POWC #600 – Investing in Car Washes with Whitney Elkins-Hutten
Jul 10, 2023
auto_awesome
Whitney Elkins-Hutten, a real estate maven, shares her experience investing in car washes for cash flow. She discusses the three pillars of wealth creation and the importance of deal evaluation. The podcast also covers transitioning from single-family homes to other real estate investments, long-term investing and tax strategies, book recommendations, and learning from past investing mistakes.
Investing in car washes can provide great cash flow and attractive opportunities for investors.
Hyper focusing on different niches within the real estate industry leads to better risk management and targeted investment strategies.
Deep dives
The Importance of Hyper Focusing
In this podcast episode, Todd Deximer and Whitney Elkins-Hutton discuss the benefits of hyper focusing on different niches within the real estate industry. They explain how their company, passiveinvesting.com, operates with managing partners dedicated to specific verticals, such as self-storage, real estate debt, and car washes. By allowing experts in each niche to focus solely on their area of expertise, the company is able to provide excellent service and strategic coordination. This hyper focusing approach allows for better risk management and the ability to execute targeted investment strategies.
The Shift from Value-Add Strategies
Whitney Elkins-Hutton shares insights on the shift in investment strategies within the real estate market. She explains that passiveinvesting.com has moved away from traditional value-add strategies, such as deferred maintenance projects, in favor of investing in stabilized Class A assets with other value-add opportunities, such as lease-up or expansion potential. This adjustment is driven by factors like the increased cost of goods, decreased cash flow, and higher risk associated with development-type strategies. The company focuses on finding assets with a strong potential for cash flow and equity growth.
Investing in Car Washes
Whitney Elkins-Hutton highlights the investment potential of car washes. She explains that while car washes face seasonal fluctuations and require a different operational approach, they offer attractive opportunities for investors. The demand for car wash services remains strong, and car wash businesses can benefit from convenient automation technology and excellent customer service. Whitney emphasizes the importance of selecting car wash investments with good operators, a solid business plan, and sustainable cash flow. The rising wealth transfer and increased capital looking for investment opportunities further contribute to the potential success of car wash investments.
Evaluating Today's Market
Whitney Elkins-Hutton provides her perspective on the current real estate market. While acknowledging the challenges and risks, she highlights several factors that she believes will continue to drive demand and growth in certain sectors. These factors include the reshoring of jobs, the growing need for housing due to underbuilding, the shifting population demographics with millennials and boomers, and a massive wealth transfer. She advises investors to focus on assets that adhere to the seven pillars of wealth creation, which include capital preservation, cash flow, equity growth, tax benefits, smart leverage, inflation hedging, and partnering with experienced operators.
Express car washes can give you great cash flow. Whitney Elkins-Hutten explains the basics of how she invests in them. Welcome to Pillars of Wealth Creation, where we talk about building financial freedom with a special focus in business and Real Estate. Follow along as Todd Dexheimer interviews top entrepreneurs, investors, advisers and coaches.
Whitney is a real estate maven who, after purchasing her first rental in 2002, and hitting a homerun, then nearly losing it all on her second deal, took control and figured out how to invest in real estate the right way. She realized that success must leave clues. So, she studied and replicated the very personal finance and wealth creation strategies the wealthy use to create financial freedom. Today, Whitney is a partner in $800M+ of real estate, including over 5000 residential units (MF, MHP, SFR, and assisted living) and more than 1400 self-storage units across 7 states, and experience flipping over $3M in residential real estate. She now invests in car washes for cash flow.
3 Pillars
1. What do you want?
2. Why do you want it?
3. Who do you have to become to get it?
Book: The One Thing by Gary Keller and Jay Papasan
You can connect with Whitney at www.passiveinvestingwithwhitney.com
Interested in coaching? Schedule a call with Todd at www.coachwithdex.com
Connect with Pillars Of Wealth Creation on Facebook: www.facebook.com/PillarsofWealthCreation/
Subscribe to our email list at www.pillarsofwealthcreation.com
Subscribe to our YouTube channel: www.youtube.com/c/PillarsOfWealthCreation
Get the Snipd podcast app
Unlock the knowledge in podcasts with the podcast player of the future.
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode
Save any moment
Hear something you like? Tap your headphones to save it with AI-generated key takeaways
Share & Export
Send highlights to Twitter, WhatsApp or export them to Notion, Readwise & more
AI-powered podcast player
Listen to all your favourite podcasts with AI-powered features
Discover highlights
Listen to the best highlights from the podcasts you love and dive into the full episode