Hi! I’m Rod Khleif. Each and every week I
record an interview with a thought leader that I know you’re gonna get a ton of value
from. Now here on YouTube are the video versions of my podcast, Lifetime Cash Flow through
Real Estate Investing. Now to make sure you get the latest information please subscribe
and hit the notification bell. Let’s get started. Rod: Welcome to another edition of How to
Build Lifetime Cash Flow through Real Estate Investing. I’m Rod Khleif and I am absolutely
thrilled that you’re here, and I know you’re gonna get value from the young gentleman we’re
interviewing today. His name’s Chris Grenzig and Chris started out in flipping. Tried that,
failed at it, didn’t like it, tried buying tax deeds, didn’t like that, and finally got
into multifamily became home and started with an 8 unit property then joint ventured into
a hundred unit property then got a job with a group that owns over 3,200 doors and does
asset management for them. Chris, welcome to show brother.
Chris: Yeah, thanks for having me. Rod: Absolutely. So, I kinda stole your thunder
a little bit but let’s go back and dig, dig a little deeper on the bio that I just mentioned.
You know, you said you started and you’ve only started for a few years ago like January
at your, how old? Chris: Yep, 27. Started, you know, from scratch
in January 2016. Rod: Fantastic. So talk about, that in your
words, your experience of this evolution in real estate. Why did you do it to begin with?
Chris: Yeah, sure. Rod: You have some background, right?
Chris: Yes, a little bit. So, I graduated college in 2014. I was a student-athlete.
No real direction. Didn’t really do it properly so, I bounced from, my first year I actually
coached Division 2 soccer. I played Division 1 tried that. Wasn’t really a fan. Came back
home. Moved into the finance world and wasn’t really crazy about that, and kind of midway
through that process of being in that job, you know, probably about seven, eight months
deep. My mom, my cousin bought a flipping course for single-family homes, and they kind
of dragged me along kicking and screaming but ended up, probably, being the best thing
that’s happened to me in the last couple years and that was my first introduction to real
estate. The perfect example I give was how little I knew, I thought asbestos was a type
mold going into it and, you know, so that was kind of my introductory. It was, you know,
two, three day, you know, seminar, you know, 10, 12 hours a day and from there just kind
of caught the bug, and for the next five, six, seven months, me, my mom, my cousin tried
to flip houses and, like you mentioned, just completely failed. Didn’t buy a single home.
Didn’t put any under contract. Spend tens of thousands of dollars and tons of hours
putting in time to try to get these things done and just failed. Two parts of that, one,
just lack of execution on our part. I think, probably, if we stuck it out a little bit
longer we could have made it work. Two, was just the area we’re in really high income
from Long Island, New York, so, the margins were so fine and just .
Rod: Thank you God you weren’t successful at it, brother. Thank God. Because, then it
would have been three or four five years before we’d be having this conversation on this multi-family
podcast so, awesome. Chris: A hundred percent. So, from there,
I’m just through networking and stuff. I met one of the owners for the company, I met Toro,
and at the time, he had just finished off selling all his properties in Philadelphia.
He’d bought them all through auctions and they were tax D properties and introduced
us to that so, we gave it a try. We drove down one weekend and drove 50, 60, 70, properties
really quick. Instantly hated it. Came back. Just, it was really rough areas. Just wasn’t
the right fit and then came back, sat down with him again. We were just talking. He was
raising money for a little 8 unit in Covington, Kentucky. We decided to invest passively with
the caveat just saying, hey, can we pick your brain once a week? Grab coffee. Jump on a
call. You know, the whole months. He said yes, and then, from there, developed into
a partnership on another 17 units in that area. Another 82 units down in Jacksonville,
Florida, which is how we got into the Florida market, and kind of, as all this was happening,
I was flat out hated my job. I was ready to quit without having another job lined up and
luckily just at the time Toro is it, you know, we’re a small company and growing then, they
were looking really to bring somebody in to kind of coach up through the company, you
know, learn their process and then, you know, grow into a larger role. So, I, you know,
I was brought in doing grunt work, you know, basically, and then, now it’s developed into
a role where I handle most of, if not all, the Florida, region of our portfolio. As well
as take on some of the, you know, the debt, the equity, the whole nines, but, you know,
it’s grown into, you know, 50 million dollar portfolio, 750 doors acquired in Florida.
Rod: You asset managed in Florida? Chris: Yeah. Right.
Rod: Yes. Okay. Okay. Chris: I’m on some other things but yeah.
That’s the primary responsibility that I have. Rod: Right. Okay. Well, you know, we haven’t
really dug deep on asset management on this show. So, you know, let’s pretend they don’t
and the people listening have no clue what that means.
Chris: Sure. Rod: Can you give a high-level definition
of what that term means and your role really means in this genre?
Chris: Yeah. Absolutely. So an asset manager or the asset management is basically the financial
big picture managing of the properties you own. A lot of people get it confused with
property management which is kind of the day-to-day side so, we use third-party management for
all our properties currently. And, basically, they handle, you know, the main inside; the
payroll side, collecting rents, you know, evictions. All nines of the day-to-day stuff
but the big picture items where it’s, you know, okay, where are we taking this property?
What’s the business plan? Looking at the rent role deciding, you know, what’s the renovation
scope? How our renovation is going? You know, what we’re spending? Approving big-ticket
items, and then, looking at the performance of the property on a, you know, weekly, monthly,
quarterly, an annual basis and evaluating as you’re going through it and then, making
any changes necessary. So, just because we buy a property and we have, you know, one
plan in mind doesn’t mean that’s the plan we’re gonna finish the property with we may
make changes or deviate depending upon how certain things are going or, you know, the
market or different vendors or in there’s a million different ways that we could change,
but it’s, basically, the continual analysis of the property. The performance and where
things are going and making changes as necessary. Rod: Love it. Well, you said a lot of things
and I want to drill down on some of those things.
Chris: Absolutely. Rod: And forgive me. I can tell I’m, probably,
gonna have to interrupt you from time to time. Chris: Go for it.
Rod: Just to hammer, just to hammer home some points. I didn’t want to, in what you just
said, because you, because you gave a great high-level overview of what asset management
is. And like you said, so many people think asset management is actually boots on the
ground property managing. Chris: Right.
Rod: Dealing with tenants and whatnot and it’s not. You know, most people in this, most
of the more successful people in this business certainly starting out until they really get
a lot of infrastructure, a higher third-party property management. You guys at 3,200 doors
are still using third-party property management. Now, a lot of people when they get to your
level will bring it in-house because they look at the numbers and they, you know, because
asset management is managing the property managers. It’s managing the third party property
managers and so, you know, maybe that’s something on the horizon for you but I, you know, my
position is; why screw with it, if it ain’t broke don’t fix it while you’re an acquisition
mode. So, you know, that’s my two sense on that. But let’s drill down on asset management.
So you talk about the business plan. Okay. And guys, those are you listening, you know,
you’re thinking business plan, this isn’t a company, this is not apartment complex.
It’s no different guys. You have to have a plan for that property. So, give some examples
of some business plans. Give some examples of what that means, you know, in real life
here. Chris: Yeah, for sure. So, you know, the plan
has to be, you know, detailed and aligned with the vision from, you know, top to bottom.
So, it’s gotta be from the owners to the asset managers to the property managers to the investors.
Everybody’s gotta understand what the goal is here. So, we’re not gonna tell our property
management; hey, the goal is to own this property for ten years and we’re gonna turn around
sell it or two or three because that’s not fair. They’re also not gonna implement the
plan we’re looking to do if they expect one thing or another. So the plan is gonna include
how long we intend to hold the property, the renovations we plan on doing if any, you know,
the way we’re gonna market the property to potential tenants, how we’re gonna handle
the eviction process, how often we’re gonna distribute money to investors, you know, what
our exit strategy is; are we gonna sell? Are we gonna refinance? Things of that nature.
It’s also gonna be, it’s gonna explain the breakdown of our compensation, so any fees,
any profit structure. Investors have to understand that. So there’s a lot that goes into it but
… Rod: Sure.
Chris: The big picture is, you know, we’re buying this property; okay, great. What are
we gonna do with it? And how long are we gonna have this thing?
Rod: Well said, brother. Well said. Perfect. And guys, that just so you know, you know,
it’s a good idea for you to get, to watch webinars of operators that are trying to raise
money for a deal because that’s what they’re gonna present to you is their plan for the
property, their business plan. So let’s talk about, let’s talk, so you manage the plan.
You make sure it’s on track. You make sure that you guys are firing on what you, you
know, you’ve decided to push for, you know, and how you’ve decided to implement. So let’s
talk about your renovation oversight. Have, you know, have you been involved in a reposition
on a property yet? Have you done, have you done, you know, where you’ve gone into every
unit and done some work? Have you managed that process?
Chris: Yes. So we’ve done our typical deals are anywhere from, you know, light to medium
value add, you know, doing a handful of units or, you know, 20% of units all the way down
to highly distressed vacant deals. So we’ve bought several vacant 100-unit, 300-unit properties
where you have to go in and renovate every unit because they’re down to the studs. So,
we’ve had a few deals that have, you know, we’ve either renovated all the units or 50%
of the units or brought it from, you know, 25% occupied 60, you know, all the way up
to kind of stabilized site. Rod: Right. How about you personally though?
Have you, give me an idea cuz I’d like to drill down on that a little bit. But I don’t
wanna ask you questions that you haven’t experienced yet. Have you, have you been involved in one
of these, you know, full property renovations or and if not, it’s okay. I just wanna drill
them. Chris: So, in Florida, so far we haven’t bought
anything like that. Rod: Okay.
Chris: You know, but I can speak to other because we are a small company we all have
kind of a finger in all the different pots. But in Florida our kind of typical deal is
buy something that, you know, either long term ownership or a lot of meat on the bones
and we’ll renovate 50% of the units over two to three years, kind of as tenants leaves.
So we’re not displeasing anybody and we’ll increase the quality of the interior. We’ll
also do a lot of exterior and amenity upgrades and then kind of increase the NOI and then
look to … Rod: Right, right. That’s the business model.
But I wanted to drill down. I wanted to drill down on, forgive me, I totally cut you off
there. I’d, probably, I apologize. Chris: No, go for it.
Rod: I wanted to drill down on the actual nuances of managing a renovation. So, you
know, let’s play around with that a little bit. Yeah, we just, in fact, we just bought
a property in Sarasota last week 80 units. Very exciting …
Chris: Great area. Rod: And really hardly gonna do anything to
it at all. So, I get it, but I wanna add some value to my listeners as to managing a renovation
process, and let me, let me pre-frame this by saying; guys, do not anticipate doing this
from cash flow. You raise the money for these things. That’s a newbie mistake. Thinking
you can do it from cash flow. But let’s talk about how to manage, kind of, I can almost
seem a little overwhelming. Let’s say, you’ve got a hundred doors and you’re going into
every single unit. Maybe evicting, cleaning, you know, evicting two or three people or
five people at a time and you got to do it over a certain period of time …
Chris: Sure. Rod: Let’s speak to the nuances of how to
manage that. Do you have some software you guys utilize? You know, how do you stay on
top of that process? Chris: Yes. So we don’t have any software.
Most of our stuff is done through Excel. You know, we, obviously, have the management software.
So we use real page which will keep track of, you know, all the tenant activities. So
payment, eviction, move out, move in, etc. but for the capital side of things we have
several different trackers that we’ll use that will stay on top of, you know, how much
we’ve spent per unit on renovation, how much we spent at the property for different exterior
things. We’ll look at the rent beforehand and the rent afterwards. We’ll compare that
to what we’ve budgeted and see, you know, are we over budget, under budget. Why is that?
Do we need to do a different type of renovation? So, we use a couple different type of Excel
sheets to just stamp top of that. Rod: Okay. Actually. So that’s after the fact
and so that lends me to think that you guys don’t do the construction in-house. You actually
bring in GCs and allow them to manage that process. Yes?
Chris: Yeah. Well, yeah. We’ll hire somebody either GC or will sub it out ourselves so
have … Rod: Okay.
Chris: The flooring guy come in, the paint guy come in.
Rod: Alright. So you do that sometimes. Chris: We’ll actually do some of that work
too. Rod: Okay. Well, that lends itself to the
next question or next comment and that is, it’s so critical to sequence this stuff properly
and I can’t tell how often I’ve seen, you know, renovation projects go where they’ve,
where they’ve put in the floor and they haven’t painted yet, for example. Or, you know, and
so, it’s real easy to get discombobulated when you’re managing the subs and screw up
the sequencing so, that’s kind of why I asked the question. I just wanted to bring that
up as a possibility. Okay. Fair enough. So after the fact, that certainly you’re looking,
so let’s talk about money for a minute. Let’s talk about the spending list because I know
that’s probably where you spend most of your time.
Chris: Sure. Rod: So talk about, talk about what you look
at on a weekly basis on these assets that you manage from the financial standpoint and
how you would do that analysis. Chris: Yeah, for sure. So all of our property
on sites we’ll do weekly report and some of the stuff we look at on a weekly basis
is what we’re currently occupied and what we’re pre-leased at for …
Rod: Okay. Let me stop you for one second. Chris: Sure.
Rod: What are the reports that you look at? So let’s list the reports that you get from
your third-party property managers. Let’s start there and then we’ll drill down.
Chris: First, so we get a weekly report, like I was just starting to describe, every Wednesday
of the week. It’ll be effective for the Sunday before. Then we get obviously the monthly
financials, every month. And then, also get, which there’s a more conducive report with
that as well, and then, we’ll get year end financials but on our side we’ll take those
monthly financials and we’ll also look at it on a quarterly basis and run different
reports as well. So we’ll look at, you know, last quarter versus this quarter. We’ll look
at last year’s first quarter versus this year’s first quarter and we’ll do different reports
on, you know, are we over budget, under budget, have we grown, how much have we grown by,
etc. Rod: Okay. Okay. Do you look line by line?
Chris: I will look. So line by line is a little, so, there’s like a repairs a maintenance line
item or a payroll line item. If that looks off, I’ll then dig in deeper and say; okay,
what is, you know, why is this high and is it, you know, is it, there was a high bonus
or was it, you know, we had to double pay our manager that month or, you know. So if
it’s not up to expectation, I’ll dive in deeper to each line item but, you know, we probably
have 12 expense categories. I’ll look at each category and see how it lines up and then
I’ll dive an even deeper because it’s my … Rod: That’s what I was going for.
Chris: If you’re going on a hundred line items overall so …
Rod: Right, right. That’s what, that’s what I was going for.
Chris: Yeah, yeah. Rod: Just tell my listeners. As you’re looking
at these financial reports, what you’re really looking for is anomalies? You’re looking,
you know, if you compare month to month or, like you say, quarter to quarter, you’re looking
at either a decrease or an increase and that’s when you want to drill down like you just
said. And that’s kind of what I was going for with that question. Okay. And so, let’s
talk about big-ticket projects that you’re responsible for; roofs on a project, painting
on a project. Talk about how you, how you go about organizing and holding people accountable
on those things. Chris: Yes. So, a lot has helped with property
management. Our property managers will always use somebody that already manages in the area
so they have really good contacts but will also keep them modest and we’ll bring in outside
people to bid it out as well. So, we always get two, three, four bids for any project
that we do just so we know we’re getting the best value. Not necessarily the cheapest but
the best value because sometimes you may pay more to get it done quicker or pay more to
get a better warranty, especially, if you’re talking about roofs or termite, you know,
treatment. Things of that nature. So, we’ll always look at the process of who were the
work to and what type of person do we want doing that work. Is it a big company? Is it
a small subcontractor? And we’ll have that conversation internally about which route
we’re gonna go. And then, we’ll also take a look at; okay, we’ve got these five projects.
Is there any of these that are our priority over others? Or is there certain ones that
should be done before other things? For example, we’re not gonna do a parking lot if we’re
gonna do a big landscaping project because we don’t want to do all the landscaping stuff
and have trucks rolling in with dirt and bushes and stuff and it’s like; alright, we just
hit the parking lot and now we’re making it super dirty and clean and, you know, not clean.
And, obviously, that’s gonna happen over time but why speed up that process if you don’t
need to. So, we would say … Rod: The same thing we were just talking about
on the interior. Chris: Exactly. It’s the exact the same thing.
Rod: It same things on the exterior. This is exactly the same way. You know, like if
you’re gonna paint the exterior, you’re certainly not going to, you know, replace the light
fixtures on the exterior before you paint, you know.
Chris: Exactly. Rod: Same, same, same. Alright, love it. Good,
good, good, good. So, how often do you typically visit an asset? Talk about the communication
process with your third party, do you use the same manager in the whole state or the
same company or do you have different ones? Chris: We have, we do it kind of by region.
So we have kind of three regions we’re in Florida, Mississippi, Alabama and the Carolinas
and the Midwest. We’ll use one for each region. So Florida, yes. All the same manager.
Rod: Okay. Chris: As far as visiting, we say, on average
it’s every two or three months but sometimes we may go longer than others. We always try
to use our trips to maximize, you know, the dollar. So when we go down we always try to
time it with new deals we’re seeing or meeting investors or different vendors or clients,
so it’s not just; hey, we’re going down to just check out the properties. It’s or maybe
we wait an extra month and there’s a new deal we’re gonna go look at. We can tour as well.
So instead of going down for one day to check out five deals we own, we’re going down for
two or three days. We’re seeing our five deals. We’re meeting with all the staff and then,
the extra couple days we’re meeting brokers, we’re meeting mortgage lenders, we’re meeting,
we’re going to tour new properties, we’re meeting investors in the area so we’re really
trying to maximize our time, you know, when we do make these trips.
Rod: Love it. Love it. That was a great insight and so, talk about what you look at when you
walk a property on these visits and what sorts of things you might do, specific, to that
asset. Not, you know, looking at other deals and relationship building but specific to
that asset, what might you do? There’s something I’m looking for here. So …
Chris: In terms of a new property or our current? Rod: No, no, no. Your one of your existing
assets. Chris: Yeah.
Rod: You’re gonna do, you’re gonna show up. You know, what sorts of things might you look
at or examine when you’re on site? Chris: Yeah. I’m gonna look over all for,
you know, cleanliness is a big one for us. A lot of properties we buy, we buy stuff that
just doesn’t prevent well so, we’re gonna look for, is there trash floating around?
Is there things hanging out in the office? Is there, you know, tenants do they have,
you know, crap hanging out on their balconies or in front of their doors and why isn’t that
cleaned up so, that’s one of the big ones. We’re gonna make sure, you know, is the landscaping
neat? Is the grass trimmed? The most, you know, once in a while, we’ll take a surprise
trip but most the time they know we’re coming so, it doesn’t look good when you know I’m
coming … Rod: Right.
Chris: But there are the times that I’m not there so, if it’s not pristine when I’m there,
there’s a bigger issue. We’ll also look at, we wanna examine, if we’re doing any upgrades
for units, I wanna see the upgrades when I’m there. Make sure everything looks good, make
sure, you know, if it’s new cabinets; make sure they’re straight and level, if they’re
putting in a backsplash; make sure there’s no grout that’s out of line, if there’s paint;
there’s no drips, there’s nothing on the floor, you know, make sure that if there is paint
on the floor, why? Because it should have been painted first if there’s new flooring
put in. So we’re gonna examine all the little, my new details, because, same reason, it should
be pristine if they know I’m coming. Rod: Yeah.
Chris: We’ll also look at, we’re usually going during the day, during a work week. We wanna
make sure there’s not a lot of cars in the parking lot because people should be at work
unless, obviously, some people work nights but by-and-large, 60, 80, 90% of people work
during the day. So, if there’s a large amount of cars, I’m gonna, you know, I’m gonna bring
that up with management and there could be good answer but it’s just something I’m gonna
look for. You know, to make sure that all our amenities are working and functional and
usable. I wanna make sure that the pool is open and clean if there is one or if it’s
the right time, the year Florida, it’s almost always open so big-big thing. You know, to
make sure that there’s no, you know, and no maintenance stuff lying around that anybody
could trip on or hurt themselves with. I wanna make sure any materials are locked up. I wanna
make sure that golf carts properly secured. Any, you know, hammers, nails, you know, anything
is all properly stored. I also wanna make sure it’s neat because you don’t want things
being unaccounted for and you’re spending money unnecessarily because they can’t find,
you know, a fixture or things and if it’s properly, you know, stored and inventoried
that shouldn’t be an issue. So, those are all the little things …
Rod: Good stuff. Good stuff. Chris: To look for.
Rod: Yeah. Awesome. Now, I’ll add something. Do you spend any time looking at the competition?
Chris: Absolutely. Any time we go drive, part of the asset management is we’re continually
doing rent surveys, every month at least, if not more frequently.
Rod: That’s what I was looking for. Good. Chris: So, we’ll definitely go drive other
properties because we coincide a lot of our trips with looking at new properties. A lot
of times they’re in other areas so while we’re buying a new property, we’ll also tour other
property so we toured for our existing assets as well as new acquisitions so we’re probably,
you know, we own five properties in Jacksonville, Florida right now. If we went out there and
we were, you know, going to check on our new ones, we’re probably driving another 10, 15
properties, both for rent surveys as well as new acquisitions.
Rod: Yeah. And guys, this is so critical because you need to know what your competition is
doing. Chris: Hundred percent.
Rod: Cuz you wanna outperform them. How well are their staff greeting their clients? What
are, what have they done with their amenities? Are they, are they upgrading their amenities?
What are their rents look like? You know, you gotta mystery shop them. You know, pretend
you’re gonna rent or something to try to get into some of their units and check them out.
It’s so critical. You’ll get so much insight by doing that. Awesome. That’s what I was
looking for. Chris: Yeah. Just to quickly touch on that
too, because a lot of times our rent surveys will look online and the pictures are the
best depiction of the properties, whether it’s the one you own or any property, best
depiction is online, most likely. So going and actually seeing a property as it normally
is gonna tell you a lot about what it actually is. Are they power washing a lot or do the
properties just look dirty? Is it well? All the same things I pointed out for our properties,
I’m gonna look at on other properties because, just because it looks great online, most people,
especially, if they live in the area, are gonna go see it first. So, if they’re at,
you know, a hundred bucks over and everything is perfect and my property’s not, that’s a
big issue. If it’s, you know, the flipside if I’m like; hey, we seem a little bit high
compared to this one but I drive on and issues crap everywhere. I’m going; okay, that makes
more sense. So … Rod: Right. Definitely.
Chris: I wanna look for those things as well. Rod: Good, good, good. Okay. So, let’s get
into some more personal stuff here now. Chris: Sure.
Rod: Great, great, great Insights on asset management. I know you had a tremendous value
there. So I really appreciate that. Like I said, it’s not a topic we get into as much
as we should on the show. What do you think is the most challenging part of what you do
right now? Chris: I think the most challenging part is
not pushing too much on upside that you sacrifice community and overworking your on-site staff,
because all of our properties have on site. There’s something to be said for, you know,
in Florida right now, I think we did a survey and our new leases versus our renewals there’s
about a $75 difference. So you could add $75 if you just non-renewed everybody, but there’s
something to be said for the reputation you’re gonna have of that property. So I think, there’s
always a, you know, a balance on how much do you push? You know, how well, you know,
any property could be a hundred percent occupied just drop your rents by 20 percent, but you’re
never gonna do that obviously. So there’s a balancing act that there’s a fine line and
you’re never gonna play it right but figuring out where that line is and getting close is
definitely challenging … Rod: Fantastic.
Chris: And it’s testing every property. Rod: Fantastic answer. Fantastic answer. I
think that’s probably one of the toughest things to deal with in this business is how
far you push that envelope without, you know, losing community, like you said, without pissing
a bunch of people off and without increasing vacancies, frankly.
Chris: Yeah. I’m sure. Rod: So, you know, it, fantastic answer to
that question. So what do you enjoy the most about this business?
Chris: I think the people aspect of it. I really enjoy meeting new people, speaking
with new people, talking through properties. I think people get too caught up in the number
side of properties and forget that, especially as you get to the larger stuff, if you’re
at, you know, if you’re buying a 10, 20, 30-unit you probably don’t have on-site staff. But
there’s a reason people focus on, like you mentioned earlier, these are many businesses
basically, that’s why you need a business plan. Businesses are only as good as the people
running them, so if you, do not pay attention to the people that are running your properties
from the property managers to the on-site to the maintenance guys to the vendors to
the regional managers to the owners of the property management to the asset managers
to the owners of the companies you’re investing in, if you’re an investor. All those things
matter. So, I think not enough people pay attention to the people actually running the
deal and they get a little bit too caught up on the numbers.
Rod: Yeah. Chris: So the people aspect for me is huge.
Rod: No, great answer and I will tell you, any business is nothing but two things: its
people and systems. Chris: Yeah.
Rod: And so, people is the biggest part of the equation. So great answer. Again, so,
you know, you’re young and you’re gonna inspire some of the young listeners on the show here.
What words of wisdom would you share with people that are listening, that want to get
into this business, that are aspiring, that know they want more out of life, that know
they deserve more out of life, maybe haven’t taken action yet, what would you say to them?
Chris: I think action is important with the proper knowledge and at a certain point, you’ve
gotta be willing to take the risk because these are investments and there is a risk
associated with it I. think also, a big thing, I see with a lot of younger people and I talked
to a lot because we do a lot of local meetups every month and social media and media, things
of that nature, is patience and practicality. A lot people wanna make, especially young
people, tens of thousands, hundreds of thousands of dollars today by investing in real estate
because they’re on Instagram and they’re on YouTube and everybody’s flexing …
Rod: Right. Chris: You click dating and as much as that’s
nice and sexy it takes time. As anybody who’s been in this business for any amount of time,
it takes a lot, a lot of time and effort. So it’s being patient as well as being practical.
So I did a thing of the other day about; if you can build up your cash flow today, you
know, 200 bucks a month but you do that over 5, 10 years, that 200 a month today, doesn’t
sound like a lot, it’s probably not changing anybody’s life if anybody, but if you consistently
do that every 2, 3, 5 years, in 30 years you’re gonna bill up a ton equity and a significantly
larger cash flow. So, I think … Rod: I tell people, I tell people from stage.
Listen, this is not a get-rich-quick business but it is a become super freakin wealthy over
time business Chris: Absolutely.
Rod: Period. Yeah. So, awesome. So, what motivates you, buddy? You are obviously super driven
and right away before we recorded, I asked you what your superpower was and if you were
more analytical or more outgoing you said you’re a nice blend of both. You know, I was
listening, I was listening, before you answer my question, I’m sorry, I wanna derail …
Chris: No, go for it. Rod: I was listening to Tim Ferriss. His podcast,
which I love, he was interviewing Charles Koch which is the super billionaire, one of
the brothers just died and think they’re worth 40 billion apiece or some crazy number, and
he said, he said that his secret to his success was focusing on his strengths and aligning
for everything else and hiring and aligning for everything else. So, you know, you guys
have heard me on the show talk about, you know, if you’re more analytical aligned with
an outgoing person, if you’re more outgoing aligned with an analytical. Now you’re a great
blend of both. So, but I just wanted to share that because it was on top of mind, but answering
my question, what drives you, brother? Chris: Yeah. I think freedom is a big one.
I think people talk about financial freedom and they talk about they focus too much, again,
on the numbers and the dollars and what’s my net worth and how am I making. I think
the financial freedom aspect that nobody focuses on is it’s the freedom to do what you want,
when you want, with who you want, how you want and I think that’s a large goal of mine.
I think I also enjoy just the business aspect of it. Like I have no problem putting in 12-hour
shifts because I enjoy it but I think getting to that stage in the process of getting to
that stage is super enjoyable and being able to share that with other people is something
I’ve definitely found very enjoyable in the last, you know, 3, 6, 12 months and, you know
… Rod: Good for you.
Chris: That is, you know, really rewarding in another …
Rod: I know you’re starting a podcast. What’s the name of it again?
Chris: It’s gonna be called The Real Estate Investing Experience.
Rod: The Real Estate Investing Experience. Awesome. So a little plug there and we’ll
put all his contact information in the show notes. Thanks for being on the show, brother.
You added a tremendous amount of value and really, you know, next time you’re in Sarasota
since you’re in the region let’s grab, let’s grab a bite to eat or something cuz …
Chris: Yeah. Absolutely. Rod: I enjoy continuing this relationship.
Alright, my friend. Be well and we’ll talk soon.
Chris: Perfect. Thanks for having me on. Rod: Alright, see you.
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