#133 Transitioning from a job or military with a better financial plan

0:04if you look back six months from where you are right now and you don't recognize a massive change or shift or some change in business then you're just moving too slow so if you can't look back six months from now and say like wow like these last six months have been fire then you're stagnant and you're moving too slow interesting you know I look back on that and you know six months ago we were just starting the fund and we are now and all the I mean it's so much it's crazy I didn't have short-term rentals I didn't have any of this stuff and you know now now we do and and it's it's awesome so always challenge yourself always take action even if it's a littlest tiny step of action but it's calling that real estate agent to get that deal or if it's analyzing three Deals a day take that action step hold yourself accountable

0:53and you're going to grow so fast a lot of people as they grow they build their team out and I'm curious with adpi obviously that's been a strength of you guys to to build the team but at the same time A lot of times you know there's difference in personalities there's difference in goals and you know I I've seen organizations kind of fall apart with infighting especially when there's a lot of go-getters on the team which there definitely is with adpi you guys are all go-getters so how do you guys organize your team and keep everyone in alignment and working toward the same goal yeah that's that's great and that's hats off to Maran sit and Victoria Griggs Victoria's the COO and I think they spend the majority of their time on we call them RNR call RnR

1:43Calls roles and responsibilities and we're constantly adjusting these roles and responsibilities when I started I was just kind of the guy who's going to revamp the podcast and then from there it was like okay well can you set up a single family Mastermind I was like I think so I've never done that before but how hard can it be and you know I did that and you know but point is your your role is constantly changing and we're a completely remote company I mean I'm in DC as far as the founders go we're all over the country you know it seems like people are kind of gravitating towards you know Florida right now but who knows because some of us are still in the military and and it's it's just you know you go where you go where you're you're told effectively but yeah it's I you know there's there's a software solution that I'm a

2:31Complete nerd on that I love it's called clickup and it is a project management tool it's like monday.com and all that stuff but we have adopted that and just jumped feet first into it and we use it you know we just had a a Monday meeting today and everyone has a clickup report with all of their goals scheduled and we all go through it all and we we talk about it each person gets the floor we talk it's an extremely efficient meeting because we're all remote because it's the only way we we can do it and then we run everything else on telegram the whole companies run on Telegram and yeah we have oh my God we have private telegram channels to for each department and we're constantly chatting back and forth as project leads and all of this stuff and yeah it's between those software Solutions we're able to to communicate effectively we used to use Voxer but

3:19That kind of we we outgrew that we switched to Telegram and it's it's incredible I run my entire single family Mastermind for gosh I don't know how many there's 50 students telegram wow you know I got a coach Tuesday tomorrow night I coach I open a telegram live chat hey everyone if they want the students want to show up they show up if they don't that's cool too it's recorded they can watch it whenever they want and we talk about whatever the topic of the day is and I'm on there for 30 minutes so that's that's it it it's it's incredible what software can do but you have to have goals you have to have intention you have to have the the backbone that's I think that's a great summary right there so you talked about everyone being synced on their goals and understanding who what other people are doing what their roles and responsibilities are doing and then having a organized

4:08And synchronized system to track all that and and stay on the same page I think that's I I appreciate that feedback so I don't want to take up too much of your time last question here I'm curious so things are are changing within the financial markets obviously that affects real estate how do you guys think about change you're you're obviously influencing a lot of people which has a lot of responsibility with it and so I guess what are you telling your community when it comes to how to invest right now and what are you personally thinking about as you're continuing to invest in the future yeah so you know everyone knows that the FED is is is doing what the FED needs to do to raise interest rates and I look back 6 months ago eight months to eight months ago

4:56Transitory inflation I laughed oh I laughed I laughed I was like transitory my ass and and lo and behold I was correct but a lot of people in the in the real estate world were like that in the investor world be like yeah that's that's nice that's a good word the word of the day but you know where we are right now with inflation being at a you know 40-year High and the Consumer Price Index being at 88.6% as measured in in May we're in a position right now where it's costing Americans a lot of money to not put their money to work and with the stock market as volatile as it is it's it's tough so you know you have people who who will say Oh no just you know when when there's blood in the streets that's

5:45When you invest you know you buy your blue chip stocks and and they'll go back up and you'll be fine and to a certain extent yeah that's you know that's that's not terrible advice however from my perspective I look at tangible assets I look at things that I can touch things that are hard assets things that people understand and the great thing about real estate in my opinion is that the general public understands its value because they look up and there's a roof over their head and they get that with a company with a stock it's all paper decisions are being made way over your head you have no clue what's going on and you're just riding Market speculation so that's why I always love real estate and also real estate is extremely flexible in the way that you can you

6:33Can invest and the strategies that you can employ and there is literally a strategy for every market and that's why I got into short-term rentals here in the DC Market because the average home cost Kirby is $590,000 do you want to know what the average rent is $2,200 tell me that's going to cash flow it will not you know spoiler alert it won't for the people trying to crunch numbers listening to this podcast so and that that doesn't include of course the HOAs or coas or any of the other nonsense that they charge you so you know I I looked at it and I said okay well how can I get cash flow and we we started down the short-term rental route and it's been incredible ever since but that flexibility offered in real estate really kind of taught me a couple things number one being it's not hard to make money I think there's this big shroud around oh God

7:21It's so hard to make money because people equate time with money but it's more about the strategy that you employ and if you can understand Investments and you can understand that the amount of time you put into something does not necessarily equal the amount of money you get you don't get $30 an hour you know you can do a webinar or something and make $4,000 an hour if you sell enough of them you know like that's just is what it is you know what I mean so people understand that once they can kind of get that in their heads and that idea in their heads and they can take that they can Implement these real estate strategies but in general I love the commercial real estate side of things we're actually seeing cap rate expansion in a lot of the markets that we're looking in because interest rates are rising

8:10And people who don't have their stuff together who don't have the capital who are fake it till you make it people which is a ton of syndicators out there are are you know are losing out on deals and the people who understand the business have been doing it for years and have a community of 56,000 investors aren't so you know there's power in that and we're seeing you know I'm loving the the future of real estate and as inflation continues to go up and interest rates rise guess what's happening it's becoming harder to afford a home which sucks for a lot of people but those people then are going to be forced to rent well that's going to shoot the rental demand up and when rental demand goes up rent goes up you know assuming Supply stays the same so I

8:59Think over the next you know 12 to 36 months we're going to be in a high rent Market as Supply catches up and you know interest rates will stay relatively high and I do believe that home prices will eventually plateau and start to actually come down as competition dwindles but in general you know if you can find a deal and get a deal go for it because you're you're going to be in a good position to take advantage of that of that higher rent and if you're in the commercial world where the net operating income is King of the castle then high rent is really

9:58Great