‘The cost of my self-education was six figures in mistakes and seven [or] eight figures in lost opportunity.’

If you have a poverty mindset, investing money in a mentor or spending more for a qualified contractor seems like a burden. But if you have an abundance mentality, it becomes obvious that spending a little more up front for coaching and devoting your time to the activities that will grow your multifamily business result in higher revenue long-term.

Jack Petrick is the owner of Petrick Property Group, a real estate firm that specializes in multifamily acquisitions and improvements. He spent 15 years working as a firefighter in the Cleveland suburb of Strongsville, Ohio, before leaving to pursue real estate full-time.  Jack’s team focuses on on- and off-market multifamily assets, and to date, he has 100-plus rental units in Ohio and Florida.

Today, Jack joins me to discuss his initial experience as a self-taught custom home builder. He shares the major shift that took him from a poverty mindset to an abundance mentality and describes how he would use his time differently if he could go back to those early days. Jack explains the importance of mentoring and masterminds, the concept of forced appreciation, and the decision to hire an assistant that doubled his revenue. Listen in to understand what inspired Jack’s shift to multifamily investing and learn how to follow in his footsteps—by way of a laser focus on raising capital, finding deals and improving processes.

Key Takeaways

Jack’s introduction to real estate

  • Rich Dad Poor Dad changed thinking
  • Self-taught custom home builder
  • Single family rental properties

Jack’s major mindset shift

  • Poverty mindset (e.g.: hire cheap contractor)
  • Abundance mentality to save money long-term

How Jack would use his time differently

  • Invest in mentoring, masterminds
  • Raise capital, deal flow and operations

What stopped Jack from leaving his job sooner

  • Fear, thinking too small
  • Listen to ‘free advice’

How Jack got clear on what’s important

  • Time freedom to focus on family
  • Change lives for investors

Jack’s insight around mindset

  • Take action with right guidance
  • Get beyond comfort zone

Jack’s transition to multifamily

  • Walk-in medical clinic failed
  • Buy and holds continued to cashflow
  • Focus on pursuit of multifamily as option

The concept of forced appreciation

  • Buy value-add property at discount
  • Do renovation, tighten operations
  • Increase occupancy and rent
  • Value not contingent on market

Jack’s first multifamily deal

  • Came across on Facebook
  • 27-unit at 50% occupancy
  • Financed through hard money lender
  • Private investor to fund rehab
  • Repair sewer line, renovate units
  • Up to 100% occupancy

The value of hiring an assistant

  • Fastest way to double revenue
  • Focus on high-producing activities

What’s next for Jack

  • Expand multifamily portfolio (100K units)
  • Develop new multifamily properties

Connect with Jack

Petrick Property Group

Jack on Facebook

Resources

Financial Freedom with Real Estate Investing: The Blueprint to Quitting Your Job with Real Estate—Even Without Experience or Cash by Michael Blank

Rich Dad Poor Dad: What the Rich Teach Their Kids About Money That the Poor and Middle Class Do Not by Robert T. Kiyosaki

Go for No! Yes is the Destination, No is How You Get There by Richard Fenton and Andrea Waltz

Syndicated Deal Analyzer

The Ultimate Guide to Buying Apartment Buildings with Private Money

The Michael Blank Coaching Program

Free eBook: The Secret to Raising Money to Buy Your First Apartment Building

  • Download
  • Text “secretbook” to 44222

Michael’s Website

Michael on YouTube

Review the Podcast on iTunes

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