In my going on nearly 10 years in this asset class, I have seen far too many good, would be entrepreneurs fail to get started. Enough is enough. I now know where, how, and why those good people fail. And I will help get you and other good people into our asset class. Join me for my new podcast where we will laser focus on exactly that:
What I discovered at 1,000 lots will shock you.
This may prove my most controversial episode to date.
Once you hit 1,000 lots, you begin to see the MHP world from a different light.
Some opinions and convictions will get uprooted. And then uprooted again.
But what can you learn from my experience?
Due diligence can be FUN. You'll play detective, but for your own investment purposes. But this crucial step in the acquisition cycle must not be taken lightly, with thousands if not millions at stake. So for this Skills Series, we will cover the ins and outs of the inspection period.
Are you overconfident? You might be. However, that might also be exactly what you need. Astronauts need, to a certain degree, to be overconfident. But then again, so do scammers. On this Mid Month Wisdom, we'll break down overconfidence traps and how you can avoid them.
http://archimedesgrp.libsyn.com/mmw-avoiding-overconfidence-traps
Glenn owned a MHP during the "Golden Age", survived the recession, grew up poor, and then sold 30+ MHPs in 2018. Glenn knows MHPs. Find someone with a better pulse on the market than him. On this interview, Glenn spares no details as he discusses how to win over brokers, to what pitfalls no one is talking about.
http://archimedesgrp.libsyn.com/interview-the-mhp-expert-glenn-esterson
Remember when the 10 cap reigned supreme? It turns out, we missed that train. So the 8 cap became the new gold standard. But even that died years ago. Enter the 6. On this Mid Month Wisdom, we'll explain why the 6 is the new 8.
Part 2 of the Case for Different MHPs. On this continuation, we will discuss market population sizes and miscellaneous strategies.
#MHP_IRL #MHP #Monetize #Differentiate
http://archimedesgrp.libsyn.com/the-case-for-different-mhps-part-2
MHPs come in all shapes and sizes. So how do you know which suit you and your strategy the best? On this episode, we will analyze the different types of MHPs, their pros and cons, and how you can narrow your search field to focus on properties that fit your personal strategy.
#MHP_IRL #MHP #Differentiate #Monetize
http://archimedesgrp.libsyn.com/the-case-for-different-mhps-part-1
MHPs are "easy to manage", "give high returns", and "no one is talking about them". Or are they? More specifically, does that really make MHPs unique within the real estate space? On this MMW, I'm going to push back on those supposedly unique aspects of MHPs and explain why they could be damaging to you.
http://archimedesgrp.libsyn.com/mmw-are-mhps-really-that-unique
Is bad behavior good for business?
Unethical entrants into the MHP space have landed spots in publications from Time Magazine to John Oliver's "Last Week Tonight".
Bad behavior resulted in restrictive legislation in New York state and threatens to spread.
But what's being done to curb the spread? And worse, are they getting away with it?
On this episode, I'm going to hit you with some uncomfortable truths. But that's ok. That just means you're one of the good guys.
Together, we can raise awareness to bad behavior and hopefully affect positive change, together.
#MHP_IRL #MHP #Differentiate
http://archimedesgrp.libsyn.com/is-being-bad-good-for-business
Our industry is in dire need of strong value-add groups. But I've heard too many people wanting to buy "value-add" deals without a plan. This could pose a serious threat to buyers, investors, residents, and the industry as a whole. On this MMW, I'm going to encourage y'all to take on value-add projects, but to show up prepared.
Why mobile home parks? 🤔
The business model and environment are unique.
But, the secret is out!
Competition is intense for these assets.
Because people know a few facts. 🧐
✅ Supply constraint - More mobile home parks are destroyed than developed each year.
✅ High demand - Given the price point, this is the most affordable housing option.
✅ Highly fragmented - Large percentage of parks are owned by mom-and-pop investors.
✅ Low turnover - When tenants own their home, it is common for them to stay for their entire life.
✅ Low capital expenditures - With few park-owned units, owners are responsible for infrastructure, trees, and roads.
These characteristics plus several more contribute to the increased attention.
This investment thesis is here to stay.
❤️ What is your favorite form of real estate investment? ❤️
Ever wonder how people justify paying high prices for MHPs?
Me too. So over the last 4 years, I asked the largest operators, the newest of the new, and everyone in-between, how they value their deals.
This episode will shed some light as to how folks justify some outrageous assumptions, but more importantly, it'll help you become more self-aware of mistakes you too could fall victim to.
#MHP_IRL #MHP #Differentiate #Monetize
http://archimedesgrp.libsyn.com/how-smart-people-outsmart-themselves
Ring ring ring.
“Hello”
I introduce myself.🤝
Many times, the calls are brief.
Other times, the owners open up. 🗣
Today, I learned that competition is increasing. 📈
Parks that use to get contacted once a month are now contacted once a week via mailer or cold call.
These are small parks in secondary markets.
The word is out.
❌This industry isn’t a secret. 🤫
How do you differentiate?
"We sold last year"
This crushed me. 😔
I was scrolling through our database during my daily cold calls.
I came across an owner I hadn't called in over a year and a half
What?!? 🤬
I dialed the owner immediately... Voicemail.
I called the park. The manager answered.
The park sold last year to new owners.
No way?!?! 😰
The owner told me in that it was hard to sell when you are making money.
Well, something changed.
I was reminded of an important lesson in sales.
No today doesn't mean no forever.
Keep calling. 📞
Follow up.
Lesson learned.
How do you get rich in real estate? 🤑
This is one method.
It's no secret. 🤐
✅ Buy value-add properties.
✅ Utilize debt and business partners to stretch your dollar.
✅ Stabilize the asset.
✅ Refinance
✅ Purchase more value-add properties.
✅ Rinse. Repeat.
This is how you turn $1 ➡️ $4 ➡️ $16 ➡️ $64.
Poor decisions can make this a ‘get bankrupt quick’ scheme too.
Tread diligently.
On this MMW, I'm going to juxtapose two properties we purchased within two weeks of each other that performed very differently. The lessons learned there will help you improve your underwriting.
http://archimedesgrp.libsyn.com/what-your-underwriting-is-missing
What is the industry missing? 🧐
Third party managers
Apartment owners have options.
Not the case with mobile home parks.
You must build an in-house operations team. 🛠
Too many investors love to purchase and hate to operate.
Trading one job for another one isn’t freedom. 👨🏼💼
Plan and you can be successful.
#realestate #reinvesting #propertymanagment #multifamilyinvesting#multifamily #business #mobilehomeparks #mobilehomepark #operations#apartments
Every business person has to sacrifice.
It is opportunity cost analysis in action.
When we first started this business, we had to make several sacrifices.
And still do to do to this day.
We pay ourselves 30% of the money we make.
We still 'take home' less than half of the income we made in corporate America.
We prioritize reinvestment into the business.
We both drive 10+ year old Hondas and that likely won't change soon.
Cars have a negative return on investment.
We both live in modest places.
I still have several roommates. Ryan lives 30 mins away from Uptown Charlotte in a modest home.
We don't rent office space and film our content in a garage.
Long term we may have finer things, but today building a business is way more rewarding.
What sacrifices do you make for your business?
#realestate #business #reinvesting #mobilehomes #multifamilyinvesting#mobilehomeparks #mobilehomepark #strategy #success
2 > 1 but only if you find the right partner. Partnerships, like financial leverage, either multiply your output, or amplify your misery. Ian Tudor, co--founder of Archimedes Group, joins MHP_IRL to discuss ways you can find a solid partner to help multiply your output.
#MHP_IRL #MHP #Differentiate #Monetize
http://traffic.libsyn.com/archimedesgrp/S2E6_Ian_Interview_mixdown.mp3
The amount of the educational seminars in the market today is a SIGNAL. 📡
Did you interpret it?
If you listen carefully, it is somewhat contradictory. 🤨
“Sign up for my course where I’ll give you the blueprint to make millions in real estate”
Investors who have purchased millions of real estate are now spending their time educating the masses.
In other words, the opportunity cost of chasing for new deals is lower than talking to a large group of new investors for a weekend. 🤝
The market isn’t yielding enough opportunities.
Therefore, the incentive to teach is more attractive. 👩🏫
What do you think?
#realestate #education #business #incentives #multifamilyinvesting#mobilehomeparks #mobilehomepark #multifamily
Finding good contractors is a common problem.
In Georgia, we hired a HVAC tech that seemed to check all the boxes. 👨🏻🔧
He was young, responsive, and reasonable on price.
He would work on the weekends.
On several occasions, I found him working until 11pm. 🌙
We did a TON of business in short period of time.
Then something changed.
We started receiving the same bill for work already completed.
Shortly, after he finished, tenants would call with complaints. ☎️
Work quality decreased.
We stopped paying him.
He threatened a lawsuit. 👨⚖️
We hired the previous company that we used, only to find out he improperly installed the wrong systems.
We had to pay for the work to be completed twice.
Ouch. 😧
It was an expensive learning lesson.
What’s your best ways to vet contractors?
#business #realestate #mobilehomes #multifamilyinvesting #contractors#mobilehomeparks #mobilehomepark
I think you SHOULD get into MHPs, but with PROPER expectations. And that's why I'm here.
We have a chance to usher in a new era for MHPs, and to do that, I want to provide you with the tools necessary to get started and to grow. I'll expose raw and uncomfortable realities that'll help you understand what's really going on within the space.
We’ll talk about deal sourcing, structuring partnerships, property management, negotiation, persuasion, marketing, overcoming your own psychology, and so much more
We can shape the future together. Join me. Welcome, to MHP_IRL.
