Starting a real estate business is not easy, but with the right planning, it’s going to be worth the work. On today’s show, Barri Griffiths, host of the YouTube channel Wrestling With Real Estate and the WWRE podcast, joins Jen Du Plessis to talk about how real estate can be a good investment option for you. A professional wrestler, Barri dipped his toes into real estate investing because of its potential to help him create the life that he wants for himself. It’s been years since his first introduction to the space and he wasn’t disappointed with the results! Through his platforms, Barri helps educate as many people as he can about the amazing benefits of real estate. He fosters in-depth knowledge on the ins and outs of the industry in order to help people find viable investments for themselves.
Looking for some help? Jen is seeking individuals who would like to be featured as a panelist on the show for her Mortgage Lending Mastery Mastermind Series.
Email Support@KineticSparkConsulting.com to get scheduled!
Watch the episode here:
Listen to the podcast here:
Barri Griffiths: Wrestling With Real Estate
I am delighted to have Barri Griffiths with us. Barri, welcome to the show. I’m excited to have you.
Not as excited as I am, Jen. Thank you so much for having me on the show. It’s going to be fun. It’s going to be a great start of the day here in Vegas for me. I’m very excited.
I’m delighted to have you here. I’ve been a guest on your podcast, and I want to thank you for that as well. Let me go ahead and take this opportunity to introduce you. Barri is the host of the YouTube channel, Wrestling With Real Estate and the WWRE Podcast, which is Wrestling With Real Estate as well, where he interviews people from all aspects of the real estate industry. His goal is to educate as many people as he can on the amazing benefits of real estate. He’s been working in the entertainment industry. He previously starred in the UK version of US Gladiators. He then went on to wrestle on TV with WWE as Mason Ryan, where he wrestled with the likes of John Cena. He performed on pay-per-views and regularly appeared on Monday Night Raw, which must stand for something. What does Raw stand for?
Monday Night Raw is one of the TV shows. It’s my flagship show. It’s on every Monday night.
I see it but I wonder if it stands for something wrestling.
I think it means that wrestling is raw. I never thought of that before.
He is performing in Cirque du Soleil in MGM Grand. Which Cirque du Soleil are you performing in? Which one is it?
It’s called a KA. There are a lot of mixed martial arts, and that’s where I come in. People might go, “This guy must be acrobatic.” No, not at all. I don’t do any acrobatics.
You are also the director. You come on stage and go, “What’s going on?”
I choreograph fight scenes as well.
Let’s explore all that because I love Cirque du Soleil. I was at the Bellagio, we went there for a mastermind. Cirque du Soleil was shut down and I said, “When is it going to come back?” They said, “It won’t be for a while because it’s the H2O.” It’s the water version. They can’t have people swimming together. It was disappointing because I had been to that Cirque du Soleil a couple of times. I keep going to it because I love it so much, but I didn’t realize there was one in the MGM at all.
There are 5 or 6 shows in Vegas. I always lose count. There’s a bunch of different Cirque du Soleil because they go, “He’s part of Cirque du Soleil for the most part and this too.” It’s the same show but every single show is different.
They’re absolutely amazing. The acrobats and the talent is amazing. How is it in Vegas right now with you not performing? Are you all still practicing? Are you still rehearsing? What’s happening with that to make sure everybody’s sharp?
We haven’t done anything because it’s a tricky thing. For one, we don’t know when everyone is coming back. We still do some training and still maintain a level of fitness and whatnot. March 9, 2020 was the last show that we did. Since then, we’ve not interacted or done anything together because I think there’s a lot that goes into it. You have to worry about the COVID-19 and people getting sick, and all that stuff, and when will we come back? It’s going to be still a while. It’s hard to believe, but it’s going to be months before the first show of Cirque du Soleil comes out.
That’s what someone said to me when I was there. They’re saying that probably a lot of hotels aren’t going to go full-blown or do anything until June. The Palms is completely shut down. I couldn’t believe that.
The problem is that a lot of these places are only allowed to open 25% capacity. In our show, for example, we need a 30%, 35%, 40%, depending on the type of people that come in and tickets they buy to breakeven because it’s such a big show. We’ve got such a big overhead.
A number of people in the show takes up the allowed audience attendance. That’s crazy. I didn’t think about that. It’s wonderful that you’re a part of such a great organization. Tell us about you. Go back to when you were in high school or whatever you want to go back to, how did you get yourself into wrestling? Did you grow up saying, “I’m going to be a wrestler?” Did you drop into it?
It’s a little crazy to think from where I came from. Here in the US, wrestling is a big thing. It’s like, “You’re a wrestler. I want to be a wrestler.” You can do that. I grew up in a tiny little town like 200 people in the middle of nowhere. People say small town is like 20,000 people, but 200 people. There were no stoplights. There was a fish and chip shop. There was a grocery store. There was a post office. There was my dad’s business, which was a construction/undertaking business.
Did he build caskets?
That’s how he started. My great grandfather started the business making wheels for the horse and carriages. That’s how the business started. I think close to 100 years ago by this point. We also do the wheels for the horse and carriage, but because they were woodworkers, it made sense as well that they made the coffins because they were made out of wood back then. This was 1920. It’s a lot different then. Because they made the coffins, it made sense that they were the undertakers. They were the undertakers. My granddad was the undertaker. My dad was the undertaker and I worked in the undertaking business for a few years as well before coming over here. People make the joke that there’s a wrestler called The Undertaker. I was actually an undertaker.
I did that work for my dad’s business. I grew up in this small town. My goal was to be a soccer player but that not never came to fruition. I guess I wasn’t quite good enough. It was training, going to the gym, working out and eating healthy. I loved that lifestyle and I was living it. I was dedicated to it without any goal. I enjoyed it. After a while, I created quite a physique for myself like quite a good look. I was getting attention in a lot of places I went. I was like, “What can I do with this?” I’ve created something. I’m working hard for something. I’m training like a pro to some extent. I was in the gym on a Saturday night when everyone else is down at the pub.
You were already there. You had the mindset.
I have to do something with it. I flipped on the TV one day and wrestling came on. I wasn’t a wrestling fan growing up, it wasn’t just on TV. We have four TV channels, that’s another thing, 200 people and four TV channels. Can you imagine the boredom as a kid that was? There wasn’t much going on. There wasn’t much TV. Wrestling was on and I saw these guys on TV and they look like me and I had been playing sports my whole life. I was fairly athletic. I was like, “I can do that,” and through luck, the Law of Attraction, being open and all that stuff, two months later, a wrestling show came to my town.
I went into that show with a purpose of trying to meet the promoter, not having any idea what could come of it, not having anything, but being open and having that idea of what I wanted to do. I went there and I met the promoter. I headed off with him straight away. He was a longstanding wrestling promoter in Wales. He’d been doing it over 50 years. We connected and he became a massive mentor for me. I wouldn’t be here now without that man. He was an amazing man. He set me off on that trajectory. It’s interesting to see how many other wrestling shows came to my town every year, maybe twice a year, for years and I never paid any attention. I never went.
You’re talking to many people more about the Law of Attraction and sometimes it can sound woo-woo-ish. Someone said that to me, but it’s simply being open and wanting stuff to happen and looking for it. That’s what the Law of Attraction means to me. I did that and wrestled in the UK and then through somewhat luck, being in the right place at the right time, putting myself in there. I was down in London after I filmed The Gladiators. They were filming something else and WWE was in London. One of my friends was there saying, “Why don’t you come over here and meet people here?” I went over and talked to them and they signed me up there. I moved to Florida six months later and started this crazy journey. There’s a lot of crazy stuff that happened like that. It’s somewhat luck, somewhat me putting myself in that right position, looking for it and attracting it. I don’t know. It’s crazy to me.
I don’t ever think it’s luck. It’s having the universe be open because having the best luck is being in the right place at the right time. You have to take the action to get there in order to let luck happen. I think that’s cool. You came over to the US and you’re doing WWE. I watch it because I know someone very important passed away in that space and it was sad to watch that because he seemed like a great guy. Anyway, you’re doing all of that, and what happened that you got out of it? How did you find yourself in Cirque du Soleil? Was there a gap in between time and it found you into Cirque du Soleil? Talk about what you do.
I came over in 2010, I went to the training school. I was there for a year and then made my debut on TV, pay-per-view, traveled the world, wrestled on the Monday Night Raw, John Cena, all this lot of cool stuff. In 2014, they didn’t renew my contract. I didn’t see it coming at all. It completely blindsided me. Here I am almost 33 at the time, I’m a wrestler, that’s what I’m identified as. It was a big blow because for one, the dream had come to an end. It could maybe have come back around, but it’s unlikely at that point. I was identified as a wrestler. That’s what I was. People back home call me Barri the Wrestler. That’s my identity. That’s what I identify as.
That was a tough time because then I had to figure things out, “What am I going to do from here?” I’m figuring things out and trying to work things out. A great opportunity came through Cirque du Soleil. It came through WWE because Cirque du Soleil was looking for a wrestler-type person to fill a role in this show. I left on good terms with WWE, and that’s for everyone. There’s no point in ever burning any bridges. I left in great terms with them and they called me up maybe 6, 9 months later and said, “We’ve got a job opportunity for you.” I was thinking maybe I’m going to get my job back with WWE.
You were more excited, “I better workout. I better pump up, so it would be good when I go see them.”
Instead, they said Cirque du Soleil is looking for one. I didn’t know too much about Cirque du Soleil at the time. I knew they put on great spectacle shows, but I didn’t understand what it was. Talking about timing and things like that, I was over in the UK when they were supposed to do the initial audition for the Cirque du Soleil there. I said, “Sorry, I can’t do it. I’m going to be in the UK doing the auditions.” I don’t think they moved it for me, but they did move it. I think that was luck. They moved it maybe a month forward so I could make it. I had to cut some dates but I left, came home early, flew to Tampa, grabbed my stuff. The next morning, I flew to Vegas and did the audition. The funny story was there were three other wrestlers there doing it. I knew the three other guys.
I signed up for the audition and I’m standing, waiting for them to come to get me. I’m out in the MGM Casino and I see one of my friends. He’s walking around and he looked a little bit like a headless chicken, trying to find something. I’m like, “How are you doing?” He starts talking and I’m like, “What are you doing here?” “I’m here for this thing. Why are you here?” “I’m here for this thing. Are you here for the?” I was going to say that word but one of the other friends walked in and then we all clicked like, “We’re all here for the same thing.” It was a fun audition though. Usually, auditions can be tense and nerve-wracking, but it was fun because we joked around with each other. We did our thing and I left thinking if I could get this gig, it would be great. If not, I gave it a good shot, at least I had fun.
I have a question about that. Did you feel some competition because you come from a competitive background? My way of doing things like that if I see someone there like, “What are you doing here?” “They’re going to be here too.” I start second-guessing me and I started thinking, “How do I be better than them?” I start twisting myself all up in knots and stuff. Did you do that? It sounds like you didn’t. It’s like you had fun.
It wasn’t too bad. I don’t think any of us did. We all wanted the role. I don’t know if any of us fully understood what it was even at that time, even though we watched the show. We met and then we watched that show that night, and then the next day we did more of the audition. We don’t fully understand what it was to work for the show and all this stuff. There was competition. We’re doing some physical competition stuff like they were testing our agility. Of course, it’s competition. Its athletes competing against you, but it wasn’t too bad. I remember feeling relaxed. I wanted the gig, so I was nervous and I wanted that but it wasn’t too bad.
It possibly made you better, don’t you think? You get a little loose because you’re with some friends and then it’s not you sitting there, getting all tense. Probably for you, it made you shine.The Law of Attraction is simply being open, wanting stuff to happen and looking for it. Click To Tweet
Maybe yes but it was a fun audition. They called me up two weeks later and I got the gig. Two months later, I packed all my stuff from Tampa. I sold everything and put some stuff in storage. I had one suitcase and flew to Vegas, which was an adventure. It brought me back to when I moved over in 2010, I didn’t know a single person over here in the US. I had two suitcases and some money in my pocket and that was about it. It reminds me that in Vegas. Now, I have my wife coming to Vegas with me, so it’s a little different, but it has reminded me that I was starting all over again in some ways. It was exciting and it’s the same as the first time around.
I’m looking forward to seeing you on stage at some point. I have a speaking gig in Vegas. They rescheduled it at the end of August 2021. I’m hoping that you guys will be live and open, and I can get a ticket and come see you. It will be good. Let’s talk about real estate. How did this all fit into this? Was it part of the Great Recession that you said, “This is cool,” and you were already doing it before you came to Vegas? Tell us about how you transitioned into what you’re doing now in real estate.
I wish that was a story. I would probably be a multimillionaire if that was the case, but no. I moved over in 2010, so I missed those deals. Even in 2010, I could have bought some great deals in Florida but I wasn’t looking at real estate at the time. I’ve always been somewhat financially savvy in terms of saving. I never liked spending crazy. I spend it, don’t get me wrong. I’m not cheap, but I’ve always looked after my money a little bit. That helped me with WWE because I always saved my money and I was always trying to be smart of it. I bought a few stupid things.
I was always saving money and trying to cut costs and stuff like that. I had that, but I wasn’t paying attention to any investments whatsoever. The only investment I’d done before that was I had some money sitting in the bank with Chase and they called me in and they said, “We have investment advisors if you want to invest with us.” I think I invested $60,000 and then in six months, it went up to $63,000 or something like that. I’m like, “This is cool.” I mentioned it was in April of 2014 that WWE didn’t renew my contract. In January of 2014, I bought a very expensive house.
Because now you’re rising and you’ve got everything.
I’m going to be the world heavyweight champion. My plan A was to be the world heavyweight champion. My plan B was to be the world heavyweight champion, and my plan C was to be the world heavyweight champion.
I remember when we were talking the first time you had said that. There was no other plan. That was it.
You have to have that focus but you can do other things. It doesn’t mean that you need to be swinging hammers on doing flips, so we can invest possibly in other people’s deals and still have that investment. Have your money growing and working for you rather than sitting in a bank or spending it. I bought this house as pure emotion. I love the house. I loved where it was. I loved the color of the walls. I loved the layout. I loved the kitchen, so many stuff that doesn’t add value to the home. It’s not an investment. It’s an emotional buy. I bought it for $135,000 in January and my mortgage was $2,550 on it. It was fine, I could afford that. I was making six figures at the time. It wasn’t an issue. I wasn’t thinking about, “In an investment, how much does this have?” or anything like that. In April of that year, when they didn’t renew my contract, all of a sudden that was an extra weight on my shoulder because now I was identified as a wrestler. We didn’t have too many other skills that I can call something else. Wrestling isn’t transferrable to too many roles.
A lot of those jobs or even stuff that you can do may be bouncing or whatever. It isn’t high-paying jobs. My house is at $2,550 a month mortgage payment. I had to figure it out and as I said, I love this house. It’s been an emotional buy. I couldn’t bring myself to sell it because I’d lost my dream essentially. It would have been too much for me. It was a tough time in my life. At least if I could keep a hold of that house, it could feel like I’ve achieved something and done something, and I have something. I found a renter. I went down the rabbit hole finding how to find a renter, how to screen a tenant, all that stuff. That started the ball rolling and I found a tenant. Unfortunately, I had to be a negative cashflow of about $200 a month, but I was happy to give it.
You had the equity growing.
I was keeping a hold of the house and I was keeping the house that I love. I was like, “In 4 or 5 years when maybe I’m back on my feet, I can move back into this house as well.” That was part of it as well. Through that, BiggerPockets reached that and pulled that, and got open to the world of real estate investing. It was crazy to me once I flipped that switch and realized what is possible and what is out there. You don’t realize that. I don’t think most people do because of the way 99.9% of us live our lives and the way we think. You don’t realize about real estate investing. You know about it, but you think it’s rich people who have millions of dollars throwing money at real estate, that’s how it works. When in reality, it’s not the case at all. I started that and then fell in love with real estate investing from a financial standpoint and from the life that it can create for you as well.
How many properties did you end up buying when you were in Florida? Did it not start until you got to Vegas where you started saying, “Now I’m going to start investing more seriously?”
It took me again to Vegas at the end of 2015 to start investing. I was looking, reading and paying attention. I was self-employed as an entertainer.
How did you get a loan?
I didn’t understand the creative ways there are to get financing and all this other stuff that you could do outside of that at the time. I was focused on trying to make my career work as a wrestler at the time. I was trying to travel to Japan and the UK. I was thinking about real estate investing, but it wasn’t top of mind. It wasn’t until I moved to Vegas where I had a consistent job for one. It was a W2 job, so that was going to help with getting a loan. Also, I had some stability where I was working five days a week. I knew my paycheck was coming in every two weeks. You’ll focus on something else because of this job. I was focused on Cirque Du Soleil, don’t get me wrong. I was working hard at that, but I had some time to focus on some other stuff. I rented it when I first went to Vegas, I should have bought it, but it’s easy to look back. I bought an investment property, which was a townhome. It was my first real estate investment.
That’s what I was going to ask you. Did you do traditional financing? Were you coming down and bought a place for you to live it? Did you buy it as an investment property?
It was an investment property. I bought it with 20% down through the MLS. I use a realtor. It was a good property, it was $44,173. It was a foreclosure. I put about $10,000 into it and then I rent it out for about $1,300. I don’t know how savvy people are, but you always hear about the 1% rule that BiggerPockets is coming down.
For everyone who does not know yet, BiggerPockets is a great podcast. That’s a podcast all about getting bigger pockets, but it is a great podcast. It covers everything, not just real estate.
They talk about the 1% rule. For people who don’t know, it’s essentially that the rent is sitting at 1% of the purchase price. If you’re buying a house for $100,000, you want the monthly rent to be about $1,000. Usually, it works out that, then you’ll cashflow. It’s a pretty solid deal. This deal didn’t meet that with investing in Vegas. For one, it was a townhome. I had no landscaping to worry about. There was a small HOA fee, but it was only $95 a month or something. That wasn’t too bad. In Vegas, we have no state income tax as well. I cashflow about $300, $400 a month on that property. That was a good start. It wasn’t a homerun, but it was a pretty solid deal for my first one. From there, I bought a whole house for us to live in, but it was going to be a live and flip. The idea was to live in it for a year.
We’ve been living in it for a year and then I rent it out. We get a homeowner occupied finance with that. I think I put 10% down on that one and it was a $230,000 purchase. I had to put $23,000 down on that property. I also put this calculation. I figure out how much the rent is going to cost. Similar to the first one but I was going to live and fix it up a little bit. To backtrack a little bit. As I was learning about real estate investing, I realized I needed to reverse engineer what I wanted from my life and what was my financial freedom number. It was 100,000 from all of these properties. I figured and then I was doing the math, I think I needed 40 properties to get to that point. I think it’s at $250 cashflow per door or something like that. That’s what I was thinking, 40 properties but I wasn’t aware of all this creative financing.
“I have to save 20% or I have to move every year.”
I was thinking both for the ten-year horizon. My three properties with 20% down, one with owner financing for the next ten years to get to that goal of 40 properties, and the average median home price in Vegas was about $250,000 at the time. I’m thinking, I need $50,000, 20% down. How am I going to save all that with three properties? I realize that I’m not going to get that, that’s impossible. I’m not making nowhere near that kind of money to get there. Through networking and meeting people, I met someone and they introduced me to the idea of multifamily. You want to get to 40 doors. You want to get to 40 properties.
Buy a 40-unit.
That was exactly what’s in my mind. Forty units were massive to me at the time. It was like buying 400 units now. It’s crazy and unattainable to me at that point. I was like, “That’s for the billionaires.” He’s like, “No, they are regular people. Forty units may sound like a lot to you, but it isn’t. It’s considered small multifamily.” I was like, “Wow.” We dived into that. That idea resonated with me. I dove into podcasts, studying and reading about it as well. I’m like, “This is amazing.” Not only can you get this and so you have much more scalability. You can get there much quicker. Instead of ten years, maybe I can get there in two years. That blew my mind but also, I love the way multifamily works. For one, if you have 40 units and as opposed to one. If one person goes out there, you still have 39 tenants.
You’re obligated for a couple of thousand a month, depending on the payment.
We tried to buy 40 single-family homes. For one if we take the capital, that could be similar. To buy one property, how many properties do you have to look and analyze? 10, 20. Make offers on 10 to get one, and then you have to do the inspection for that one. You have to go through to get the financing on that one. You have to find a property manager for that one. You have all these things that you have to do. If you’re buying one property, you have to do it 40 times. While with one property, you only have to do it once. I’m looking at 10, 20, 30 properties to find one. You get there so much quicker. I also like the aspect of a multifamily commercial’s valued on the income, what they call the NOI, the Net Operating Income. It’s the income minus the expenses that gives you the net operating income, and it’s valued at that. You’re in control of that. If you’re able to increase rents, lower expenses, you’re increasing the value of the property, regardless of what’s going on around you. It becomes somewhat of an island with that. I like that concept, that’s why I fell in love with multifamily and dived in.
It’s funny you say that because I say this a lot when I’m coaching people too. When you and I first spoke, I said, “You’re playing monopoly. You’re trading-in your houses for hotels.” It’s the decision to work with 100 pennies or four quarters in everything that we do. We can work with a whole bunch of people superficially in relationships and in business as well, or we could work with four quarters. We work with four people and we work hard with them. They become people that we can’t live without. It’s the same with these types of properties, it is a lot of work to have 100 houses, 40 houses, as opposed to having a couple of multifamilies. When did you buy your first multifamily? Did you buy it by yourself or did you have a partner?
What happened was that when I fell in love with real estate, I started looking in Vegas and this was in 2018. Prices were high at that time. Looking back, they weren’t high compared to where they are now and everything, besides 2020, it could have gone the other way. I started looking at other maps and ended up picking Cincinnati as a market because I like the Midwest and I like the stability. As I mentioned, if you control the NOI, you can control the value. If the market is at least steady, I can do my thing and increase rents, lower expenses and increase the value of the property. If I’m in Vegas and it’s a boom or bust town a little bit, it’s very cyclical. I didn’t like the idea of being at the mercy of the markets or somewhat. I could do a great job with the property. Buy it right, manage it right, do all these things and increase the NOI but if the market drops, there’s nothing I can do about that whatsoever. I wanted somewhere with a lot more stability. I picked Cincinnati, Ohio for a lot of reasons.
It’s very stable. Don’t you also think too, even when you’re buying a single-family, we buy single families for cashflow or for appreciation. If you can get both, that’s wonderful, but you have to make the decision that you’re going in for one or the other. That’s what’s so great about that type of area. My son invests a lot in Pennsylvania for that very same reason. The values don’t go up and down and all around like they do in Vegas and other areas, but the rents are very steady. That’s what’s important.
It’s a very renter-type city. There are a lot of people that rent there. I think it’s 70% or something of people rent there. There was also a lot of the smaller multifamily stuff that I was looking at here in Vegas.
Not the big stuff, just a little 2, 4, 5 units or something like that.
There were 20, 30 units.
Way to jump in with both feet.
That’s what I was looking to buy. I ended up buying six units, which I was telling the broker that I want 15-plus units. He sent me six units one day. He was like, “I know you’re looking for 15-plus units, but this is a great deal. This is in a great area. It’s up and coming. This landlord has taken care of the place. You might have to spend $10,000, $15,000 per unit, but once it’s fixed up, there’s a property down the street that’s selling for $500,000 and they were asking $300,000 for this one.”Real estate is not going anywhere, even in this technological world. Click To Tweet
What kind of steal did you get on six units in Cincinnati?
I paid $300,000 for it. It’s pretty good considering the area. In one area in Cincinnati, you can get stuff for 30, 35 units but that was in not a great area, but you can get pretty low-priced stuff there. This was in a great area. It was tree-lined streets like on the river, ten minutes from Downtown Cincinnati, and this area was changing for the better. A lot of young professionals are coming there, coffee shops, breweries that type of stuff that was all over the place. I got it for that. I didn’t have to do too much analyzing because I knew that this other property that was very similar down the street was selling for $500,000. I knew $300,000 purchase price, I’m not going to probably put in more than $100,000 into it. I’m all-in for $400,000 and I can sell it for $500,000. That was the quick analysis that I did on it. I dove into numbers a little bit more, but I made the offer and we got accepted at this price. I was analyzing the area and realized that there are a lot of rooms for rent. Rents were above average for the six units. It was about $525.
That’s a good return because half of the units make the payment. You went in by yourself. Did you do traditional financing or did you do some creative stuff to get in there to be able to have the money, to be able to do the improvements?
I wish I would have done something a little bit different but I did traditionally. I put 20% down. I did it through US Bank. It was a little bit challenging finding financing because there are a few things. Even though it’s six units, it’s considered commercial.
It’s not traditional financing. It goes into the multifamily world.
It can be a little bit more challenging. It’s a little bit more that they lookout in terms of that. Ideally, they want you to have a track record. A lot of times, they want to be where that property is. I was in Vegas and this property is in Cincinnati. It’s on another side of the country pretty much. I was having challenges talking to local banks in Cincinnati because those were the ideal candidates for this type of loan, but they wanted you to either live there or to own property in that area. I didn’t have either. I came across US Bank. They have what they call a footprint, so you either live there or have a property there. Because they have a US Bank here in Las Vegas, if I was to open an account with them here in Vegas, that essentially counted as me having footprints in Cincinnati. That’s how we got around that. I got 20% down but as you said, I could have gotten a loan-to-cost rate. It would have included the renovation.
Purchase in remodel or something like that.
I end up putting $100,000 of my own money. I could have leveraged that and put in only 25%.
It would have taken so long or you wouldn’t have had to leverage other things in your life in order to be able to do that.
I could have used that money for other stuff as well. I think that property is now worth closer to $650,000, $700,000 maybe because I’ve been able to push rents. Initially, I thought I would get $800 for the one bed and $1,000 for the two, but I’m getting $1,250, $1,300 for the two, and $900, $950 for the one.
Rents have gone up and they’ll probably go up even further now with many people not being able to keep their homes and stuff like that. Now, there’s going to be a demand for rent in that market too. Even though rates are great and they’re very low and all that good stuff, there are people that still can’t qualify for them. How many multifamilies do you own now?
It’s still currently at six. I bought that in January of 2020.
You have that one and that’s the one property that you own right now.
I sold everything because I wanted to be in multifamily. I thought it would be a lot further along, but COVID slowed everything down and there were a few other things that got in the way.
I know you’re working on a couple of deals now too. That’s good that you’re continuing to go forward. It is one of those things where people that are in the industry of real estate, mortgage and stuff like that, I find that they don’t even buy their properties. It’s wonderful that you took that step in moving in to do that. It’s a great story. It’s a Rich Dad, Poor Dad story, rags to riches. You and I both have been in Rich Dad, Poor Dad training. We both know the whole process. I shouldn’t say rags to riches but more down and out, “What do I do?” and making that shift and that pivot to say, “Let me look at something new, go out of my way. I can’t identify with what I was from a success perspective anymore. Now, what do I do with myself?” Taking those actions is super powerful. Many people can get blocked down by getting punched many times. I love that you have said, “I’m going to make a difference in people’s lives by buying these types of properties so they have a home to live in. I’m going to take care of my family, and that’s what I was dealt.” Those opportunities will continue to come your way. I’m positive about it because you’re open to having it.
You touched on something interesting is that I’m surprised on how many people in the real estate industry don’t invest. As you said, people that walk in the lending industry, brokers, agents, they have an unfair advantage over everyone. They’re in the job every day. They understand everything that goes around in it. I’m sure that you have connections, you have access to more deals, stuff comes your way. I’m surprised that more people don’t invest in them. Going back to my story, the reason I’m surprised is that I wish more people would is because the first time around, I talked about when WWE didn’t renew my contract. That was like the world fell apart for me like that because I didn’t know what I was going to do next. I had no plan B, I had nothing lined up. I didn’t know what I was going to do.
Fast forward to March 9th of 2020, when the world fell apart due to COVID-19. Cirque du Soleil said, “We’re not doing shows.” It was a hugely contrasting feeling for me. My message to a lot of people is to have a plan B because that second time round to me, I didn’t have a ton of real estate. I had some investments like six units and I had a few things that we’re going on with other people as well at the time. When Cirque du Soleil said, “We’re closing down and who knows when we’re starting again.” I was relaxed, I didn’t have that panic. I didn’t have that stress. I said, “Cool. I’ll go home.”
“Now I can focus my efforts in this arena.” It’s that time to be more creative to be able to pull people in.
I had that income coming in that wasn’t quite enough to cover my expenses but it was close. More than anything, I had that knowledge and that understanding of real estate that I can go out and create whatever I want from here. It’s two things to me. One, if you can create that passive income, great so that it can supplement your lifestyle and it can supplement tough times if that comes up. Also having that knowledge of real estate. Real estate is not going anywhere, let’s be honest. In the world of technology, real estate is not going anywhere. If you have that knowledge and that understanding of real estate, then you can go after it. It doesn’t matter what happens, you have that knowledge. That’s always there. If I was asked to start from scratch tomorrow and I never want that to happen.
You have the knowledge to duplicate.
I would be fine. I know I could hustle, go after real estate, make stuff happen. Do whatever it takes, real estate is flexible as well. It’s unbelievably flexible. That’s why I wish more people would be open to investing in real estate and going down that path.
Anybody who is ultimately successful, when you look at the big, successful people like Robert Kiyosaki, Warren Buffett and Kevin Harrington, why is everything they touch turns to gold? It’s because they learn the system. They learn how to apply the same resources, tools, experience and knowledge into any form of their life. That’s exactly what you’re saying. When life happens, be prepared for something to help you. I love that. Barri, it’s been fantastic talking to you. I’m excited to know you and I’m excited also for you to be on one of my stages coming up soon. Hopefully, I’ll have an event in Vegas so it’ll be easy for you to pop over and share your story with the people that I’m coaching and teaching. I look forward to a long relationship with you. I can’t wait to meet your wife and your new baby. I love your dog. I want to meet your dog. Make sure you bring your child and your wife too, but I’ve been wanting to meet your dog. I want to meet The Hulk in person. I’m excited to have you as part of my world and part of my life. I wish you all the best as you continue to go forward. I want to remind you that I’m here for you in any way that I can help you with. I’m here to help. Thank you so much for being a guest on my show. It was an absolute pleasure.
Thank you. I’m happy that we connect. I am happy that we got to talk and we got to continue this relationship, and get to know each other on, and get to meet you personally. That’s the strange thing. I know you already but we never met.
You told my husband, you’re 6’6. I’m only 5’4. I’ll be looking up. I’m a little short thing. It will be very exciting to meet you. Best wishes to you and your family and to the success that you have. Thank you so much for gracing us with your presence and giving us some tidbits and some knowledge in life in how we can continue to move forward personally and professionally.
Thank you so much. The pleasure was all mine.
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