Wednesday, September 20th, 2023
Alright, what’s really weighing on me in terms of valuable content to you is the tale of my refinance of the small apartment in Calumet City.
The truth is, I’m just not ready to unpack it quite yet! That single event felt like it might have taken a few years off my life LOL.
But, to keep in theme of the conversation, that being the small apartment building in Calumet City, I want to talk to you about the conversation I had this week with the previous owner of that very building.
And yes, to set the stage, I like to remain in touch with the previous owners of properties, specifically those that I purchase directly from the sellers. I’ve quickly learned that you never quite know where a relationship can lead…my experiences are positive all around!
Ironically, Karen, the previous owner of the small apartment, reached out to me on Monday. Coincidently, this was THE DAY I received the call from the title company confirming that all the debt on the building had been paid and the documents had been recorded with the county. Coincidence? God works in funny ways in my opinion. 😊
To keep this story focused (cuz we know I easily trail off on tangents 😉), I’ll make note here that her text to me on this very day of the refinance, Monday, was regarding something other than the building, of which I’ll circle back to later.
The conversation between us that I want to focus on is the text I received from her on Wednesday evening (just two days later), at 8:31pm PST (keep in mind, it’s 10:31pm CT)…late! Something must be wrong! 🤯
Eager to see what it was about, I read the message, a bit terrified that something might be happening at the building. While I have a property manager who oversees the affairs, it’s not lost on me that Karen, who self-managed this building for over 25 years, might still receive messages from the two tenants I inherited, especially in cases of emergency.
To my utter RELIEF, Karen was thoughtfully reaching out to check on me! The village had experienced really hard rains and some flooding the days prior, and she was reaching out to see if had experienced any issues with the building as a result. No leaky pipes or busted radiators to fret over (at least not yet 😂)!
Hit with a wave of gratitude, I paused to reflect in my journal before going to sleep that night. Here I am, with my first multi-family investment, trying my damn best to manage a small apartment building in a C-class neighborhood from 1,500 miles away, and the previous, local owner is reaching out to ME to check in!
How lucky am I to have the fortune of wonderful supporters around me!? Not only within my family, close friends and cultivated real estate “networks,” but with those I’ve purchased property from and their connections within the community?!
I just felt really blessed in that moment and it was something I felt on my heart to share with you.
It also affirmed my current path.
The first three rental properties I acquired (via BRRRR) are in under-served neighborhoods. After I made those investments and educated myself to a greater degree (I take fast action and learn from my consequences!), I learned that these properties were likely not the smartest investments. Residing in Class C neighborhoods with poor metrics for future growth, I kicked myself for months for being lured in by the low property values and the opportunity to earn high cash-flow.
That said, you know what?
I’ve been blessed to meet some of the most wonderful and God-fearing people in my life. The individuals I’ve been fortunate to call “sellers” and “tenants” and “contractors” have been life changing. They have given me a new perspective and continue to encourage me to think and act with a service-first mindset.
Yes, most people get into real estate for the money. I’d be lying if I told you otherwise. For me it was a combination of time freedom, financial freedom and more purposeful work.
And, truthfully, I underestimated the impact that others, the people I work with…sellers, tenants, contractors…would have on my position towards serving others. Yes, of course I wanted to help people. But when you see firsthand the impact you’re having when providing solutions for distressed sellers, safe, affordable and upgraded housing for tenants in need and opportunities for contractors building their businesses, it’s truly heart-warming.
So, all that reflection from a simple text from Karen!
And that text she sent me Monday? She wants to partner on future deals together. Big multifamily investments and/or college town AirB&Bs. I’m sure you weren’t expecting that from a former distressed property owner, right?!
Never judge a book by its cover. Just because this small apartment had her in a bad position doesn’t mean that’s Karen’s full story. She’s an incredibly successful woman who found herself in a predicament over a few investments…investments that taught her some hard lessons and encouraged her to be wiser moving forward.
I can say the same for my first investments 😊. Hard lessons, but much wiser today.
We’ve all got a story; we all walk our own path…don’t beat yourself up if yours doesn’t look like your vision board today 😉.
God put me on this path for a reason. Don’t get me wrong, my vision board still posts A-frames and cabins tucked away in mountainous regions, but for now I’m owning my path in under-served communities. There’s a reason I’m here, and the people I’ve meet along the way, sharing their stories, imparting their lessons, and passing along their insights, ascertains that very thought.
I’ll close with this, OWN YOUR PATH.
My mentor told our small group the other day that “we get dealt the hand that GROWS us.” Sit with that for a minute! 🤯
The path you’re on was meant for you, it’s yours. It’s likely not going to be easy…so, do yourself a favor and OWN IT proudly 💪🏼.
Until next time, Cheers! ☕