On the Move with Alex; The Journey to Investment Real Estate
On the Move with Alex – Introductory Show
The Background Story to the Show
Stay with me until the end of my story, and I will reveal why I coined the title “On the Move with Alex.”
Earning my REIA (Real Estate Investment Advisor) Certification in May 2016 was a remarkable moment in my investment real estate career. My REIA certification would set in motion a directional and focused foundation I had been trying to achieve in helping the average person add investment real estate to their financial foundation.
I know when I first started out in purchasing investment real estate I set a lousy, goosy goal of buying as many doors as I could on my own and with family members which not the smartest target in the world.
Before long I had with family members and joint venture partners investing with me, and together we had purchased 12 real estate investment doors.
I soon realized I was having more fun coaching my joint venture partners than I was buying doors. Plus, I began writing a book on investment real estate.
Most business books are around 240 to 270 pages or just over 80,000 words. I had written over 55,000 words on my journey and had no idea how to bring my book to market. Part of my REIA training gave me insight on how to create a book proposal.
Here I was, a would-be author, and I had no idea what a book proposal was and why the heck I would need one. I went from floundering with my business mantra, vision, mission and value statements to arrive at a highly focused plan to achieve my goals in investment real estate.
The book proposal is much more than an outline of a book concept. It is a business plan. It describes the why:
the sense of urgency;
how to apply the book’s core concepts and ideas in one’s business; and
the desired outcomes.
The proposal also details the knowledge I was going to share, and how; understanding the audience and markets, I was going after; and how I needed to network and use social media to develop my book and business.
I have been a REIN (Real Estate Investment Network) http://www.reincanada.com member for over ten years and at one of my first training weekend conferences I had heard a great presenter; Peter Kinch. Peter said two things that stuck with me for over a decade, and ultimately his words helped me create my business mantra and my book’s focus for the audience I want as part of my tribe.
These two observations were: first, roughly 4% of all Canadians will ever buy real estate as an investment. Second, nearly half of that 4% only buy two or three properties as a way of supplementing their pension plan. ( 8% of Americans and Australians have investment real estate)
Over the years I have loved my association, membership, and education through REIN and in the beginning, I was motivated by their awards: Bronze, Silver, Gold, and Platinum. I earned my Silver award level.
I had my “aha” moment when I realized that my joint venture partners loved the idea of owning investment real estate, but most were not REIN members and were not interested in awards for doors held. I knew then I had found my niche and to whom I was going to offer my service. I was going to serve first-time investment real estate investors or someone who just wanted a few doors in their financial portfolio and want a more balanced financial portfolio.
My wife and I had a balanced financial portfolio; a company pension, government pensions, and RRSP (401 K); all of these funds controlled by someone else, and we had little say in how our money was invested. We wanted one financial vehicle we could control, and this brought us to investment real estate.
I am focused on getting my audience to look at their lives and decided what order each door should be paid off first and the circumstances or stage of life they are in. If your children are young and your parents are healthy, then focus on either yourself or community and pay off one of these properties first.
My book, weekly blog posts, article writing, and podcasting are going to deliver methods to help first-time investment real estate investors or wanting to add a few more doors to their investment real estate portfolio. (www.vaulttoinvestmentrealestatesuccess.com)
I had to find a method of reaching more than one person at a time and have found a millennial student who wants me to coach him. I am going to take my audience on a journey of purchasing their first investment real estate property through Alex. This why I have named the series of Podcast Shows “On the Move with Alex.”
With Alex’s permission we are going to follow Alex’s investment real estate journey, from graduating in April 2018 to Alex finding his first job; from building his team of investment real estate professionals to making the purchase of his first investment real estate property and starting his investment journey the 4 Door Investment Real Estate Way.
Alex Da Costa is a 25-year-old Edmontonian; born and raised. Alex is currently working part-time as he pursues his finance degree and expects to graduate April 2018.
What impressed me about Alex he has managed to amass a substantial amount of savings and investments in a relatively short period. His drive to succeed has helped him to get a great start on building a strong financial foundation. Alex wants to put these funds to work.
Alex has always had an interest in investing and as of late has shown a strong attraction to investment real estate.
Alex views real estate as a low to medium investment risk and believes that investment real estate can be leveraged to accomplish many of his financial goals. Alex hopes to acquires enough investment real estate over the years to create sustainable wealth on a road to gaining fiancial freedom.
Ladies and Gentlemen, it gives me great pleasure to introduce Alex Da Costa to the show.
You had reached (us?) regarding coaching; can you tell why?
Determining Your Base – what do you own as a principal residence?
Currently, don’t own one.
Any investment properties?
Do you think your background in Real Estate is helping or hurting you get started?
My lack of background is hurting the chance to get started, as being comfortable starting anything thrives on understanding the context of what is started.
Do you have a current net worth statement and net income statement?
I do now (attached).
What (are) the conversations you are having about real estate economies?
As of late, the increase in interest rates and the previous talk about the tenuous credit situations of Albertans has produced an interest in investment in property to get into the Alberta real estate market while it may be at a “bottom”.
Type of property you might like to start your portfolio and why?
The ideal property would be a duplex/fourplex or bungalow that could be used for both personal habitation and a rental property that could generate cash flow (which would ideally cover expenses). The property would be ideally located close to a post-secondary institution, as I believe students would be great tenants as they would have parents who would provide stable cash flow and more secure lease agreements.
What do you think your choices and challenges are? And Why?
Choices & Challenges:
1) When should I invest? *finding a point where the property is “cheaper” is ideal for the budget and maximizing capital appreciation*
2) What property should I invest in? *finding the ideal property to suit my needs and budget with my current knowledge may prove challenging*
3) Who should provide the necessary services (lawyer, appraiser) to help conduct a transaction and maintain the property? *a challenge due to ignorance and finding the right people*
4) Finding and interviewing the right tenants for the property *inexperience would be the challenge to properly find them*
Deadlines, Milestones, and Check-Points
*indeterminant as financial requirements must be hashed out*
Obtaining an investment portfolio that could be a “considerable” form of income in 5 years time.
Having income that could support financial independence long-term
Are you ready to take this investment real estate journey, learning and action plan and follow Alex over the weeks, months and years ahead?
Are you ready to be On The Move with Alex?
You can reach out to Alex through his Linkedin http://linkedin.com/in/alexander-dacostaand Twitter (@FinanceDaCost) or E-mail(firstname.lastname@example.org ) Accounts.