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Pardon the grammar – I’m an Engeneer, Enginere, Engenere… I’m good with math! Here are the Show Notes:
Doing one house gets you started to gain momentum
Han solo moment was went when into MFH
At first wife was nervous in the beginning but with success came on board
Moved to MFH when had 5 units and 2k in cashflow
SFH is the way to go to learn to rent and pick out a property manager but its a personal question
Worse moment was seeing 2008
A pain point that forces people to make a change
Working up to expenses plus 20k
Do a little bit each day
Set goes every year – 40-50 goals – review once a week
Personal Background
Grew up in Oxford, Michigan
Graduated from General Motors Institute/Kettering University in Flint, Michigan in 2000 with a Bachelor’s in Mechanical Engineering
Married to wife, Lindsay and have 3 kids together
Started engineering career in 2000 and progressively moved up in position and responsibility to an engineering manager
Currently a program manager for automotive supplier Brembo
Real Estate Projects
Purchased primary residence in White Lake in 2008 as a foreclosure and rented out old primary residence in Madison Heights – “accidental landlord”
First intentional rental was a 3 bed 2 bath house in Waterford in 2011, added 3 more in Waterford from 2012-2014
Bought 12 apartment units in Monroe, Michigan in 2015
Bought 12 more apartment units in Monroe, Michigan in May 2016
In due diligence on a 63 unit apartment building in Lansing, Michigan
Goal is to retire my day job 2 years from now. From there, options I am looking into are real estate syndication and home inspecting
Success Habits
Keep a quarterly finance sheet to keep track of Net Worth, Assets, Liabilities, Income, & Expenses
List out yearly goals for family, finance, health, learning and track each week
Make sure to do things daily to get closer to goals
Dave Ramsey
Lifestyles Unlimited
REIs for networking
Checklists
Books
Millionaire Real Estate Investor – Gary Keller
Rich Dad Poor Dad – Robert Kiyosaki
The Complete Guide to Buying and Selling Apartments – Steve Berges
48 Days to the Work You Love – Dan Miller
What Color is Your Parachute – Richard Bolles
The Slightest Edge – Jeff Olson
Compound Effect – Darren Hardy
Quotes
“Leverage is key to wealth” – In regards to money, time, knowledge
“Money is on the other side of fear”
“Most people overestimate what can be done in the short term and underestimate what can be done in the long term”
“If you give a house a cookie…”
“What gets measured gets done”
“Spectacular achievement is always preceded by spectacular preparation”
“Those who say it can’t be done should get out of the way of those doing it”
“Go as far as you can see, once you get there, you will see farther”
“Play the game of money to win, don’t play not to lose”
“Don’t quit when you are tired, quit when you are done”
“Make sure your ladder to success is on the correct wall”
Contact Info
Email: bradtacia@gmail.com
Facebook & Linked In – Brad Tacia
Facebook Page – Apartment Investors of Michigan
George Ross (Trump’s legal advisor pre-presidency)
People don’t realize how long it took me to be financially free after buying my first rental in 2009. Granted I bought way too many single family homes and should have bought bigger deals sooner I now know how to accelerate the process.
But before I even had $20,000 saved up for my first down payment I was cheap… well I still am.
Looking back on the crazy stuff I did to save money, I now realize that I was trading time for money.
I still believe that saving money and being responsive is a good behavior to have. To spend your money wisely on value and not get caught up on the Hedonic Treadmill where we keep trying to keep up with the Joneses.
I started to a hobby to make Mead or fermented honey wine. It’s pretty healthy because of the good bacteria cultures.
I started it because I needed to diversify from my Kombucha hobby because moving to Hawaii I was worried that there was going to be a fruit fly infestation that would wipe me out.
Got to be diversified with multiple streams of income!
It’s been a busy month after wrapping up the closing on these two latest deals. If you are interested in the deal flow, make sure you are a part of our Hui Deal Pipeline Club.
I recently met George Ross who came to speak to my Syndication Mastermind for a private dinner. If you have need the movie “The Founder” you know the lawyer had a very big impact to Ray Kroch. George was the legal counsel to Donald Trump during his rise and “retired” once he hard Trump was running for presidency. George He held court to the remaining 15 of us for 3 hours after dinner until midnight telling stories for the past. Very insightful to know that this man shaped the Trumps business sense.
He is known as a master negotiator and he gave us the following relationship advice:
“In marriage, I tell my wife that I make all the Major decisions and she can have the Minor decisions… In all my years of marriage, we have not had one Major decision come up.”
The recently launched YouTube Channel just clocked in at 17,577 minutes or 293 hours or 36 working days. So there much be one person watching my content around the clock which on the clock.
I need a little bit of a break and took the time to reflect back on how far I have come from 2009 and buying that first rental property. By the way remember to incorporate “play” into your day.
The first twenty tips came from myself but after sharing the list and finding the other ex-cheapskates out there we have been slowly syndicating more and more bad ideas. Note: they are not in any particular order.
Our parents will be so proud of us!
If you want to add more, please email me and I will keep growing the list. And if you like I can add you initials at the end to cement your legacy.
If you call me collect, I will not pick up!
UPDATE 19.06.17 – In some respects I still wear the cheapo badge like a old war medal. The truth is that cheap/easy/free people rarely get anywhere. It took me 7 years to get to 11 units on my own. I was not until 2016 where I started to invest serious money into mentorship, traveling, and connecting with people. Little do cheap/easy/free people know is that others see right through them and it surfaces as textbook scarcity mindset which repels the right people.
Money saving ideas for the shameless… (the before)
Stack Mr. Rebates shopping portal and Groupon discount codes with gift cards purchased from eBay or Safeway with more gift cards and Mr Rebates shopping portal. To sign up go here: http://www.mrrebates.com?refid=413597
Take a shower at work to save on utilities, water, and electricity – as a side benefit you go to the gym more often (do your 3S’s there, shit, shower, shave)
If you work in a startup company that caters food, it’s a no brainer— eat at work and bring food home. Maybe you can even befriend someone that works there and join them for lunch from time to time. For extra credit consider a life of “intermittent fasting” and totally binge at these free meals.
Wash your car in the rain. No mineral deposits left while it dries. Video of me demonstrating this: https://youtu.be/kZkYnkXOI7Q
Costco leasing to own program
Buy an Anker powerbank and charge it at work. Sadly I never got around to use them during what little time I had at home 🙁
I would sign up for Microsoft play-tests so I could get a free software to then sell on eBay for money. The sad thing is that I am not even a gamer and it was completely obvious to the playtest team.
Always take a pee before leaving for the day.
Try to poop at the same time every day while at work… get paid to poop. Time is money and flushes cost 10 cents.
There are soft drinks available at restaurants?
Why are you eating at a sit down restaurant, you have to pay tip?
If you must, order food to go and eat on the premises. Best of both worlds!
Wear clothes with the tag on it and return it.
Buy a snorkel from Costco to go to Hanama bay while visiting Hawaii to return it. Another Hui member cautions that on many electronics there is a 90-day return policy. Lady who returned a dead Christmas tree on Jan 4th.
I rode my dangerous 50cc moped in the Seattle rain so I would not have to pay $4 per galleon in 2010.
Use an app like GasBuddy to find the cheapest gasoline station, better yet, double stack your Costco credit card (4% cash back on gasoline) and buy Costco gas.
This one is a bit morbid, but an important one. Set up a revocable living trust with your lawyer to avoid probate expenses following the death of your family members\
Susie Orman’s advice – make coffee at home and save yourself the $5 Starbucks Vente frappucino
FAST (intermittently, not forever)! Skip breakfast daily (work yourself up gradually) and when you’re ready to get to the big leagues, attempt to fast for an entire day (no breakfast, lunch or dinner)
Maximize and optimize what you’ve got BankPurely has a 1.30% APY since April (not sure if promo rate?) but most banks have 1.0+% (which is 10x the 0.1% APY rate given by most conventional brick and mortar banks like BofA, Chase, WellsFargo)
Use Honey or Ebates or other discount portals for Amazon/eBay or other internet purchases to save a few %
Certain credit cards provide 5x bonuses (Chase Freedom has rotating categories) and Chase Business cards are good for auto-pay things like internet with extra bonus categories
2) go back to tahoevine’s deal manager page to put in the order #
3) once the stuff arrives, wait 7 days to write a review on it (it has to be a positive review and you get better ratings if you include photo and/or video)
4) copy the link of your review into tahoevine’s deal manager
5) get the full refund a day later via paypal.
A bought a bunch of random stuff (mostly dog stuff lol) just to test it out but so far it’s been working like clockwork:
Save the money by not sending them to private school (for the supposed network) instead just buy them a crappy car un college and have them give the rich kids to and from the parties. Its like grain finishing grass fed cows.
Growing up in Hawaii where a gallon of milk is $8, I was taught to save money in strange ways. (I don’t drink milk)
Some of those were pretty bad which develop into unhealthy money mindsets and can translate to negative social profiles.
Some downright unethical but hey if you are a cheapskate, own it!
I don’t condone any of these tactics but look, it is no coincidence why you folks continuously have so much money to invest and pay your bills on time unlike 4 out 5 of my Birmingham rentals every month.
Trading money for time… (the Recovery) – updated 11/8/18…
Using disposable chopsticks, plates, bowls, clubs, and forks to minimize time to wash dishes and put away. Also need less space for more of this “stuff”. I think we do not realize how much not only time we waste on this but water and electricity go into this.
Use Uber as much as I can to minimize stress, the chance of an accident, 50 cents a mile per the IRS in wear and tear to your vehicle but most importantly you can bring your laptop and get some work done.
Leasing a car – such a great decision. Its fun, the numbers make sense if you are able to grow your money at more than 14% a year, and don’t have to deal with any maintenance issues.
Eat out. It just tastes better too. And no cleanup, prep, grocery shopping, etc.
I used to be notoriously known for taking a red-eye flight from Hawaii (save on hotel) to the mainland and start the next property trip or conference the next day. Late in 2018, I decided to really upgrade to first class (pay $300 of my own money as opposed to using some kind of credit card travel hack or using my frequent flier status when I was once a corporate slave).It felt good but I believe more for paying for value and will only do it when I need it
Please help the show by leaving a review: http://getpodcast.reviews/id/1118795347
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Pardon the grammar – I’m an Engeneer, Enginere, Engenere… I’m good with math! Here are the Show Notes:
$480k horizontal income
Podcast is not simple passive cashflow
Used commissions to invest into real estate
Started out trading tome for money, working 40 hours a week, and was left with a $100 every week
Sold timeshare presentations
Danny got 3-4 of these a day and was the leader at the time and Pat beat him
Went to college and went to real estate sales where he is making commissions
Discovered horizontal lines – bought SFHs and moved to apartments and other buildings/businesses
Lost 2/3 of initial investment
LTI – After you pay your bills – currently $200K a year
Moving around current investments
18% lawyer loan, some private equity notes, apartment building syndication
Crossed over at age 46 to financial freedom number
Works 3 days a week (Tuesday-Thursday)
Chose to not work as much in 40s
Look where the poor creative lives because that is where the transitioning area is
Robert Kiyosaki says don’t buy where there are crane
Alchemist talks about the beginner’s luck – Pat started investing in non-real estate investments in 2008 – 50-100K here and there and 50% of them failed
Rip and duplicate things that are working
Real estate rockstar podcast!
Please help the show by leaving a review: http://getpodcast.reviews/id/1118795347
Pardon the grammar… I’m an Engeneer, Enginere, Engenere… I’m good with math! Here are the Show Notes:
Lane is dringing Maui Brewing Company Makawao beer and POG IPA and homemade mead (honey wine), Abhi – Whiskey
https://abhigolhar.com/
How old are you? 1985
How much simple passive cash flow do you have coming in and from what investments?
At this point my cashflow is a little lower because some of sfhs are offline because I’m trying to sell them and my syndications are in the ramp up stage but I’m around 3k. more importantly I have very low expenses and essentially financially free. My salary from my paycheck is 4k at the-end if taxes and that’s what I use to put right back into my business. That’s 3k not including my day job.
– What are your healthiest habits? How do these help contribute to being your best, most productive self?
Intermittent fasting.
Used to do paleo but has evolved to keto
I used to do crossfit but the 225 lb deadlifts twenty one times for three rounds really got old. Its for people in their twenties
Got a trainer who won the hawaiian iron classic
Keep changing goals
– What do you attribute your ability to be prolific and productive to?
I don’t have that many distraction
I got lucky with initial positive feedback
I work really hard/consistent
Make tweaks frequently. If you follow me around I do weird things. or going to the restroom put coffee in microwave and then take a call like a machine
– Looking back what do you wish you had done differently along your journey so far?
I wish I would have gotten a personal mentor to call me out on my and minimize the hours of mental planning and scenario
Q1) You mentioned that you have spent close to $60K last year in coaching & mentoring programs/events, can you share some insights on how do you determine which ones worth investing your time & money into, which aren’t, and how to avoid the scammers/pitfalls? Are there ones that you recommend trying out or avoiding?
Get feedback from actual students. Make sure there is no referral fee going on.
Allocate a development allowance. 10 percent of your income.
A mentor taught me never to speak bad of others so I won’t here publicly. But if you guys get to know me I tell you what I think. Another example of going an inch wide mile deep.
Q2) I’ve listened to most of your podcasts (and yes I did leave reviews :-)) but can’t say every single one so apologize if I missed it if you shared already – how do you manage employer/manager after they learnt you were doing this REI “side gig” with the eye of quitting your day-job? I am sure quite a handful of your listens work for companies that have requirement of disclosing outside business activities that require either company/manager approval, or Compliance clearance, varying level of scrutiny , or maybe just a disclosure. What would be your words of advice or caution on how best to navigate this when one cannot fully launch into investing full-time?
I have a humorous article of what to do in a day job.
But honestly people don’t rreally know what I do. I am a government worker who drives a mercedes at work and smiles a lot. It does not make sense. Its good that my parking lot is really big so no one really sees me.
I work in a non profit so I try to respect that they are paying me for my time.
Honestly if they find out I bet the “clock watchers” will become whistle-blowers. my mindset is that it won’t be a bad thing. It will just pressure me to work my ass off and get out of day job and take that leap.
I just like how authentic I can be in the way I work with people… In the I interviews for the this last job they asked why should we hire you?
No one else has a masters degree and real world experience that I do and willing to be paid the salary level and will be happy there.
If people give you a hard time this is all about lifestyle creation. Financial freedom gives you the freedom to do what you want. a recommended real is Mark Madsen “How to not give a fuck”. Its not about living life like a cavalier but opting into a conscious life of people and projects that are aligned with you.
Here are the Show Notes…. But first please leave me a review: http://getpodcast.reviews/id/1118795347
Go to this link to grab the Action Board worksheet guild. If you are already an email subscriber the link will automatically get sent out to you with all the post that never make it to podcast.
Optimist/Pessimist 2×2 Matrix – (My friend and his IPA Beer engineered the following idea…)
Good Outcome Bad Outcome
Optimist + +
Pessimist – –
Psychology Today, the average person has 50,000 thoughts a day.
The Rich Are Optimists – 67% of (Tom Corley study) the self-made millionaires in my study forged the habit of being positive and upbeat. A positive, mental outlook is critical to overcoming problems, obstacles, pitfalls, mistakes and failures. Staying positive is a critical component to becoming wealthy. Positivity is like a radar in search of solutions to intractable problems. Thus, positive thinkers are able to see opportunities, where others see only negative consequences.
The Poor Are Pessimists – 70% of the thoughts of the average person are negative (Psychology Today). Negative thinkers are unable to see solutions to problems. Thus, they are unable to overcome obstacles, pitfalls, their mistakes and their failures. Opportunities pass them by because they are not looking for opportunities. They are too focused on the negative consequences.
The Rich Are Decision-Makers – 91% of the rich in my study were decision-makers. Forging the habit of making decisions is critical to success. Those who develop the habit of making decisions are sought after as leaders, by others. Decision-makers have forged the habit of overcoming the fear of making decisions along with the paralysis of analysis associated with those unable to make decisions. The rich do not over think, which is a form of procrastination. It is impossible to know everything you need to know before making a decision. The rich forge the habit of being comfortable being uncomfortable about making decisions.
The Poor Let Others Make Decisions – 98% of the poor in my study were not decision-makers. They succumb to the fear of making a decision. They get lost in analysis and over thinking, which is a form of procrastination. The poor feel uncomfortable about making decisions, so they defer to others.
Don’t examine the roots just eat the fruit!
https://mymorningroutine.com/
Hacking Baggage at the Airport:
Getting your checked baggage off first before everyone else
1) Gate checked because luggage is queued on a First on last out order (FOLO) similar to an elevator. Downside you will have to lug your luggage through security.
2) Have them mark it as fragile
Also you don’t have to pay to gate check a bag, just be nice and ask the counter at the gate.
KerryGold because it’s organic. I like the salted version because it’s more widely available but the salt adds depth to the taste
1 Tablespoon to 1 OZ
MCT Oil
MCT are medium chain fats, the key to brain function and good skin. Basically modern day snake oil.
Bulletproof Brand has XCT Oil but I use this Mickey T Brand (isolated 8-Carbon Caprylic Acid Molecule) which is the same thing except a lot less marketing costs. You can use Coconut Oil in a pinch but the taste isn’t that great.
1 Tablespoon to 1 OZ
Whey Protein Powder
Whey is the cheapest form of protein. This is a way to add a bit of sweetness and blends into a foam. Life is always better with a bit of foam!
Optimum Nutrition is the go-to brand for thousands of wannabe bodybuilders so stand on the shoulders of these giants and do the same.
1 Tablespoon to 1 OZ
Collagen Protein
This is the most expensive protein that has benefits for skin, joints, bones, hair, and digestion. Sort of like drinking bone broth without the flavor.
For those of you who are into the whole autophagy intermittent fasting protocol (12-hour daily fast) this is pretty good for you too because you are basically drinking a MCT oil drink. The only recommendation is to eliminate the whey protein. Also if you really want to geek-out, blend the whey separately because it is the most unstable. By blending separately you allow the butter and oil to cool down the hot coffee and protect the whey from heat.
Please note that some of the links found on this website are affiliate links. And at no additional cost to you, paid by the seller, I will earn a commission if you decide to purchase which helps pays for the various costs of running this website. Please understand that I have previously used these products. Do not feel the need to purchase these products but if you do please use these links. If you have any additional questions on how I optimize the use of these products please let me know.
Update 20.02.22 – If you are trying to do the whole intermitted fasting thing I don’t know how taking 200-500 calories via MCT oil and butter does not knock out you out of ketosis. But hey you got to believe! I might stop this myself but its just goes to show that you need to change your thinking from time to time just like how I moved on from thinking turnkey rentals were the best.
Autin Texas Native
Bought Duplex and fourplex to start (76 on own for passive cashflow)
Started out with the intention of getting passive cashflow
Was working marketing in Minnesota when father had a heart attack and started buying rentals with brother
Was doing self-managing when first started on own
Flexibility in what you do with your time
Father getting sick was the turning point
Boots on the ground lead is very important
Value-add can mean both 20-30% occupied and adding crazy value and 90% occupied and taking it to 95%
Developments have 25% returns per year
It felt good but I believe more for paying for value and will only do it when I need it
