Multifamily Real Estate Syndication: How Matt Iverson Transitioned from Luxury Real Estate to Apartment Investing

For high-income professionals and experienced real estate investors, earning a substantial income does not always translate into financial freedom. Building long-term wealth often requires moving beyond transactional income and creating investments that generate recurring cash flow. Multifamily real estate syndication offers one potential path, allowing investors to participate in larger apartment acquisitions while leveraging the experience, capital, and resources of investment partners.

In this episode of Rod Khleif’s Multifamily Rock Stars, luxury real estate broker and multifamily investor Matt Iverson shares how he transitioned from selling high-end properties to investing in apartment communities. Through his experience as a general partner in a 97-unit multifamily acquisition in Columbus, Ohio, Matt explains the importance of strategic networking, conservative underwriting, capital raising, and identifying opportunities for value creation. His journey offers practical lessons for business owners, successful professionals, and aspiring investors looking to turn active income into lasting financial independence.

Who Is Matt Iverson?

Matt Iverson is a luxury real estate broker, entrepreneur, and multifamily investor with more than two decades of experience in the real estate industry. Raised in Colorado’s Vail Valley, Matt grew up surrounded by real estate development and brokerage through his family’s business. After beginning his career in finance, he transitioned into luxury resort real estate, helping launch condominium developments in Breckenridge and working alongside his family in a successful brokerage operation.

Throughout his career, Matt has participated in significant luxury real estate transactions, with his brokerage team historically averaging approximately $100 million in annual sales and reaching $267 million during the extraordinary market conditions of 2020. Despite that success, he recognized the limitations of relying on transaction-based income and began pursuing multifamily investments. At the time of the conversation, Matt was involved in approximately 450 apartment units through general partner and limited partner positions, with ambitions to build a substantial portfolio of income-producing real estate.

Why High-Income Professionals Are Turning to Multifamily Real Estate Syndication

One of the most valuable lessons from Matt Iverson’s journey is that high earnings and financial independence are not necessarily the same thing. Although Matt had built a highly successful career selling luxury properties, his income depended heavily on his continued involvement in transactions. Following an exceptionally profitable year and a substantial tax bill, he began reconsidering how to structure his wealth for the future.

A conversation with his accountant reinforced the distinction between selling real estate and owning income-producing properties. Matt realized that while he had spent years helping clients build wealth through property ownership, much of his own real estate activity involved buying, renovating, and selling homes rather than retaining assets for recurring cash flow. His goal became creating more reliable, tax-efficient income through long-term real estate investments.

Multifamily real estate syndication appealed to Matt because it offered opportunities to participate in larger properties without necessarily handling every aspect of an acquisition independently. By partnering with experienced operators, investors can combine capital, expertise, and professional relationships to pursue apartment communities that may otherwise be difficult to acquire individually. For physicians, business owners, sales professionals, and other high-income earners, this investment structure can provide an alternative to relying exclusively on active income, although investment returns and tax benefits depend on individual circumstances.

How Matt Iverson Entered Multifamily Investing Through Strategic Partnerships

Matt’s transition into multifamily investing began with a decision to stop postponing his investment goals. After more than 20 years of discussing his desire to own commercial real estate, encouragement from his wife motivated him to seek mentorship and become involved in Rod Khleif’s Warrior Program. Through education, networking, and consistent action, he began developing the knowledge and relationships necessary to participate in larger multifamily transactions.

His first major general partnership opportunity came through an unexpected connection. Matt’s nephew was studying under Drew Watson, a finance professor at Bethel University who was involved with Endurance Capital. After learning about Matt’s interest in multifamily investing, Drew introduced him to the investment team, which was preparing to acquire a 97-unit apartment community in Columbus, Ohio.

Although Matt had never participated in a multifamily syndication as a general partner, his extensive real estate background gave him valuable experience to contribute. He understood property evaluation, renovation costs, construction deficiencies, and client relationships. Rather than exaggerating his multifamily experience, he was transparent with the operators about his capabilities and focused on demonstrating how his existing skills could strengthen the investment team.

This experience highlights several important principles for investors seeking their first multifamily partnership:

• Leverage transferable skills: Sales experience, investor relationships, construction knowledge, and property analysis can all provide value within a syndication team.

• Build relationships with experienced operators: Strong partnerships can create opportunities that may not be accessible through traditional deal sourcing.

• Be transparent about experience: Acknowledging limitations while demonstrating a willingness to contribute helps establish trust.

• Take consistent action: Networking, education, property tours, and investor conversations help transform investment goals into tangible opportunities.

Matt emphasizes that building meaningful relationships was instrumental in opening the door to his first general partnership opportunity. His experience illustrates why multifamily investing is not solely about finding properties but also about identifying the right people to work with.

Inside Matt Iverson’s 97-Unit Multifamily Syndication in Columbus, Ohio

The centerpiece of the conversation is Matt’s involvement in a 97-unit townhome-style apartment community in Columbus, Ohio. Unlike traditional apartment buildings with units stacked above one another, the property featured individual entrances, detached one-car garages, small backyard areas, and larger living spaces. These features positioned the community as an attractive alternative for renters seeking some of the benefits of single-family living without the financial commitment of homeownership.

Before participating in the acquisition, Matt and his wife traveled to Columbus to evaluate the property and surrounding market firsthand. They toured competing apartment communities, examined the property’s physical condition, and spoke with residents to better understand tenant satisfaction and potential operational improvements. This research helped Matt evaluate both the investment opportunity and the operators responsible for executing its business plan.

The property’s location was another major factor in his investment decision. Nearby national retailers, restaurants, hotels, transportation infrastructure, and an expanding hospital suggested meaningful economic activity in the surrounding area. Matt also recognized that the community’s larger units and townhome-style layout could appeal to families seeking additional space, potentially supporting longer tenant retention.

Evaluating Multifamily Investment Markets

Rod Khleif and Matt Iverson discuss why understanding a property’s surrounding market is essential when evaluating multifamily real estate syndication opportunities. While an attractive purchase price may initially capture an investor’s attention, long-term performance also depends on rental demand, employment opportunities, affordability, and the area’s economic trajectory. Buying a desirable property in an unsuitable location can create challenges that even experienced operators struggle to overcome.

The conversation identifies several market characteristics worth examining before acquiring a multifamily property:

• Population growth and household income trends

• Employment growth and proximity to major job centers

• National retailers and established commercial development

• Transportation access and planned infrastructure improvements

• The relationship between local homeownership costs and rental affordability

Rod explains that major national retailers frequently conduct extensive demographic research before selecting locations, making their presence a potentially useful indicator of neighborhood demand. However, these signals should complement rather than replace independent market research. He also recommends monitoring local chambers of commerce, economic development organizations, and major construction announcements to better understand where future growth may occur.

Another important consideration is the relationship between rental rates and local household income. Rod discusses evaluating whether prospective tenants earn approximately three times the property’s targeted rent and comparing apartment acquisition costs with median home prices. These measures help investors assess rental affordability and the property’s competitive position within the broader housing market.

Conservative Underwriting and Risk Management in Multifamily Syndication

One of the strongest educational components of the episode focuses on conservative underwriting. Matt explains that virtually every multifamily operator describes their projections as conservative, but investors must examine the actual assumptions to determine whether those claims are justified. Rather than relying on aggressive rent increases or optimistic market forecasts, he looks for investments with realistic financial projections and strategies that reduce downside exposure.

For the Columbus acquisition, Matt was particularly encouraged by the financing structure. He describes a roughly 5.5% fixed interest rate on a ten-year loan, including five years of interest-only payments. Importantly, the underwriting projected that the property could continue supporting its planned distributions from cash flow even after the interest-only period ended, assuming the business plan performed as expected.

The investment team’s assumptions also included annual organic rent growth of approximately 2% to 3%, rather than relying on unusually high increases. The property had been renting for approximately $1,500 per month, while the investment plan targeted rents closer to $1,800 through improvements and repositioning. Matt viewed the combination of existing rental upside, fixed-rate financing, and relatively modest growth assumptions as important components of the opportunity.

For prospective multifamily syndication investors, the broader lesson is to evaluate how an investment performs under changing conditions. Interest rates, operating expenses, renovation costs, and achievable rents can all influence returns. Understanding how a deal is financed and whether its projected cash flow can withstand foreseeable challenges is essential to assessing investment risk.

Creating Value Without Overspending on Renovations

Value-add multifamily investing frequently involves acquiring properties with opportunities to improve operations, upgrade units, or increase rental income. However, Matt’s Columbus investment demonstrates that maximizing renovation spending does not necessarily maximize investment returns. Successful operators must understand which improvements residents value and whether the additional rental income justifies the expense.

The initial renovation strategy included upgraded kitchens, stainless steel appliances, improved flooring, refreshed cabinetry, bathroom improvements, and enhancements to common areas. During his property visit, Matt also identified opportunities to improve the clubhouse layout and create a more appealing experience for prospective tenants. His previous experience renovating and flipping residential properties helped him evaluate these potential improvements.

As the team began reviewing operational performance, they discovered that relatively modest upgrades were producing the rental increases they needed. Instead of completing every originally planned renovation, the operators considered scaling back improvements and focusing on targeted appliance replacements, flooring, and paint. This approach could help preserve capital while still achieving the property’s repositioning objectives.

The lesson for investors is that a value-add strategy should remain responsive to actual leasing performance and tenant demand. Renovation budgets should be evaluated against achievable rental premiums, rather than assuming more expensive improvements automatically create greater value. Disciplined asset management requires knowing when additional investment is justified and when a simpler approach may produce a better financial outcome.

Capital Raising and Investor Relationships for New Multifamily Operators

Another important discussion centers on how new multifamily investors can build credibility and participate in syndications without an extensive track record as general partners. Matt’s background in luxury real estate provided a natural advantage because he had spent years developing relationships with affluent clients. He was comfortable discussing investments with high-net-worth individuals and understood the importance of trust, communication, and long-term relationship management.

Rather than approaching capital raising purely as a sales transaction, Matt focused on sharing opportunities with people who already knew his professional reputation. After visiting the Columbus property, he shared photographs and information with his existing network, helping potential investors understand the opportunity and his direct involvement. His familiarity with real estate transactions and willingness to personally evaluate the asset helped support those conversations.

Rod reinforces that successful capital raising depends heavily on relationships and confidence in the investment. Prospective partners want to understand the operator’s integrity, commitment, and ability to execute the business plan. Investors and capital raisers should also understand the financial assumptions, risks, and investment structure before discussing opportunities with others, while complying with applicable securities regulations.

For business owners and professionals considering multifamily real estate syndication, Matt’s experience shows that an existing professional network can be a meaningful asset. Strong relationships may help create introductions to operators, potential partners, and prospective investors. However, credibility must be supported by careful due diligence, clear communication, and a realistic understanding of the investment.

Building Financial Freedom Through Long-Term Multifamily Ownership

For Matt Iverson, the ultimate objective of multifamily investing extends beyond generating passive income. He describes his vision as “Freedom Income,” emphasizing the ability to choose how he spends his time while continuing to participate in work he enjoys. Rather than retiring completely, Matt wants to remain involved in property ownership, management, and strategic improvements while building an investment portfolio capable of supporting his family’s future.

During the conversation, Matt shares an ambitious long-term goal of participating in the ownership of approximately 7,500 apartment units, with the possibility of eventually passing the business to his children. He also describes a nearer-term objective of reaching approximately 2,500 units in which he holds a meaningful general partnership or leadership position. These goals reflect his desire to transition from a primarily transaction-driven career toward long-term ownership and recurring investment income.

Matt’s story offers a useful perspective for successful professionals who have accumulated wealth but remain dependent on their businesses or careers for income. Multifamily real estate syndication can create opportunities to diversify investments, develop strategic partnerships, and participate in larger income-producing assets. The most important starting point, however, is developing a clear investment objective and taking deliberate steps toward achieving it.

Whether you are exploring your first multifamily syndication, evaluating a value-add apartment opportunity, or looking to transition from active income to long-term real estate ownership, Matt Iverson’s experience provides practical insights into the importance of networking, disciplined underwriting, risk management, and strategic partnerships.

To hear Matt Iverson’s full conversation with Rod Khleif and Mark Nagy, including the detailed breakdown of his 97-unit multifamily investment, watch the podcast video or read the complete transcript below.

Frequently Asked Questions About Multifamily Real Estate Syndication

What is multifamily real estate syndication?

Multifamily real estate syndication is an investment strategy in which multiple investors pool their capital to acquire and operate apartment communities. Typically, general partners manage the acquisition, financing, and operations, while limited partners contribute capital and participate in potential investment returns. This structure allows investors to access larger multifamily properties without purchasing and managing an entire apartment complex independently.

How does multifamily real estate syndication generate passive income?

Multifamily real estate syndication can generate passive income through rental revenue collected from apartment residents. After operating expenses, debt payments, and reserves are accounted for, available cash flow may be distributed to investors according to the syndication agreement. As Matt Iverson discusses with Rod Khleif, owning income-producing properties can help successful professionals reduce their dependence on transaction-based earnings, although distributions are never guaranteed.

How can beginners get started in multifamily real estate syndication?

Beginners can start by learning multifamily investment fundamentals, connecting with experienced operators, and understanding how apartment acquisitions are structured. Matt Iverson emphasizes the importance of mentorship, networking, and taking consistent action. His first general partnership opportunity came through a personal connection, demonstrating how relationships and transferable professional skills can create opportunities in multifamily investing.

What is the difference between a general partner and a limited partner in multifamily syndication?

A general partner (GP) is typically responsible for identifying investment opportunities, arranging financing, raising capital, overseeing due diligence, and managing the property’s business plan. A limited partner (LP) generally contributes investment capital without participating in daily property management. Matt Iverson has invested in multifamily real estate through both general partner and limited partner positions, allowing him to participate in apartment ownership through different roles.

How do multifamily syndication investors evaluate a good deal?

Evaluating a multifamily syndication requires analyzing the property’s location, rental demand, financing, operating expenses, and potential for income growth. Matt Iverson emphasizes conservative underwriting, realistic rent projections, and identifying opportunities to reduce investment risk. In his 97-unit Columbus, Ohio, acquisition, the investment team evaluated local employment centers, surrounding development, financing terms, and renovation opportunities before moving forward.

What is conservative underwriting in multifamily real estate syndication?

Conservative underwriting involves evaluating a multifamily investment using realistic financial assumptions rather than relying on overly optimistic projections. This includes carefully estimating rental growth, operating expenses, financing costs, and potential investment returns. In Matt Iverson’s Columbus multifamily deal, the underwriting included projected annual organic rent increases of approximately 2% to 3% and fixed-rate financing designed to provide greater predictability.

What is a value-add strategy in multifamily real estate investing?

A value-add multifamily strategy involves acquiring an apartment property and making targeted improvements intended to increase rental income, operating performance, or property value. These improvements may include updated appliances, flooring, kitchens, bathrooms, and shared amenities. Matt Iverson explains how his investment team identified opportunities to increase rents through selective renovations while avoiding unnecessary spending that could reduce overall investment profitability.

Why is location important in multifamily real estate syndication?

Location plays a critical role in multifamily investment performance because it influences rental demand, tenant retention, and long-term property value. Investors often evaluate population growth, employment opportunities, transportation access, and nearby commercial development. Matt Iverson’s Columbus acquisition benefited from proximity to national retailers, major highways, hotels, and an expanding hospital, all of which contributed to the team’s assessment of the market.

Can high-income professionals benefit from multifamily real estate syndication?

Multifamily real estate syndication can be an attractive investment option for business owners, physicians, executives, and other high-income professionals seeking to diversify their portfolios and build recurring income. Rather than depending exclusively on earnings from their careers or businesses, investors can participate in income-producing real estate. Matt Iverson pursued multifamily investing specifically to develop more reliable, potentially tax-efficient income after years of success in luxury real estate sales.

What are the tax benefits of multifamily real estate syndication?

Multifamily real estate syndication may offer tax advantages through depreciation, deductible operating expenses, and other real estate tax provisions. Depending on the investment structure and an investor’s individual circumstances, these benefits may help offset certain taxable income. Matt Iverson identifies tax efficiency as one of his primary motivations for transitioning from luxury property sales into long-term real estate ownership. Investors should consult a qualified tax professional to understand how these benefits apply to their situation.

How can investors raise capital for multifamily real estate syndication?

Raising capital for multifamily syndication involves developing investor relationships, communicating investment opportunities, and establishing credibility with prospective partners. Matt Iverson leveraged his existing network of high-net-worth clients and his experience in luxury real estate to introduce potential investors to multifamily opportunities. He emphasizes trust, transparency, and strong professional relationships as essential components of successful capital raising. Syndication sponsors must also comply with applicable securities laws when soliciting investments.

What are the biggest risks of multifamily real estate syndication?

Multifamily real estate syndication involves risks including market downturns, unexpected maintenance costs, rising operating expenses, vacancies, financing challenges, and lower-than-projected rental growth. Matt Iverson stresses the importance of identifying how an investment team manages these risks before committing capital. Conservative underwriting, appropriate financing, thorough due diligence, and experienced operators can help mitigate risk, but investors may still lose some or all of their invested capital.

How can multifamily real estate syndication help build long-term wealth?

Multifamily real estate syndication can support long-term wealth creation through rental cash flow, potential property appreciation, and mortgage principal reduction. Investors may also benefit from strategic property improvements that increase net operating income and overall asset value. Matt Iverson’s long-term vision involves building a substantial portfolio of multifamily properties that can generate what he calls “Freedom Income,” allowing him to pursue financial independence while creating a real estate legacy for his family.

00:00:28:24 – 00:00:47:20
Rod
Welcome back to multifamily Rock. So as you guys know, these are the episodes where we dive deep into our guest deals and we give you some practical and actionable items for getting started and doing your first deal, especially if you’re brand new to multifamily. And as always, I’ve got my co-host, Mark Nagy, from my massive action team here with me.

00:00:47:21 – 00:00:49:17
Mark
Good to see you. It sounds like good to be.

00:00:49:17 – 00:00:50:14
Rod
Seeing.

00:00:50:16 – 00:00:55:02
Mark
You. You’ve got a busy day. You just mentioned closing in on, Texas Steel, right?

00:00:55:06 – 00:01:13:03
Rod
Yeah. Closing on a $20 million asset in San Antonio. It’s about a mile away from another 296 unit asset that we own. It’s a screamin deal. Oh, God. It’s exciting because we’re paying 100,000 a door. And the one next door sold for 137 a door. So we’re getting at about 40% discount because it’s the same vintage and everything.

00:01:13:03 – 00:01:32:23
Rod
So very exciting deal. So that’s closing today. We’ve got our warrior event coming up this weekend, in Sarasota with a few hundred of my closest friends coming to, connect and network. And we’re going to go deep dives on underwriting and deal analysis and just a lot going on. But it’s all good, you know, it’s good.

00:01:33:03 – 00:01:51:18
Rod
You know, as you go, as you go through life, you want better quality problems. You’re going to problems, but you want a better quality problem. So these are quality problems. So, today we’ve got an awesome guest. His name is Matt Iverson. And Matt is actually a luxury resort broker. And, I’m not sure when he joined the warrior program.

00:01:51:18 – 00:02:07:00
Rod
We’ll find out, but, he, is a in about 450 doors as a general partner and a limited partner, I think, the general partner piece is a 97 unit we’re going to dive deep on today, so we’ll have fun finding out about that deal. Welcome to the show, brother. Good to.

00:02:07:00 – 00:02:21:02
Matt
See you. Thanks, rod. Good to be here. It’s a little surreal to be here. It’s. I joined the group two years ago. I’ve listened to. I’ve got to be hundreds of interviews in at this point. So to be a guest is a little. It was pretty crazy. Oh.

00:02:21:02 – 00:02:36:06
Rod
That’s cool. Well, I appreciate that. And we’re glad you’re here, man. And I know you’re going to add value today, so why don’t you start by just, giving the listeners, an idea of who you are, where you came from. Why real estate?

00:02:36:08 – 00:03:04:06
Matt
Yeah. Well, so, real. So I’ll start with the real estate side, just because that goes back all the way to my, my childhood. It real estate’s really been in my blood since. Since I was a kid. My family’s been doing it, and I’d say since the mid 80s in, in the area of Vail, Colorado. We moved up here when I was about 12 years old, and my, mom ended up getting her real estate sales license back when there was the sales versus the broker, and eventually she became a broker.

00:03:04:08 – 00:03:21:18
Matt
In that process, they started buying and building homes in, in the Vail Valley area. And so most of my childhood, I remember going to projects we, you know, we we’d have family dinner and then we load up in the car and we start. We’d go look at the hole in the ground and we look at the footers, and then we’d watch and frame it.

00:03:21:18 – 00:03:43:06
Matt
And so that was so I’ve watched the real estate business since I was a kid, and growing up in Vail, the, we watched the Valley grow. I went from Edwards, which was literally a four way stop sign, to now a major intersection, billions of dollars of development. My my mom has helped broker and sell a lot of them to ground up development here, so.

00:03:43:08 – 00:04:08:12
Matt
So it’s really been in my blood. In late 99, I was actually in the finance business right out of college thinking I was going to be a private wealth manager, fund manager of some sort. And, about a year into that, I got a call from the CEO of that resource development company, and, I said, hey, if you’re half the sales person that your mom is, I could use your help launching some projects in Breckenridge.

00:04:08:14 – 00:04:30:13
Matt
And my mom has been one of the top producing brokers in that really in the nation, she’s been ranked in the top five by Wall Street Journal. So it’s it’s I’ve watched her do that. So so I moved my wife and I, who we’ve been married for all of four months, moved to Breckenridge and I helped the resource launch a couple, condominium developments there in the base of Breckenridge.

00:04:30:15 – 00:04:48:15
Matt
Helped with a little bit of, pre-planning on a big base, ski area expansion, if you will. So base of peaks seven and eight. They were expanding at multi-billion dollar development. So once I got my license, joined the team, I realized real estate was really in my blood. That was what I wanted to do.

00:04:48:21 – 00:05:03:16
Rod
You know, it’s funny, I love Vail. I’ve got so many great memories. I usually go there in the summer, though, you know, and I taken a gondola, take renting bikes, taking them up to the top of Vail Pass, riding the bikes down. I remember riding down this trail and running right into two deer right in front of us.

00:05:03:16 – 00:05:19:22
Rod
It was really cool. And then I took the wrong turn, and we ended up going in a real sketchy part of the mountain going down. But, yeah. And I’m just triggering some memories. I remember there was a kind of like a hot dog place that sold veal, hot dogs. You know, man, they were good. You know what I’m talking about.

00:05:19:24 – 00:05:39:12
Rod
Oh, yeah, that was it. Swiss dog. Oh, my God, do you ever. Fantastic. This is bringing back memories. And, you know, you talked about your mom starting as a sales person, then becoming a broker. I was actually a broker in Colorado when I was 18. So this is 1978, and I was able to do it all through education, because back then you could become a broker with education.

00:05:39:12 – 00:05:56:04
Rod
Now they get smart. You need some frickin experience, which I’m sure your mom experienced. She had to have some experience. So that’s that’s kind of cool. And, you know, you’ve triggered a lot of memories for me. You mentioned Vail Resorts, my best friend does a lot of their rehab rehabs in their in their hotel, hotels up in that area, and they’re the largest up there.

00:05:56:04 – 00:06:16:18
Rod
But he does their refurbishments, carpet and all that. So anyway, I digress, but, yeah, yeah, maybe his name is Pete Austin. He’s a really good friend. He’s like my best friend, hospitality pro. But, give him give him a shout out. He’s literally my best friend. So, so, anyway, you know, we have a lot of aspiring real estate investors on this show.

00:06:16:18 – 00:06:32:17
Rod
People that know they want to go do something. What do you think as our avatar? What avatar do you think would relate the most to you and who you are? Because we get all types, you know, and, and and so how would you answer that in any way you like?

00:06:32:18 – 00:06:51:13
Matt
Yeah. Well, I and I think that would actually probably bring me to the story of kind of how I joined the warrior group. Okay. Because that, that ties into who my avatar is, because that’s exactly why I ended up joining. So I’ve, I’ve spent 22 years and in the luxury real estate sales, very transactional. My wife and I have bought and flipped multiple homes.

00:06:51:15 – 00:07:08:04
Matt
Everything was equity based. So we just kind of put the money in, sold a few layers. We took the money up. Not a lot of passive cash flow. So in in 2020, in March 2020, before the lock, when they just started locking down, I thought we were going out of business, and it was quite the opposite.

00:07:08:04 – 00:07:27:13
Matt
We ended up absolutely exploding like most brokers did. And, I ended up writing a pretty large, tax check that year. And so I was talking to my accountant. I was like, I gotta figure something out on how to start reducing my tax bill while I’m doing this. And he said, you know, Matt, you’re really good at selling real estate.

00:07:27:13 – 00:07:44:18
Matt
You need to start investing in it. And so I started whining about it to my wife. And I’ll never, I can tell you exactly where I was. I was driving on the highway from Moab. We were coming home from Arizona on a road trip with the girls. We had just come through Moab, about to get on to I-70, on I-70 back to Colorado.

00:07:44:20 – 00:08:03:19
Matt
And I was whining about, you know, I’m tired and, you know, big tax check. And I wish I had bought some commercial real estate. I wish I was an investor for the last 20 years. And my wife, in all of our wisdom, kind of looks at me and, and nicely says she goes, you know what, honey? I’ve been listening to you talk about this for 20 plus years.

00:08:03:21 – 00:08:07:11
Matt
I think it’s either time, you know, for good off the pot.

00:08:07:13 – 00:08:08:14
Rod
I love it.

00:08:08:16 – 00:08:22:02
Matt
So. So I was like, you know, I was like, yeah, you’re right. And she goes. And by the way, if you’re going to decide to do it, you need to find a mentor. So I go, okay. And it just so happened I pulled up your podcast for the first time and started listening.

00:08:22:02 – 00:08:25:06
Rod
It’s all downhill from there. It was all downhill from there.

00:08:25:08 – 00:08:43:24
Matt
Right? So. Well, I was I was listening to all this, but I started listening to Biggerpockets and then I pulled, I started listening to the errors and, and just kept listening to interview after interview of people who got started. And I was literally driving, this is terrible. But I was driving and I texted your number that you give on your podcast, No Kidding on the highway.

00:08:44:01 – 00:09:12:01
Matt
And that’s and I think a couple days later, I was on an interview with with you and Mark and, and started the process. So that’s it. So so my my avatar, the people I’m talking to typically higher income transactional, you know, dollar for time for dollar people. So sales people, doctors, accountants, you know, people who are making a lot of money, you know, put it in their time into their business, but are starting to see the end of the, you know, the end of the road, their skill sets diminishing.

00:09:12:01 – 00:09:20:20
Matt
I just I don’t have the energy to do what I do. And we do, you know, on average, to previously we did about 100 million a year in sales.

00:09:20:22 – 00:09:21:24
Rod
Wow. That’s significant.

00:09:21:24 – 00:09:39:01
Matt
Wow. Yeah, it’s it’s a, you know, it’s a lot of work. It’s a lot of time. But, in 2020, we did 267 million, care about about killed my mom and I. We actually hired my brother. We brought my brother on as a partner. We just said, we’re going to pay you through the nose. Just come join us.

00:09:39:03 – 00:10:03:01
Matt
And so that’s that. So now it’s the three of us. But but I realized I was like, I can’t I can’t make this kind of money for the rest of my life. And I need to replace it with, with more, reliable, passive and tax efficient income. And so who I work with is a lot of people who have a good deal of wealth, they’re making a good deal of money, and they just want to kind of keep putting money into into their passive income portfolio.

00:10:03:03 – 00:10:14:10
Rod
Yeah, yeah. So, so I know that, and you’re talking about bringing in investors to like a syndication, like, like this one. We’re going to talk about, okay. So Matt.

00:10:14:16 – 00:10:33:12
Mark
Having experience in the real estate industry, obviously, and I know you necessarily didn’t work on multifamily, but what are some of your superpower and skill sets that maybe other high income earners or salespeople or other people relating to that can maybe think, oh, I can take that skill set and then bring that into multifamily. How did you do that?

00:10:33:17 – 00:10:53:16
Matt
Yeah. So, I mean, my, my skill set, my biggest asset is I’m a sales person, you know, I, I can sell. So I enjoy working with my, with clients. So my number one thing is I would say I, I’m taking that ability and, and I work with a lot of high income, people, a lot of ultra high net worth.

00:10:53:18 – 00:11:22:08
Matt
And they don’t, you know, I’m very comfortable around them. So I, it’s very easy for me to have conversations. So investor relations is a big deal for me. I enjoy it. I like getting on the phone with with high income, high net worth people. I can just talk to them. I service them, I help them by their buy and sell houses constantly and, and so I’ve had a lot of, windshield time with, with great people and I’ve learned to talk to them, very comfortably at normal everyday people.

00:11:22:08 – 00:11:44:20
Matt
So, so I do like investor relations, having transacted, you know, thousands and thousands of real estate properties, doing due diligence, looking for opportunity, seeing issues is really second nature. I mean, I can walk a property I can look at. I was looking at a deal the other day in just the photos alone. I picked out about six, construction issues.

00:11:44:22 – 00:12:01:03
Matt
I was like, you know, just little tiny sightings falling off in that picture to the sightings warping this picture, you know. And it was in Ohio. I’m in Colorado. I was I was looking at pictures of the deal in Ohio, and I was like, oh, there’s there’s some deferred maintenance on that just from the pictures. So yeah. So I’ve done a lot of, due diligence on properties.

00:12:01:05 – 00:12:11:03
Matt
My wife and I have remodeled, you know, a half a dozen properties and flipped, and, and so working with contractors and, you know, these are all very easy for me to do.

00:12:11:05 – 00:12:30:02
Rod
And, of course, capital raising. I mean, you have no problem asking for money. Know, you’re used to dealing with high net worth people buying, you know, a second home in Vail, right. Or Beaver Creek or wherever, up there. So you know, that that makes, you know, talking to people that have money and and see a lot of people hang up on this, and I’m going to be I’m going to be talking about this at the warrior event this weekend and raising capital.

00:12:30:02 – 00:12:46:01
Rod
A lot of people have this block, but it’s just it’s just having a friendly conversation and showing them that you’re passionate about it. You believe in it. You you know, you believe in the deal. You believe in the area. And and just communicating that it’s just, you know, communicating. And a lot of introverted people really struggle with that.

00:12:46:01 – 00:13:08:04
Rod
But but, well, there’s no question that’s your superpower. I mean, just listening to you talk for a few minutes. I mean, hello. So, you know, what is an action item that we could dive deep on today? That. So let’s say, that might benefit a listener, a new, you know, a budding entrepreneur, a budding investor. What’s a what’s an action item?

00:13:08:04 – 00:13:11:19
Rod
Let’s, let’s let’s pick something that we can dive deeper on. Yeah.

00:13:11:19 – 00:13:32:22
Matt
Well, and I think it goes back to, the conversation with my wife, you know, either decide do it or don’t either, but make a decision one way or the other. And so I would tell I spent a lot of time wishing for 20 some years wanting to buy commercial real estate and rental income. And never taking action towards it.

00:13:32:24 – 00:13:54:00
Matt
You know, I thought that maybe it was a belief system. It was a mindset. And, Roger, your group does a phenomenal job of dealing with mindset. I mean, joining the warrior group truly, changed my life. I mean, it changed. It changed the trajectory of everything I’m doing. And in the, your training and the warriors, all the warriors I get to connect with are phenomenal.

00:13:54:00 – 00:14:17:05
Matt
I mean, it’s truly, truly changed my life. So, I would say your number one thing is action. And and I found in my journey, action is subsides. Fear. If you keep absolutely fear starts reducing. But if you don’t question fear takes hold. So. So that’s what that was what I did. I took action, I joined the group and just started plugging away.

00:14:17:10 – 00:14:35:12
Rod
Love it. You know, what’s interesting is, is what you just said, you’ve got to make a decision. It starts with the decision. And it doesn’t mean you dip your freaking toe in the water. It doesn’t mean one foot in, one foot out. It is done. You’re doing it. Whatever it is, you decide. You know, Latin root for the word decision means to cut off if you’re going to.

00:14:35:17 – 00:14:52:17
Rod
A great analogy would be if you’re going to attack the island or burn your ships because you’re taking their damn ships home, that’s a decision. And then then you said, you know, massive freaking action. You got to take action. And you you talked about action in its relationship to fear, you know, or stress, which is just the achievers word for fear.

00:14:52:20 – 00:15:12:04
Rod
You know, anytime I’m stressed or fearful, you know, I don’t care if it’s midnight, I’ll get my ass up and I’ll do something because that mitigates it. Any action at all well mitigated. So that’s that’s really helpful. And so the next question really is, let’s talk about that 97 unit. I know you took down a deal.

00:15:12:04 – 00:15:17:21
Rod
I assume you syndicated it. You know, let’s let’s, let’s drill down on it, brother. Yeah.

00:15:17:23 – 00:15:31:20
Mark
That was a story, because I think you’ve got, we’ve talked about networking and speaking in our networking event. You know, we always say, hey, you never know who you’re going to do your first deal with. You have an, I think, an interesting story about how you came across this deal. Tell us about how you found.

00:15:31:20 – 00:15:43:10
Matt
Yeah, that it is interesting and networking. And I’d say action and networking are your two biggest, things. And if you’re going to do this, you just, you know, and and the warrior program actually accomplishes both of them for you.

00:15:43:10 – 00:16:01:07
Rod
So let me let me interject something before you, before you answer, let me in or something. You know what’s interesting? When I get a new warrior, I tell them, because we discovered, I don’t know, about four or half years ago, that our most successful warriors, by far, the ones that are the most connected in the warrior community. So we started doing all these things to connect them, like the warrior event this weekend.

00:16:01:07 – 00:16:18:09
Rod
That was we didn’t start doing those. We we just started those last couple of years and other things that we do to connect people. But people think, my, you might think I’m a little crazy when I say what I’m going to say next, but I’m going to tell you and I tell my my new warriors this connecting with other warriors is actually more important than learning the business.

00:16:18:14 – 00:16:26:04
Rod
In this business, it’s really more who you know than what you know. And I know that sounds crazy, but it’s absolutely the truth. So anyway, sorry to interrupt. Please continue.

00:16:26:04 – 00:16:50:23
Matt
Oh, well, to that point, you know who you know. So. So, yeah, I found this this deal. This was not a warrior. Deal. But, I got this, it’s a deal that was run by Endurance Capital. Todd Dixon, and I think you’ve had them on your show. Yeah. And so, his partner, Drew Watson, is the finance professor at Bethel University and in Saint Paul.

00:16:51:00 – 00:17:08:04
Matt
My nephew was a student of his. And so he was in one of his classes. And my nephew was talking to, to drew at the end of class and said, hey, my uncle’s doing, you know, this, and I’ve been watching his stuff. I’ve been talking to my nephew about it. And he goes, oh, what’s, what’s, what’s your uncle’s name?

00:17:08:04 – 00:17:23:24
Matt
And can I, can I reach out to him? And so drew actually reached out to me. I had a couple of phone calls with their team. We got on a couple, zoom calls with him. And he just said, hey, we just so happen to be about a month away from closing on a deal in Columbus, Ohio.

00:17:24:01 – 00:17:43:09
Matt
We’re going to we’re going to give our first webinar, literally, I think, that night. And so I logged in, wasn’t webinar reviewed the deal? I like the guys. And that’s the number one thing I think, you know, you’re really you’re betting on the jockey not necessarily the horse but the but the deal made sense to me. So so they and they were kind of I hadn’t raced or anything yet.

00:17:43:10 – 00:18:07:08
Matt
I’ve never I just launched my company. I think November of 2022 is when I, I literally I was in Phoenix at my parent’s house in Phoenix on Thanksgiving Day, sitting on their, you know, deck when I, when I literally hit the email and launched my company to my database. And so, you know, I was able to connect with these guys.

00:18:07:08 – 00:18:11:04
Matt
They were phenomenal operators. Great character, our values.

00:18:11:10 – 00:18:14:00
Rod
Did you go look at as you go look at it or what? What did you do?

00:18:14:03 – 00:18:28:18
Matt
I did so after the webinar, I committed, to trying to raise for it. And and they were kind enough. They said, hey, we know your grain. We know you’ve never done this, but we’ll we’ll be more than happy to support you and give you a shot at it. So my what I call my wife has said, put us on a flight.

00:18:28:18 – 00:18:51:04
Matt
Let’s go out there and go look at the asset. That’s been 48 hours in Columbus. And we did I we secret shopped all the properties around it. We toured the property, got really comfortable with it, took photos of me on the property, send it to my database when I got home and, and I had started having some client call, said, hey, you know, gosh, Matt, you’ve always done well with a real estate in Vail.

00:18:51:06 – 00:19:10:09
Matt
I we’d be happy to partner with it on that. So obviously one of the things that we did when I was on site in having had a lot of real estate experience, the team had me walk through the when I was on site to actually know, construction deficiencies, maybe some areas we could see some improvement, some value add opportunities.

00:19:10:11 – 00:19:32:16
Matt
You know, I’ve, I’ve remodeled a lot of homes, so, I mean, walking through the clubhouse alone, I was like, guys, we really need to fix some of the look and feel here, maybe separate the the leasing desk from the workout area. And and so, so we were able to do that. While I was on site, I actually got to interview a couple tenants and just kind of take some notes for the team just to see what the tenant feedback was.

00:19:32:16 – 00:19:52:23
Matt
We we, my wife and I pretended like we were about to lease and asked them what to write about it, what they didn’t like about it. You know, gave some feedback on their on on site staff as well. So, you know, just kind of again, took what I understood just looking at construction and remodel, rehab experience and tried to, bring some value to that.

00:19:53:02 – 00:20:14:05
Rod
Yeah, that’s no question. You’re helping with the due diligence. I mean, the tenant conversation. I can tell you I saved $1 million on a deal from a conversation I had with a tenant in Louisiana. So, you know, awesome. And then and then you also, you know, we’re helping with the due diligence on on renovation, renovating that clubhouse and, other deficiencies that you saw, deficiencies that you saw that.

00:20:14:07 – 00:20:17:16
Rod
That’s fantastic. Were you going to add something, Mark?

00:20:17:18 – 00:20:35:01
Mark
Yeah, something you glossed over that I get asked all the time, right? People come to me and say, hey, I’m new in the multifamily. Why would other people want to work with me? And you kind of glossed over the fact that you said, you know, you’ve done real estate in terms of sales, but you’re brand new in terms of this whole general partnership multifamily sort of thing.

00:20:35:07 – 00:20:42:24
Mark
Why do you think these people were willing to take a chance on you and, and work with you here, since you hadn’t done any of that stuff before?

00:20:42:24 – 00:20:45:24
Matt
I should probably ask them that, and get their answers.

00:20:46:01 – 00:20:47:02
Rod
Yeah.

00:20:47:04 – 00:21:04:24
Matt
But, I, you know, I think a lot of it, truly, it was just the conversations we had. I think it’s it’s pretty quick when you connect with someone, you’re like, okay, we hold similar values. I’ve listened to Todd’s podcast a bunch. I knew his character and values, and I liked it and it aligned with mine.

00:21:05:01 – 00:21:07:12
Matt
I think they found that that we would probably be a pretty.

00:21:07:12 – 00:21:10:12
Rod
Oh, oh, you did this one to Todd. Todd’s one of the principles.

00:21:10:17 – 00:21:11:20
Matt
He’s. Yeah. They are. Yeah.

00:21:11:23 – 00:21:15:17
Rod
Oh, yeah. Okay. Yeah. He’s a good guy. Okay, good. All right.

00:21:15:22 – 00:21:38:23
Matt
Yeah. Super quality group, super call. So, and so, I think I think we just connected on the phone calls and, and they were willing to do it, and, and this is a good advice to anyone who’s getting started. Just on where you’re at, if you have no experience, just be humble about it. Own it. And I talked to Todd and his group and, and said, I, I’ve never done this.

00:21:38:23 – 00:21:52:20
Matt
I haven’t been a part of this. I can I can tell you what I see. I can try to bring it to my, my database. But I’m new and they are like, you know, that’s all we care about, that you’re honest where you’re at, you own it and let’s just go from there.

00:21:52:23 – 00:22:12:00
Rod
An answer to an additional answer to Mark’s question. You know, you’ve built a relationship with these people. They see that you have integrity. They see you do what you say you’re going to do. And and then when you align on your values as well, it’s it’s pretty much a no brainer. People. Again, you said the same thing about, you know, aligning with those guys that you met through the professor.

00:22:12:02 – 00:22:30:00
Rod
It really is, is building a relationship. And, and I’m going to talk about that this weekend. It really is, you know, don’t overthink raising equity. You know, let them see your you have integrity. And, if you don’t understand the numbers, bring in somebody that does. But you’ve got to, you know, you are going to do finance.

00:22:30:00 – 00:22:39:01
Rod
So you obviously know how to do the numbers. And you’ve you’ve had, you know, the benefit of art training as well. So, so talk about the underwriting on this thing.

00:22:39:03 – 00:23:01:01
Matt
Yeah. So you know, I think the big thing that the warrior Group teaches is conservative underwriting and truly what that means, everybody is a conservative underwriter. When you get in the business you realize everybody’s conservative underwriter. It’s it takes a keen eye to look at underwriting and see who really it’s a conservative. So that was a big one is I looked at their underwriting model and they were truly conservative.

00:23:01:01 – 00:23:22:02
Matt
They were not, you know, pie in the sky stuff. A lot of a lot of hopeful projections. He was like, here’s the real picture. The big thing is they got they had good debt. They had good locked in debt, they de-risked the deal. And that’s the one thing I look for with anyone who sends me a deal is I look at where they’re de-risking it for me and my investors, in.

00:23:22:02 – 00:23:30:01
Matt
And how can we, you know, and I think now more than ever, people are seeing how important managing risk is in buying these assets.

00:23:30:03 – 00:23:30:24
Rod
What is the.

00:23:31:01 – 00:23:54:04
Matt
Five? I think it’s 5.5%, ten year fixed agent, senior five year interest only. And here’s what a lot of people don’t realize. And I saw it in the model, if everything goes according to plan and we all know it doesn’t always. But when the interest only fell off, we were still able to pay the full profit out of, cash flow.

00:23:54:06 – 00:23:57:22
Matt
So, I mean, that was it was a good projection. So it wasn’t what.

00:23:57:24 – 00:24:03:13
Rod
What sort of rent, what sort of rent bumps? Did they project organically?

00:24:03:15 – 00:24:06:15
Matt
About between 250 and 300 a month.

00:24:06:18 – 00:24:16:20
Rod
Okay. So. Okay. But that’s over the term of the five years. So that’s talking. I’m talking yearly. Yearly. Oh, that was a value add. So you went in and repositioned. Got it. Okay.

00:24:16:20 – 00:24:29:12
Matt
Well the projections right out the gate I think we were about $200 a month below that area. Comps day one. So gotcha. I think we got roughly 1500 a month. Projections were right around 1800.

00:24:29:13 – 00:24:39:06
Rod
So the question I’m asking is what sort of rent, percentage increases did they calculate in each year for the five years?

00:24:39:08 – 00:24:42:18
Matt
So yeah, conservative. So they were about 2 to 3%.

00:24:42:20 – 00:25:07:11
Rod
Okay. Good good good good. Because sometimes you’ll see 5% I’ve seen Grant put I saw him put 10% on one of his like come on dude I love you. No no but no. So this is in Columbus, Ohio. I love Columbus, Ohio. I’ve we’ve got an asset in Columbus as well. And, you know, and it’s all townhomes, which it doesn’t get any better than that because nobody’s living above or below.

00:25:07:11 – 00:25:16:11
Rod
Yeah. And, let’s see what else is. What else can you talk about? The asset itself. What did you like about the asset itself?

00:25:16:11 – 00:25:38:04
Matt
You know, I think I think being in real estate, location was always the biggest discussion. I mean, I’ve helped developers launch project, I’ve consulted pre-construction, and I’ve seen a lot of developers eat their shorts because they put the right product in the wrong location. And so that’s a skillset I do have. I I’m a big location person.

00:25:38:04 – 00:25:43:02
Matt
So when we flew out to look at it, it was almost instant. We knew it was right. I had to say.

00:25:43:02 – 00:25:46:24
Rod
Why, why, why, why? I’m going to stop. Okay. There you go. Keep going. Sorry. Interrupted. Keep going.

00:25:47:00 – 00:26:09:13
Matt
Oh that’s fine. So I had Starbucks within three blocks of it at Culver’s Burger. I had, a brand new Taco Bell, KFC. There was a, Sam’s Club three brand new hotels, and a major highway exchange within a quarter of a mile of the property. And that’s how I was saved, by the way. I fed straight into all the employment centers.

00:26:09:15 – 00:26:28:15
Mark
And by the way, just just real quick to to add on that for people that are listening, that don’t know why, why do they care? There’s a Starbucks there that maybe don’t know that when these huge corporations decide to put these restaurants or Starbucks or whatever in these locations, they typically they do their homework on population, job growth, all these sorts of things.

00:26:28:15 – 00:26:41:05
Mark
And so those are signs that that’s a good area that people are moving to. And I just wanted to mention that because you talked about that. And some people may not know, oh, why does it matter. There’s a burger place nearby. Why does it matter? There’s a Starbucks. So I wanted to mention, well.

00:26:41:07 – 00:27:04:07
Rod
It depends on what Burger Place is nearby. If it’s Bob’s Burgers and Sushi, that’s a problem. Okay. We want to. We want to see national retailers. And I will tell you even more than Starbucks, if you see the larger, big box stores, like the big grocery store chains, the Walmarts, the Whole Foods, the bigger boxes, they really do their demographic research.

00:27:04:09 – 00:27:19:22
Rod
And and yeah. And I won’t buy a place unless there’s a Starbucks within a mile. I should own stock and that stupid company. But but yeah. No, that’s an and and and the transportation is critical as well. You know. And I you know I teach this at my boot campuses. You don’t want to see a bunch of local retail.

00:27:19:22 – 00:27:39:17
Rod
You want to see a bunch of built in big national retail. So you went right to that. And then, of course, like I say, that the ability to go to the employment centers and the fact that they just put in three new hotels talk tells you that it’s an emerging market that’s growing. It’s growing for sure. We want to see three things growing population, income and jobs.

00:27:39:19 – 00:27:45:06
Rod
And and I know Columbus ticks off all those boxes. So talk about the asset itself.

00:27:45:09 – 00:27:54:05
Matt
So and to to the point of the location I didn’t touch on it, but about a mile and a half away there was a huge hospital that was doubling. It was under construction and doubling in size.

00:27:54:11 – 00:27:55:22
Rod
There you go. There you go. Yeah.

00:27:55:24 – 00:27:57:12
Matt
It was pretty quick.

00:27:57:14 – 00:28:12:16
Rod
Yeah. One of the things hold on before you can move on. I want to mention this as well. One of the things that we have our warriors do is we have them do an area presentation, even if they haven’t got an asset yet. So they present to the group, so they can become good at what to look for, you know, and what to look for on the website.

00:28:12:16 – 00:28:33:00
Rod
So one of the biggest things is what’s coming in, you know, like a hospital, expanding in size. And the San Antonio asset I’m closing on today. They’re putting 4 billion into the airport. I mean, that’s the kind of stuff you want to have in a presentation that you show, you know, investors and there’s a big, huge development right down the road from that asset, the one I’m closing on today.

00:28:33:00 – 00:28:58:10
Rod
But but the point is, so when you’re, you know, looking at a market, a geographic area, you know, get plugged in to the Chamber of Commerce and the local economic development office and, and have, you know, alerts on your, computer for, Google alert for anything, articles that pop up about that, either that big MSA, metropolitan statistical area or the smaller submarket so that you can, you know, really have your ear to the ground as to what’s happening.

00:28:58:14 – 00:29:00:15
Rod
All right. Now back to the asset. Sorry.

00:29:00:15 – 00:29:14:22
Matt
Yeah. So the asset itself after the location was kind of a quick check, checked off that box. So it’s a townhome style, community for all. Everyone has a front door. Every one of them had a, one car garage as well. Detached one.

00:29:14:22 – 00:29:16:19
Rod
Oh, wow. Nice, nice.

00:29:16:21 – 00:29:40:17
Matt
So small little backyard area. So what what that strategy was, was trying to hit that demographic that can’t afford to buy a house, but they want a little bit more space. So that was the play. And come to find out, Columbus had a lot of this kind of, product coming online as well. So, so we knew it was it was going to it was going to meet the needs of, of the community.

00:29:40:17 – 00:29:47:02
Matt
But so it was a little larger profile. Which made the tenant base maybe a little stickier than the normal as well.

00:29:47:08 – 00:29:51:09
Rod
So I’m sorry, could you elaborate on what you just said? What do you mean larger profile?

00:29:51:11 – 00:29:53:21
Matt
So the units are a little bit larger. So there.

00:29:54:00 – 00:29:55:14
Rod
Oh, good. Okay. Gotcha. Okay.

00:29:55:15 – 00:30:00:03
Matt
Sometimes, some of them had a lower level basement that could be at almost like a 30.

00:30:00:03 – 00:30:00:13
Rod
Oh oh nice.

00:30:00:13 – 00:30:18:11
Matt
Area. So we’re it was just going to young families, who are raising kids, things like that. So again, we’ve, we’ve figured it’s probably got a little stickier tenant base. We’ll be able to keep them in, in on property longer and, and so which is makes for a healthy community.

00:30:18:11 – 00:30:36:06
Rod
Absolutely. You know, and one of the things you just mentioned, this is one of the slides on my economic update this weekend. I’m starting, you know, kind of a market, condition, market condition, as I start the warrior event this weekend. And one of the slides talks about this growing disparity between, a person’s ability to buy versus rent.

00:30:36:06 – 00:30:57:11
Rod
And it’s just getting that gap is becoming wider and wider. And, candidly, you know, one of the things you want to look for is that disparity, because, in fact, if you’re listening and you want to see an incredible presentation of a deal, go to Creek capital.com and watch the webinar for the San Antonio asset that, that we did.

00:30:57:13 – 00:31:19:22
Rod
So it’s Creek capital.com. In fact, we’re still got a couple slots left in it. If you’re accredited check it out. But the reason I’m telling you to watch it, even if you’re not, is you’ll see that we highlight some just some disparity that we want to see. One is rent versus buy. Because if if you can buy a place for and what we look at there is we look at two things.

00:31:19:22 – 00:31:38:05
Rod
We look at, you know, what we’re paying per unit versus the median home price. And if they’re close together they’re going to buy instead of rent. Right. So that’s one thing. The second thing is we look at the median income to make sure we can that that people that make three times what our ultimate rent is going to be.

00:31:38:06 – 00:31:53:13
Rod
Okay. So those are two things that that we highlight. But again anyway you can go to CRE capital um.com and watch that webinar to really give you an education on what we look for in a deal and in a, in a market. So talk about the value add that you were going to do there, brother. Yeah.

00:31:53:15 – 00:32:16:05
Matt
So the interior units when we walk through them, when I was walking through them, obviously there was we got to see a couple of the ones that were already value added. So there was already a little bit of a proof of concept there, and it was working for the previous owner. So we’re going to go in and, put slab in the kitchen’s new stainless steel paint cabinetry or replace it if it needs to.

00:32:16:07 – 00:32:38:17
Matt
You know, the vinyl hardwood floors, upgrade bathrooms. The, the, the complex was a little unique. Is it used to be individually owned townhomes. And the previous owner actually started buying them back up and packaged them back together. And so, then that actually has one the GP’s. I’m now a member of the HOA board as well.

00:32:38:19 – 00:33:04:05
Matt
Because we had two former HOA around it, once. Sure. Yeah. So it’s under under ownership. And so a lot of those were in various stages of, of rehab. We just had an asset manager, meeting on it actually this morning, and we’re going to actually pull back on the value add because we realized just by replacing appliances where they needed to replacing some, vinyl hardwood floors and painting.

00:33:04:09 – 00:33:06:17
Matt
We’re still getting the robot we needed. Yeah.

00:33:06:19 – 00:33:25:02
Rod
Do you don’t want to overspend it? That’s a common. That’s a common thing where you overspend. Yeah. We teach that in the warrior program. By the way, if you’re interested in applying to the warrior program, text the word crush to seven, two, three, 4 or 5, and then we’ll have a call again to text crush so we can help you crush it in this business.

00:33:25:04 – 00:33:29:22
Rod
And, to 72345, and, yeah.

00:33:30:03 – 00:33:47:22
Mark
So projects out to the future here. Matt, you’ve done you’ve done that deal. I know we always talk about the great thing about bigger multifamily is one deal can certainly change your life, but what is your project this out for what you feel. Your version of financial freedom is going to look like here moving forward. And how you plan on getting there?

00:33:47:23 – 00:33:48:05
Mark
Yeah.

00:33:48:05 – 00:34:06:14
Matt
So, so my, my brand, by the way, instead of passive income, I’ve branded it to Freedom Income. Because for me, I like I like working on the assets. So I’m not looking to, you know, retire on a beach and set my ties. I’ll do that from time to time, but that’s I still like I love real estate.

00:34:06:14 – 00:34:26:02
Matt
I love being on site. I love managing, properties. I love visioning them out. So, so I, you know, I think the long term kind of what they call the big goal is probably right around 7500 units. I want to kind of get to a critical mass that my kids will eventually take over. I want to pass it on to them.

00:34:26:04 – 00:34:44:13
Matt
I want to be as direct owner of these assets as possible. I’m not. I’m working on, you know, my role right now, but eventually I just want to be as close to the ownership as in management of them day to day as I can. I’d say in the next two years, because I think the next 24 months are a buying opportunity.

00:34:44:15 – 00:34:57:16
Matt
Like, we’ve never, never been to see. And I think it’s only just getting started. I’d like to get about 2500 units under, ownership where I’m a, I’m either a high higher or lead GP on them.

00:34:57:18 – 00:35:13:20
Rod
Yeah. Love it, love it, love it, love it. So listen, last question. You know, if anyone has questions about this business or about the warrior program or just wants to reach out to you, are you okay with releasing an email or something they can reach you sent?

00:35:13:21 – 00:35:35:09
Matt
I love talking to people, I really do. It’s okay. Okay, I love coaching and I’ll tell you what I know so far. And I love, love it people. And I’m looking for, you know, my, my goal is to partner with, you know, maybe half a dozen to a dozen, GP’s and just kind of rinse and repeat with a group of people that, have strong relationship with.

00:35:35:11 – 00:35:38:05
Rod
What’s your email, brother? How do you want to know? How do you want them to reach you?

00:35:38:07 – 00:35:45:12
Matt
Yeah. You can email is always great. It’s Matt at Veritas Equity dot net and I spell.

00:35:45:12 – 00:35:48:00
Rod
That out VR yeah I would spell that out.

00:35:48:02 – 00:35:53:13
Matt
Yeah. Veritas equities Veritas equity dot net.

00:35:53:15 – 00:36:08:18
Rod
So love it. Love it. Yeah. Well thanks for coming on brother. It’s great to see you. And and I’m sure I’ll see you soon either at this weekend’s event or the next one, but, yeah. And, you know, I’m a little jealous that you’re in Vail, although it is pretty frickin beautiful here right now, but,

00:36:08:24 – 00:36:11:10
Rod
Yeah. It’s good to see you, my friend. All right. Exactly.

00:36:11:10 – 00:36:12:08
Matt
Shade is honored, man.