Making Real Profits From Real Estate    Knowledge     Presented by David Campbell www.HasslefreeCashflowInvesting.comdavid@ ...
David Campbell               Former high school band director                   Self-made multi-millionaire               ...
Compelling WHY         Husband          Father         Musician        Regular guy
Begin with end in mind  My Philanthropy: helping other people live more abundant lives through hassle-free investments by ...
WHAT IS THIS?• This IS a service to our existing clients• This ISto the possibility of living more other  people          ...
Deployment Phase    If your desired monthly expenses are                 less than       1% of your “liquid” NET worth$400...
Aggregation Phase    If your desired monthly expenses are               greater than       1% of your “liquid” NET worth$1...
Essential Resources• cash• cashflow• credit                         LIMITED• equity• time                      LIMITED and ...
Financial    Rat Race                            IndependenceYour TIME = limited   Other People’s TIME = infinite
Financial Independence             OPT =       Other People’s TIME            OPM =       Other People’s $$$
Harnessing OPM  Other People’s $$$x Total Rate of Return- Investor’s Expected Yield   Financial Independence
Harnessing OPM   $100,000 OPMx 12% Total Rate of Return- 10% Investor’s Expected Yield  $2,000 per year
Harnessing OPM more cash?        $100,000 OPMmore yield?   x 12% Total Rate of Return   lowerexpectations? -   10% Investo...
Harnessing OPM                              x 12% Total Rate of Return                              - 10% Investor’s Expec...
RECAP: Financial Independence                OPT =          Other People’s TIME                OPM =           Other Peopl...
Harnessing OPTReal Estate Systems  •Development: something from nothing  •Brokerage System: people focused  •Flipping Syst...
“There are no risky investments,                only risky investors.”                    - Robert Kiyosaki               ...
The story of Samantha’s Family Dollar Store ...
the propertyNational credit tenantFour years remaining on NNN leasePositive cashflowPassive managementStrong local economyT...
Good or bad property?• 9 CAP rate based on actual performance• 15% cash on cash return from leveraged return            CA...
it’s about the people NOT the propertyEvery Seller has a problemEvery Buyer has a solution
Rule #1• There is no such thing as a good property  or bad property.• There is no such thing as a good investment  or bad ...
appropriate for Sarah?•   Samantha inherited portfolio from active husband•   Samantha was entirely passive while husband ...
appropriate for David?•   Active investor•   Over $800,000,000 in transactional real estate experience•   Experienced owne...
solutions•   David creates a JV with Seller Samantha•   Purchase price equal to the debt (25% BELOW appraised value)•   Sa...
musttake       + cash =
equity as a down                      party 1       party 2    property          House        Rite Aid      value         ...
Making Real Profits From Real Estate    Knowledge     Presented by David Campbell www.HasslefreeCashflowInvesting.comdavid@ ...
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Making Real Profits from Real Estate Knowledge Webinar

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Professional investor David Campbell shares real life examples of how he turns real estate knowledege into real estate profits by walking you through a multi-tenant retail center deal. You'll be blown away at how many creative investing strategies you'll learn in this ninety minute FREE webinar. Find out how David Campbell uses creativity and his seven essential resources to put together a million dollar real estate transaction. This webinar is appropriate for both new and well seasoned investors.

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Making Real Profits from Real Estate Knowledge Webinar

  1. 1. Making Real Profits From Real Estate Knowledge Presented by David Campbell www.HasslefreeCashflowInvesting.comdavid@ HasslefreeCashflowInvesting.com
  2. 2. David Campbell Former high school band director Self-made multi-millionaire Professional investor Real estate developer Real estate broker Real estate & business advisor Financial mentor Over $800 million of real estate experienceHouses, condo-conversion, multi-family, winery, resort, office,retail, medical office, commercial development, home building California, Texas, North Carolina, Mexico, and Belize
  3. 3. Compelling WHY Husband Father Musician Regular guy
  4. 4. Begin with end in mind My Philanthropy: helping other people live more abundant lives through hassle-free investments by givingthe knowledge and support for our others to invest with mental tranquility. • NOT a sales pitch • NOT investment, legal, or tax advice • NOT a securities offering • NOT an MLM
  5. 5. WHAT IS THIS?• This IS a service to our existing clients• This ISto the possibility of living more other people an opportunity to introduce abundant lives through hassle-free investments by giving the knowledge and support for our others to invest with mental tranquility.• This IS a job interview for YOU and ME
  6. 6. Deployment Phase If your desired monthly expenses are less than 1% of your “liquid” NET worth$400,000 cash x 1% ROI per month = $4,000
  7. 7. Aggregation Phase If your desired monthly expenses are greater than 1% of your “liquid” NET worth$100,000 cash x 1% ROI per month = $1,000 cash rate of return expectation
  8. 8. Essential Resources• cash• cashflow• credit LIMITED• equity• time LIMITED and INFINITE• talent• strategic relationships INFINITE• control of an opportunity
  9. 9. Financial Rat Race IndependenceYour TIME = limited Other People’s TIME = infinite
  10. 10. Financial Independence OPT = Other People’s TIME OPM = Other People’s $$$
  11. 11. Harnessing OPM Other People’s $$$x Total Rate of Return- Investor’s Expected Yield Financial Independence
  12. 12. Harnessing OPM $100,000 OPMx 12% Total Rate of Return- 10% Investor’s Expected Yield $2,000 per year
  13. 13. Harnessing OPM more cash? $100,000 OPMmore yield? x 12% Total Rate of Return lowerexpectations? - 10% Investor’s Expected Yieldeconomize? $2,000 per year
  14. 14. Harnessing OPM x 12% Total Rate of Return - 10% Investor’s Expected Yield 2% Sponsor Yield Personal Need divided by Sponsor Yield = Cash To Raise$50,000 need divided by 2% Sponsor Yield = $2,500,000 Cash to Raise
  15. 15. RECAP: Financial Independence OPT = Other People’s TIME OPM = Other People’s $$$
  16. 16. Harnessing OPTReal Estate Systems •Development: something from nothing •Brokerage System: people focused •Flipping System: property focused •Organizing group investmentsProperty ManagementAsset Management Income
  17. 17. “There are no risky investments, only risky investors.” - Robert Kiyosaki Real Estate Guys 10th Annual Investor Summit at Sea March 30th – April 7th, 2012FACULTY: David Campbell, Robert and Kim Kiyosaki, RichDad Advisors - Ken McElroy, Wayne Palmer, Tom Wheelwright,Wayne Kirk, as well as Robert Helms and Russell Gray - Hostsof the Real Estate Guys Radio Program.
  18. 18. The story of Samantha’s Family Dollar Store ...
  19. 19. the propertyNational credit tenantFour years remaining on NNN leasePositive cashflowPassive managementStrong local economyTenant is profitable with continuos growthProperty is ideal for tenant (build to suit)Property is only six years oldAppraisal of $1,800,000 debt of $1,350,000Listed for sale at $1,600,000
  20. 20. Good or bad property?• 9 CAP rate based on actual performance• 15% cash on cash return from leveraged return CAP RATE 9% 9% Cash on Cash Return 9% 15% Purchase Price $100,000 $100,000 Debt $0 $70,000 Equity $100,000 $30,000 Net Operating Income $9,000 $9,000 Debt Service $0 $4,500 Cash Flow $9,000 $4,500 FREE video training: www.HasslefreeCashflowInvesting.com
  21. 21. it’s about the people NOT the propertyEvery Seller has a problemEvery Buyer has a solution
  22. 22. Rule #1• There is no such thing as a good property or bad property.• There is no such thing as a good investment or bad investment.• There is only appropriate and inappropriate ownership and timing.
  23. 23. appropriate for Sarah?• Samantha inherited portfolio from active husband• Samantha was entirely passive while husband was alive• Samantha self-managed property to save money• Property has 3,600 sf vacancy not actively marketed (needs TI)• Accounting reports show unable to debt service• Loan has ballooned. $300k principal reduction to renew loan• BORROWER NOT RE-FINANCEABLE: does not have $300,000 cash to pay down loan• PROPERTY NOT RE-FINANCEABLE: 75% LTV multi-tenant retail, weak property financials / less than 1.3 DCR, short term leases, greater than 15% vacancy.
  24. 24. appropriate for David?• Active investor• Over $800,000,000 in transactional real estate experience• Experienced owner of retail property• Experienced developer / owner of general contracting company• Ability to syndicate capital• Creative problem solver• Support team in place• Can’t get a conventional bank loan: property problems, residency problems, credit problems
  25. 25. solutions• David creates a JV with Seller Samantha• Purchase price equal to the debt (25% BELOW appraised value)• Samantha stays on loan for percentage ownership of property• David syndicates capital to pay down loan and complete TI’s• David pays Sarah’s broker with a “MUST TAKE” house
  26. 26. musttake + cash =
  27. 27. equity as a down party 1 party 2 property House Rite Aid value $500,000 $4,000,000 debt $100,000 $2,500,000real estate equity $400,000 $1,500,000 cash to balance $1,100,000 $0TOTAL EQUITIES $1,500,000 $1,500,000
  28. 28. Making Real Profits From Real Estate Knowledge Presented by David Campbell www.HasslefreeCashflowInvesting.comdavid@ HasslefreeCashflowInvesting.com

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