Greetings, my fellow Canadian real estate investors and Realtors!
Who knew a little podcast that started from the guest room/home office interviewing successful entrepreneurs in the real estate investment industry, asking them about their strategies, tips, tricks, what works and doesn’t work, getting into the details and numbers, telling it like it is, e.g. best deals often come from ugly properties or like today’s guest Kellan James, how’s there’s little to no operating cash flow even in apartment building investing.
We’re not here to candy-coat what a real estate investment business is and lie to you about the realities and challenges. But instead, to allow you, the listener, to leverage our collective experiences so you may learn from our guests’ and my experiences from operating a real estate investment business of buying, renovating, refinancing, repeating, and sometimes selling investment properties.
Today, our guest shares his experiences owning small apartment buildings in London, Ontario, growing the portfolio quickly without joint venture partners, outside capital, or credit.
But before we get to that, I want to say Happy Father’s Day to all the men who act like men and are good fathers to their children and grandchildren.
Double shoutout to the single moms pulling double duty; you are amazing, and hope your children spoiled you.
Shout out to my own dad, who I’ll forever be grateful to, for leaving the tropical climate of Hong Kong, China, for Toronto for better opportunities and a pretty great life for my brother and me.
Being born Canadian is like winning the lottery!
My daughter, our eldest child, made me a lovely card with an extremely thoughtful handwritten note.
My son, the youngest, who unfortunately inherited many of my worst traits, is not the most thoughtful and didn’t get me anything, but he did join me at the driving range on Sunday morning so I could hit some balls.
I find it hilarious that my daughter is thoughtful and helpful, like my wife, Cherry. My son only helps out around the house when asked to, and when he comes home from school leaves a trail from the door of his shoes, jacket, hat, backpack, lunch bag, water bottle, socks… etc. Again, he’s a lot like me; hence we need a nanny.
Back to golf, my son is only 7, so he’s not patient enough to play nine holes, but I enjoy our time out in nature doing something fun together.
For the main event of Father’s Day, we hosted my brother’s family, my dad and my brothers’ in-law, for a pool party in our backyard, and I smoked a ridiculous amount of meat!
With steak prices through the roof and my love of smoked brisket, I finally tried smoking a whole 14-pound brisket from Costco.
I made a homemade rub and smoked the brisket on low from 10 pm Saturday to about 7 am Sunday. I wrapped and baked it for another three hours, also on low, let it rest for 30 minutes and served.
My dad and brother are foodies; they said the brisket was as good as any restaurant, and everyone was sent home with doggy bags, as 14 pounds of brisket goes a long way. Just guess what Cherry and I are having for lunch today :).
For those interested, I’ve included a link to the recipe in the show notes: https://www.traeger.com/recipes/traeger-brisket.
Also, shout out to all the dads and parents who invested or planning to invest in real estate so their kids may actually afford a house.
This market is as I predicted years ago; only the children of homeowners will be able to afford a house in this market. Those with multiple, smart income properties have set themselves up for intergenerational wealth.
I say smart income properties, as we know, not all income properties are built equal.
I gave a presentation on the weekend to some of Cherry’s Accounting clients on investment trends.
One current trend is that interest rates are expected to remain high for 12 months. We’ll see more sellers due to higher renewal rates and investors divesting what they no longer want to hold.
Those holding pre-construction in small markets face the most challenges as demand is low for those areas.
Many investors with single-family homes, including condos and preconstruction condos, are selling or considering selling due to negative cash flow. I know several condo investors who are bleeding over $1,000 per month per condo.
Thankfully our clients own very few condos, so they’re in very good financial positions, and some are selling their single-family houses to pay down personal debts.
If you, one of our 17 listeners, are considering selling, please do consider my team and me to help.
I’ve been a licensed real estate agent since 2010, our team has won Realtor of the Year four times, and in 2022 our listings sold for 19% more than comparable properties thanks to our commitment to excellence.
Email us at iWIN@infinitywealth.ca and one of my coaches, or I will get back to you.
For those looking to begin their journey, the timing couldn’t be better. Motivated sellers are coming online, and we probably have a 12-month window until the first interest rate cut and all the buyers sitting on the sidelines will re-enter the market to start the next leg up in real estate prices.
If you’re looking for a professional services provider who can help you maximize return on your investment, time and effort, we can show you how at our next Free Training webinar, iWIN MasterMind Tour or if you’re ready to take action, just reach out: iWIN@infinitywealth.ca
Our track record speaks for itself!
For fun, I looked up what properties our clients invested in 10 years ago. Their returns averaged 800% return on investment.
Past never predicts the future, but for the majority of our clients, we here at iWIN Real Estate have helped them create a portfolio of income properties that will help them retire comfortably more than any pension, RSP, or savings plan.
Nothing could make me happier except to provide the same service to even more hard-working, kind people who enjoy working with professionals like our team who invest in real estate as a side hustle. Beginners are more than welcome.
That brings us to today’s guest Kellan James who was recommended for this podcast by my wife’s team at Real Estate Tax Tips. You see, Accountants know who is actually successful at making money, hence Kellen is our guest today.
84 Units, Worth $14 million, No Partners, Still Grew Too Fast, Deleveraging With Kellan James
Kellan has successfully transitioned out of his corporate job. His explosive growth was well-timed, and his deals were profitable and well-executed, including his more recent deleveraging stage of consolidating his portfolio and paying off more expensive private mortgages to manage cash flow.
Kellan shares how his journey started, the importance of coaching early on, his group of 13 real estate friends, and how Kellan proceeded to grow his portfolio and coaching business too fast, leading to burnout.
I invited Kellan onto the show over a year ago, but I caught him during his social media blackout period, and he’s finally here today to share the ups and downs and realities of becoming a full-time real estate investor.
Please enjoy the show!
This episode is brought to you by me! We don’t have sponsors for this show. I only share with you services owned by my wife Cherry and me. Real estate investing is a staple in my life and allowed me to build wealth and, more importantly, achieve financial peace about the future, knowing our retirement is taken care of and my kids will be able to afford a home when they grow up. If you, too, are interested in my systematic strategy to implement the #1 investment strategy, the same one pretty much all my guests are doing themselves, then go visit www.infinitywealth.ca/events and register for our next FREE Online Training Class. We will be back in person once legally allowed to do so, but for now, we are 100% virtual.
No need for you to reinvent the wheel; we have our system down pat. Again that’s www.infinitywealth.ca/events and register for the FREE Online Training Class.
You can follow Kellan at:
HELP US OUT!
BEFORE YOU GO…
If you’re interested in being a successful real estate investor like those who have been featured on this podcast and our hundreds of successful clients please let us know.
It is our honour to give back and educate others on how we build cash flowing real estate portfolios using all the best practices shared on this podcast, from the lessons of our hundreds of clients and of course our own experience in owning investment real estate.
If you didn’t know already, we pride ourselves on being the best of the best real estate coaches, having the best property managers, contractors, handy people, cleaners, lawyers, accountants, everyone you need on your power team and we’re happy to share them with our clients to ensure your success.
New investor or seasoned veteran investor, we can help anyone by providing our award winning coaching services and this isn’t all talk.
We have been awarded Realtor of the Year to Investors in 2015 by the Real Estate Investment Network, 2016 by the Canadian Real Estate Wealth Magazine and again in 2017 because no one told the judges no one is supposed to win the award twice but on merit, our peers deemed us as the best. In 2018, we again won the same award by the Real Estate Investment Network.
Hopefully being the most decorated team of Realtors in Ontario will make you consider us for your first or next real estate investment. Even if you don’t invest in our areas, there’s a good chance I know who would be ideal for you.
I’ve been around for a while, some Realtors are talented at servicing investors there are many with great ethics. The intersection of the two, talent and ethics is limited to a handful in each city or town.
Only work with the best is what my father always taught me. If you’re interested, drop us an email at firstname.lastname@example.org.
I hope to meet you at one of our meetups soon.
Again that’s email@example.com
Infinity Wealth Investment Network – would you like to know how our investors returned 341.8% on positive cash flowing real estate over the last five years? On average, that was 68.4% per year.
Just imagine what winning in real estate could do for you.
If you would like to know how we did it, ask us how by calling 289-288-5019 or email us at firstname.lastname@example.org.
Don’t delay, the top markets we focus in are trending upward in price, so you can pay today’s price or tomorrow’s price.
Till next time, just do it because I believe in you.
Hamilton, St. Catharines and Toronto Land Development, Real Estate Investor, and soon to be builder.