How I Bought Three Properties With $0 Out of Pocket in Washington

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0:00 Welcome to my retail space. We did the
0:02 thing. We're at the triple creative
0:03 finance deal. I bought three properties
0:05 using none of my own money. All seller
0:07 financed. A little bit of private
0:08 capital sprinkled in there, but $0 out
0:11 of pocket purchased these. Better yet, I
0:12 buy multif family and the multif family
0:14 in this portfolio floats the entire
0:16 portfolio, which means we bought based
0:18 on cash flow for multif family
0:19 buildings. They happen to come with
0:21 retail spaces. Now, I've leased two of
0:23 them. I'll show you what we did there.
0:24 But this is the last space that we have
0:26 to lease. It's about 2,000 square ft,
0:28 which is bigger than I actually
0:29 realized. And we completely redid it.
0:31 So, this is the back area. This was at
0:33 one time a kitchen, at one time a thrift
0:34 store. When we bought it, it had no
0:36 floor and no ceiling. This was an
0:38 abandoned space. The reason I picked up
0:40 the project, The reason I personally
0:42 picked up this project, this particular
0:44 building is only 9 units in Afraid of
0:46 Washington. I picked up this project
0:48 because this is what the city needed. I
0:50 love redoing spaces. Before this
0:53 building had a failed bail bonds place,
0:55 still had the like beat up sign above
0:57 it. If your tenants are a failed thrift
0:59 store and an abandoned bail bonds place,
1:02 that's pretty nasty. Coming in here and
1:04 actually redoing spaces to what they
1:06 should be is super rewarding. And
1:08 everything we make is cheddar. These
1:10 cash flow based on the multif family by
1:12 itself, but I have the keys. I am in
1:15 fact the landlord. And this is uh some
1:17 of the little bit of retail that I have
1:20 sprinkled throughout my portfolio. Now,
1:21 this deal came up because the landlord,
1:23 I own the property next door to him.
1:25 Just a little fiveplex. I'll walk you
1:26 past. The prior landlord, the owner of
1:28 this property previously uh was really
1:31 underwater on it. He didn't know how to
1:32 lease it. The building was falling
1:34 apart. It didn't need that much capital
1:35 injection, but it did need some love and
1:37 someone who actually wanted to take the
1:38 project all the way. Also, yes, someone
1:40 just tagged my building. I have some
1:41 coming out today to fix that. So, uh
1:43 this is the back of the building. Don't
1:44 call me a slum lord just yet. This is a
1:46 unleashed space and uh some homeless
1:48 found the back parking lot. So, here's
1:49 the first of the three buildings I
1:51 picked up. This was seller finance, 10%
1:53 down. Came with Jordan's barber shop.
1:55 And upstairs, more beautiful apartments.
1:57 In fact, the office here used to be the
1:59 headquarters for my PM company. The lock
2:01 broke in the door, so I have a locksmith
2:02 across the way. He's coming over
2:04 conveniently. Our next door neighbor is
2:06 a locksmith. So, huzzah for that. The uh
2:08 the old barber shop is right there in
2:10 the front of the building that we just
2:11 renovated. It looks like this. Do have a
2:14 cleaning company right here. Just clean
2:17 and simple. Apartments go through there.
2:20 And the new cafe that just moved in is
2:22 located right here. Apartments above a
2:25 coffee shop instead of a bail of bonds
2:27 place. The retail space to lease right
2:29 behind me. These are the type of
2:31 projects that mean a lot to do. Again,
2:33 the 9plex right there needed a ton of
2:35 renovation. Was in the budget and was
2:38 able to pick it up $0 out of pocket with
2:39 the reno budget covered through private
2:42 capital. So that was half private
2:43 capital, half seller finance. The barber
2:44 shop building we passed is a little 5
2:46 unit that cash flows day one we bought
2:48 for $400,000
2:50 5% interestonly debt and only 10% down.
2:54 So $40,000 all in out of pocket for
2:57 everything you just saw. Check this out.
2:59 This is exactly why you check out your
3:01 own properties. I just ran into someone
3:03 looking inside the building. This is a
3:05 retail space I have in one of my multif
3:06 family buildings. This is that five
3:08 unit. This is inside the old barber
3:10 shop. Now we need to do some renovations
3:11 but there's the old sinks. Here's the
3:13 space of all people. It's a tea shop
3:15 from my hometown is wanting to move in
3:18 over here. I toured the whole space with
3:19 them in person. I totally made up a
3:21 price that I think might have been
3:22 actually too low uh to rent this space.
3:25 Sorry team. Uh but this little space, I
3:28 haven't listed this with a broker yet. I
3:30 was coming to town to check out what
3:32 needed to be renovated and I think I
3:34 might have found the perfect tenant.
3:36 These are the little things that make
3:37 you a ton of money when you actually
3:39 spend a little time in the field. Now,
3:41 for context, this is three hours away
3:42 from where I grew up in Washington
3:43 State. This is 1,500 miles away from
3:46 where I live right now in Texas. I'm
3:47 still here at the property doing the
3:49 thing in the field because this is where
3:50 the big money is made. This is the last
3:52 one and the only strictly multif family
3:53 building in this portfolio. This was
3:56 from the same seller who sold us the
3:58 barber shop. This is one of my favorite
3:59 properties. I love this area. Now, the
4:02 exterior is quite dated. We have not
4:04 done any work to the exterior. This is
4:06 exactly as it came. The interiors are
4:07 gorgeous. As we finish lease up, we're
4:09 doing a refinance, taking the money and
4:11 decking out the outside of the building.
4:13 We have an almost finished project here
4:14 infredo, Washington. This is 27 units.
4:17 Cost of purchase, $0. Uh, was it the
4:20 easiest project we've done? Uh,
4:21 absolutely not. In fact, we went through
4:23 our reno budgets, which was a bit of a
4:25 problem, which we're solving with a
4:26 refinance. There's always a way to get
4:28 through your pieces. Um, however, I'm so
4:30 proud of the end product. We have those
4:32 beautiful retail spaces. The coffee
4:34 shops moved in. The cleaners moved in.
4:36 This building is getting fully leased
4:37 up. Everything's starting to look clean,
4:39 tidy, finished. When buying real estate,
4:41 you're not always buying the sexiest
4:43 building and the sexiest street. But
4:44 when you finish a project, it is fun to
4:46 walk around campuses that you are truly
4:47 proud to own. I'm proud to own every
4:49 single one of these buildings. And I'm
4:50 proud to say they finally all make quite
4:52 a bit of money. Do not buy single family
4:54 or little duplexes when stuff like this
4:57 is available in almost every market in
4:59 the country. By the way, you may not
5:00 know this, but I run the most active
5:02 mentorship group in multif family real
5:04 estate online. Period. I coach over 152
5:07 times a year live on the call. I'm not
5:10 only in the field buying the stuff. You
5:12 see me at big properties, small
5:13 properties, old properties, new
5:15 properties, blue states, red states. I'm
5:17 actually doing the thing and I'm
5:19 actually coaching the thing. I won't
5:21 offload you to another mentor. If you
5:23 want to learn directly from me in a
5:25 active community that is actively buying
5:26 deals today, I want you to click the
5:28 link below, watch a quick video on how
5:30 we're doing all of this. Buying deals
5:32 like this is completely attainable. You
5:34 can do it, too.