For many real estate agents, the option of investment can look very daunting. How can we make it easier? What skills do we need to recognize a good deal when we see one, and how much effort goes into maintaining your investment property? Furthermore, do friends make good business partners? Join us for an exciting chat with Michael Zonin and Marc Aschoff and learn how to get started in investment.
Takeaways + Tactics
Consider the ROI threshold and make it a combination of risk and reward.
Sometimes profit comes when you least expect it. Even if a property doesn't look like it's worth it, consider investing - it may pay off.
When you work with partners, don't step on each other's toes. Work together towards success.
We started off the episode with Marc and Michael telling us a bit about their background. Then they went on to explain their shared housing concept and how it's worked in their community. Michael and Marc also explained how their profit works and how much they need to earn to break even. Afterwards, they shared the most common issues they encounter with properties, maintenance-wise. Michael and Marc also told the story of how they bought a cheap property, which, with appropriate maintenance and selling, rented at a great price. They also gave advice on moving on after bad deals and not thinking too hard about them. Michael and Marc had to then go because they were on location, but afterwards we discussed other successful examples of investment properties we'd encountered in our careers. At the end of the show, Greg shared a recent mean message he received.
We also talked about;
Investment can really help you boost your profits in ways you haven't even imagined. The first step with any investment is to be familiar with the area you're trading in. You need to be able to recognize what a good price and location is, and to be able to assess a property in terms of its potential for profit and risk. If you come across a house, where your maintenance will go over the value of the house itself, it's probably best to look elsewhere. Sometimes potential can come from unexpected places, however when you're just starting off it's always a good idea to play it safe and choose something you know will come back to you with good profit.
Guest Bios -
Marc Aschoff grew up 25 minutes from Manhattan, and then went off to the University of Pittsburgh. After Graduating Marc knew he wanted to return to the NYC area. At that point he starting working full time in the financial services industry. While doing that, Marc invested in a number of properties on the side which is where he had the opportunity to learn about real estate. Eventually that hobby turned into a full time career. Marc also had the opportunity to be interviewed by the New York Times for some of the work he was doing with real estate in New Jersey.
Michael Zonin is currently working full-time as a Geotechnical Engineer in Manhattan. His passion for real estate investing has persuaded him to start investing. Most of his latest deals are being used as long-term rentals. A year ago, he decided to branch off from buy-and-holds and pursue fix-and-flips. Michael is currently looking for fix-and-flips in northern New Jersey.
Marc and Michael also own a beverage company, Tribeca Beverage, and are the hosts of the Millenial Flips podcast. Find out more about Millenial Flips at https://itunes.apple.com/us/podcast/millennial-flips-invest-in-real-estate-at-a-young-age/id1244779096?mt=2&ign-mpt=uo%3D4.