Co-Living: Triple Your Cash Flow on Single Family Homes

The Real Estate Investing Club

Join an active community of RE investors here: https://linktr.ee/gabepetersen  TIMESTAMPS  0:00 Introduction to Co-Living Strategy 2:45 Building a Second Income Engine While Working Your W-2 6:05 What is Co-Living and How It Solves Housing Crisis 9:49 Finding the Perfect Co-Living Property: Size and Square Footage Formula 13:14 Location Strategy: Where Co-Living Works Best 16:38 Pricing Rooms at 65% of Studio Apartment Rates 19:20 Property Management Challenges and Solutions 21:10 Quick Question Round: Education and Life Advice 23:56 Biggest Lesson: Ditch Shiny Object Syndrome 26:11 Deal Gone Wrong: Why You Must Touch Your Properties 28:09 Highlight Reel: $2,500 to $9,000 Monthly on One Property  DISCOVER HOW TO TURN SINGLE FAMILY HOMES INTO CASH FLOW MACHINES 💰  In this game-changing episode of The Real Estate Investing Club, I sit down with Sam Wegert from Scale Co-Living to reveal how everyday investors are doubling, tripling, even quadrupling their rental income on standard single-family homes through the co-living strategy! 🏡 Sam shares his incredible journey from martial arts school owner to successful real estate investor, proving you don't need to be wealthy to start building real wealth through rental properties. His story demonstrates the power of building that crucial "second engine" while maintaining your primary income source.  THE CO-LIVING OPPORTUNITY SOLVING AMERICA'S HOUSING CRISIS 🚀  We dive deep into the co-living model and why it's becoming one of the hottest strategies in real estate investing today. Sam explains how this approach provides affordable workforce housing for people earning $15-30 per hour while simultaneously creating exceptional returns for investors. With 600,000 homeless Americans and a massive affordability crisis, co-living represents both a profitable investment strategy and a solution to a critical social problem.  This episode delivers actionable strategies whether you're a complete beginner looking to buy your first rental property or an experienced investor seeking to maximize cash flow on your existing portfolio! 🎯  Want to learn more about our guest? Connect here: https://scaleyourrealestate.com/  Want to learn more about the REI Club Podcast, how to invest with Gabe at Kaizen, or join our community of active real estate investors on Skool? Visit the podcast website at https://www.therealestateinvestingclub.com or click here: https://linktr.ee/gabepetersen

Transcript

00:00all right we are back with another episode of the real estate investing club i hope you guys are

00:10having a great day whatever day it is for you and wherever you are usually it is friday on the

00:15podcast but today we're coming on a wednesday just felt uh felt to open up another time slot

00:21because you know wednesdays in the morning it's it's fun to have a conversation and talk about

00:25real estate so new day for you guys and uh with that i'm going to introduce our guest sam

00:30wiegert here on the podcast he is all about co-living so if you guys are interested in that

00:35strategy this is the episode to listen to he's from scale co-living and he's got a lot of talk

00:41about on the subject so sam thanks for hopping on the show dude i'm so excited yeah thanks for having

00:45me on on a wednesday no less let's go middle of the week nothing like getting over hump day with some

00:50real estate talk let's go that's right i told you before we got on here we always like to start

00:55with stories we'd like to hear how people got to where they are so why don't you uh take us to

00:58the beginning of your story in real estate and tell us how you got here yeah man i'll give the

01:03highlight because i know that you know we don't have a ton of time to dive into this but i think

01:06the highlights of my story that are that are interesting are you know like a lot of people

01:10right like raised in a small town hard-working family bit you know maybe not like a lot of people

01:14in this aspect but big family came from eight kids and so just didn't have a lot of money growing up

01:19and and so what didn't get into real estate because i was wealthy i think there's a common

01:23misperception out there as if you get into real estate if you're wealthy you know i talk to

01:26beginners it's you know we everybody has the opportunity to invest in real estate in today's

01:30day and age which i think is so cool and it's why podcasts like this are so great you know and people

01:34should be learning how to get started with that so i you know i my my mom put me in martial arts

01:38when i was really young and i was just this kid who was out to prove to the world that i could be

01:42somebody and and business kind of just came to me and i ended up buying the martial arts school

01:47that i was in with a little bit of a loan from my parents because my instructor he wanted to

01:51he wanted to go off and like fish professionally bass fish full-time oddly enough so i ended up

01:57just kind of my first gig was i built this chain of martial arts schools and again i'm skipping large

02:01portions of the story here but you know i joined a group i joined a mastermind i first really

02:05mastermind i'd ever joined and and these guys that were the the elders of the group so to speak kind

02:10of came to me and said sam you're doing well in business aren't you and i was like yeah yeah my

02:13martial arts company is growing i'm opening up new locations i'm going from virginia to south

02:16carolina and then i'm gonna open up some in north carolina and they were like that's great sam

02:20but you know something about business and i would say this to somebody who has a w-2 job or is

02:24you know is a gig worker like you know something about business and w-2 jobs and gig work

02:28sometimes it doesn't always go well like it doesn't always go well and so they told me the face

02:34you get kicked in the face you lose your job your your business goes through a covid right a martial

02:39arts business like imagine that and the craziness that ensued and so they said they said skim some money

02:45off the top and build a second engine and and and so at the time i was renting out rooms and you know

02:52i was cash flowing you know double triple quadruple what i could if i were renting out these homes just

02:56to a single family and i liked the community i was building in these homes and i didn't even know the

03:01term co-living at the time i just called them room rentals i had housemates and but i kind of was

03:05doing this every year i'd buy a new house and save up money so i did what they said man i just skimmed

03:10money off the top and i would buy this house one every three years initially then one every year

03:15then one every then two every year then three every day and it just kind of snowballed as as i was

03:20getting into this that's a little bit of my journey into real estate and and the biggest thing i hope

03:24people take away from just that very brief version of my story is no matter what you're doing it's so

03:30smart to be building a second engine because life hits you and even if i thought i was going to be

03:35martial arts forever and i was going to have a hundred schools and it just didn't happen that

03:40way and i'm so grateful that i had real estate kind of pumping there slow and steady in the

03:45background i was talking with one of my good friends actually my cousin this last weekend he

03:50makes a he makes a half million bucks a year in a w-2 job wow he was like he was like yeah so he's

03:55doing really good right but he was like sam i don't know man like why would i go buy a house

03:59that makes even if it's a couple thousand dollars a month which in co-living you can get a couple

04:03thousand dollars a month from a home he's like it's just too slow like i'd rather just go close

04:08another deal because he's a recruiter so he recruits people that's why it makes it and i was

04:12like i wish more people didn't have that mindset even if your second engine is slow you still need

04:19a second engine even if it's pumping off slowly so build it well it is slow but it builds over time

04:25it's like a snowball you know when you're doing transactional work even in real estate when you're

04:30when you're closing deals um it's just you might get a large lump sum but then it's done and you got

04:35to keep going you got to keep you know get the next deal get the next deal uh what i love about

04:40co-living or any type of long-term hold is that it's slow it's small but they build and so you buy

04:46one you add you know a thousand dollars here a month three thousand dollars there a month and then

04:51over time you're you're hitting the fifty thousand dollars a month and eventually you know people get to

04:56a hundred thousand plus a month and it's but you got to build it um it's not something that just

05:01one hit wonder kind of thing and it's over so i love that about your story though you i mean you're

05:06really focusing in on the fact that it doesn't have to be your primary goal your primary job a lot of

05:13people that come on the show you know we are active investors that is our primary income it's our primary

05:18way of engaging you know with work but that doesn't have to be you you can start with the w-2 you can

05:24start building like you said that engine on the side and let it build over time and eventually

05:29it'll be something that will provide that security for you if you want to keep working that's fine

05:34there's no shade to w-2 i you know there's a lot of fun jobs out there but um yeah you know if you

05:39lose it it's not going to hurt you financially it's so well said that's perfect yeah it's exactly

05:44what i'm trying to communicate to people so with that um your specific strategy you know you're

05:49building that engine on the side you're starting to buy them what you like to do is co-living

05:53let's first define that for people what is co-living and what is that strategy within real

05:58estate co-living is taking a single family home or some other duplex triplex quadplex and renting

06:04it by the room and so what you're doing by doing this strategy is you're giving people more affordable

06:10rent that granted they have to share the common space and share the kitchen they get more affordable

06:14rent and you get to double triple or quadruple what you would normally make on that home so it's a

06:19win-win it is helping solve affordable housing in america and at the same time you as the

06:23investor are making more money because you're not renting it to a single person you're renting

06:27it to multiple people that's in essence what co-living is makes sense i love it so i mean it's

06:33a great strategy but i'm sure there are specific requirements that you need to be looking for in

06:39your home so let's talk about what you're looking for when you're actually buying these houses because

06:44like you said it could be just a standard a standard you know single family house it could be a duplex

06:49a triplex something that would generally be rented out to a single family or a single person but you're

06:54changing that structure and you're renting them out room by room so what are you what are you looking

06:58for when you're actually looking for these uh co-living houses yeah i would say there's i just

07:04actually taught a seminar on this yesterday there's probably 50 things that 50 boxes you should check when

07:09you're looking for like what we call the perfect co-living house method but i'll give you the top

07:12four because these are the non-negotiable big absolutely things you should look for

07:16so first you want to look for size size is important because ultimately you're going to

07:21be looking for a home that can fit a lot of bedrooms and you're looking for a home that has extra space

07:25that you can convert to bedrooms right and nice bedrooms you want you don't want this to be you

07:29know a lot of people when i explain the strategy think rooming house or boarding house right but when

07:33you think rooming house or boarding house all it's a bedroom it smells 200 square feet yeah you want this is

07:39not that this when you walk into one of our co-living homes you're walking into what feels like an

07:42airbnb that was staged and designed and it's nice now we don't stage or furnish the

07:46the the bedrooms because that's people's home that's what they're going to move into but that's

07:50really important so one is you're going to look for size the bigger the better right the bigger means

07:53more more rooms and that's really key second thing you're going to look for is less regulations so no

07:58HOAs you want to be in a city that's kind of somewhat friendly to this and that's always changing

08:03and constantly changing but ultimately there's a lot of cities and states who are very very friendly

08:07to co-living in the model that we do so you've got that you've got you know so no HOAs right and

08:11regulation friendly the third thing would be making sure that it's a good neighborhood fit

08:15and making sure that you have parking so neighborhood fit means you know you're not

08:19in a neighborhood where everybody's got the white picket fence with the grass that's perfectly

08:23manicured like no you're driving into this neighborhood and before you put a co-living

08:26home you want to make sure that maybe someone's got a work truck in their front yard and everybody's

08:30okay with that someone's grass a little bit longer than normal like a working class maybe

08:33in real estate terms call it a b plus or b minus neighborhood is probably more accurate to what

08:37we look for and uh and so and then the final thing i mentioned would be parking right you need

08:42to make sure that okay if i'm gonna have eight people share a home nine people share a home

08:46i need to make sure i have at least two-thirds that number of parking spots available now that

08:50could be street parking that could be me adding a pad to the right of the left driveway to the left

08:54of the driveway adding a little concrete and gravel as long as i can park that many people and

08:57nobody's gonna be super pissed that's kind of the thing that i would look for so if you look for

09:02those four things we've got regulatory things we've got making sure the size the size is important

09:07no h uh we talked about no hoa parking and does it fit the neighborhood those are your big key things

09:12yeah that makes a lot of sense um i feel like dive just one more layer deep in the size uh category

09:20that you're talking about because you know you could you could be looking at a three bed one bath or

09:26you could be looking at a you know six bed five bath i don't know that's a lot of bathrooms but

09:31specifically bed bath combo and then size of rooms number you know your ratio of beds two baths what

09:38are you what are you trying to get out there yeah i mean when we look for a home on market in our buy

09:43box we don't look for any particular bed bath combo the only thing we care about is square footage

09:48that's heated right and cooled because ultimately like that's what's going to determine what i can

09:51convert right so for example the formula goes something like this i won't look at any home that's

09:57less than two thousand square feet and two thousand square feet equals six rooms meaning i don't care if

10:01it's advertised as two bedrooms i know that in six thousand square feet i can have a nice kitchen

10:06and a common area and at least six bedrooms how do you know that oh so you're okay got it

10:10you're tearing down walls yeah yeah yeah yeah i mean mostly adding walls but adding walls adding

10:16closets you know taking dining rooms converting them taking a living room cutting it in half converting

10:20it and still having the house have a nice flow to it but yeah i mean the way i think about it is if

10:24we're an affordability crisis in america which we are for housing for people who make 15 to 30 an hour

10:29we absolutely are then the best use of space is not to like have common areas that people don't use

10:34or rarely nope we're just having a small small issue here one second guys are you back on you are back

10:43on we uh we lost sam sometimes these technical issues pop on it's the beauty of uh technology

10:50sometimes we lose our guests and then they pop right back in there he is there we go good all right

10:55yeah we're good i was just saying yeah i was just saying that like ultimately um what was i saying

11:01actually oh ultimately i'm looking for size i'm looking to convert these rooms we're in an

11:05affordability crisis and if we're in affordability crisis then the highest and best use of of a space

11:10in a home is a bedroom i mean that's kind of the dramatic stance that i take on this like people

11:16need housing 600 000 people will be homeless tonight in america so we need housing there's enough

11:20bedrooms in america to house every homeless person and every person who needs housing right now

11:23we're just not utilizing so we don't have a housing shortage like everybody's talking about in the

11:27news we have a sharing shortage we have a creativity shortage we have a use shortage right and in real

11:32estate talk a lot about the highest and best use well highest and best use of this is so i'm looking

11:36for size that i can convert to bedroom so 2000 equals six rooms and then every 250 square feet

11:40beyond that so 2250 is seven rooms 2500 is eight rooms 2750 is nine rooms you bring me a 3000 square

11:45foot house i guarantee you i'm getting 10 rooms out of that house why just because i know i know how the

11:50formula goes now am i gonna have to add walls and closets and things and maybe add a bathroom too

11:54yes but that's ultimately how size matters that's what i'm trying to say and i called it yeah that

11:59makes sense and size just being the square footage yes yes thanks for that clarification so let's talk

12:05so we went a little bit further into size let's talk a little bit more about location because i feel like

12:10this uh we can tease out some more detail there you've mentioned you know you want to be in a b-ish

12:15neighborhood you want to have enough parking you don't want regulations i'm assuming it also really

12:20depends on the affordability of housing in the area like if you're looking in detroit i'm sure it

12:26won't be as effective as if you're looking downtown la or or you know san francisco or something like

12:31that so what what are you looking for in terms of location like type of city i know in the city you're

12:38looking for b b class areas but are you looking for you know near a hotel a hospital near a university

12:46like you would for airbnbs or is it just generally anywhere in the city and any size of city

12:52co-living co-living will work anywhere there's an affordability crisis in that city and so it doesn't

12:58doesn't necessarily matter how big the city is like charlotte's got an affordability need and so

13:04does asheville asheville's 50 000 people charlotte is 2.3 million people but asheville's a tourist town

13:09and it's very expensive so you're looking for areas that need affordable housing and when i say

13:13affordable i'm really talking more about workforce housing than i'm affordable housing because

13:17affordable housing has certain metrics a simple term but like people that make 15 to 30 an hour

13:21or someone that's yeah someone that's 55 plus and is on social security or a set income where are they

13:26living and a great a great way to determine this is just a seat to go into a city and to see okay

13:32you can call the city and they have a lot of data on this online as well or use judgment t but like

13:37how many people are in us in that income bracket in a city and then what's the average studio

13:43apartment price in that city because the studio apartment is usually the cheapest thing in any

13:48city so you need to see what percentage of the population in that city cannot afford a studio

13:54apartment and if it's a and obviously the higher the higher the better but that's ultimately what

13:58you're looking for and and then you as the investor have to come in and say it can you know can i

14:03provide something that's 60 to 70 percent of what a studio apartment is and still make money so here's

14:10here's a here's an example of where it doesn't work someone asked me the other day hey sam i want

14:13to go to this little tiny town i'm like nebraska or something so i looked up what a studio apartment

14:17i was like i don't think this is a good city housing is already fairly affordable there so i said let's go

14:23look at what a studio apartment is studio apartments go for like 500 a month in the city so he would have

14:28to come in at like 350 350 400 for a room and it just like the numbers just didn't make sense

14:36slash most people that in that city even though it's not a high-income city can afford a studio

14:41apartment so okay we're we're not solving anything by throwing we're not solving anything myself you

14:48know by by doing co-living in this in this place in this got it okay so we want to be in a city where

14:52housing is increasingly becoming unaffordable got it okay so you're and you mentioned you look at

14:57pricing your individual rooms did you say 65 of the studio price yeah that'd be a median yeah if you can

15:06make money at that price point then you're good got it got it got it and your numbers based on that

15:11you're basing you basically are looking to make sure that somebody who's making 30 an hour working

15:18eight hours a week or sorry 40 hours a week is able to afford so i'm trying to get it down what i like

15:25to do we buy mobile home parks rv park self-storage facilities i really when i look at a city i i look at

15:30the demographics of the city yes and you know if there's a certain number of a price per square foot

15:37in this city is it still is it still affordable is it still going to be making sense at what we're

15:41looking to project the numbers out with our pro forma so i'm looking for that same kind of thing

15:45from you for your co-living are you looking for do you have a median if a house a median house sells

15:53for 400 000 is that kind of like what you're what is the metric that people can look at and say okay

15:57this city works this city needs co-living yeah yeah i mean can you make money providing a 60 percent

16:06can you make money on a home as an investor i would say the biggest thing that we look for is can you

16:11make money on a home with rooms that are priced at 65 of what a studio apartment goes for and if you

16:20can do that then you can probably then that city is is one that's worth looking at cool all right

16:25makes sense so let's talk about management that is always the hard part of owning any real estate

16:31really and i feel like it would be a little bit more difficult with uh you know renting by the room

16:35for sure how do you do it is does it work the same i'm i'm assuming it works similar to airbnb

16:40like you're putting locks on each individual door like he does so tell me about management how do you

16:45go about doing that yeah i mean i'll give you an example so we have a house recently we bought

16:49oh i guess we bought this one maybe a year and a half ago now but i like to use this example so

16:54um yeah normally if we rent it to a single family rent for 2500 a month we made it an 11 bedroom home

17:00here in charlotte average room is average room is 800 or some higher there's some lower and so you

17:07know does let's let's call it 8800 so okay so i've got this home i'm producing you know not quite four

17:13times what it would normally rent for but it's three and a half whatever let's call it that and so you

17:18know that's the fun part that's the part everybody wants to see when they do see cold

17:21that's why all the gurus right now are talking about cold living it's the newest thing it's the

17:24greatest thing but what are the what's the hard part well it took me 90 days to find that home get it

17:29up and going and like get it rehabbed and all the things that 90 days but ultimately you're managing

17:33these things for the next 17 years so i'm saying all this to say by far managing this is the hardest

17:38piece and it's the reason why people are doing cold living failing it's because it's difficult

17:42imagine the nuances that come along with 11 people sharing home johnny ate my peanut butter

17:48problems i left my peanut butter out and johnny ate it from room two and i'm wrong it's gonna be

17:52the thing that's not hard yeah exactly so so so having systems and could be someone smoking weed in

18:00their room and something smoking it could be a million things that we've had to create systems for

18:05about my first cold living house in 2011 so i've been doing this a little while so i'm like i pretty

18:09much know what's going to come up everything from it's gonna sound crazy but i'm trying to get people

18:13the real real on your podcast right everything from hey there's a smell in john's room and we

18:18find out john passed away and happened to johnny my peanut butter problems right so these are all

18:25things you're going to have to either handle and deal with and this is where the rubber meets the

18:28road this is where someone making you know this is where the money actually gets made is in managing

18:33this and this is what i coach people a lot and support people on and do that so i mean we can take it

18:36wherever you want to go it's such a broad topic i'm not sure i've dive into one thing but yes

18:40ultimately it's do you have a system for someone smoking yeah go ahead yeah i guess what i was

18:45looking for is um so specifically do you do you hire third-party property management companies to do

18:53this and i'm assuming like a standard multi-family like when we went out to find somebody to manage

18:58our mobile home parks uh we first started by calling um property managers who manage your standard

19:04multi-family complex none of them wanted to do it um it just didn't make sense for them they didn't

19:09like the the asset and so we had to kind of go out and we hired individual managers for each

19:14individual property and then we got somebody to kind of over oversee all of them we had to kind of

19:19create our own property management company essentially it's not yes really its own company

19:23but we had to make our own property management structure are you going out and hiring third

19:27party or are you um are you doing it all in-house yeah we my wife and i own a property management

19:32company that manages ours and a bunch of our students properties but there are property

19:36management companies that you can hire they're just far through between right now this is this

19:39is airbnb in 2015 you know this is airbnb before all the airbnb managers popped up so will it happen

19:45yes it's coming we're seeing more and more come online every day every week every month

19:48but you can hire a third party you can either do it i mean your options are really do it yourself

19:52right learn the systems or whatever hire a third party which you can they're just they're not

19:57advertising they're overwhelmed everybody wants them to manage their properties they don't have to

20:00advertise i mean they're very very very in demand right now and even then you kind of like just so

20:05you don't get bs'd you need to have probably have done it yourself or know it or uh you need to build

20:10something yourself that's kind of the nuance right now yeah makes sense yeah finding a good property

20:14manager is very difficult i'll tell you that difficult in general right for anything but like let

20:18alone a new up-and-coming asset class so that's the key right on man um all right well i just took a peek

20:24at the clock looks like we have run through our time so it's time to jump into the quick

20:28question round are you ready let's do it i'm ready let's do it starts with education it could

20:33be any form it could be a conference you've gone to mentorship program you've been a part of a book

20:38you've read movie you've seen anything i just need two recommendations one for general life wisdom and

20:42then one for real estate two life recommendations one for real estate and one for general life

20:47yep could be a specific conference you've gone to any program you've been a part of a movie you've

20:53seen anything yeah i mean i would just double down on i would double down on my statement of like if

21:00i had to give just a specific real estate piece of advice just from something that's been reinforced

21:04over and over again it's like don't get caught into the to the to the lie that income equals wealth

21:10i think there's a difference between being rich and being wealthy right rich is i'm making a lot of

21:14income but you might be spending a lot in taxes we talked about how much we hate taxes right before this

21:18and getting all of our stuff together not taxes specifically october 15th yeah exactly that's

21:23what we're recording this i feel everybody's pain that's right so it's like i just doubled down on

21:27this idea that like you don't have to be like rich and wealthy are different and we want to strive to

21:31be wealthy because ultimately we'll live off of our net worth and so that is why real estate's so

21:34important i have so many friends that make a million a year make a million and a half a year make

21:37five like told about my cousin who makes a half million a year but and they're rich they have a lot of

21:41income but they're paying all of that out and they're not building that second engine that we talked about

21:46at the beginning of this podcast so as for terms of real estate i'd say get wealthy don't just get

21:50rich we all know the doctors that are just stressed can never stop working because they make so much

21:55money but they have so many bills and i think real estate allows you to build some real equity and

21:59some things things you're doing things i'm doing so i think that's important um that'd be my real

22:03estate advice general life advice so real quick do you have for everybody who's listening and they

22:08want to go out there and maybe join some type of conference go to a specific conference or go to a

22:13specific mentorship program to learn a little bit more about real estate have you been engaged with

22:19one that you could recommend or that's that's what yeah i mean yeah i've been in a bunch of them i'm a

22:24part of the one i was a part of for 14 years it's called go abundance it's only for men but it's a

22:28great group uh they call themselves the healthy they're a tribe of healthy wealthy generous men that

22:33choose to lead epic lives i was one of the founding members of that group and they were very impactful

22:37that was the group that originally kind of took me under their wing and said do this and now i get to do

22:41that in my own mentorship program i could have a mentorship program specifically around co-living

22:44that i help people and support them in in some of these same principles so i'm really proud of that

22:48as well so nice all right i love it yeah uh what was the yeah okay i'm gonna move us on to the next

22:53question let's do it this is for your younger self so let's go back to the sam who was uh just starting

22:59out or just buying that uh martial arts gym way back when go back to him look him in the eye give him

23:05one piece of advice moving forward yeah just ditch the shiny object syndrome is my advice like every

23:12time i would go like life happens and just just lean into whatever's in front of you a hundred percent

23:17like just give it all you've got whatever's right in front of you and i guarantee you the next thing

23:21will appear but it will appear naturally and normally and it won't have to force it i think that's the

23:27advice i'd give people like go all in on what's in front of you i wanted to be in real estate full

23:32time for many years but i was just like martial arts was in front of me so i gave that all i got

23:36until it very naturally flowed for me to now coach and teach and help people with co-living i was

23:41natural i didn't have to force it yeah no that's that's really good advice especially you mentioned

23:46shiny shiny object syndrome because it's so easy to get caught up in that so even in real estate it's

23:52it's tempting to you know you're out there you're generating leads you're talking to owners and it's

23:57tempting to switch switch assets you know you're doing self-storage right now you want to go to

24:01co-living you're doing co-living you want to go to multi-family or rv parks or whatever

24:05but if you've already got if you're already going down a path just just put more effort into that

24:10path and like you said your career and your trajectory will kind of naturally you know

24:16meander through life that's switching every single second is the thing that keeps you back

24:21that's right well said all right next question is about the u.s it is a big place there is a ton of

24:27opportunity out there give me the single metro you're most excited about investing in today

24:31i would just say charlotte that's where i put all most of my eggs in the charlotte north carolina

24:36basket it's politically politically it's middle of the road which i think is good you don't have

24:40big extremes one way or the other it's it's it's just been positive population growth for the last

24:4540 years it's one of the tops one of the top states i think to invest in very landlord friendly

24:49low taxes low real estate taxes low property taxes like good good solid state yeah my brother-in-law

24:56lives out there it's uh it's also very pretty especially in during the fall you guys have got

25:00some good colors out there yeah i've got this sick view in front of me right now i'm just looking at

25:03all the all the leaves turning it's amazing all right next question is about lessons learned not

25:08every deal we get into goes the way we expect it in fact pretty much every time something goes wrong

25:13and that's when we get to learn a lesson so what was a deal that went a little bit sideways for you

25:18and then what was the lesson you pulled from it i mean this is going to sound like a silly lesson

25:22but i would say like one thing is there's a movement in the real estate space to buy in

25:26houses and things like remotely and managing remotely and buying it i just think there's

25:30nothing like just actually physically meeting your contractors touching the property by and i have to

25:35relearn this lesson so many times i bought a property recently sight unseen in my own city because i just

25:40buy a decent amount of them and i was like i know that area i'll just buy it you know it's like i needed

25:43to yeah anyway and then i ended up being next to this like gas station that i like somehow missed

25:49a simple silly lesson but just yeah like be

25:53be involved in real estate and touch ground and touch the people that are working on that home and

25:59uh you know this goes for contractors too you know you give you leave a contractor for so long and they think

26:04they're not getting overseen by anybody right so like show up and be there every week a couple times a week

26:09to really make sure that you're just being a great force for good

26:12in your in your properties same thing with managing last thing i'll say is just like managing

26:16to like check in with your managers no such thing as real passive income in real estate right we call

26:21it my group we call it passive ish meaning it's like passive but you should be checking on it weekly

26:26or at the very least monthly with your manager so never step out completely yeah yeah that is that

26:32is a great thing to kind of highlight there is even if you have management in place your job is not

26:38over you have to meet with them every week even if you don't have anything to talk about

26:41the point is that your manager knows you're involved the manager knows you care and so they

26:46will treat your property with a little bit more care of yourself it's just human nature it's just

26:50how it works and so you have to be involved with your properties even if you have property management

26:54in place um all right with that i'm going to move us to the next one this is uh we talked about lessons

26:59learned and there are also deals that just kind of worked out um they are our highlight reels that's

27:04those are the deals that everything just seemed to kind of fit in place and they sit in our mind as the

27:09deals that we absolutely loved so take us to that deal for you um and tell us how it went

27:13yeah i mean thankfully we've got i've got a bunch of highlight reels i think i think you know if you're

27:18talking about this cash flow deal the one i shared earlier is probably the one i would just pick out

27:21is you know when we bought for 400 grand and you know normally it's like oh we could rent this for

27:27$2,500 a month and we'd break even right or we'd make make or we'd lose a couple hundred dollars but i

27:32mean you implementing the method that we kind of have been talking about here gabe is just

27:35allowed us to take that property and make closer to $9,000 a month so obviously cash flows thousands

27:40of dollars a month and it's one single family home and it's a great home and it stays full and it's a

27:43great area so i think those types of deals are obviously what we shoot for in every deal does

27:47it happen every deal no but that's what we'd love right because the average person it just doesn't

27:52take a lot for it takes a few of those homes two three uh for someone to say okay i've covered a lot

27:57of my basic bills now is there some management aspect yes but i mean that's really what i'm

28:01passionate helping people with is getting to a level where they're they feel some freedom not

28:05like private jet level freedom but some freedom at two or three or four homes and that's attainable

28:10that's within reach they don't have to have thousands of units you can have a few homes nice

28:14man all right that leads us to the very last question this is for the listeners you've given

28:19us a lot to think about i'm sure people want to reach out get in contact with you this is a

28:23two-parter um what does your company offer and how can they uh how can listeners get in contact

28:27with you yeah i just say instagram at sam w-e-g-e-r-t at sam weger weger is my last name

28:34it is a great way to put a lot of content about well my personal life but also just life and

28:38and also co-living real estate obviously and if someone's interested once a month i do a free

28:43training it's literally completely free it is an hour a day for five days called our five-day

28:47challenge because it's a job we're throwing you in here and you're kind of learning everything

28:50there is to know from a to z about co-living but and we have an offer on that program but it's

28:55not a pushy salesy offer it's really a way for you guys to get more connected with us if you want

28:58but the we've had thousands of people go through that five-day challenge literally thousands

29:01and um people rave about it it's a great way to kind of enter the co-living space if you're

29:06interested so they can go to they can go to www.scaleyourrealestate.com to register to get

29:12on the waiting list for the next one all right and i will put that link in the show notes so if you

29:17guys want to get involved there all you got to do is click the little more in the description it's

29:21going to pull down that full description and in there you can find sam's link thank you brother

29:26all right man that wraps it up thank you very much for hopping on the show thanks gabe and for

29:33everybody who's with us here today thank you guys for showing up you are the reason we do this so if

29:37you guys have any questions reach out to me gabe at the real estate investing club.com if you guys

29:42want to support the show just leave us a review other than that i hope you guys have a great week

29:46keep rocking real estate and i look forward to seeing you on the next episode

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