode, investor and agent Chris Craddock shares why real estate agents miss out when they don’t take advantage of their proximity to deals. 

 

If you are good at what you do, all you have to do is find deals and the money will show up. -Chris Craddock  

 

Three Things You’ll Learn In This Episode

How investing multiplies your income potential:

 Most agents make about $50,000 to $60,000 a year. With just one investment, we can earn just as much. We can earn exponentially more by just adding a few deals to our books. This kind of income takes pressure off the real estate side, and also provides retirement income. 

 

Why massive success is easier as an investor:


 To make six-figures as a traditional real estate agent, you have to be in the top-tier of production. In investing, you can make six-figures without needing to be a top producer or be in the top 5% of the industry. 

 

The leverage every real estate agent has:


 In every single market, there are investors looking for deals, and real estate agents are perfectly positioned to identify these deals. We can earn money from just being the person who puts these deals together and gets them in front of the right people.

 

 

Guest Bio:

 

Chris Craddock is an entrepreneur, investor, agent, and the founder and CEO at The Redux Group. He has been in real estate for 17 years, and for the past 2 years, his real estate agent business partnered with local wholesalers to find motivated sellers. Chris is a consistent NVAR multi-million dollar producer who produces over $2 Million in commission each year. His team sold just under $120 million in volume in 2019. He is also a nationally certified Life Coach and member of Gary Keller's Top 100 with a Doctorate in Leadership, and host of the Uncommon Real Estate Podcast.

For more information, visit https://www.chriscraddock.com/ join the Uncommon Real Estate Facebook group and follow @craddrock on Instagram.

Transition from Real Estate Mogul to Agent Investor

Real estate agents, even the ones earning the most money, have a pressing need for a passive stream of income. Without investing, they risk losing all their income as soon as they stop working. We are also well-positioned and equipped to become investors because of what we do. 

 

My passion is helping agents take on investing, whether as a side income or something they want to fully transition to. This is why I’m relaunching this podcast and rebranding the show to focus on agents who want to become investors. 

 

What’s the thought process behind this shift and who will benefit from our content? In this episode, I talk about my real estate investing journey, and what drove me to transition this show from the Real Estate Mogul to Agent Investor.

Why Agents Have The Competitive Advantage in Investing w/Michelle Theriault

Investing is a powerful vehicle for building wealth and gaining financial freedom, and agents are perfectly positioned to take advantage of it. Real estate agents have the majority of the skills and instincts needed to be successful as investors. 


Because we already know how to get a deal done and we’re constantly exposed to properties, taking on investing is a lot easier for us. 


When we nurture the craft of being an agent and knowing the market, we’re also making ourselves great candidates for doing investing deals. What holds so many of us back is fear and the emotional risk of doing something that seemingly isn’t in our comfort zone. Once we overcome that fear, we can tap into incredible opportunities. 


How can we overcome the reluctance to get into investing? Why should we stop letting money stop us from doing it? In this episode, agent and investor, Michelle Theriault shares what fueled her to become an investor. 

 

 

You don’t get anywhere with complacency, you need to become irritated with your situation to change it. -Michelle Theriault

 

 

Three Things You’ll Learn In This Episode

 

• Why investing is easy for agents:
  
  Real estate agents are already out in the market and knowledgeable about properties. Opportunities will come up passively for us because of what we do. If we know what to look for, we can easily add a deal or two every year and make more money without a huge amount of extra effort. 
  
  
  
• Why we need to stop letting money and contracting experience limit us:
  
  People’s top reasons for not investing is not having enough money and not understanding the contracting side of things. The biggest thing is the deal, so if you have the investment opportunity, contracting and financing should not be a concern. 
  
  
  
• How investing also empowers sellers:
  
  A real estate investing deal doesn’t have to be a win for only the investor, it can be a win for the seller too. If the traditional listing route isn’t right for them and their situation, we can step in and help them. The win the seller gets from that should not go unnoticed.

Thriving When Markets Are Shifting w/ Paul Campbell

 

Shifting markets are the dread of every agent and investor. How can we prepare for a changing market? Is it wise to continue to work by ourselves? What should we do about rental properties? In this episode, Paul Campbell talks about what agents and investors can do to survive and thrive during hard times.

 

One way to level out the playing field is to work with a team. Teams generally have more resources, more support, and generate more leads. -Paul Campbell

 

Resources

Join our free Live Training: https://register.gotowebinar.com/register/181906883837141506

Partner with us: http://www.tomcafarella.com/p/partner-with-us.html

 

Takeaways

• Being a single agent in a market that is already showing signs of slowing down is difficult, especially when we compete against big companies. At times, it’s wiser to leverage the tools and the systems of others instead of trying to reinvent the wheel on our own.
  
  
• We don’t have to chase down the market. We just need a good understanding of how the market shift is going to impact us and what the downward trajectory looks like.
  
  
• Our clients need us the most when the market isn’t doing well. During hard times, our skills will be shown.

At the beginning of the episode, we talked about why being a single agent only makes our work harder and how it doesn’t always make sense profit wise either. We also talked about why our expertise and support becomes more necessary during a downturn.

Next we covered:

• Why it’s wise to discontinue rental properties during market shifts
• Why it’s vital for our business to work our way up in commercial bank financing
• How a tax team can save you money and headaches

During a shifting market, the best way to survive is to put your ego aside and join a team. Teams usually have more resources, more support, and better systems to help you thrive. Plus, you won’t have to do everything by yourself. As a single agent, you keep the entire commission but you also have to wear different hats and spend a large amount of your time.

The Power of Systems and Repeatable Processes in Your Business w/Rhen Bartlett

 

For many business owners, it can be easy to overlook the importance of sharing knowledge, systems, and processes throughout their team. What are the risks we expose ourselves to when we only have systems in our heads? What happens when our best employees leave, and how do we make their success repeatable? In this episode, Rhen Bartlett talks about how systems can free a business from having to rely on its best people, and he shares some insight on what works and what doesn’t.

 

 

You can’t get systemized, repeatable results from something in your head. -Rhen Bartlett

 

Join our free Live Training: https://register.gotowebinar.com/register/181906883837141506

Partner with us: http://www.tomcafarella.com/p/partner-with-us.html

 

Takeaways

• There are two types of business owners: the artist and the operator. The artist is usually the one with the vision and ideas, but without an operator, an artist can’t get much done.
  
  
• When a top employee leaves, it can put a company in danger if key information and processes were known only by that person.
  
  
• Having documented systems allows a business to track what gets done, how it gets done, and what the results are.
  

 

In the beginning of the episode, we talked about the two types of business owners and how they complement each other. We also talked about how systems can make our lives easier when some of our best people decide to leave and we have to make new hires.

We also covered:

• How giving feedback and room to grow keeps the turnover rate low
• Why it’s important to track progress and give our workers targets to reach and bonuses for performance
• How documenting the systems we use can make the coaching process easier

 

We can’t run a successful business without documenting and sharing our knowledge and systems. If we skip this step, it will be much harder for new hires to get up to speed, and they’ll have to start their own systems from scratch—which costs time and money. Another advantage that systems bring is predictability. They make it easy to measure and find out where the problems are.

 

Guest Bio

Rhen Bartlett is the Chief Operating Officer at Irby Homebuyers, LLC. He manages day-to-day company operations, as well as sales training, process implementation, marketing & advertising campaigns, and finances. For more information go to: http://www.irbyllc.com/

How to Build an Investing Business That Thrives Even During Market Lows w/ Michael Young

Healthy investing businesses make most of their money during periods of crisis when everyone else is struggling. What strategies can we use to withstand market lows? In what properties should we look to invest? And how can we attract the attention of brokers? In this episode, Michael Young speaks about his journey as a real estate investor and how he built wealth using a few simple steps.

 

Takeaways

• Managing small properties isn’t a long-term strategy. Aim high from the beginning, and hire a property manager so you can focus on what you know best.
   
• The best time to make money is when there is turbulence in the market, and other people don't have the resources to make a move. That’s why you need enough capital reserves. 
   
• It doesn't matter what happens with the market in the moment. There will always be lows and highs, but if we find a good property, you should buy it no matter what the state of the market looks like.

 

In the beginning, we talked about the importance of having multiple streams of income and leaving the managing of properties to a manager so we can have more time to find good deals. Next, we talked about the importance of networking and what it takes for a broker to take an interest in you.

We also covered:

• What kind of return in percentages the properties your buy should have
• Why debt is not a bad thing and how can you use it to your advantage
• Why buying hard assets is better than using the money for a savings account 

 

Guest Bio:

Michael Young is the founder of Princeton Pacific Properties. They provide excellent client service, in-depth knowledge of the ever changing California Real Estate market, and the experience of thousands of completed transactions. Go to princetonpacificproperties.com for more information or email michael@princetonpacific.com.

How Mark Ainley Flipped Over 400 Houses and Manages Over 750 Rental Units

Real estate investing is getting increasingly harder as the prices of property go up and fewer people are looking to buy in certain areas. As a beginner in investing, what type of neighborhoods should you avoid? What’s the best way to find deals even in highly competitive areas? Should you look for smaller or bigger properties? In this episode, Mark Ainley shares how he sold over 400 homes and manages over 750 rental units.

 

Go where other people don’t want to go. You can make money there.  -Mark Ainley

Join our free Live Training: https://register.gotowebinar.com/register/181906883837141506

Partner with us: http://www.tomcafarella.com/p/partner-with-us.html

 

Takeaways

• Don’t go investing first in C and D class neighborhoods. There is money to be made in those areas as well, but there are also challenges that beginners aren’t ready to face, such as security issues when the property is vacant.
• Markets shift, so always have an exit plan in place.
• Smaller homes are easier to renovate, and you can easily estimate how much it costs to make the repairs. Plus, medium to small homes are easier to flip as well.

At the beginning of the episode we talked about what neighborhoods you should avoid when starting out as well as the importance of having an exit plan. Next, Mark Ainley shared his experience with trying to do all the marketing himself and what he does now to find deals.

We also covered:

• The state of the MLS nationwide
• The importance of networking with wholesalers
• Why searching for homes yourself is not worth the financial investment

As a real estate investor, the biggest challenge at the moment is acquisition. Fortunately, you don’t have to spend money on marketing to attract deals. There are other people who already do this for a living and they are looking for buyers like you as well. The market is flooded with signs and ads. Let others do the heavy lifting for you, and when they do have a deal, give them the answer in 24 hours and keep your word. Give them reasons to always come back to you when they find something worth flipping or renting out.