Cash Flowing $10k USD Per Month on 20 Houses He’s Never Seen With Andrew Kim

I just put the finishing touches on my research report called “The Best Places to Invest in the USA in 2024” and it took forever because the number of Global Fortune 500 companies each investing billions of dollars into building new manufacturing facilities to each create thousands of high paying manufacturing jobs with average salaries of 55,000 to 135,000 USD plus benefits.

When you match that to the income properties I’m targeting at $100,000 to $300,000 with rents of 1,100 to 2,400 plus utilities in 9-10 different cities… you can imagine the analysis paralysis.

If you want to do your own research, Chatgpt or Google any of the following companies: LG, Honda, Toyota, Samsung, Texas Instruments, TSMC, Intel, Ford, GM, Volkwagen, etc… then “billion dollar investment in the USA.” 

I’m trying to track them all in a spreadsheet I started with investment dollars, jobs created, location, etc… and I have 21 manufacturing plants in different stages of construction, all over 1,000 jobs being created totalling almost 100,000 jobs and $213,000,000,000.

Compare that to the major job stories in Canada: Stellantis in Windsor and VW in St. Thomas Ontario. Combined, that’s almost $8 billion USD investment, 5,500 jobs. 

To put that in perspective, the America’s population is 8.5X the size of Canada but is receiving 27X more investment and creating 18X more jobs.  Keep in mind, each manufacturing job creates 4-5 spinoff jobs.

Why is all this economic gobbledygook important? Because income growth drives population growth. Where people can make or save money, populations will grow in places like Tennessee, Texas and Georgia with little to no state taxes and massive job growth.

I’m getting regular questions on which cities to invest and to share my research so it’s ready and there’s a link in the show notes:

I’m super excited to share with more Canadians feeling denied opportunity to invest in real estate as really, there are few good options in Canada vs the American dream of earning US dollars, having rights as landlords, affordable housing with positive cash flow. Let’s Go!

Cash Flowing $10k USD Per Month on 20 Houses He’s Never Seen With Andrew Kim

On to this week’s show!

Returning to the show is Andrew Kim from Brampton who identifies as American. He used to invest locally, the return on time wasn’t there so he bought 20 houses in landlord friendly USA ten years ago now he cash flows over ten thousand US dollars per month.  His Accountant Carmen was the one who guided Andrew to invest in the USA along with several of her Accounting and Financial Planning Clients since 2008.  Since then they’ve combined forces to make the same opportunities available to everyday Canadian investors with the company they co-founded call SHARE thanks to their innovative technology and automation to bring down the costs substantially.  

Full disclosure: I am an advisor to SHARE, meaning I get paid to develop their business in Canada through Marketing and Sales. It’s the most fun I’ve ever had in my real estate career. I wake up every morning excited to speak with investors and help them find opportunities in the USA. Active as an investor and landlord since 2005, I’m eager to share with my clients and community a simpler way to combat inflation and build their wealth with less risk and higher cash flow, in places where investors are truly welcomed.

I want to thank Andrew and SHARE for inviting me along for the ride and for helping me invest in USA.  I can’t wait to start making offers in May after my rentals here are sold and closed.

As I mentioned, Andrew’s context of real estate and investing is very American since he lived in California for five years and wants to go back. He’s here today to share what 150 Canadians interested in investing in the USA have said to him.

Please enjoy the show.

📅Join Our Upcoming Workshop: How to Invest in the U.S. Real Estate Market as a Canadian Investor! For those who’d like a deeper understanding of how to invest in the USA, we are happy to announce our next US investing workshop on Saturday, April 13th.

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** Transcript Auto-Generated**

(00:00) welcome to cash flowing $10,000 per month in US Dollars on 20 houses he’s never seen with Andrew Kim that’s the name of the show this is the truth about real estate investing show and that is the truth and you know what else is the truth is I don’t know anyone else personally who cash flows this much with that little investment in that little effort uh yeah my name is Erwin Szeto host of the show since 2016 done over 300 episodes I’m not that smart I have a lot and hence I have a lot of questions so I
(00:33) ask a lot of questions uh hence we’ve had over 300 episodes over an hour long each and a lot of answers on the show from people much smarter than I anyways for some reason people keep asking me for my research and where I plan on investing hence I just put the finishing touches on a research report called the best places to invest in the USA in 2024 and it took forever because there are numerous Global Fortune 500 companies and they’re each investing billions of dollars into building new manufacturing
(01:08) facilities in the states to create thousands of jobs each all high paying manufacturing jobs with average salaries between 55,000 to 135,000 that’s all US dollars plus benefits again that’s that’s a lot of money uh when you match that to the income properties I’m targeting at somewhere in between the range of 100,000 to 300,000 American With Friends of 1100 to 2400 plus utilities uh I’m looking at like nine 10 different cities uh so I’ve done a lot of research uh hence I’ve since my research report is
(01:41) honestly not even complete in terms of everything I’ve read but it’s 24 pages uh again you can imagine the amount of analysis I’ve gone through and the slight bit of paralysis I’m feeling if you want to do your own research which I welcome you to do I think it’s a great idea to do your diligence at any time all the time feel free to chat GPT or Google any of the following companies LG H Honda Toyota Samsung T Texas Instruments tsmc Intel 4 GM Volkswagen SK n uh Etc and then after that name the
(02:15) company put in the words billion dooll investment in the USA and then see what comes up read them all because I have you can see why this report took so long to put together I actually put them all on a table as well so that table is in my report as well uh I’m and I’m trying to track them all in a spreadsheet that I started uh I’m focusing on investments that are a billion dollars and up so I’m tracking investment dollars the number of jobs created with that just in that manufacturing facility and the
(02:44) location and of course I have have links to all the sources as well uh and so right now my list has 21 manufacturing plans you know the crazy part is every time I go doing some re I do some research I’m adding like one or two other job stories onto this list so it keeps growing anyways right now I have 21 manufacturing plants that that are in different stages of construction all over each over a thousand jobs uh being created totaling over a 100,000 jobs or that in dollars that is 213 billion US in in investment now
(03:19) compare that to like where this is Canada this is a Canadian show apologies for anyone I’m confusing thinking this is an American show this is a Canadian show I am Canadian uh I all my friends I was just I was just talking my friend uh Molina in uh in Windsor she’s tell me things are booming in Windsor for those who don’t know stellantis is building a electric electric um battery plant in Windsor Volkswagen is has a partnership in direct building a battery plant in St Thomas Ontario combine those two so as
(03:47) far as I know as far as my research shows correct me if I’m wrong please out there uh correct me if I’m wrong the total investment between those two projects is 8 billion US and jobs that’s 5,00 ,500 to put that in perspective the American population is 8 and a half times the size of Canada America is 8.
(04:09) 5 times bigger in terms of population than Canada but the Americans are receiving 27 times more investment and creating 18 times more jobs you know the old rule of thumb that America was 10 times larger than us uh yeah we don’t have that ratio holding true in terms of investment or job creation also keep in mind that each of those manufacturing jobs creates four to five spin-off jobs so the job story in the states is just incredible and honestly we are such a small drop in the bucket comp in Canada compared to what’s
(04:46) going on in the states and no reason to be jealous the Americans are the global Mega superpower I’ve done lots of research on this as well I track China I track the bricks uh welcome completely open to having debate with anyone uh you know if you want see something crazy Go YouTube Paris in China and you tell me that the Chinese have a healthy real estate development environment in China please tell me anyways go watch that first and then let me know if you think you should be investing more of your money into the into the wand the R&B
(05:23) anyways uh so why all this economic gobble de goop why is it important because income growth drives population grow growth where people can make or save money populations will grow and that includes places like Tennessee Texas and Georgia where there’s little to no state tax and massive job growth where people make more money uh I’m getting again I’m getting regular questions on which cities I’m looking to invest in and to share my research so again it’s readily available now I’ve given a link in the show notes it’s too
(05:52) hard for me to read so links in the show notes so if you’re on my email list you will get it there if you’re not on my EMA email list go to the truth about real estate investing and on the right side you can pick up the report there as well all right and I’m super excited to share with more Canadians who are feeling denied opportunity to invest here locally for for for good reason uh and I’m talking to two three investors a day every day about the options available in the Canada in Canada versus
(06:20) the US like we’re we’re I honestly feel like I’m going to be able to live the American dream of earning US Dollars having rights as a landlord I’m going to be buying affordable housing with positive cash flow let’s go on to this week’s show onto this week’s show we turning to the show is Andrew Kim from Brampton who identifies as an American he used to invest locally uh but the return on his time wasn’t there so he bought uh he sold his houses in Ontario and he bought 20 houses in landlord friendly
(06:50) USA 10 years ago now he cash flows over $10,000 us per month that’s cash flow from collecting rent and after paying expenses on his properties including after the mortgage so um it was his accountant Carmen uh who was the one who guided Andrew to invest in the USA along with several of her other her accounting and financial planning clients since 2008 since they’ve uh since then they’ve combined forces to make the same opportunities available to Everyday Canadians not just the ultra wealthy uh with a company they co-founded called
(07:24) share thanks to their Innovative technology and automation to bring the cost down substantially uh this is now a reality full disclosure I am an adviser to share meaning I get paid to develop their business in Canada through Marketing sales it’s honestly the most fun I’ve had in my real estate career I wake up every morning excited to speak to investors and help them find opportunities in the USA just even just showing them that I research everyone gets excited and they ask for it uh I’ve been an active investor in landlord
(07:51) since 2005 and again I’m eag eager to share with my clients in my community a simpler way to combat inflation and build their wealth with less risk and higher cash flow in places where investors are truly welcome if you don’t believe me we’re not welcome here in Ontario go to my friend Kaya Andre’s uh Facebook page it’s called Ontario landlord watch where PE where Ontario landlords are consistently asking for help because they are in honestly nightmare situations where tenants are not paying them rent for months or even
(08:21) worse they’re trashing their properties and there’s nothing they can do about it I want to thank Andrew and Sher for inviting me along for the ride and helping me invest in the USA I cannot wait to start making offers in May after my rentals here are sold and closed uh as I mentioned Andrew’s uh Andrew’s context of real estate and investing is very American since he lived in California for five years and he wants and he wants to go back and he will go back as soon as he’s able to he ised it today to share with
(08:48) uh share what he’s had the conversations he’s had with 150 Canadians so far who are interested in investing in the USA what they’ve said to him please enjoy the show hi Andrew what’s keeping you busy these days uh nothing much just nothing much just trying to build an Empire uh selling us real estate to Canadians but it’s not just that like you’re you’re a workaholic which is partly what got me interested investing a lot of my time and money and share yes explain the workaholic part I call you
(09:27) workaholic yeah I I just like keeping busy I like problems even though when you’re in them they they feel like crap but I just do like hard problems and I think you know growing up I was always super busy so um when I’m not doing something quote unquote productive I feel like I’m wasting my life so yeah as a kid it was like School piano baseball cuman like it was just endless 7 days a week um so yeah I think that just kind of set the tone for life and it’s just like constantly working working working
(10:03) and doing a million things but now focusing on one or two mhm you know the other two being like family and personal health and then work which is my business which is still my passion but when things are crazy it doesn’t feel great but I still love it how many hours a week do you work oh man over 70 80 probably yeah for sure which is interesting cuz you’re pretty successful financially yeah it never feels like that but yeah I I I guess I’m okay like uh I was semi-retired for a bit uh but I just don’t you know the mind is going to
(10:42) wander the mind has problems to solve and I I was looking for interesting things to do and you know found another thing to do and I say you know that I want to retire early but I don’t think I’ve ever retire early that’s impossible it’s actually my dad’s medical advice to never retire yeah yeah like a family friend of ours literally had a stroke within 3 months of his his retirement oh wow yeah yeah see like I think if if I were to retire it’s more like maybe I’ll focus on a nonprofit but something big
(11:10) and impactful not not like more solution based rather than remedy like than like dealing with a a symptom I want to deal with the root cause fascinating yeah and we have a lot of root problems as Canadian investors it’s funny because uh when I screen when I go through like these groups these Facebook groups that I belong to when I see people’s problems and I think my frame of mindset now is like what is the root problem it used to be you know you had to be way you have to be super diligent so let’s take the Ontario
(11:46) real estate investor for example if an Ontario real estate investor has a problem with a tenant I’m thinking like sometimes you just got really unlucky and then other times it’s like you just have to be so diligent like the best practice for screening a tenant is you for me is I use single key to screen them right uh and most people call it a credit report it’s a little more more more it’s more comprehensive than that I use front lobby for my tenants so I report their rent on their credit both
(12:15) positive and negative and uh you know I generally meet them too before I sign so like I take that level of diligence the average investor does not not even close oh really not even no not even close huh what do they do I thought people talk about gut feeli interesting wow okay I appreciate that like so my background in school for example I did two years of Commerce which is basically prepare you to be a um a commercial Banker like what I lend to this business to I lend to you whatever so that’s how I look that’s how
(12:50) I make my decisions they’re highly quantifiable and I have to defend them to my wife Jerry ultimate thesis defense yeah yeah yeah but again like for the everyday investor who owns like one two properties often times they me just have their realtor do it yeah I don’t see that level of diligence generally in the market I don’t remember where I’m going but but now but now my frame mindset now is also now knowing what what is available in the states full disclosure what I see I’m like the root problem is the property is
(13:25) located in Ontario and it’s rented and it’s rented to a long-term tenant that’s your root problem right you need to solve that root problem right because I literally had a friend in the weekend messaged me and say hey I think we need to start a lobbyist group for against the federal government for us landlords need to get together you know to lobby for for us Fally I’m like I’ve my policy has always been I’m not fighting government right yeah and then I thought about it for a little bit longer I thought you know
(13:54) what we’re doing now so literally content I told you content that I’ve put out I have friends who are literally sending it to MPS in Ottawa mhm and mpps in Ottawa in Toronto mpps are in Toronto saying this is what happens when you when you basically choke onti landlords is the capital will leave so I think by making opportunities available to Canadians Ontario investors available in landlord from the USA everyone’s going to see the rental supply drop from M and pop investor and they’ll see Capital flow of soth and I
(14:29) think that will get more attention than anything else plus I’ll make some money and I’m doing it myself yeah I’ve sold three properties of my home like you know uh they close in May so my intention to start writing offers with with Sharon in May um and I another I’m assigning another attendant right now to to leave a a fourth property that I’ll sell this year as well so that Big Year big year I’m excited anyways so you’ve had about 150 conversations now with Canadian investors yeah largely
(15:03) Ontario what would they be Mex between between provinces oh it’s like 90% Ontario like 9% BC BC and then 1% like Quebec interesting okay so what are what are Canadian investors telling you so majority of the ones we speak to are actually have at least one property locally um and then they’ve been actively either actively or just deterred from buying another one in Ontario so it’s either you know too expensive nothing works the numbers don’t work or two they’ve been burnt real badly by a tenant um so they’re a
(15:40) bit scared and then you actually have some that are actually being a little bit more proactive and they’re like I’ve been lucky knock on would but I know this is could this could happen um where the tenant could back become a professional squatter whatever and I don’t want that to happen so I think I’m going to take my next mment and bring it down south so this seems to be so what I just Shar is not is you’re seeing the same thing yeah definitely and then so what are people what are people interested in
(16:14) buying in the South well I think that’s you know they need a little bit of Education because they didn’t realize that there’s ways different ways of actually looking at the home like an appreciating home vers like high cash flow home I feel like a lot of the Canadians here they all Bank on the appreciation piece um whereas I’m like well yeah you can get that’s what we’ been sold though yeah um whereas in the US we kind of have these categories of a b and c where a is your higher appreciating asset your goal there is to
(16:42) kind of you know be break even on in a normal interest rate environment and then C’s are like high cash flowing homes where your cash flow positive day one the appreciation you’re going to get some appreciation but you might not get like a Toronto or Ontario type appreciation um and those are strictly for cash flow right I’ll debate you though we were just talking about like because my investment thesis is I’m going to buy your major manufacturing plants yes and I’ve tracked you know I’ve tracked real
(17:11) estate prices in like Alliston Ontario where they have Honda 4500 4500 Honda jobs Woodstock Ontario where they have somewhere between 2 3,000 jobs and Cambridge Ontario where Toyota has somewhere around 7,000 jobs somewhere around that and those all areas evoled up pretty well yeah yeah like every state like and I think we’re talking about C’s here every state has cclass homes but you know the C regions that we’re going after we’re hoping that they become B level pricing anyways but for the sake of being let’s call it Canadian
(17:43) and conservative and controlling expectations we’re going to dial it down to sort of the hundred-year national average of like 3% maybe year-over year national average yeah like but like that is you know even if you look at the 10 years prior to the pre pandemic they’ve crushed those numbers right um so yeah we we and we do that for the sake of just educational pieces but as we search there might be an opportunity where we do see some c-classes where we dial up higher because to your point they might
(18:13) be like in a neighboring area of a region that’s up and coming you know manufacturing might be coming um etc etc the like the job story in the states just ridiculous every time I’m like researching something I find another one story like holy cow it’s like there like billions of dollars just flowing into the America into the states yeah they’re trying to bring a lot of the um skill jobs and Manufacturing back to the US and then where AI is going too I know you’re looking at all the chip factories
(18:42) you know there’s going to be a shortage and they need those chips and that’s why nvidia’s been making the bets and same with Sam Alman the CEO of open AI yeah he’s talking to the Saudis about raising 10 billions I think it was trillions I know but I think for the for the immediate project he needed 10 billion but yeah long term he wants yeah he wants to build chips because he knows that AI is going to be chip heavy uh let’s talk about some actual specifics on deals for example I see a lot of our Canadian clients are buying
(19:09) in Memphis can you paint The Listener an a picture of what they’re buying in Memphis yeah usually Memphis um is you know in the mid 100s you’re talking 6% uh I’ll say cap rate but let’s call it returns um and you know we’ll chalk that up anywhere between like a 2 and 5% annual appreciation and then so if a house is in the mid 500s what does it rent for on average mid 500,000 or sorry you said mid 100,000 for no I thought you said mid 500 sorry okay so mid 100 thousands uh you’re talking about 11 to 1200 bucks right so
(19:50) 11,00 bucks for a property around 140 150 yeah right so for the cap rate lovers I’ve been yeah I’ve been seeing High six yeah cap rates on these properties yeah you’re in the sixes for sure and then you know as a Canadian investor I know what people have to go through to get to a high six cap rate yeah so so for the new listeners for the newer investors you’re typically buying a building like many units 6 12 30 wow you’re having to ask set what do they call it basically you’re turning over tenants
(20:33) right cash for keys whatever you’re compensating tenants to leave in order to uh renovate and raise the rents and so these are like two four six year repositionings asset repositioning is what they call it okay in order to get to like a five to seven cap wow okay right versus we can walk into a property day at a high six cat yeah yeah and those will be yeah and those those will improve over the next 5 10 years too right the cap rates will go up the rent rates go up M so yeah and then more for everyday language the cash flow
(21:10) is going up the cash flow is going up because there’s no rent control yeah and the econom is improving yep right and then the mortgage options are fantastic as well yeah what are what are what are KY investors telling you about the differences between the investment and the mortgages for example yeah so you know it takes a bit of time to try to educate them on the US the mortgage that we use which is the dscr The Debt Service cover ratio mortgage but what they’re saying on the Canadian side is that they’re kind of tapped out
(21:41) too their their personal credit is is maxed or and um that they’re in also a tough position actually that’s a good point that uh a lot of their mortgages are kind of coming soon to Renewal or they’ve got a high rate or it’s a variable and like it’s just they can’t anticipate their cash flow um because it’s unpredictable because of all the different types of mortgages they have um so it sounds like it’s Case by case and um like I kind of spin when I’m trying to talk to them and they’re like
(22:11) I don’t know like this house I think we did it on like a 9% variable whatever it is and I’m like that’s really tough to track like how do you actually scale when everything is so unique um so yeah they they um they’ve got a mix they definitely max out their personal credit here to get their inventory M um but they’re like I want to go faster how do I go faster and then we kind of talk about this dscr Mortgage in the US right and then how many dscr mortgages can I have oh man there are thousands of
(22:41) lenders you can get as long as the you know the the criteria of what you have to meet to qualify for a dscr which we can help you get there works you can do those over and over and over and in fact as you become better at picking these homes that opens up more dscr lenders cuz a lot of these a lot of lenders which you might not have heard but that they prefer to work with investors who have a track record MH um so the more of these you have it opens up larger pools of dscr lenders and better rates um but yeah dscr by V virt by by its criteria
(23:17) is The Debt Service cover ratio so as long as you meet that specific lenders like rental income to hard cost ratio ensuring it’s exceeding you typically can get at a more preferred rate and they’ll do these over and over and over um so yeah like one particular lender might have a limit of like 15 a year per person per entity excuse me you can own you can buy 15 properties in a year yeah like I’m pretty sure like if you wanted to do 20 30 we could help you find those more lenders even if we exhaust one
(23:50) particular one again there are thousands of these lenders it’s really as long as you can find the deal and you have the capital for the payment and the ratio works yeah but in your in your experience do you have trouble finding deals that work no no we don’t let’s get into that how does Share Fine deals yeah so we go it’s personalized down to the investor So based on you know what type of house they’re looking for appreciation versus cash flow that essentially tells us what price point they’re looking at um below that is also
(24:25) the the risk tolerance and then um their financing strategy are they using cash are they using HELOC or do they want a mortgage and then we’ll work those numbers out back into what kind of dollar amount you need to get started and then we’ll start searching M um across the landlord friendly States and we can do burs with share like for example I see deals that come out with like a25 $30,000 renovation so my thought process is uh because cuz for my own situation we’re going to pay down my principal residence with with the from
(24:57) the sale of my three homes three houses we’re we’re going to pay down cherry and I are going to pay down our mortgage and then use our helck for to capital for the capital for our payments for properties but because it’s helck it’s very it’s um you know it’s open it’s an open mortgage I was thinking I would buy the house cash with my he lock do the renovation and then go get a US mortgage I can do that with share yeah so yes and no uh so the Burr typic the Burr model usually typically centers around the
(25:27) after renovation value whereas we don’t focus on that we we take a uh approach of like what do we think the the cash flow will be after the renovation um so we look at the after renovation value of just purchase price plus your renovation budget which is funny yeah so we look at it like that um but then if we go and do refinance any sort of lift on that is sort of the cherry on top or the gravy um so we don’t we don’t Target the after renovation value so if you came to us and said hey I’m looking to spend
(26:00) 250,000 after purchase and renovation but I want to be able to refinance at like 280 we don’t back into that number that 280 number we’ll say we’re looking for a 250 home after purchase and renovation right which is totally fine because when I when we were doing this in 2005 when I started investing we just didn’t want to tie up all of our helck you know what I mean I want to I want to take out my he loock with a cheaper mortgage yeah and even though I might be paying more on the US mortgage I I view it this kind of like I’m making
(26:30) up I’m making US dollars out of thin air yeah yeah so why would I why why wouldn’t I want us based US dollar based mortgages when the trend is like you know economically Canada is not performing well against the Americans right so there’s there’s an article just in the financial post L last week that expect the Canadian dollar to depreciate like we’re expected to see a 71 Cent Canadian dollar per the financial post so get your US Dollars now that’s my point and here and here I can again I
(27:00) can create US dollars out of th air with a mortgage yeah so why wouldn’t I do that yeah so to to your point though we will do those types of Renovations like the 25k um where we if somebody needs a mortgage though uh we will kind of draw the line at let’s call it the 35 to 40K range uh just cuz the dscr lenders typically want something that’s livable and if it’s at 40 Kish renovation levels typically you might run the risk of not getting mortgage right so yeah if you got a helck then definitely that’s an
(27:32) opportunity to go in purchase renovate then go on put in on the mortgage that’s my play what are some okay so let’s go you we talked about Memphis for like cash flow play Let’s talk about appreciation play what would be an example of an appreciation play property yeah like the greater sort of Atlanta metro the Dallas Fort Worth Metro the corridor between Dallas and sort of Austin uh the Carol and then certain pockets of I mean even there’s certain Pockets inside of Tennessee that we would say that there’s
(28:04) good appreciation play um and then Ohio as well let’s pick on but choose choose a city let’s pick on that one let’s just say Atlanta okay because it’s just loaded with jobs coming it’s absolutely nuts yeah yeah right the hende skon is building a a plant north north west of the city so I’m looking at that area and SK on which is a Korean company are you familiar with them you heard of them no okay maybe if I see the spelling so they’re one of they’re one of Korea’s largest companies no literally it’s SK K
(28:39) okay o n is okay I don’t know what it stands for South Korea something probably yeah clue in I’m a horrible Korean yeah but yeah they built a plant already they open their doors in 2022 Northeast of the city Atlanta and they already have three they already uh hired more than they expected they already have 3,000 jobs probably somewhere paying somewhere between 55 to 60,000 I’m guessing right so yeah Atlanta is loaded with uh manufacturing jobs anyways yeah let’s go through an Atlanta example suburb of Atlanta
(29:14) example yeah uh you know so we could go mid2 200s and then you’re probably looking at like low 2000s rent High 1000s depending on the price range sliding up and down right um so backing into sort of like five mid five cap rates so cash flow we’re we’re laughing because we know not uh not everyone understands cap rates but for the folks who’ve looked at commercial real estate and uh anywhere you know what a cap rate is but again just knowing these rents like if you can get 2K rent on a 200k property that’s better than you you can
(29:58) find in Canada right and we’re talking about 200k Mid 200k American dollars so the amount of capital you have to come out come out of pocket is L way less than I think anything in Canada yeah and like if you look at the appreciation there too and I’m just kind of like sidest stepping the conversation but um you know we’ll write like that is what we call like a b class um and you know we’ll write that up anywhere between four to 6% 4 to 5% four roughly 4% year-over-year um but like we have data showing that in Atlanta
(30:35) specifically so there’s a lot of institutional dollars here like these T lots of REITs private Equity firms hedge funds buying up houses left right and center onethird of the single family homes are actually owned by institutions um which is like from an investor perspective great yeah because you know they’ve got the big dollars to invest uh data they they have their back Channel analyst and know where the manufacturing jobs are coming um so it is a safe piggyback strategy right um but from from like sort of like understanding the
(31:10) market they uphold a certain level of quality of the neighborhoods um and then they actually they have a study showing the density of different Metro uh sort of zip code subdivisions in around Atlanta based on how much is owned by an institution and thear larger density of ownership of Institutions leads to a higher appreciation rate so interesting yeah so I can see why they’re probably not slum Lords yeah and you know they’re looking at and again think about how we’re conservatively modeling four to 5%
(31:45) like these areas are seeing 8 to 11% annual year-over-year appreciation um the more density you get with an Institutional presence and folks are welcome to fact check us cuz I tell people like I make money selling in real estate go go check your own facts so I was literally on trion’s website so reach out of Toronto they they list their properties for rent on the website and the address because they’re for rent ads yep right so they the the address is disclosed I can go Google that address and go find
(32:15) it on Zillow and can find out what they paid for it right so folks you can go do this yourself go do your own factchecking do your own research yep so I know like Tricom was buying houses for like 200 Grand and now they’re selling them for like 300 Grand yeah so appreciation was not 46% yeah exactly yeah yeah and we we actually showed those slides I think at the workshop one of your us Workshop investing workshops we showed the slides um for the density of these institutions yeah Tron is one of the big players MH and then is so
(32:48) I’ve just focused on Trion because they a Canadian company it’s just uh I only have so much time to research there’s so many cities to research and again every time I research I find New pieces of information I’m like holy cow like this opportunity is just keeps getting better and better now specific to Trion I notic their their properties they buy are quite nice they’re probably all a class I’m guessing they even do some uh build to rent I like they B they build new construction for the intention of
(33:15) renting it out yeah and they’re quite nice yep like we’re talking about like 2500 square foot and above square houses detached Big Lots yeah is that is that generally what the the institutions are doing yeah so the institutions they do typically there so they like we’ll go into sort of a history and sort of the model of the institution their institution they they’ve got like an exit strategy right they’re not they’re very different from the retail investor or the everyday like Mom and Pop
(33:42) investor who’s trying to build generational wealth the Institutional Investor Cycles their inventory so they bank a Lot on the appreciation so the cash flow is like sort of it’s it’s important but not as important as the appreciation right um they actually turn out 20% of their portfolio on like a rolling 5year basis M um and then Replenish by net new so kind of moving back of like pre-institutional date the institutions really came in after the 08 mortgage crisis when they realized this how stable of an asset class was so they
(34:13) came in trying to buy different like scatter what they we call scattered sfr which is like houses all over um but they realized how they didn’t have the technology or the knowhow to kind of operate that inside inous MH um so so they went to whatever is easier and for them the easiest is throwing tons of money at developers buying these things and building build for rent bfr or B BTR buil to rent um and that way it’s easy for them they just buy it a lot of things are covered by the developer warranty and then they wait a few years
(34:46) and they sell them off and go build more you know so it’s quite cyclical they don’t hold generationally like everyday investors trying to seek Financial Security would do so different strategies for sure um but yeah build for rent or build to rent new construction are are great strategies too safe strategies interesting because just even from my own research My my what I think when I see like Trion and these built rent strategies is I don’t want to compete with them headon so I would think just you know thinking out loud I thinking I
(35:18) would go below them in terms of grade so I want it be B and C yeah like they they I wouldn’t say you’re competing um because sometimes they you can get slivers of what they’re doing and we often we we often sometimes get some of those um but again their strategy is completely different than say what you and I would invest for right we’re thinking about our kids we’re thinking about holding they’re not holding that long right they’ll cycle those things off interesting yeah and that’s like you
(35:47) know some of the off Market deals are these institutions rolling off their inventory um because they got to hit their returns and usually the returns are with their exit strategy you said a keyword that every investor wants to hear off market so can you explain that how do you guys access off Market deals um because it’s a common question I get does share do off Market deals they do they just I don’t know what people are thinking but yeah talked about where deals are coming from including um yeah because you you get a large feed of off
(36:17) Market deals yes yeah so we use um it’s our connection with institutions like to your point I like I mentioned a lot of these institutions they do roll off and have to sell off a portion of their portfolio every single year and like any sophisticated seller they’re going to try to sell to their Network first yeah before they go to the market exactly and um so yeah they’ll try to offload to the private Network we’re in that sort of pool of private Network and then there’s wholesalers um who actually work for
(36:45) these large institutions so not all institutions are in the build for rent or build to rent some of them still do play in the same world we play in uh so they have wholesalers that do quite a bit of volume we’re talking almost 100 a month uh they can search so um we tap into them because they look at us as an institution so we’re part of their deal flow and we’ll say here’s what we’re looking for and every month they’ll they’ll start looking for these off-market deals mhm yeah actually after seeing how
(37:14) things go in the states remember we went we met that one gentleman who’s a young wholesaler yep he wanted to scale from like 60 units to 100 units because part of it was he’s switching his clientele from retail mom and pop people to institutions so I told one of my good friends like who’s a wholesaler hey have you ever considered just selling to a re so I made an introduction for him and I’ll check you in how he’s doing with that because this makes a lot of sense yeah you way more transactions and your
(37:42) life is likely easier yeah that’s like the wholesaler’s sort of goal is to get in with a with an institution right it’s like I I can Source deals at scale I’ve got a big team um and yeah we can feed but like yeah that is the goal and then as the wholesaler we do more deals they become more loyal and they just start feeding us deals yeah so like business ideas for the wholesalers listening like why not sell to an institution yeah versus like trying to sell to because there’s a lot of people that are on a
(38:12) lot of wholesalers they complain about people try to do deals and they don’t have them they don’t even have the money right they’re trying to tie up the deal and then go raise the money yeah yeah yeah yeah so like yeah our relationship is a bit different now with our wholesalers they know we’ve got the money because we we work with our clients we do all the sort of um proof of funds the kyc know your um and they know that when we’re looking for a deal they have our sort of term specific deals um so they look
(38:38) specifically for our clients M now another question I get a lot is uh how long has share been in operation so how long’s share been in operation yeah since like 2021 uh roughly I mean conceptu we’ve been thinking about it for quite some time 2020 experimented a few things but I would say 2021 is probably official right when we got together and started uh but your CFO Carmen CPA on both sides of the Border Canadian but she lives in Tampa Bay mostly she’s been she’s essentially acted as an asset
(39:13) manager for her clients for for decades yeah she got in like the ‘ 08 like from the beginning uh so so yeah she’s been doing this for quite some time she’s the one that introduced me to it m um introduced the philosophies of tying and investing in terms of cash flow and wealth and then said hey this is the asset class to do it with so yeah she’s been in it for quite a long time which is fascinating because you don’t normally Hear About Accountants financial planners recommending real estate direct ownership of real estate
(39:44) as Investments because generally that does you don’t get paid off of that yeah and like to that point I think that may be a Canadian statement because like when I so to give you the context I met Carmen while I was living in the US uh and needed an accountant that understood the Canadian and US system for Canadians or Canadians living in the US and she became our tax or an accountant for my business that was based in California and then I asked her to do my personal stuff because I didn’t know how to do
(40:16) with this crossb stuff and so she got a glimpse of my whole portfolio which was not that big but I had a couple of Ontario properties and that’s the conversation that opened up right us rental homes yeah cuz you’re you’re investing here sucked it wasn’t making money yeah like I think you know I made money it just it didn’t feel like I was making money uh because I was so highly involved and it was just a lot of capital up front and this is what year was this this was 2010ish so like was cheap
(40:47) compared to now yeah but that back then it did not feel cheap and like to save that much money as like someone in their 20s was pretty tough right so so um and Carmen has other clients like you she was recommending this to she I imagine she was recommending American Investments to pretty much all of her clients yeah I’ve got yeah in the dozens uh for sure um so like prior when I met her the reason why she could sell this so easily is because she used to go on like sell these types of homes and then bundle it with sort of the tax
(41:23) Consulting side of things yeah and so did she start advising clients to buy US income properties back in like starting from like 08 I don’t know if it started back then but I believe it was like her 4ay was that and then like she had gotten in and then she realized and she devised a system and along with her real estate counterparts then started right going into that that world cuz that’s essentially the beginning of a share yeah yeah I just wasn’t called that yeah it just wasn’t called that so she was
(41:54) doing let’s call it the manual local vers local version of share and that’s what we actually want to we want to kind of open up the country and centralize it to a meaning of like giving access unbiased access to different regions um and doing it all online right CU correct me if I’m wrong the the back in ’08 it started with just Florida yes and then an eventual expansion to New York yeah yeah so like and expansion I’ll we’ll use Loosely because it was just because our her real estate counterpart had
(42:29) personal like business in New York and Florida so it was turn key because he owned the whole operation from top to bottom but would we say that you should only invest in Florida or you should only invest in New York no right but we did it because that’s typically how it worked you worked with your agent who has their own network and worked within their Network and now we’re saying share now that we have access to data and Technology we should open it up and then pick based on client preference right
(42:58) because when people ask me like how long sh been around like well they’ve been operating like this not under the the banner of share for a long time yeah and Carmen has lots of successful clients yeah who cash flow significantly in US Dollars including Canadian clients yeah and in my experience there’s not many people in Canada who cash flow significantly from their portfolio which is what led me down the path like I need to learn more mhm right like your own story of 19 properties is it 20 20 yeah I need to check your
(43:36) slide I was looking over your slides I think I counted 19 you might have locked one off somewhere but you haven’t even seen them so yeah you can’t you can’t name all the addresses can you oh no I can’t I can name cities that’s it yeah so you couldn’t even find them if you wanted to no my point is you have no idea what these properties are that you own no I don’t that’s pretty crazy yeah and how much do you cash flow a month you know over 10 $10 a month 10,000 I’m joking because I know Andrew
(44:12) doesn’t like to talk about his personal stuff you you cash over $10,000 American dollar a month yes but you know like again I’m to be aggressive and this is sort of shar’s philosophy is if it’s too much cash flow you should be refinancing get more against more so you know um so let’s say it was 10,000 before I you know got more active and now I want to go out and buy more so that’s going to quickly shrink and you investing for how long in the states um since 2011 but very fragmented until sort of the last few
(44:45) years right um so yeah Inception was like 2011 a little bit after like 2013 then huge gap MH um and then when I started to reinvest that’s when share came about I was like oh this is still so difficult so risky um and I need a faster way to do this and I need to think Beyond Florida and New York so yeah Florida has lots of uh hurricane risk and climate risk and insurance risk my lawyer literally said uh you’ll get your first insurance policy you may not get a second yeah in Florida yeah and his second home is in Tampa so he knows
(45:23) he knows very well and he owns lots of property in Florida yeah right this is my own lawyers advice so when people ask me why aren’t you investing in Florida like my lawyer will strangle me choke me I was just speaking to a client in Florida and um he was saying how now his insure I think it was he said it was citizen which is a state-backed um I don’t like it when government’s involved yeah it’s scary it’s a bad sign yeah so he’s saying that they’re cracking down on second homes investment
(45:53) homes on their rates so now that’s going to change so like they’re finding loopholes they or not loopholes but they’re finding ways to claw their portion of the insurance R which makes sense cuz you’re less likely to repair your second home versus if it’s your primary you’ll fix it even come out of pocket if you have to less likely if it’s an income property which we’re actually seeing because I’ve hear from my friends that are on the on the ground like there are literally houses that are
(46:17) condemned and being sold for lot value they have their insurance money they don’t want to fix it though they just want to sell it yeah good Andrew hin was telling me that the days on Market in Cape Coral 200 days ouch that’s nuts how’s that for an exit strategy yeah that’s tough your average is weigh 200 days to sell oh yikes complete buyer Market yeah never seen anything like that in my career yeah for Host this is for a host anyway yeah uh I forgot where I was going oh so so based on the calls you’re having
(46:56) with Canadians I think everyone’s goal should be to achieve $100,000 of cash flow a year so based on the people you’ve spoken to how would you suggest they build that portfolio look I think the first thing is they just got to get going um yeah break the ice yeah break the ice yeah and then get in sooner than later cuz I think I think what what Sher is actually kind of shooting ourselves in the foot is giving so much access to information so now they’re like picking and choosing but when I asked them did you do this
(47:28) kind of exercise on the Canadian side they’re like no no there’s too much information available like I’m analysis there’s just so much to learn such a big country like could we get like a B+ school waiting like it’s a B minus it’s a good neighborhood um you know or like an A minus school like yeah okay too much but like but I think first is just get in so just to share I can’t name any of the schools that are near my Al properties yeah not can not can because my point is like I know I
(48:03) know how how it works here in Canada to build houses there has to be a school nearby yeah so that’s good enough for me yeah so so yeah um like first thing is first is is action like whether it’s a b or c get in um because again once we’re in and you own a single asset whether it’s a b or c there’s opportunity to kind of let that grow at at the very least even if it was just the one property we’ll put that on a refinancing schedule of like maybe every few years and maybe that will like triple over the
(48:36) next five six years right um so just move uh get in break the ice yeah you know what we’ll do is help you soft land on the right home based on your risk appetite and your risk and return profile sorry before you even just help them help them identify the opportunity what about all like legal and accounting cuz that’s like the number one question I see I guess I’m sure you’re it’s coming a lot as well yeah like how do people like you’ll help people with the legal process like setting up an entity
(49:04) yes yeah yeah so we try to keep the conversations limited to the the US real estate investing we try to eliminate the broader scope of their personal portfolio in Canada and say look if you want to set up and purchase a home this is sort of the simplest way to go about it um and here are the pros and cons here’s we what we would do on an annual tax filing basis on the US side and then you would hand these documents off to your Canadian accountant and whatever and this is how it would work in theory um and if you’re okay with that we can
(49:35) go ahead and start setting up your entities for you right and just to remind folks your CFO is an accountant in both Canada and USA and has been doing this for decades for her past clients including yourself yeah so we’ve we’ve spent a significant amount of time and money Consulting different parties I think every there’s sort of a three-prong approach or three-prong lens you want to take is liability tax and then lender friendly is sort of the trifecta that we look at the type of com entity and structure you want to set up
(50:05) uh so we take that approach uh for Canadians and then if they’re ready to go we’ll go ahead and set up that entity Yeah by far Canada is the toughest like if it’s any other country it would just be an LLC but you know the Canadian government wants their peace yeah and and that’s actually something important to bring up uh because my understanding is I’m not an accountant folks neither’s angel is total your total tax is going to be the same amount yeah yeah exactly it’s just who you’re paying it to yeah yeah
(50:34) yeah you might have to like report here and there what’s happening but yeah I always say that it’s like investing in Canada MH and then how much to create to to to set up your legal whatever in the state that’s going to own the property that always comes up as well yeah so uh we use a third party but like again it’s it’s it’s client specific um so there’s let’s just say there’s two parts to the the fee one is to our third party that’s actually setting that up and then the
(51:02) other part is the state fee which is State specific so every state has their different cost to set it up but for the example of let’s just say we went with Wyoming which is um landlord or liability High liability protection um in privacy laws and then low cost M that would roughly be around 3 uh $80 roughly for a single LLC um or per entity that’s it yes that’s Jeep yeah but like you know the structures we recommend is an LLC with an L piece so that’s two so times that by two right got it and then just from what I hear
(51:46) from my wife is generally people should expect your accounting fees whatever your accounting fees in Canada be roughly the same of the states yeah I think so I think that’s fair and then what I’ve been saying to people is I think my wife agrees I think generally people should have a plan to at least own three properties justify the expenses yeah I would just say like yeah once you’re in there like it’s just so much faster to grow your portfolio in the US so I would say yeah you want your goal should be to get five plus like
(52:15) over the next 10 years Hang on we’re talking about can I because I think everyone’s goal should be to generate 106 figures in cash flow yes so you can’t do that with five properties no I mean yes no but there there’s there that’ be unprobable yeah because it is easier to scale because everything’s more affordable you you find proper like cash flow all day MH pre there’s lots of upside and the financing per my our friend Scott Dillingham said he said it’s 10 times easier to scale a
(52:46) portfolio in the states than here in Canada yeah 100% And he would though firstand since he’s a lender he’s a lender yeah like he did 400 mortgages in one year I believe in Canada which is nuts yeah so he’s very well vers in what the Canadian Market’s like because uh I know sh has been having discussions with investors to do a refinancing about 2 three years yeah yeah can you explain that yeah cuz you know the the rates are an all-time high um so and and that’s probably why you’re seeing a lot we’re
(53:14) seeing a lot more Canadians gravitate towards the higher like returning homes the Seas like the sixes and sevens is to kind of you know cover the interest rate uh so we want to obviously think about how do we improve your situation and how do we actually grow like situation in terms of the house how do you make a cash flow better and then how do we actually pull the equity out and buy another one so we are saying if we go and lock the house in today it’s cash flow neutral don’t worry in 3 years after we refinance we’ll pull out 50
(53:44) plus% of the original capital and go get another one and your cash flow will increase drastically um but your your goal now is to secure your piece of the pie before as you know the institutions are gearing up and they’re ready to come in and start buying a bunch so yeah that’s what we’re we’re saying get your piece we’ll help you secure it make sure it’s cash flow positive and then once the rates drop and then we’ll go out and refinance that thing mhm because I’ve had some people say
(54:11) like why not just wait till interest rates drop so drum pal fed has committed to three rate Cuts this year so My thinging is I want to get him for the rate cut yeah even Barbara corran’s been she it’s funny how the media Works they keep repeating the same thing she’s saying yeah that she thinks the market will pivot once we have our first cut yeah like like so in our world the single family rental sort of price range you know from let’s call it the ceiling of 350k and down we haven’t seen much price
(54:43) fluctuation it’s pretty resilient where you see the price fluctuation or the dip is like the major metros where they’re well over like $700,000 and majority of them are primary residents or like you know very expensive real estate New York La San Francisco that’s where they saw the major prices year-over-year we’re been pretty stable um and in fact like we’re already seeing increased competition tick back up with all the speculation of interest rate drops so what’s going to happen as soon as the
(55:11) interest rate dips the buying is going to start picking up and you mentioned earlier with Blackstone buying Trion you know there that is a good sign and I think even four weeks before that I think it was Blackstone or some two other funds had said that we’re we we raised another another billion dollars to start deploying to get ready to start deploying again in single family rental homes so the institutions are coming in and they’re ready they’ve got a war chest so secure your slice let them come
(55:39) in and ride ride the you know the tide because I want to get in again before these rate Cuts so I plan on writing offers in May yeah like I think the the speculation is that this is another 08 opportunity um where you know you can come in and then everything is kind of smooth sailing but that’s why I think the retail investment model is a lot more safe than the reat model because they have to cycle constantly right so they’re they have no choice they have to they exactly so whereas as a individual owner trying to build wealth like I’ve
(56:11) got patience this is pretty boring and slow like I can choose when to deploy because I’m casual neutral or positive because I got a 30-year fixed mortgage I know my bottom line so I’ll choose when to offload my house all right so um yeah I get in now now I don’t think it’s going to be I don’t think it’s as bad as the weight mortgage crisis again cuz our price is pretty solid but uh that’s the the the sort of sentiment is like I better get in now because as interest rates drop I know the prices are going
(56:39) to start going up right because I want to get in before these the doors open on all these manufacturing plants as well and the thousands of people have to pour into the into the area because they got jobs yes yeah like literally like looking at hyand and Savannah Georgia like they’re they’re promising average pay to be 58,000 which is double the state average right and 58,000 is about 78,000 Canadian Which is higher than the Canadian household average right right so Savannah’s nice can’t wait to go and
(57:11) me and then so when someone so people ask about refinancing questions because again like Maring and mortgages are so different yeah uh because my plan the plan my plan would be to refinance in about 2 3 years when rat’s bottom uh I’ve been modeling 4% and then just my own modeling I can go from like break even to like 300 a month cash flow just by refinancing yeah not even doing anything to the property uh what is the process like for refinancing yeah so what we’ll do is so the the simple part about refinancing when you
(57:44) have a tenant in place is they just take your actual rent and they’ll look at your hard expenses and then we’ll shop we’ll push that out to sort of thousands of lenders and see who comes back majority of the time is usually the same so we might Cho choose one or two that are we’re closer to um get a term sheet and then we should get like a verbal within 48 hours and then proceed with the process there that easy yeah well it still takes time to execute usually 30 days is uh what we want as a grace
(58:12) period um but yeah we’ll get like a a verbal within 48 hours and then term sheet in probably another seven days do you have any idea how hard it is to refinance here in Canada yeah when once it’s leased and there’s a hard t decent place it’s actually a lot easier um so they say there’s two there’s like one when it’s Unleased like when there when you just purchased it there’s nobody in there they’ll just take what’s called Market rent so they’ll do their own analysis on
(58:37) what they think the rent rate will be you provide your hard cost of property management tax Insurance um yeah and then they’ll make that a judgment but when there’s a tenant in place it’s so much easier cuz here it’s basically a new it’s a brand new mortgage is basically how they treat it oh okay so I have to re-qualify oh I see so they want like all my corporate docks oh yeah no it’s it’s it’s easier to refinance than definitely like coming off cuz you now have a track record as well yeah so to
(59:07) speak and there’s tenant in place understand I’m asking a lot for my lender to when they like I need to see all your stuff yeah and so they have to look at all my stuff oh really you many documents have to send them yeah like yeah we’ve had like one super difficult one but that was on a portfolio right this was on a oneoff like they may ask for an inspection they may just do a driveby like it really is lender specific they have their own criteria right and then is there penalties to break the mortgage so those are the
(59:39) things that are like let’s call default there are but everything is negotiable with these lenders so I would just so default I always say 30-year fixed rate with sort of a five-year prepayment step down so over the 5 years it goes from like 5% 4% 3 2 1 um and then as long as we know what the strategy is up front then we’ll say hey lender can you make an adjustment and make it no payments after do like a threeyear step down 321 right um they’ll be like okay fine but here’s what you have to do in instead
(1:00:12) either you pay something in front or you take an extra percentage well percentage points on on the interest rate and you’re guiding your clients through all of this yeah yeah exactly so that’s why we’ll model like 3% higher um potentially from coming in because we want to sort of pre-negotiate the exit and then I’m I have all this PTSD from high rates so my think I I thinking is once rates bottom hopefully 4% I’ll lock it in for for for 30 years done and then remove my interest rate risk for 30
(1:00:42) years yeah yeah and then in a couple years as the rent rat increase we’ll probably be able to pull out some more cash from that house do it again but yeah you’re set you know what your bottom line is and to to my earlier point if another recession or up Market comes that is just you being Absol like being in the most opportunistic opportunity like position to either sell refinance whatever you want to do and then when in my own modeling when I when I look at what the 10e cash flow is going to be what my cash flow will be in
(1:01:11) 10 years I’m like it ranges between like 6 to 10% yeah sorry sorry $6,000 to $10,000 US dollars a year yeah if I held for to for 10 years so then I always then I like I said I always post to everyone please poke holes in my theory mhm find me something that beats this there’s look there’s validation an Institutional spending billions of dollars in this space that have validated this thesis right so uh people that are smarter than me and have way more money to hire smarter people than me that have you know identified this as
(1:01:47) a opportunity right and people need to understand like institutional investors are selling to institutions yeah it’s all cyclical it’s all it’s all incestral to a certain deg well but like it’s these going to be like teachers pension fund for example yeah right so their diligence process is incredible yeah like the highest level you can possibly ever see yeah right or like CPP who has a wonderful track record of making above Target returns yeah like their diligence process is like the great the highest you’ll
(1:02:17) ever see and they own a billion dollars of us real estate too yeah and I think it’s a little ironic too cuz you get it’s the same individuals I think that are picketing the funds lobbies yeah go pick at C CPP and it’s your Pion fund that’s investing in these real estate uh trusts but I think it’s also interesting why does CPP invest in the states in single family homes but not here in Canada it’s a res it’s a very secure investment they know their model the model is safe it’s backed by Brick and
(1:02:47) Mortar so we’re hosting another Workshop April 13th which is why I had you so I can talk about it um CU yeah I remember the first time we did it and remember the faces remember the relief in the room when people like exist like existing landlords could see what what available to them yeah in a relatively passive investment yeah while they still maintain direct ownership mhm right like this is the anyone who clients of share they still own the house it’s there’s 100% on title our name is not associated
(1:03:22) to anything on title No profit share No profit share we don’t take an equity split it’s theirs right and you take fees just fees management fees yep and I’ll share a slide on on at April 13th where I went through trion’s annual report and I told you like they’re they have very significant performance fees yeah they take a lot of The Upside right which is like you no wonderful you’re making everyone money I want everyone to make money so you you you contractually said you’d take it you took it that’s
(1:03:53) your right mhm but I’m cheap so I’m not investing in a Reit cuz the analogy I tell investors like for people who understand what a Reit is like I’m investing essentially like a Reit but I maintain 100% ownership 100% Equity no profit share yep so again I still ask people buy me something better and no one’s really come back with anything yeah like you can make I tell people all the time you can make more money on your own doing direct investment but that means you’re you’re you’re active you’re risking way more
(1:04:26) more yeah I’d say for the sort of risk reward profile this I’ve always said it single family is the safest um and but yeah to your point it’s it’s low risk which is a boring investment um and there are higher returning assets and that you can invest in but they’re probably more involved and higher risk yeah like for example like my my friends who do like airbnbs people always ask like airb do you guys do airbnbs and duplexes trixes yeah we don’t do short-term rental um it’s a higher risk higher
(1:04:58) effort higher operating cost um and then duplex Triplex uh you know we’ll we we’ll present them if they come across but it’s not within our core sort of logic and algorithm because it may not be in the same sort of regions that we’re looking for where there is like a family of four and a dog or maybe something like that this my own research I like for take short-term re for example I can’t find institutional grade proper managers no yeah you you those are typically local mom and pop shops that specialize
(1:05:32) in single family I in short-term rentals because my point is for all investors I always tell them line up three property managers wherever you’re investing because you know because you will turn over your property managers so you better have plan B’s and C’s and and even going forward you need to keep planning for you know if you lose one you still go find another one you still should always have a roster of three property managers that are high high quality that you would hire any day that’s not easy to do yeah in non if
(1:06:03) it’s not single family or apartment buildings right because that seems to be where the big players will play yeah and anything in between there’s no big player yeah there isn’t yeah there isn’t a big player I mean there’s some operations locally that are big players but not like Multistate yeah cuz I want boring yeah I want like I I want I want single point of contact yeah right so shares my single point of contact from our properties and I don’t want ever talk to the other property managers yeah nor should you all right
(1:06:39) so what are we talking about April 13th at the US investing Workshop how to get in and how to scale how to get to retirement that safety net that everyone wants to desire or wants and desires and just I think lacks the guidance and you know we’re going to provide that so yeah April 13th yeah Andrew want want to thank you for coming into our world when you did thank you because again you I know your calls with the 150 Canadians they’re not lengthy but if you did you’d have you’d hear more of the War Stories yeah you
(1:07:17) know what I mean uh in again that’s why I feel we are doing community service for Canadians especially ontarians and and and BC and Quebec where the where the land laws are not almost yeah and I and I always joke about that saying that you know speaking to Canadians and helping Canadians it’s philanthropy work it’s charity work I literally had an investor Miss Miss mate he called instead of HE holding at the landlord tenant board he accidentally called it the tenant protection board hilarious and that’s the issue
(1:07:47) actually leads to a good question does anything like that exists in the markets that you guys operate no it just kind of runs through the regular system um um you know there’s there it’s like a science in terms of how it works per region of like what it takes to sort of set off a trigger and kick off the eviction process but no no there isn’t that I’m aware of any sort of landlord tenant board which I’m still that’s crazy but yeah it’s yeah it’s your investment it’s your money why
(1:08:18) isn’t it why don’t you have control over that’s kind of a weird thing right your tax your tax dollars pay for legal aid for the free legal aid for the tenants too landlords get none we have no legal a protection interesting it’s like how do you build I mean real estate is the path to wealth it’s like you know it everyone knows that it’s a safe bet but like now you kind of just remove that whole asset class and this whole thought of hey I’m going to build this generational wealth through real estate when you can’t
(1:08:46) control it MH so yeah and I shown you some condo deals haven’t I just for just just for education purposes yeah you’ve seen I’ve seen those perform us yeah I don’t see how anyone will ever buy a preconstruction condo again for investment purposes when they see what we got yeah yeah so I think we’re going to disrupt this Market yep definitely looking forward to it all right yeah start next step is uh April April 13th Saturday April 13th we’re offering at hybrid you’ll be there k your CFO will be there
(1:09:20) Demitri will be there you see Chief investment officer Scott dillingham’s going to be there you know he did 400 mortgages in the year one you know everyone’s going to be there in person so I recommend in person I think we’re almost sold out oh wow yeah we have some room online though okay so we’re s casting over Zoom so we’ll have room online as well okay awesome all right thanks for doing this Andrew thanks for having me thank you for watching if you want to learn how to invest in real estate from
(1:09:43) scratch my team teaches beginners how to use the number one investment strategy that I personally use in a virtual free training class every month go to investor the description as well I publish at least two to three videos a week here so subscribe if you want to keep learning from seasoned investors like myself and my guest and if you’re just starting out feel free to ask questions and comment below and I do the best to answer each of those comments and questions myself again if you’re
(1:10:10) ready to learn the nitty-gritty about real estate investing from a professional investor register for our next virtual class that’s at investor

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Before you go, if you’re interested in what kind of properties I am looking at in the landlord friendly states of the USA please go to for what I consider the best investment for most Canadians, most of the time.

I’ve been investing in Ontario since 2005 and while it’s been a great, great run. I started out buying properties in the 100,000s and now it’s $800,000 to $1,000,000.  How much higher can it go? I don’t know

To me, the remaining potential for appreciation does not match the risk hence I’m advising my clients to look to where one can find rental properties that are affordable range of $150,000 to $350,000 US$, with rents that range from $1,400 to 2,600/month plus utilities.   As many Canadians recognize, these numbers will be positive cash flow and are night and day compared to anything locally. Plus the landlord has all of the rights, no rent control, and income is US dollars which are better than Canadian dollars.

If you don’t believe me, US dollars are better than Canadian dollars, go ask 100 non-Canadians which currency they prefer to be paid in.

So to regain control of your retirement planning.  Go to and check out what great cash flow properties are available in the USA.  

The best part is, my US investments will be much more passive compared to by local investments as I’m hiring an asset manager called SHARE to hand hold me through the entire process.  As their client and shareholder, Share will source me quality income properties, help me with legal structure and taxes, they manage the property manager and insurance provider while passing down to me preferred rates so I save both time and money.  

Share will even tell me when to strategically refinance or sell.  SHARE can even support investors all over the country for proper diversification hence my plan is to own in Tennessee, Georgia, and Texas.  Share is like my joint venture partner but I only have to pay them fees while I keep 100% ownership and control.

If your goal in investing is to increase cash flow, I don’t know of a better strategy for most Canadians most of the time.  One last time that’s to see what boring, cash flowing real estate investing can look like on your path towards financial peace.

This is how I’m going to make real estate investing great again for my family and hope you choose the same.  Till next time!

Sponsored by:

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 and register for our next event.

Till next time, just do it because I believe in you.



As a committed advocate for transparent and responsible real estate investment, I want to openly share my involvement with SHARE SFR (Single Family Rental) as an Advisor. I hold an equity position in this company and receive a referral commission for clients I introduce to their services. My endorsement of their business model – focusing on direct ownership of positive cash flow income properties – is consistent with my own personal investing since 2005, is based not only on a professional assessment but also on my personal experience and belief in their approach. Please note that while I stand behind my recommendations, it is crucial for each individual to conduct their own due diligence and consider their unique circumstances before making any investment decisions. As always, my priority is to provide you with honest, insightful, and practical real estate investment education.
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