Everyday CRE: If We Were Getting Started in CRE Today
Sep 27, 2024
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In this engaging discussion, Jonathan Holdwick, an active participant in current real estate transactions, and Mike Holdwick, a seasoned real estate expert, share invaluable insights for newcomers. They delve into practical strategies for navigating commercial real estate, highlighting the benefits of starting with residential investments. The duo stresses the significance of mentorship and building relationships in the industry. They also reflect on balancing real estate ambitions with family responsibilities, making it clear that communication and shared goals are key to success.
Engaging in house hacking offers a practical strategy for newcomers to manage living costs while gaining property management experience.
Balancing real estate endeavors with family commitments is crucial for investors, promoting harmony and ensuring participation in their children's growth.
Deep dives
Navigating Parenting and Growth
The discussion highlights the joys and challenges of parenting as children transition into new school phases, such as middle school and preschool. Parents recognize the importance of instilling responsibility in their children, such as setting alarms and being accountable for homework. These developments offer opportunities for connection and growth, with parents feeling fulfilled witnessing their kids mature and adapt to new routines. The shared experiences of daily challenges emphasize the rewarding nature of parenting while acknowledging the emotional ups and downs that accompany this journey.
Real Estate Deal Updates
A significant ongoing project involves a light industrial warehouse purchase in South Haven, which initially encountered environmental issues. The purchasing negotiations saw a successful reduction in price after environmental assessments revealed soil gas concerns that necessitated further mitigation work. By negotiating down to $400,000, the investor views this acquisition as a potential for substantial cash flow after comprehensive renovations and tenant placement. The conversation also touches on a historical storefront property slated for rental leaseback, showcasing a balanced approach to diverse investment strategies within commercial real estate.
Strategies for New Real Estate Investors
For those interested in entering the real estate market, several strategies are suggested for starting out efficiently. One key tactic highlighted is house hacking, where individuals can live in a multi-unit property while renting out additional spaces to offset living costs, effectively gaining experience in property management. It’s further emphasized that prospective investors should seek mentorship through local real estate meetups to learn from seasoned professionals and gain hands-on experience. Finding reliable avenues for learning and growing within real estate can create invaluable opportunities for newcomers aiming to make their mark in the industry.
Balancing Time and Family Life
The importance of balancing real estate pursuits with family life is strongly emphasized, particularly for individuals with children. Setting clear expectations with a spouse about shared goals and time investment in real estate can help maintain harmony and reduce potential resentment. Investors are encouraged to evaluate their time commitments and prioritize family memories, recognizing that children grow quickly and that participation in their lives is irreplaceable. This holistic approach to real estate investing and personal life highlights the need for sustained relationships and the wellbeing of the family unit.
Enjoy this conversation with Jonathan and Mike Holdwick. We discuss the deals we are working on as well as suggestions for getting started in real estate today.