Not Your Average Investor Show

416 | "Rich Dad" Author Has A New Real Estate Strategy- Not Your Average Insights

• Gregg Cohen / Pablo Gonzalez • Season 2 • Episode 416

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With today’s ever- shifting market we need to turn to investors that have weathered economic ups and downs before, and there is few people with more experience and clout than Rich Dad Poor Dad author Robert Kiyosaki

But that book was written 25 over years ago!

That's why when Mr. Kiyosaki shows up, updating his views on what to invest in, we need to dive into them on the Not Your Average Investor Show!

Join Gregg Cohen, co-founder of JWB, and show host, Pablo Gonzalez,  on the latest edition of Not Your Average Insights, where we dive into the latest investor related stories to sprinkle a little data plus perspective.

In this episode, you’ll learn:

- The 2 real estate principles Kiyosaki believes are crucial for wealth-building in 2024
- Why avoiding high-end properties might be your smartest move
- What “healthy employment markets” mean for long-term rental income

Don’t miss this opportunity to learn how to apply these wealth-building insights to your own investments. 

Join us on Not Your Average Investor Show to ask your questions in real time, get advice from our experts, and stay ahead of the curve in today’s dynamic market!

Join our real estate investor community LIVE: 
https://jwbrealestatecapital.com/nyai/

Schedule a Turnkey strategy call: 
https://jwbrealestatecapital.com/turnkey/ 

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Pablo Gonzalez:

You know, there's this guy in our circles, in our ecosystem, I would say in our industry, he's an influencer, he's an expert, a little fellow by the name of Robert Kiyosaki wrote a book called Rich Dad, Poor Dad that I think all of us have either read or been shamed into reading. Myself and the problem with that book is that it's 14 years old. That being said, Robert Kiyosaki knows what he's talking about. He recently released an update of, you know, how he is looking at investing in rental properties in real estate. And we're talking about that today. Welcome everybody to a very special edition of the Not Your Average Investor Show. I am your host. Pablo Gonzalez in studio with my buddy over here, why I affectionately like to call it GC because he's got the genius concepts because he knows how to generate cashflow because he's a great co host. And because his name is Greg Cohen. Say hello, Greg. Hello everybody. Great to be with you. And in case you were wondering, we did not plan this outfit. We are just matched in, in mindsets and just, you know, yeah, just matchy matchy today. Hopefully Irving's here. Cause he loves to call us out for that. And we'll know if he's here.

Gregg Cohen:

It's usually blue, it's usually some shade of blue. Yeah, yeah, this light

Pablo Gonzalez:

gray thing is some real, real quantum brain stuff. But we'll know if Herve is here, if he checks in on our daily tradition called the What You See, The Roll Calls. We got, The Maven from the mountains of Denver kicking us off today. Joining us on the show soon. Yes. I'll have, you know, we go from the Empire. What's going on? Reggie, Reggie. How do you say hello? All right. We've got the ringmaster

Gregg Cohen:

in

Pablo Gonzalez:

the

Gregg Cohen:

house.

Pablo Gonzalez:

We got the, our usual lead off hitter batting for today. Clean up.

Gregg Cohen:

John

Pablo Gonzalez:

Henning. John Henning. We got the Fairy Godmother of the Natural Average Investor Community. Miss Jenfield. We got the MVP of the community, you may have heard of him. Mr. Lee Bishop. Mr. Lee Bishop. Who else we got? Oh, our favorite name to pronounce, Aaron O'Neill, into the lights. Good to see you, Aaron. We got our regulars, Gary and Rosalind Riley from Marietta, California. We regard you. Uh, we got Christopher Lee from Fernandina Beach. Alright, Chris. Chris,

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we need you right now. Yeah, we need

Pablo Gonzalez:

Chris Lee. Chris, you gotta give us a nickname. I feel like we've given Christopher Lee a nickname and I keep forgetting it. Yeah? I don't know. Chris, help us out, brother. Help us out. We got Allie King, teammate in the house. AWB, represent. Sayin hello. We got the Multimedal! Totally agree. Good morning from the desperately illimicinary

Gregg Cohen:

mountains of Colorado. That was a tough one, Billy. I need an actual definition of some of these words after you post this.

Pablo Gonzalez:

Did you, did you have WordlyWise in like elementary school growing up? They had this like book that just taught us words. Oh, yeah. I feel like you He's just got one of those. He wrote the book. We've got our community manager, Joanna in the house. If you need anything, check it with her. We've got our favorite smile from the Pacific Northwest, Pamela Myers from the Seattle area, Taylor Greener saying hello, everybody. Is that a new name? New name, Taylor. Welcome to the show. Welcome to the party. Make yourself comfortable. Hope you make a ritual out of it. Zenobia Lewis.

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From

Pablo Gonzalez:

Stone Mountain, Georgia, Zenobia. Good to see you in the house. Another person who has become a regular Charity Graham, saying hello everyone. We got Big Papa in the house, we love it when he calls in Big Papa. How are you my man? Founder of the co founder over here, Jay Cohen, Greg's dad. Who else we got in here? We got Louis. Hudnil from Rockland, California. Here

Gregg Cohen:

we go. Three and O Steelers. Louis, how are you buddy?

Pablo Gonzalez:

Yeah, man. I'm not jealous at all. We got the Shaw man in the house.

Gregg Cohen:

Nadeem

Pablo Gonzalez:

Shaw.

Gregg Cohen:

With

Pablo Gonzalez:

a good morning, good afternoon. We got Fritz Brown in the house. The JWB TV. In my pod, in my portfolio manager. I know Fritz well. I know Fritz well. Who else we got in here? Alex Diaz from Virginia. New name. Is that a new name? I think so. I don't know. I'm from Miami, so I know like 10 Alex Diazes. But uh, dude. Welcome to the show Alex. Welcome. Good to have you to Alex. We got Eddie Harris from Ha Atlanta from haa. Good to have you Ed. We got Tony D in the house special show today. We Tony D in the house. Tony D from Jupiter. Tony, good to have you back buddy. Stevie B's in the house. We

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go. We

Pablo Gonzalez:

got the first family of the Nara investor Show the patriarchy matriarch, Ken and Carolyn Meline. We salute you. We got Matt. Tushel. Toy shel. Toy shel. Remember Matt?

Gregg Cohen:

I told you the story last time. I do. I do. That's how you know he loves you, because he just screws up your name. This is how I show affection. This is how I show affection. I was going to say the same thing.

Pablo Gonzalez:

We got Christine Stokes from Iron Station, North Carolina. New name. Hi. Awesome hometown. That's what I'm saying. It's strong. Does she know the Man of Steel? Probably. Welcome to the show. I hope you are making it a tradition here. Ed Lowery in the house. Greetings all. I'm having a little tongue twisted today. Justine Herrera saying good morning. We got a full show. Robert Grayson from the IE. Bring it hard. Ilan Empire. Him and Reggie Francais. You know, if you speak French, you should reach out to Reggie. So we got, so we got in here, uh, all right, Cheryl Odom from Nashville. Is that a new name? Cheryl Odom? We'll go with it. We'll go with it. Cheryl. Love to have you here. We love you here. Yeah. I'm glad you took some time off of, uh, the bars at Broad Street, Broadway to like come hang out with us over there.

Gregg Cohen:

Clearly following country music. Or maybe the

Pablo Gonzalez:

Grand Ole Opry. I don't know. I don't, I don't know what's going on in Nashville these days. All right. Who we got? here. Okay, cool. Great. Great. Roll call. Jay Kurup from Connecticut.

Gregg Cohen:

Jay is a longtime JWB client. Jay, it's really good to see you here,

Pablo Gonzalez:

buddy. And Tim Hoving from Buckeye, Arizona.

Gregg Cohen:

Fantastic.

Pablo Gonzalez:

We got a

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bunch of new

Pablo Gonzalez:

names. We got a bunch of new names. All right. New names, old names. Community, let's get into the meat of the show first. We just want to say as you know We used to do this on tuesdays and thursdays and we've reduced that to just tuesdays But we know that you like to be invited to thursday events So we do thursday events what we normally do is bring on a partner Uh, so we can cross pollinate audiences this Thursday. We're talking to the GRE, the get rich education community. We're doing our usual presentation about Jacksonville and how about great investors are doing it. You have heard it before, but we always have a new little nuance, but what we love is when our community shows up. Welcomes other community members. It allows us to grow the audience that allows us to bring in people like us. So, um, Joanna is going to share the link in the chat for our Thursday special webinar. It's at the usual time and place 1230. It's talking about all the great things about how like. You know, top investors in the United States are seeing Jacksonville as this place to invest in it's You know, it is what we all believe here. So a hundred percent if you can come join us, spend some time with us, we would love to have you there.

Gregg Cohen:

And we got a lot of new names too. We have a lot of veterans in the, in the group here. We appreciate all you. We've got a lot of new names in the group too, so you might not have heard it's true about why Jacksonville. It's true about why Jacksonville is listed as a supernova city about all the$4 billion of downtown construction going on in downtown Jacksonville. So yeah, if you haven't, you definitely need to be there. And if you have come and hang out, you know, it's fun here.

Pablo Gonzalez:

Yeah. Listen, as a, as a investor in Jacksonville, it always gives me the warm and fuzzies to say this message because it's just telling me how well my money is going to be doing and how, how I can look forward to a great retirement to be perfectly honest. We got Milady Jack Chata. Check it in. All right. Good to have you in the house. And of course, El Gran Amigo.

Gregg Cohen:

Good afternoon,

Pablo Gonzalez:

Bill Shields! The Jaguars are not very good, my friend! Published this epic book. That is kind of like the cornerstone of what a lot of us believe in has come up with a new idea of these, like two real estate investing principles to build wealth. We're going to share the, the article here in the community chats. So everybody can see it. These two principles, GC. Are number one, employment drives real estate and number two, avoid high end properties. When you hear that, what do you think?

Gregg Cohen:

Well, first of all, we should talk about how impactful Robert Kiyosaki has been on me, on our industry. If any of you have been so lucky to read that book, Rich Dad Poor Dad, I'm sure he's had a big impact on you. That book has changed so many lives. Spot in my heart always for Robert Kiyosaki for helping me truly understand the power of this beautiful asset class And the power of mining your own business and thinking beyond just working in an active job active income and just blindly putting your money In a 401k. I mean it all started with this book So that's the first thing I think about with Robert Kiyosaki and it was a different shift It was a mindset shift and I remember it was almost like Physically, I could feel my brain cells working differently after reading that book. so he's not afraid to take a little bit of a different stance. So when he's talking about his recipe for success now in a post COVID world, and he talks about these two things, I think one would kind of resonate as, yeah, that makes sense. Time tested, true. And I'm speaking about following great employment data, following great job data. So I think that probably makes sense to folks, but I would imagine when somebody comes out and says the best way to earn a risk adjusted return in real estate is to avoid high end properties, that may make some folks say, huh, I didn't really think about that. Because what many folks think is they put themselves in the shoes of the renter and they look at potential rental properties as ones, their criteria might be, I need to be able to see myself renting this home. And that may or may not be real for that type of property. But at the end of the day, it's not really relevant. So I'm so glad that Robert put that one in there as one of his two most important criteria because that has made all the difference in JWB's investment strategy, where we focus on workforce housing, which is largely what Robert's talking about here.

Pablo Gonzalez:

Yeah. I like it, man. this shifter, right, is something that I really admire, right? Somebody that can paint a future that's different than the past. is so underrated because I think we all, when you say it like that, the future is going to be different than the past. I think we all get it, right? Like we have, we have been through so much change and that's just like, it feels like a fact. And yet as humans, we tend to look at the past and make decisions on the future as if the future is going to look like the past.

GMT20240924-163237_Recording_1368x888:

Yeah.

Pablo Gonzalez:

And I think that Robert Kiyosaki's book on, on, you know, rich dad, poor dad, which essentially my story with that is. Hosting this show for the community probably spent about six months where every single week Jen Filson and Lee Bishop and and Marilyn Cotterman would be like have you read rich dad poor daddy at Pablo until I finally got forced to do it And that's when all this language that you and I had been speaking about, you telling me, man, Pablo, you know, I just always wanted to produce an army of cash flowing rental properties that is going to be the thing that supports me when I'm done with my active income, when I, when I want to retire, when I want to keep my lifestyle was a big mindset ship for me, this idea of investing in assets, okay. Instead of liabilities and how things can grow and how things multiply for you. Super, super impactful. This, these two kind of like data points, right? Invest in employment and invest in avoid luxury homes makes me think of the order of operations that we'd like to talk about here on the show of this idea that. people don't seem to think enough about, well, let's talk about the first principle, right? Like invest in employment. People tend to not consider where they are going to invest as deeply as they should. They tend to just invest where somebody told them that they have a property for them or where they're from, right? Like, or whatever, right? Like they don't have this idea. Hey, I should look around the United States and find a market that feels like it has the qualities I want to invest in the way that you think of in any other, in any other investment that you would and say, that's where I want to be. That's the first place I'd like to start. What do you think about that, GC?

Gregg Cohen:

Well, I think that is the place to start and almost nobody does. It reminds me of this really great commercial and, you know, everybody hears about a hot stock tip that your friend says, Oh, you should definitely buy this stock. And I think, you know, maybe most of us have actually bought that stock because your friend said, Hey, you should buy that

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stock.

Gregg Cohen:

I love this commercial by the way. I don't know if you remember this by the way, it's, this guy's on an airplane and he's passing by and he hands a piece of paper to somebody who's sitting in the seats. Transcribed And it says HPMOY. And, and the guy looks at it and he's like, Oh, this is a stock tip. And he's like, oh man, he gets on the phone or whatever he does to go and buy the stock or whatever. And he turns it around and it just says, Howdy.

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Laughter.

Gregg Cohen:

So I think this is, you know, how people generally make decisions, because it's hard to do due diligence. It's hard to understand how a model works. Whether it's whether you're investing in a company, or you know, stock tips coming from your friend. That's probably not the best way to do it. Yeah. It's good to think about the model first. It's good to think about the way that you can create success first. Yeah. And in real estate

Pablo Gonzalez:

Even the market, right? Like if we're talking about on the stock front, right? Like Investing in the sector is more like knowing the sector is more important than knowing the stock itself to a certain extent. You want to be investing in a sector that is growing, not in a sector, sector that's diminishing or a sector that is like in line with the market. Kind of like the trends of the time or the economic cycle or whatever it is That makes a big big difference in when when you're investing in a stock as well

Gregg Cohen:

And you can relate that to investing in the sector of real estate, right? You there are certain sectors of real estate. We call them real estate markets that are positioned For risk mitigation and above average growth and that data is available, but many people don't know to look at it They don't know it's a possibility Because this idea of investing in a place like Jacksonville where you may live in California or New York Just wasn't a thing 20 years ago. It just wasn't possible When JWB first came on the scene 18 years ago I was explaining that like this, this can be done. Those were the conversations we were having. So it just wasn't a thing, but now it is. And so the challenge for all investors is now that technology companies have come together, that this is possible. It's now on you to do the due diligence and understand the fundamentals. understand which sector, which real estate markets are better positioned, and that's really where it starts.

Pablo Gonzalez:

Yes. So now that you know, employment, right? Like the principle is employment drives real estate. Underneath that principle is this idea of you can choose where you're going to invest in real estate, right? So employment drives real estate. Why does employment drive real estate? Do you see it?

Gregg Cohen:

I prefer Employment, of course, leads to income, right? Income is what we need to both pay rent and to afford the housing payment. So I think we all, we all get that. But many people don't understand that, you know, it's not just the employment numbers, it's the type of employment. Because some employment numbers are really strong, but as we have seen, especially in the COVID era, more risky employment, right? What, what did we understand when tourism went out the door for those markets that really depend on tourism through the COVID era? Well, you know what, that was riskier type of employment. So there's a lot to it when it comes to employment, we need to understand what's our unemployment rate. What are our unemployment or what are our employment figures? What companies are moving to that city? What fortune 500 companies do you have that are headquartered there? All this is really relevant data because at the end of the day, you know, this investment works. Number one, when your residents are there and can afford the rent, the jobs are stable. You know, obviously you treat the residents with care, but you want to build this relationship and a big part of that relationship is making sure that they're set up for success with their job in an environment in a city that supports it. And when you do a good job of having great employer, employers in the area, employment numbers grow, unemployment goes down, median incomes go up, and that paves the way for the resident to win, the renter to win, and you to win as the investor to where rent can still be affordable, but they can go up, and that's okay because median incomes go up. And as that happens, our investment grows. When we put on our investor hat,

Pablo Gonzalez:

I like how you differentiated it. The employment numbers with types of employment, right? Like it, it makes me think of this market conversation that we're having, right? Like it, it matters what sector that employment is in. When you said this example of COVID, well, we saw marketing, we saw tech marketing jobs, take a dive, you know, during COVID. We saw a lot of the tech sector take a dive during COVID in other parts of, you know, we saw the tourism industry also, also do that. I think when you think about recessions Some industries get hit harder than other construction is a famous industry that kind of goes up and down based on economic cycles, right? Versus healthcare versus finance versus logistics, right? You know, like, like these types of like, or industries that are always coming along. Government is always coming along, right? So, you know, I experienced this and, you know, I, I talk probably too much about Miami but you know, I'm from there, right? Like it has shaped my experience, but like, I've seen Miami be a boom and bust town because it was so heavily reliant on real estate and tourism, which really go by the winds of the economy and how that's going. Feels like Miami has diversified some more. Now it's also a big crypto town and some, and some tech and, and other things. It has a strong financial sector as well. But you know, these, the idea that employment drives real estate, I take it as, okay, cool. So I want to invest in places that have good employment numbers have well rounded local economies. And dependent on which type of asset class I'm investing in real estate, I want to invest in the asset class that serves the people that serve the economy that keeps it all going.

Gregg Cohen:

Right.

Pablo Gonzalez:

Right. So all that is to say that we love the employment numbers in Jacksonville. We do. Yeah. Like, like there's just a ton of, there's a ton of things happening in Jacksonville that tell you that this is a great place for that. First and foremost, we'd love to cite this thing. It's, The Wall Street Journal just put out a report talking about the best employment, the best, like, job markets in the United States. Right here, Jacksonville is number two. Right? You look at Salt Lake City, or, you know, like, is number one. Orlando, Florida is third. Tampa, Tampa is fourth. Oklahoma City, Miami, Austin, Texas, Nashville, Seattle, Dallas. I look at this list and I see You know, Jacksonville and Oklahoma City as the two kind of like affordable cities to like live in to start, right? So this idea that there is a robust, job scene here in Jacksonville is really, really attractive. And then when we zoom out and we talk about, you know, what are the, what are the, Major employers in Jacksonville. We love talking about this. Well rounded economy it is finance and fin tech It's healthcare and healthcare tech its logistics and its government that that really you know, like move the needle here Absolutely. And and a lot of that is fed by you know, they Like the logistics sector, the government sector, they live in this like workforce housing asset that we love to invest in.

Gregg Cohen:

Absolutely. We have four fortune 500 companies that are headquartered in Jacksonville. So if you're an investor and you want to know what questions to ask, as you're starting to think about the market that you the sector, the market that you want to invest in some easy questions, right? 500 companies do you have that are headquartered there? What are the types of sectors that, or what are the type of industries? You know, our, our industries are not the, the flashy, sexy ones that you might have in other parts of the country. And that's beautiful to me as a rental property investor, because things like logistics don't go other places, right? We love our military. We have a strong military presence, right? Those jobs stay here. They've been here for a very long time and they're the backbone of the economy that we have here in Jacksonville. And it's weathered the storm, right? We saw what happened during COVID. Well, we didn't have those types of job losses type of, you know, major cuts that we saw. We did shows talking about the white collar recession that was being talked about at that time. And it's because major companies, major, major tech companies cut tens of thousands of jobs. It felt like all in one week back in the day, right? We didn't have those announcements coming from Jacksonville. So That type of robust job base and also being a fortune, a hub to Fortune 500 companies, also being a base where even your companies that are not Fortune 500 companies are moving here.

GMT20240924-163237_Recording_1368x888:

Yeah.

Gregg Cohen:

Right? Many people don't know, and I know I was telling you to pull this stat up earlier, we'll probably show this here, but little old Jacksonville, Florida was number one relocations of any major city in the country. Right. from 2022 to 2023. That means, yeah, 67 percent of corporate relocations, net growth of 67%. That means more companies, way more companies moved in than moved out and the highest percentage of net growth compared to any major city in this, in this, this is one stat that even when I saw this stat, which, you know, I'm in this stuff all the time, I saw this and I did a double take. I was like, really, this was us. Right. And as you start to learn more and more about your, You'll start to see a picture that's painted of one that is set up for what Robert Kiyosaki is talking about, employment success indicators. And when you have employment success indicators, that's a future indicator, a future leading indicator for success in rental property investments.

Pablo Gonzalez:

Yeah, I love it. And we're getting, you know, questions about this in the Q& A. Anonymous at 10 Day is asking which employers are you seeing moving to JAX recently or recently announcing expansion plans? We'll hit a little bit on that. But just this idea of it's not just about like what's been here. It's about what's coming here, right? Darren Siemens asking, do you consider military a sector also? Yeah, that's what we mean by government, Darren. So that you said never mind here, but we just want to address it. But yeah, it's, it's this idea that it's a, it's a thriving sector. Like I, I love talking about this idea of when I moved here from Miami thinking that I was going to definitely lower my cost of living and increase my quality of life because I was going to get the surf, but I thought I was going to take a haircut on economic opportunity, right? Like, and the fact that. I sit here five years later, having started a business here as an entrepreneur and doing really well. And not just that, but like my wife has a W2 income who took a year and a half off of work when she rejoined the labor force. She joined the labor force making what was it like 30 percent higher than what she had left her Miami salary at a year later. All right. And now, you know, now today she's making more than double what she was making, you know, five years later after moving here as an architect in a W2 employment job, like that's, that to me is a, like a major blip on the radar of the economic opportunity here, how healthy jobs are here, how much, you know, how much you were able to come here as a talented person and thrive Without feeling like you are drowning in a rat race of these other big cities where you're just barely being able to make ends meet.

Gregg Cohen:

It's almost like you were willing to give up a little bit of economics in order to move here. I

Pablo Gonzalez:

was willing to, man. I gave up a lot. Yeah, not a little bit. A little bit of economics, correct. Right, like

Gregg Cohen:

people may be thinking that in order to come to Jacksonville. But the opposite is true. I've got more stats that might make you do a double take and I also wanted to share with all of you. We're gonna, we're gonna give you a number for you to text our team and as we share some of this data with you, we always do, we're a resource for you. If you're thinking about investing in another market and you say, hey Greg and your team, I'd like to know where Shaboigan stacks up versus Jacksball and this stuff. Just text us and then we can give some of this information to you about your specific market because we want you to be empowered before you make that investment decision. The, the number to text, if you would like to reach out to us, we want to jump on the phone with us. If you just want some, some insight into. How you're going to help, or how we can help you make that decision, even if you're investing in another market. The number is 904 293 0341. Tiara on our team here at JWB is on the other end of that line. And so she's a real person. You can have a real conversation. You can ask her a question 904 293 0341. And some of these stats, I'm happy to share with you. We'll do the research for you and share it with you.

Pablo Gonzalez:

Yeah. Sounds good. I love that. I love the idea of. You guys starting to become this like resource for, you know, for just data, right? Like just understanding this market and knowing all that stuff.

Gregg Cohen:

Share that data. Let me share that data. Okay. Because we are going as I, I've been peeling back the onion on Jacksonville for 18 years now. And the deeper I go, the more fun I have. And I find stats that probably turn people's heads. So here's another one. So Jacksonville has the highest median income growth of any major city in the state of Florida. So, higher than Orlando. Higher than Tampa. Higher than Miami. Which might really surprise some folks. And then median incomes in Jacksonville have almost doubled the rate of growth of the national average since 2010.

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19.

Gregg Cohen:

So in 2019, from 2019 to 2023, our incomes here in Jacksonville grew just a tick under 25%. So when we think about your experience here and Martha's experience here. Makes sense. She's not the only one. Yeah. And she's fantastic and she works for a wonderful company. But when you can tap into those economics as an investor, where your community, your renters are winning while you are winning as an investor, it's really special. Sometimes, as investors, we have to kind of think, Oh, listen, I know I can make money on that, but I don't know how I feel about the person on the other side. I don't really want to win when somebody else loses. But when you invest in a market with strong economics, strong job fundamentals, like we're talking about here, all leading to median incomes going up, you don't have to make that trade. You can invest, you can do very well while your residents and your renters are also doing well because of the economics that we have here in Jacksonville. And income's grown 25 percent in five years. That's pretty strong.

Pablo Gonzalez:

Super strong. You know, matches my life experience. You know, like Lauren is saying in the chat, triple win. It feels good to invest in this market, right? Because people are winning as opposed to, you know, Having like a landlord mentality of like I'm just gobbling up some stuff in a place where people are suffering

GMT20240924-163237_Recording_1368x888:

Yeah,

Pablo Gonzalez:

you know like so so I think it's awesome. We're gonna do a show about that here coming up It's like this like landlord mentality going away But we have a question from anonymous it in day saying which employers are you seeing moving to Jacksonville recently? We're recently announcing any expansion plans Also said I looked at rental. Well, we'll go to one And we're going to talk a little bit more about market here. And then I want to get into this, like avoiding high end property, because I think that one's juicy. If you want to

Gregg Cohen:

pull back the Corporate Reloads, website there, I know that they listed a bunch of, here's some that come to mind. Dun Bradstreet, a hundred year old company that was headquartered in the Northeast. They recently moved down to Jacksonville, set up their headquarters. I drive by the office building every single day on the way to work here. Yeah, and we've got a number of other ones here. Paysafe is another one that made headlines. a London based fintech company its North American headquarters came to Jacksonville in 2022. And we can go right down the line here. Olympus insurance company. Revlize? I don't know Revlize. But you know what? They sound like an amazing company.

Pablo Gonzalez:

Supply chain technology companies spawned out of the acquisition of five companies, right? Like, again, logistics, right? Olympus Insurance, Paysafe, American Roll On, Roll Off, Carrier, Global Logistics, Shipping, right? Like these are not the sexy industries that everybody's talking about. These are just the backbone of America. Yeah. That's moving here. And if you want sexy industries, you know, I think we've, we had a show about four years ago with Nat Ford, right? Talking about how the autonomous vehicle economy is coming to Jacksville because of these strategic investments. And we're starting to see that happen as well. This company Holland making it official. They're going to build autonomous vehicles and jacks. What was the story with the autonomous vehicle economy? Do you see, do you remember like why it's becoming, why we're like set to become an incubator for it? I mean, we've just put the work in.

Gregg Cohen:

Yeah. I mean, we've been working on it for a long time. We've positioned Bay street, which is a major street in downtown one straight off of the water. In downtown as this corridor for incubation for testing out these autonomous vehicles, and we've been working for years and years, like, you know, like you said, four years ago, we were talking about it. I think it's, It's getting the, it's getting the, the private and public on the same page when it comes to autonomous vehicles, but, but the stage is set in Jacksonville to have one of our streets downtown, having our autonomous vehicles tested out, and it's a, it's a real need in Jacksonville too, because, let's face it, our downtown You know, the way that we move people downtown is not ideal. It's been a, you know,

Pablo Gonzalez:

public transportation infrastructure in Florida is generally tough. We can't build subways because we are, you know, like we're too close to sea level and we were generally newer cities that were built post air conditioning and the car, right? So like they weren't built with that in mind. So we've like really spread out and it's been tough to reverse engineer it. So this idea of like, Autonomous vehicles coming in and solving for some of this public transportation infrastructure is great, but it also needs surface streets to be dedicated to it. And that's what Jacksonville is doing in downtown. And I remember that for coming in here and just saying that, like, the stage is set for us to be the hub. For the public transportation, autonomous vehicle industry. I remember there was some other deal that was happening. There's like, there's like infrastructure that's ready to go for it. And there was some other deal that was happening. We got to have Nate back on the show. We do. Do we have a promise here? Do you see, we're going to get Nate back on the show? Nat, Nat, not Nate. So Nathanny that being said, other sexy industries, we had a show recently with was it the aviation authority, there's a airfield in like the west side of Jacksonville called, was it Greer? What's it called? Cecil. Cecil. Former military installation. There you go. Yeah. There's, there's this like, there's this runway that is super long and therefore it's set to be the one place for space travel for, for like citizens space travel with a horizontal takeoff. It's the only one in the entire Eastern seaboard, right? So if you see this, like idea that. Citizen space travel is big commercial, commercial citizen. Yeah. I'm just saying like non governmental space travel. Right. So I'm not, I'm not using the right words, but

Gregg Cohen:

it's not flying people to the moon. It's commercial. It's putting satellites into the atmosphere and that nature, which is becoming more and more prevalent. So yeah, only one on the Eastern seaboard,

Pablo Gonzalez:

private space travel. Right. So like private space travel is becoming a real trend that's happening. This is the only one on the Eastern seaboard that's going to be able to do it. With a horizontal takeoff, which is cheaper than a vertical takeoff as well, right? So like, all these things are happening. We're seeing it all. We're

Gregg Cohen:

seeing it all work. It's interesting because, you know, I really go forward with this message of like, Listen, it's right underneath your nose. It's boring old single family rental properties. And for a long time, I've said, well, it's sleepy old Jacksonville. But pretty soon, we're gonna have some of these things that are, that are really sexy. I'm gonna have to change up my, my tune on describing my, my beloved city. You're gonna have

Pablo Gonzalez:

to get sexy, Greg. That's what you're saying.

Gregg Cohen:

We

Pablo Gonzalez:

don't want that. I love, I love the awkwardness. All right. So, the second point, speaking of sexy and not sexy, was Robert Kiyosaki saying principle number two. Transcribed Avoid high end properties. This is one of those things that's like counterintuitive. You see the way that I have understood this like attractiveness of the workforce housing stock. is two ways. Number one in all growing cities. And again, I've experienced this in Miami. I think if you're from a high growth city, you know, this, it is that like, not, not affordable housing. Cause that's a government program. They do that. Not high end housing and not like, you know, like people making a bunch of money housing that gets built for by all these like luxury developers. I like to like, Put fancy countertops and charge like a high premium and, and call it like a Porsche tower or something like that. But then there is the middle, right? That the nurses, the people that work at the Amazon logistics centers, right? The, the government workers, all these folks that make somewhere around 70 to like 120 percent of the median income. That housing doesn't get built by people and therefore it becomes this like highly, highly under supplied housing stock in these growing cities that happens to work in a way where, you know, folks that are, folks that are in that demographic will always need it. And then people that hit hard times during hard economic times. tend to like retreat to it. So it becomes this like really highly risk mitigated asset class. Is that how you think about it?

Gregg Cohen:

Yeah. I just think over and over and over again, risk mitigation, risk mitigation, risk mitigation. We need to be able to choose the right market, right? We choose the right market by looking at such things as employment data, looking at population growth trends. We look at what prices are compared to rent, we can identify the right market, but then that's not the whole answer to the equation. Once you get into the right market, then you need to identify where is the best neighborhood for me to invest in. And the best neighborhoods that I would describe would be risk mitigation with high upside. In neighborhoods where you want a team that wants to manage properties in those neighborhoods. And when you describe those three things. You're talking about workforce housing neighborhoods, because if you go to Ponte Vedra, which is, you know, super high up here in Jacksonville, we have the players championship, the golf tournament, right? It's a beautiful place, right? You're not going to find properties there where the rent gets anywhere close to what the mortgage payment is going to be each year, or each month. So what, if you were to invest in some of those high end luxury places, you would be covering the difference each month. And when I talk about risk mitigation, the easiest way to identify risk mitigation is, does it pay for itself every single month?

GMT20240924-163237_Recording_1368x888:

Yeah.

Gregg Cohen:

So that's why, Anything last name Beach in Jacksonville is not where JWB is going to recommend for you to invest. It's because you would have to cover the difference and go negative. Yep, and if your goals are to change your life, to have a better retirement in the future, to send your kids to college, whatever it may be, It's very likely that you'll need more than one property. You may need three, five, or ten. Well, if you model this out and you go to the high end luxury places and you're already going two grand negative a month for one property, there's no way you're going to get to ten properties and want to go 20 grand negative a month just to cover those things. It's not a good risk mitigation play. And then on the other side, listen, there's neighbor, there are neighborhoods that I don't want to manage home. We have them in every city. And so when we go to low, low income housing, what you see from an investor perspective. is low prices. You see high rents compared to what the prices would be. But what you don't see are the maintenance costs, the vacancy costs, the turnover, difficulty of management there. And so that's also not an ideal place for you to put your investment dollars. That's where workforce housing comes in, is it's beautifully positioned in the middle there, and it happens to be the place where we need housing the most. Because those professions, like you talked about, are the backbone of our economy, and we have a real dearth of supply for serving our first responders, our teachers, our nurses. So everything about it lines up where workforce housing is where we can create a huge impact where your residents can win and where you can win as an investor.

Pablo Gonzalez:

I love the topic of risk mitigation in the workforce housing sector and, and, and like these stories that you're telling, right? Like this, like under supply, this idea that it's always going to be there. The fact that it's cashflow positive, right? Like in my story, I've lived this too, right? You know, I've invested in three turnkey homes with Jack with JWB. And then I also bought a duplex cause I wanted to live by the beach and I'm house hacking in my duplex. My second unit does not cover half of my mortgage, right? Like I made a game time, you know, I made a lifestyle decision Yeah because I want I want to live on the beach and I can kind of get like a two for one thing where you know if I was to get a three bedroom, two and a half bathroom house, I would be much further from the beach at that price point than where I'm at. So like it diminishes my overall cost of what I would be paying in mortgage based on a single family home that's detached, but it doesn't actually cover it. Right. Like I look around my neighborhood, I'm like, I want to pick up more of these duplexes, but I don't because the rent would not cover my mortgage. Right. So like, to me, that's very, very real.

GMT20240924-163237_Recording_1368x888:

Yeah.

Pablo Gonzalez:

Charity Graham is also putting a bunch of like really high value stuff. She's saying, I believe in avoiding high end of housing. I've recently been getting emails to attend auctions of high end real estate. And it seems no one is buying LOL all over the country. And over 52 percent of the U S population is middle class, right? So like. Serve that population and one last thing she puts here is and almost 30 percent of the u. s Population that is below middle class are working on becoming middle class. So it makes sense.

Gregg Cohen:

Yeah, 100 right? It's there's a huge demand there already. There's a lack of supply and you know the the numbers make it challenging for there to be developers that look and say that's where I want to invest. That's where I want to develop. Typically, you have to have incentives that the governments, either the state, local, or federal governments put in place to incentivize developers to come there because it's hard to make the numbers work.

GMT20240924-163237_Recording_1368x888:

Yeah.

Gregg Cohen:

But when you invest as an investor, you are helping with that right there without the need for investment excuse me, incentive dollars going to a big developer, which is just another thing to add on that you should be feeling really good about your investment in workforce outing.

Pablo Gonzalez:

Yeah, so that's risk mitigation, but there's also upside and in these neighborhoods and it just so happens Gc that you guys have been investing in these in these neighborhoods over the last 17 years. So we have this like really good data of what the actual upside is in these neighborhoods in Jacksonville. So Shibu, who has been asking, you know, what are the neighborhoods that, that fit this bill in Jacksonville? Let's talk about them for a little bit.

Gregg Cohen:

A hundred percent. And again, this is all data that comes straight from our multiple listing service. You guys won't have access to all this data here, but again, if you have any questions about this, go ahead and fire a text to Tiara, 904 293 0341. We know nobody looks at screenshots, so go ahead and we'll send you all the slides that we're sharing here, just a couple of these slides that we have today. Send it right to you, just text Tiara there 904 293 0341. So yeah, so we've been doing this for quite a while and I started to think, huh, you know, I hear all the time where people will say, I get the risk mitigation part, Greg, but, but I don't believe that these neighborhoods can actually appreciate, and I'm, I was tired of hearing that. So when I get tired of hearing something, I go to the data. And so I started to pull the data and I've looked from 2013 to 2023. What was the median home sales price, and how much did it grow? And then I broke it down and I wanted to see Jacksonville overall, and then I wanted to see the four JWB main staple neighborhoods that we have been investing in for 18 years now. And that we have our own money into and alongside we recommend our clients to invest in these four neighborhoods. And guess what? They're workforce housing neighborhoods. And I said, I wonder just how much those workforce housing neighborhoods have grown in relation to Jacksonville overall. And so that's the mindset for this data. And if you're here live watching, you can already see these numbers are Really nice. Yeah. Probably a little bit mind blowing when I shared this information for you. What did you think?

Pablo Gonzalez:

I'm fortunate that I get to like, learn about real estate through the eyes of the people doing it right first by sitting in the seat. Right. So like, I can't say I'm super surprised, but I look at this, I look at this chart here of like Jacksonville overall in the last 10 years. Seems to have doubled, maybe a little bit more, and then these JWB neighborhoods that are workforce housing neighborhoods all look like they have, I don't know, four or five X, you know, by these numbers that we're looking at, right? 2013 to 2023, Jacksonville overall went from 153, 000 people. To 350, 000 and then we're looking at the North side neighborhood that went from like 50, 000 to 217, 000 Arlington that went from 63, 000 to 256, 000 South side that went from 85, 000 to 255, 000 West side that went from 57, 9 to 242, 000 and you know like this idea that it was so if if doubling is the standard but 4x is what you've done you've doubled the market that blows my mind.

Gregg Cohen:

Yeah. And can I share something else with you? Yeah. Back in 2013, people looked at these neighborhoods and they said, I don't see how they're worth 50, 000. I don't see how they're worth 67, 000 or whatever it is.

GMT20240924-163237_Recording_1368x888:

Yeah.

Gregg Cohen:

And if we could go back in time and I could tell that individual, Hey, listen, this is how it works when you invest in a critical need and housing is a critical need and the way supply and demand works that these numbers. It's going to go up and 10, 11 years later, the numbers are going to blow your mind. The people would have told me I was crazy. And just food for thought, right? Think about where we are right now. There's, of course, people who are saying real estate can't go up in value anymore. I know it's been up on an upward swing. People will say it can't go up in value. I'm here to tell you, this is how it works when you invest in a critical need. Supply and demand dictate what pricing is going to be. So you're going to see home prices go up over the next 10 years.

GMT20240924-163237_Recording_1368x888:

And

Gregg Cohen:

as we're doing this show and you all are still tuning in every single week in 10 years, we're going to pull this episode back up and these slides back up and I'm going to say, you know, nobody thought it could happen again, but it happens every 10 years. That's how real estate works. So, I started to put the numbers to it and I broke it down and I said, okay, what was our annualized home price appreciation for Jacksonville overall versus our neighborhoods? As you guys can kind of tell the punchline now, JWB neighborhoods, our workforce housing neighborhoods have appreciated 77 percent more than Jacksonville overall from the year 2013 to the year 2023. Jacksonville overall went up 8. 6%. Which, by the way, is huge. Double

Pablo Gonzalez:

the national rate?

Gregg Cohen:

Yeah, so the normal rate for Jacksonville is 4. 9 percent per year. So double that, I mean, I don't have what the U. S. rate was over time, or at that time right off the top of my head. But it's a lot more than what the U. S. was overall. So it's not like Jacksonville overall was just, you know. Yeah. chopped liver out there, right? But within that, if you take the average of those four JWB neighborhoods, you'll see that each year on average, JWB workforce housing neighborhoods appreciated 15. 2 percent per year, winds up 77 percent more than what an average neighborhood would have appreciated in Jacksonville. And guess what? Those average neighborhoods are made up of the high end as well as the low end and everything in between. So, I think this data will certainly surprise some folks.

Pablo Gonzalez:

I think you kind of hit on this question from anonymous attendee over here saying, I looked at rental properties in Jacksonville four to five years ago. Prices since then have risen. Is there still opportunity to get into this market with a modest investment?

Gregg Cohen:

Yes. Yes, there is. And it's even more modest today than it was even a month ago. Yeah. So yes, supply and demand work in your favor. As I mentioned, it's a critical need. I don't know of another way that people are going to You know, lay their heads down and putting them in, you know, in a home. So people are going to have a need to rent and a rent a need to buy homes and they want to do it in a market like Jacksonville. What you're going to find is overall the rate of inflation, it's largely tied to what the rate of rent price increases are as well as home price increases. And so if you start to model that out after 10 years, 20 years, 30 years of owning an asset, your mind's going to be blown as when you think about what your house is going to be worth. So yes, there still is opportunity and upside, but the reason that it's a little bit more modest today than it was a year ago is because interest rates have gone down. And when interest rates go down, you're still able to get positive cash flow by putting less down. So whereas many investors were putting 30 or 35 percent down before, now investors can put 25 percent down or even as little as 20 percent down and get positive cash flow.

GMT20240924-163237_Recording_1368x888:

Yeah,

Gregg Cohen:

and so this takes the minimum investment for one JWB property down to maybe somewhere between 50, 000, maybe somewhere around 75, 000. And prior to this, it was 75, 000 to 100, 000. So, great time to be tuning in Anonymous.

Pablo Gonzalez:

You know, as, as you say this, right, like modest is a very relative term, right? Like I, to us, it's like, we've been talking about 75, for, for like the last year and a half. Now it's like 50, It seems mighty modest.

GMT20240924-163237_Recording_1368x888:

To

Pablo Gonzalez:

other folks, 50, 000 might not seem modest at all. In that same regard, what I think what is important to think about is that whatever looks modest today to get into a JWB real estate property akin to what it looked like five years ago will look unbelievably modest in the next five years, right? Like what we are seeing in Jacksonville with this like economic flywheel of high employment, growing city, people moving here every single day downtown, that's about to come online and the statistics around that showing that home price appreciation increases an average of 27 percent more when that happens, right? Like the next five years in Jacksonville, I think are going to be similar to the last five years in the sense of just like anything that you're looking at now that you're like, Oh, that's worth 250, 000. But five years ago, it was worth 80, 000. Why would I buy it for two 50 now? You're going to be saying, damn, that half a million dollar house. I could have bought five years ago for a quarter million dollars.

Gregg Cohen:

Going up guys. It's going up. I mean, And listen, the last five years have been an outsized run of home price appreciation. So I don't think the next five years are going to have the same levels of home price and rent price appreciation that we saw from 2019 to 2023. It's just not going to happen again. It doesn't have to for you to win.

GMT20240924-163237_Recording_1368x888:

Yeah.

Gregg Cohen:

You know, on our evaluations, we, we estimate 4. 9 percent growth. We did that back in the day. Back in the day, actually, when our investors would invest in 2013, I told them 0 percent growth back in the day, which was interesting. And then they got 15 percent growth on average year over year over year, just from home price appreciation. Yeah. So you don't need to have these types of numbers for you to win.

GMT20240924-163237_Recording_1368x888:

You know, you

Gregg Cohen:

win compared to the alternatives. Even if you had, call it 1 percent home price appreciation or 0 percent home price appreciation, you still win. But this is how it goes in real estate. Things tend to go up with inflation. It's one of the reasons why we love this asset class. You kind of know the answers to the test if you know where to look ahead of time. Yep. And you guys being here is a great start. If you have additional questions about how your market compares with Jacksonville, start sending those questions to my team. We've made more resources available to you really in the last month, since we started opening up the text feature than even we had when we started this thing. So I hope, I hope you all take advantage of it and we would love conversations like, Hey, you know what, Greg's team, Tiara. Hey, I'm, I'm considering investing in Cleveland or I'm investing, consider investing in a JWB property. I can put

Pablo Gonzalez:

30, 000 into Cleveland or you're asking me for 65, 000 in Jacksonville, like why would I ever do that? Why would I do that?

Gregg Cohen:

The evaluation that I'm looking at in Cleveland says I'm going to earn 35 percent return. The evaluation you're showing me in Jacksonville is 11%. Can you just help me compare apples to apples so that I can make an educated decision? My team is ready to do that for you. So again, it starts with either a text to Tiara with the number, which I can't memorize, but we'll figure that one out, or you can just send an email, the

Pablo Gonzalez:

text is 9 0 4 2 9 3 0 3 4 1. I'm going to put it in the chat right now. There we

Gregg Cohen:

go. Email is info at JWB companies. com. So if you're like me and these stats start to make you ask more and more questions, hit us up. We're happy to help.

Pablo Gonzalez:

And we got a couple more questions here in the chat. We've got HSTN asking HS. Welcome back. Uh, saying, Hey, what about property insurance being very high in Florida? Doesn't that bring the ROI down?

Gregg Cohen:

Great question HS. And I'm not sure how long HS has been tuning in, but we've done a number of shows on insurance costs. And, listen, we got hit with a gut punch with higher insurance costs over the past few years. A lot of reasons behind it, a lot of legal issues and claims that were made and all that good stuff. The good news is that, number one, JWB clients were always protected, number one, because whenever we would put out a property for purchase, we always did the research ahead of time to understand what was that higher insurance number needed in order to make sure that nobody is stuck with an investment that they were expecting this for the insurance cost and they came in as this. So all JWB clients were protected there. And then the clients who had purchased five years ago were protected as well because Listen insurance was more than we estimated. Sorry about that guys But guess what was a lot more than that's what we asked rent and home price rent and home price appreciated. Yeah So you're doing okay there too. So jfb clients are great. Now going forward is the bigger question. What's going to happen with insurance? Starting to hear a lot of positive signs. We had Whitney Richie, who is one of our all star insurance teammates here JWB on the show not too long ago, and she shared some incredibly positive information. We see that insurance companies in Florida are starting to come back in. We see insurance companies in Florida are starting to be positive and profitable, which is good because we want more profitable companies coming in because that creates options and overall. Our insurance costs go down.

Pablo Gonzalez:

Was it nine new companies? Six new companies? I think it was one of those that looks like the same word.

Gregg Cohen:

Pablo Curve. Somewhere in between. Six to nine. I don't know. So this is a good thing. And then if you think about making a decision today, we are still reflecting the higher insurance costs in our evaluations. If you want to look for potential opportunities for cash flow to actually increase, how about insurance costs coming down? They went up way too high, way too quickly. The thought is over time, there may be a possibility that they may come down. over time as well. So a lot of upside. Now's a great time to be investing in relation to the insurance challenges that we had in the past that are in the rear view mirror.

Pablo Gonzalez:

Yeah, totally. Tony D's putting in the chat, he was able to have rich insurance price out his personal home and they saved him almost a thousand bucks a year. Nice. Pretty sweet. That's money, baby. Charity Graham is also saying, you know, what's sexy about vertical integration. So I don't have to worry. You know what? You know what? Sexy to that vertical integration. So I don't have to worry about being a landlord. You gotta say this with more attitude. All right. You know what's sexy about vertical integration? So I don't have to worry about being a landlord. I can't wait to hear your webinar about how we can take care of renters so we can continue to be good landlords. How's that? Oh, way to go.

Gregg Cohen:

I'm fired up.

Pablo Gonzalez:

Not your average guest says, where do I find the names of neighborhoods that JWB invest in? We literally just showed it. It's the North side, Arlington,

Gregg Cohen:

South side and West side. Yeah. That's what we categorize them. As you'll have little individual neighborhoods, there's like a thousand little neighborhoods. Just worry about North side, Arlington, South side, West side. You say that anybody in Jacksville to know what you're talking about.

Pablo Gonzalez:

Yeah. And it's essentially like you look at downtown. That's the whole of the donut. Everything around downtown is doing really, really well, right? Like those are the workforce neighborhoods. If you

Gregg Cohen:

want to know the zip code specifically we invest in, shoot us an email, shoot us a text. Happy to share all that information with you.

Pablo Gonzalez:

Yeah, definitely. Again, that's 904 293 0341. It's in the chat. I'll put it back in if you want to shoot that text and we'll let you know. There was also a question here from Shibu talking about what about tax rates? How are the tax rates in these neighborhoods?

Gregg Cohen:

Oh, really good. Property tax. Relatively speaking, really good. Right. Property taxes are part of the equation to make sure that we can produce positive cash flow. So for each of our property evaluations, we're going to estimate what the taxes are. But here's another little thing that kind of trips up newer investors, especially if you're investing in new construction. If you're investing in new construction, you don't have last year's taxes to understand what your property taxes are going to be.

GMT20240924-163237_Recording_1368x888:

So

Gregg Cohen:

this is a common area where investors buy a property, maybe it's new construction, and then they get this terrible feeling where it's like, oh man, I didn't expect Thousands of dollars in property taxes because I looked it up the year before it only said 100 because it was just a piece of land before. So, overall, you're in a position to be to have the right numbers when you work with a vertically integrated provider who does a lot of business in one area because we know what property taxes should be because we manage 6, 000 homes right in that neighborhood, right in that vicinity. And it's easy for us to estimate property taxes. Overall, property taxes do go up as your home values go up, generally speaking. And home values in Jacksonville have gone up about 5 percent from last year to this year. So expect some increases on your property taxes, but guess what? Rents are going up too. So this is why this model is so sound and why I love it so much is because as insurance costs went up, guess what? Rents and home prices went up way more than your insurance costs. The same thing with property taxes. And so there's so many ways to win when you invest in single family rentals.

Pablo Gonzalez:

Brits with great value as he always has in 2024, 19 Florida insurers filed for rate decreases or no increases, including 10 companies that filed for a 0 percent increase and at least eight companies that filed for a rate decrease. So that's where it's going.

Gregg Cohen:

Boom. Way to go for it.

Pablo Gonzalez:

And HS is saying landlord insurance rates are usually higher. I mean, it's right. But that's all built into the deal evaluations and the, and the ROI projections and the ROI reporting on the backside that, that JW used to it.

Gregg Cohen:

Yeah. It's just a great, great point. You should make sure anybody who is making a decision on investing in rental property should make sure that you know these things. that landlord insurance rates are higher than you know, if it's your primary residence, you know, if you happen to buy it in an LLC or a trust, it's going to be a little bit higher, but work with a provider who knows that too. And when they put numbers in front of you, it should already reflect all of that. So that you are confident they're confident they can produce positive cashflow for you.

GMT20240924-163237_Recording_1368x888:

Matt Toyshell, Toyshell, Toyshell, Toyshell. We love

Gregg Cohen:

you, Matt.

Pablo Gonzalez:

I got to think of like Hoyshell Walker. Matt how much depreciation? Come on, man. I'm sorry, Matt. I swear that this happens with all my favorite people. how much depreciation on average are we able to write off on our taxes each year?

Gregg Cohen:

Matt. Great question. Another super savvy question there. That's a tough one to answer just off the top because it's totally dependent on. The, you know, when the income comes in. So we have this all mapped out for you on every investment property. You're able to see year over year, how much are you actually able to get in tax savings, which is super complicated and complex to actually figure out almost no investors do it. But Matt, if you just reach out to the team, I know you, you know, the team really well. We're happy to send you some information on that. If anybody wants to know what specific tax savings you're going to be earning on a year by year basis, that's a call that we get to have with all of our sales calls anyways. So we got all that information for you, Matt. Toy show. Toy show. There you go.

Pablo Gonzalez:

All right, got it. Patriarch of the First Family, Camilene wants to know, what's the latest track of the other, this new hurricane that's kind of targeting northern Florida? How much do you know about that, GC?

Gregg Cohen:

You know, I know a little bit. I saw this morning, I saw the path. Yeah. And it is to the west of Jacksonville. I think we are the smallest little

GMT20240924-163237_Recording_1368x888:

So I'm a little

Gregg Cohen:

bit unprepared. I haven't done a whole lot of research into it, but I can tell you here at JWB, anytime something like this comes up, everybody on my team is starting to talk about it. What do we need to do to make sure that our residents, our renters are prepared? What do we need to make sure that to do to make sure our contractors are prepared? And you know, it's not anything new for us. We have plans, procedures in place. All 100 plus people here at JWB internally here know exactly what to do should this storm become worse because we have a responsibility to make sure that we're protecting people, our renters, and then protecting property. And that's what we'll do for you.

Pablo Gonzalez:

Leah saying, I heard sandbags are not needed. I can tell you can I tracked the hurricane and we are just on like the fringe of that, like cone of probability. And the best day for surfing is on Thursday. I can tell you that for sure. So, all right, you see a little bit over men. I thought it was a good topic, man. This, this idea of like Kiyosaki diving into this thing, talking about invest in, you know, strong labor markets, right? Like, employment drives returns. don't buy luxury housing seems to be like you read Kiyosaki's book and then you wrote his second one. Is that what's going on?

Gregg Cohen:

Hey, I would man, just promoting more great ideas like what we're in that first book and what's talked about here. We just need more of this. We need more of just sound fundamentals. in investing overall and especially in real estate and in single family rental property. So anything that is all about employment, it's investing in workforce housing, staying away from investing in high end, is something that I want to promote. And I'd be happy to write that second book. Maybe he'll give me a call.

Pablo Gonzalez:

Maybe he'll give me a call. You're a pretty good writer. You're a pretty good writer. All right. Couple of things coming up. Number one, we have on Thursday, we have the special webinar. We'd love for the community to join us there. If you got some time, come hang out with us and be that guide to new people coming into the fold, welcome them in, make a new friend, you know, do what you do. You're great at that. Joanna, if you could share that link in the chat. Second is on Monday. Lee's having a big surgery. So we, we want to just leave. We're with you, buddy. We hope everything is going well for you, man. And that we hope you're, you're good on big on your feet.

Gregg Cohen:

We love you, buddy. Yeah. We love you, man. We love it. Big

Pablo Gonzalez:

bear, big bear, big bear hug for Lee. And then last but not least next Tuesday, our next show is actually called Why investors, oh, I'm sorry. The landlord is in danger. Why, why, why residents benefits make or break and that way for the show. Yeah. So we are actually talking about, we have

Gregg Cohen:

a huge announcement that we're going to share on that show. It's, it's going to be big, it's going to be big time. So I think you guys are going to be super excited about it.

Pablo Gonzalez:

All right.

Gregg Cohen:

So that's all I'm going to say.

Pablo Gonzalez:

We hope to see you there until then, GC and a little bit of advice.

Gregg Cohen:

Don't be average. See you next