Multi-Family Investing-with Jake & Gino-EP72

During this episode of the Lab Coat Agents Podcast, host Jeff Pfitzer speaks with Jake Stenziano & Gino Barbaro about their successful multi-family investment portfolio. They share how they created financial independence in just a few short years by becoming real estate investors. Listen for tips for how you can take advantage of this opportunity.  Episode Highlights:  Jake Stenziano was in a corporate grind as a pharmaceutical rep when he saw the potential in real estate. He started getting mentored by Gino Barbaro and they began looking at deals together. They got a 25-unit deal and never looked back. Gino ran a family restaurant for 20 years. Everything shifted for him when his father passed away in 2008. He knew he wanted to create passive income to support his large family. Gino decided to pursue multi-family units for the cash flow, tax benefits, appreciation, and cycle resilience. Multi-family units address a basic human need. You just have to start. Once you start you have the clarity and you have the accountability. Jake points out that many times in single-family residential real estate the agent is a salesperson. It's different in the multi-family space. As the buyers they have to prove their credibility and why they're going to close the deal. Partnerships multiply and can help you blow things up a lot more. With multi-family spaces, start where you're comfortable. Economies of scale make multi-family attractive. As a real estate agent, you have opportunities to invest. The first thing that you need to realize is that the gold is in the assets. You buy, you refinance the money out, and then you continue to buy. As long as you continue to buy the game goes on because you keep accumulating depreciation to wipe out your taxes. Buy right, manage right, finance right. Many people start out with syndication. The way to be successful in any business is to think of yourself as a farmer. Plant the seed and take care of it. Jake reminds us that debt is a tool. Use that tool properly. They like non-recourse debt through agencies. The more you know about your potential investors, their goals, and how you can add value to them, the better. Time is on your side in multi-family. You don't lead with seller financing. You base your offer on the income approach. If the numbers don't line up, that's when seller financing can come into play.  Negotiations are all about listening. Jake explains how they put together their initial down payment for the first deal. You can get in the game if you have between $20-50k especially if you have a partner. They typically do 2-3 deals each year. Look for properties that will bring you cash flow. Buy cash flowing assets. Buy right, know how you'll manage the property, and figure out where you're getting the debt from. You have an opportunity to create massive financial independence as a real estate investor. 3 Key Points: Being a realtor puts you in an excellent position to get started with real estate investing. Multi-family is a long game, just like any other business. The key to the game is to stack assets over time. Resources Mentioned: Lab Coat Agents website, Facebook, Facebook Group, Twitter, Instagram Jake & Gino website, podcast Email gino@jakeandgino.com to get a pdf copy of their credibility book.  The Richest Man in Babylon (book)