The topic of apartment investing scares some people, but please stay with this episode because you will learn how an easygoing guy, Tim Bratz, approaches this lucrative business.
Listeners can ask Tim questions during the show and we’ll get to as many as we can.
Tim is from Cleveland and got into real estate right after finishing college in 2007. His first job was with a commercial brokerage in New York City. He learned quickly about the value of residual/passive income.
He decided to go on his own in 2009 or so. He moved to South Carolina and started buying and wholesaling houses. He brought in others to help him and shared payouts.
Tim moved back to Cleveland and was as broke as he’d ever been. His partners turned out not to be good people so he had to back out of that arrangement. But the shutdown gave him cash to work with.
He knew he wanted to go into apartments because of scalability. His first few multifamily buys were smallish… triplexes, quads, and an 8-unit apartment building.
He credits his Mastermind for moving him forward and giving him confidence. In 2017, he studied his holdings and realized he was making 90% of his income and spending 10% of his time with apartments.
Well, hey. Let’s stick with that. Let’s get rid of our single-family units and make apartments our focus. He now owns apartments in 5 or 6 states and has a local partner in each one.
Tim follows Grant Cardone but doesn’t agree with Grant’s business plan. Tim doesn’t buy luxury buildings and he doesn’t charge people numerous fees. He structures buys differently.
He’s a top buyer in the states he’s in, so brokers always present deals to him. He makes an offer on every opportunity and gets turned down often because he always lowballs.
Tim does virtually no marketing. Instead, he’s built his business on personal relationships.
He’s about to launch a 506c offering, which is for accredited investors only. Previously, he’s used 506b which can be marketed deal by deal only to people you already have relationships with.
Listen and Learn:
- Tim is a big believer in Mastermind and recommends that investors find one at their level.
- Tim’s business model is based on what he learned from the last downturn.
- Tim primarily buys B-class properties in decent neighborhoods.
- He wants apartments that are at least 65% occupied that will sell to him for 60 cents on the dollar.
Mentioned in this episode:
- Joe’s podcasts on iTunes: RealEstateInvestingMasteryPodcast
- Joe’s free Wholesaling Lease Options book: WLOBook
- Tim’s podcast: LegacyWealthShow
- Book recommendations: Twelve Pillars, The Magic of Thinking Big, The Richest Man in Babylon
- Tim’s website: LegacyWealthHoldings.com
- Investor queries: CommercialEmpire.com
- Go to iTunes or wherever you access the podcast and leave a review of The Real Estate Mastery Podcast
What are you thinking?
First off, we really love feedback, so please click here to give us a quick review in iTunes! Got any thoughts on this episode? We’d love to hear ’em too. Talk to us in the comments below.
Enjoy this podcast? Share the love!