MB 239: Developing a Can-Be-Done Mindset for Multifamily – With Jeremy LeMere
So, you’ve got some experience in single family rentals. And you KNOW that multifamily investing would help you achieve financial freedom on an accelerated timeline. But you just don’t BELIEVE that you can do it. What can you do to overcome that hurdle and develop the confidence to take on your first deal?
Jeremy LeMere is the Principal at Star Capital Management Group, an equity real estate investment firm based in DePere, Wisconsin. He began his investing career over a decade ago, rehabbing single family and duplex properties. Since then, he has grown his personal portfolio to include multifamily, self-storage and commercial assets. Jeremy recently quit his corporate engineering job to pursue real estate full time, and he also serves as a mentor with the Michael Blank organization.
On this episode of Apartment Building Investing, Jeremy joins me to explain how seeing his net worth drop during the Great Recession inspired his interest in real estate. He walks us through his early investments in single family homes and duplexes, discussing why he made the shift to multifamily to replace his W-2 income much faster. Listen in for Jeremy’s insight on raising capital with an online platform and learn how YOU can leverage mentorship to overcome limiting beliefs and invest in your first multifamily deal!
Key Takeaways
What inspired Jeremy’s interest in real estate- Committed to saving and investing as much as possible
- Net worth cut in half, 401(k) collapsed in recession
- Bought and operated duplexes in local area
- Denied loan on third property
- Build portfolio of SFH with BRRRR method
- Liquidate stocks, use 401(k) and savings
- Work with credit union
- Start flipping SFH and reinvesting profit
- Passed over for promotion at corporate job
- Changed goal from replace income at 55 to 45
- Join Michael Blank mentoring program
- Develop can-be-done mindset
- Started mentoring program in January 2018
- Identified asset with value to unlock by March
- Acquired few months later (at asking price)
- Took from 82% to 98% occupancy in 3 months
- Value-add and increase rents as units turn
- Address vacancy gap (comps 100% occupancy)
- Gradually empower team to take over duties
- Last day of work = non-event
- Free up time to enjoy lake house with family
- Able to help others as career coach, mentor
- Local opportunity for 2 sites with 300 units
- Closed on 7/3, increase in occupancy already
- Needed $500K (2/3 from outside investors)
- Partner on funding side of wholesaling, flips
- Weakness in self-promotion and marketing
- Use automation to attract new investors
- Look for next big syndication deal
- Build out platform with content