Today, my guest is Mike Cossette. Mike is a world traveler and a REMAX broker, owner in Central Texas. He has 20 years as an agent investor who owns and manages multi family, short term rentals, commercial assets, a Florida Island and recently has had four kids in less than four and a half years. And in just a minute, we're going to speak with Mike Cossette about long term success with market volatility.
https://www.linkedin.com/in/mikecossette/
YouTube: askmikecoss@gmail.com
J Darrin Gross
I'd like to ask you, Mike Cossette, what is the BIGGEST RISK?
Mike Cossette
Well, Darrin, I appreciate all your insight, and I really appreciate that that question. And I like the three phases that you just went through, because that is going to help me restructure how I think about my own risk. I really that that was a nice little light bulb you gave me my personal risk. And I think a lot of investors might be seeing this now, and if they're not, if they're new investors, this is something that is vitally important is over leveraging. I think everyone you know says, Keep X amount of dollars, six, nine months of you know, costs, you know, capex, or what have you in the account I want. I think everyone should increase that because, as you mentioned with the global warming and fires and hurricanes and those black swan events. Everything can be going perfect, but it's what you don't and can't expect or predict that can sink the ship. And we're experiencing that now. Everything you know, even tough, markets going fantastically, you know, fine, and then boom, hurricane hit, no money coming in six months before insurance can even lift a finger, and that can sink a lot of ships, and it almost sunk ours so, and we're still waiting, waiting to see if it will. So I think that is the biggest thing is for so long, we've been going fast, borrowing 232, and a half, three and a half percent interest. Then, why wouldn't you buy this? Cash Flows? Everything makes sense, and capital is available. Government's printing money. Everyone's got their hand out. People are moving fast and not stopping, and assessing their portfolios the way they should be, and really setting aside the emergency funds that are necessary. I think that is, in my opinion, the biggest risk and my biggest risk.
Today, my guest is Matt Buchalski. Matt is a serial business builder, sales leader and multi family investor with nearly two decades of experience, and in just a minute, we're going to speak with Matt Buchalski about strategies for establishing quality returns and passive income in commercial real estate investing.
https://www.linkedin.com/in/matthewbuchalski/
J Darrin Gross
I'd like to ask you. Matt Buchalski, what is the BIGGEST RISK?
Matt Buchalski
I think the biggest risk as an owner, slash general partner, is reputation risk.
And I think reputation risk comes in two different forms. Right? Number one is your own personal reputation, right? How do you handle yourself during the hard times? How do you screen opportunities as they come into your inbox and really gage which ones are worthy of you putting your name reputation on, and frankly, capital into, because I put capital into every deal that we do, right? So I think there's reputation risk from that perspective, the other perspective, though, and this is kind of the little further downstream, but the reputation risk of.
How you run your assets right? What happens to you and your community ecosystem by putting the wrong resident profile into your units? What happens if you're not screening your residents properly and they throw parties or they you know, they have bad actors that you know frequent your communities, other people are going to want to move out, and other people will move out, and they won't tell you necessarily why in most cases, right? That's your reputation on the line. That's your your sign at the edge of that asset that carries, you know, kind of your branding on it, and so you need to make sure that everything that you do on running that asset helps build and enhance the reputation of that asset. Otherwise, it takes a long time to undo that.
https://www.linkedin.com/in/matthewbuchalski/
Anne-Michelle Wand, an international real estate expert, discussed her journey to financial freedom and her investments in Panama. She highlighted the ease of property ownership for foreigners in Panama, the use of attorneys for contracts, and the stability of the US dollar. Anne-Michelle detailed her strategy of raising all capital upfront to minimize risk, avoiding mortgages, and ensuring solid land investments. She plans to build a multi-family project targeting the over-55 and digital nomad markets, raising $6-7 million. She emphasized the importance of minimizing risk through solid financial planning and the potential for passive income through real estate investments.
https://www.passive-profit-partners.com/
https://www.linkedin.com/in/cr8grtsuccess/?originalSubdomain=pa
J. Darrin Gross
If you're willing, I'd like to ask you, Anne-Michelle Wand, what is the BIGGEST RISK?
Anne-Michelle Wand
Well, I think I touched on it before. I think the one of the biggest risks is over leveraging your product and the so that's how I've created this whole business model to minimize risk by having all the money paid up front and owning the building outright and then having the ability to refinance it when conditions are favorable, in order to pull out investors money that that's that's that allows you to to withstand any downturns, delays or economic factors that may be happening in the outside world. And still, you're still going to have cash flow the way I've designed the project. It's going to break even at 23% so anything above that should be cash flow back to the investors.
You know, it'll start out small, it'll grow and people will also have the ability there'll be a section in there where people can actually come and enjoy a vacation or or for the over 55 live there full time. So your amount of return will vary depending on how much you use your. Property. You know, that's, that's how I see. You know, minimizing risk is putting the solidarity there of the land. Land, you know, generally doesn't go down in value. And if it does, it goes back up on a on a scale. You know, may go up and down a little, but if you crack it over 20 years, goes up. They're not making any more of it. And especially land on a Caribbean island that's a very desirable land, whether it's right on the ocean or not. Another wonderful factor about Panama is we don't have hurricanes, so people can get out of the hurricanes. We don't have earthquakes. It's it's safe there for your land too. You just need to make sure it's elevated and not right on at sea level for the rising seas that is happening.
https://www.passive-profit-partners.com/
https://www.linkedin.com/in/cr8grtsuccess/?originalSubdomain=pa
Today, my guest is Carl Moose. Carl is a seasoned executive with nearly 30 years of experience spanning business development, mergers and acquisitions, real estate and energy solutions. And in just a minute, we're going to speak with Carl Moose about how renewable energy can turn your property into a high performing asset.
Ph: 630-785-0031
J Darrin Gross
If you're willing, I'd like to ask you, Carl Moose, what is the BIGGEST RISK?
Carl Moose
Yeah, so as a property owner. And when I'm dealing with property owners, anytime you make a change to the building, or you install something on the building, like solar, you know, there's, there's some risk there. I mean, you know, obviously their first concern is, you know, are you going to put poke holes in my roof, and is my roof going to leak? So that's one of, one of the considerations. The other is, you know, weather, you know, they ask, well, you know, are these going to blow off if we get a, you know, big weather storm, or is hail going to damage these? And you know, the answer is, possibly, you know, if the storm is big enough, and if the hail is big enough, you have that, you have that risk. And then, of course, you know, they they ask about, are they going to work, right? And so there's enough data out there with regard to whether the solar panels are going to work, and we know the sun's going to be there, right? So that's not, that's not an issue.
The question then becomes, you know, are these things actually going to work? And there's enough data out there that to support, you know, our response to that, which, yeah, they're going to the way that we install them, the way that they're designed, they they will perform. So those are the questions that we get from business owners, you know, with regard to, you know, if I, if I make this change and go ahead and put solar panels up there, those are typically their concerns.
Ph: 630-785-0031