S2E34 – Bronson Hill – How to make $10K per month on real estate

Key Timecodes

• (0:49) – Bronson Hill’s Background

• (02:25) – His background as an investment advisor

• (03:25) – His real estate strategies

• (05:29) – The challenges of working with single-family properties

• (06:09) – How many properties does he have and what monthly profit do they generate?

• (07:10) – Why he transitioned to the syndication model

• (07:56) – The syndication process

• (10:34) – Minimum investment to join his syndication

• (11:34) – What is the expected revenue per year from his business model?

• (13:20) – How to pay zero taxes legall

• (16:25) – Assets protection strategies

• (21:34) – What is his vision on the market of single-family and multi-family real estate business?

• (30:36) – The worst investment advice he ever received

• (31:25) – The best investment advice he ever received

• (32:24) – Get in touch with Bronson Hill

Transcription

[00:00:03.430] – Intro

Payback Time is a podcast about building businesses’ wealth and financial freedom. We try to uncover the challenges our guests faced, the mistakes they made, and the steps they took to achieve their goals. The overall objective is to provide you with a roadmap that leads to your own success. Sean Tepper is your host. Are you ready? It’s payback time.  

[00:00:32.850] – Sean

My next guest is a real estate investor who first started out with single-family and eventually moved on to multifamily.  

[00:00:38.950] – Sean

In this episode, we talk about the.  

[00:00:40.700] – Sean

Benefits of multifamily, average payback time with his fund, and where the future of real estate is going. Please welcome Bronson Hill.  

[00:00:49.480] – Sean

Bronson, welcome to the show.  

[00:00:50.960] – Bronson

Hey, really excited to be here, Sean.  

[00:00:52.530] – Sean

Glad to have you here. So why don’t you kick us off and tell us about your background?  

[00:00:56.230] – Bronson

All right. Well, I love what you’re doing with your stock screener. I actually am a huge Phil Town fan. I’ve been an investor a long time, many years. But what I did is my background is in medical device sales. That’s what I did for about ten years. I was a well paid professional, and I realized I wanted to try to find a way to grow my income in a more passive way. And so it really took me down a road of doing single family houses, and I realized it wasn’t really all that passive. And then I had a mentor, a kind of relative of mine appeared. And there’s a saying when the student is ready, the teacher appears. And that really happened to me, like, oh, wow, this cousin had been doing multifamily apartments as an investment for a long time, and he said, Why don’t you do this? Instead of buying a bunch of houses, which is a lot of work, why don’t you do this? And he said, I said, I’d love to, but I don’t have the money. And he said, well, you can raise the money. And that took me down a path of learning about something called real estate syndication, which is just kind of a fancy way to say, we pull money from investors, we go buy a big apartment buildings, and we basically share the profits.  

[00:01:57.450] – Bronson

It’s a great way for people to be passive in investing. There’s a way where you can defer or potentially reduce taxes even to zero. And so it’s important to have some diversified stream outside of the stock market, even in other things. And I just love that when you own real assets, you have something that really is on autopilot, where you really don’t have to manage and you just know, hey, my goal really is to double my money every five years, and so it’s a little more consistent, and it just grows over time on a real tax advantage basis.  

[00:02:25.630] – Sean

Sure, alot to unpack here. So first off, before the episode you mentioned, were you a financial advisor or wealth manager?  

[00:02:34.370] – Bronson

Yes, I was a registered investment advisor. I worked with a firm, a boutique firm out of Dallas. I live in Los Angeles, work for the boutique firm. We did a lot of alternative asset stuff. There’s some kind of life settlements, which is a thing where we buy an insurance product from individuals and kind of pull it together as an investment. I did some stocks and bonds as well, but I learned a lot about Wall Street. We can talk about stocks, but I know Phil Town also has a very big distaste for Wall Street because we had to find a way to get our payback right, because these guys are so set up with fees and hidden fees and more fees and just really not an alignment of interest. There’s actually a study that came out by a big investment firm that found that over 50% of managers who are managing over $100 million didn’t have a single dollar invested in the fund. And so what we do, we’re able to pretty much align interest. But yes, my background is as an investment adviser, so lots of calls and investors and lots of conversations.  

[00:03:25.430] – Sean

Now, this episode is going to be on real estate. We’ve had a few of these in a row. Which is totally fine because our audience yes. They’re using the stock market to build their wealth and compound interest over time. Whether it’s three years. Five years.  

[00:03:37.810] – Sean

Ten years.  

[00:03:38.180] – Sean

Or whatever. Which is excellent. But I like bringing people on that can teach us how to create residual income. Because there are a lot of people that are trying to escape the rat race. If you will.  

[00:03:48.230] – Bronson

Right.  

[00:03:48.940] – Sean

They want to get out of their job and find a way to create some reoccurring income. Real estate is a sound strategy, so your strategy is syndication. We are going to work our way to that in a moment. But first, you started with single family. How long were you doing that?  

[00:04:05.050] – Bronson

Yeah, so I think everybody thinks, hey, I’m going to do real estate, I’m going to become financially free, and you get to having 2345 houses and then you realize it’s a lot of work. And so I did that. I had one house that I kind of became an accent on. The landlord kept this house in another state when I had a job and I did it over the years. It appreciated, but it really didn’t have a lot of cash flow. But I thought, okay, maybe if I get enough of these, I can get more cash flow and it will help. But then it was just really hard to get there. So I had her for about ten years. I just had the one single family, and then for a couple of years, I was managing about four or five more and then again, that’s when I decided to make the switch.  

[00:04:42.590] – Sean

Got you. Did you sell those properties outright?  

[00:04:45.160] – Bronson

Eventually we did, yeah. I sold the last one at the beginning of this year. And so I did well in all of them, and we did well. We did fine on it. But again, I think one thing that’s challenging when you look at investing is any strategy. How scalable is it? Right. And you mentioned having something that has residual income. And a lot of people that I work with now, I’ve had 1301 on one phone calls with high net worth investors. And one thing that comes up is a lot of people are very busy. You have their own business, they’re lawyers, their doctors, they do different things. They’re trying to find a way to become more passive. And so that’s kind of what really I’ve discovered, is that there is a huge need for having a good income without necessarily the volatility in some levels of the stock market. Unless you have a strategy like what you have, where it actually produces income.  

[00:05:28.860] – Sean

Right now with a single family, were you doing a lot of the home maintenance and bringing in the renters and the screening and all that kind of stuff?  

[00:05:37.960] – Bronson

Yeah, so I was out of area, so these were all out of state properties. So in some way it was good because it gave me a team. I had a team in another state or other two two states. I was working in Montana, which was the first house was and then Ohio. But it was just challenging because we weren’t buying in areas that were really nice, areas that were kind of like maybe scale of one to ten, like three or four kind of areas, necessarily where I’d want to live. But these were areas that I had a property manager, I had a contractor, but it was just perpetual issues with more modest income tenants, I’d say.  

[00:06:09.840] – Sean

Sure. And let’s say you had about five, six properties, is that correct?  

[00:06:15.230] – Bronson

Right. Yeah.  

[00:06:16.260] – Sean

Total. What kind of profit were you generating per month?  

[00:06:19.830] – Bronson

I would say it was minimal. On paper, some of the stuff looks really good. And that’s what the challenge is. If somebody’s inexperienced with real estate, they can say, oh, look at this, I’ll rent this out. Some of these houses, actually the majority of them were in Cleveland, which at the time, some of these houses were $15,000 to $30,000. And then we did some repairs on them, but they were renting for between 900 and $1100 a month. Oh my gosh, there’s all this profit here, right? The houses don’t cost anything. There’s all this profit. But it’s just amazing how just tenant costs and the city had all these inspections they would do every year, and they would just come in and spend five to $10,000 just to fix stuff. It was really kind of a scam. But when you actually looked at how it worked out, we were making a little bit it tended to be more, I guess, kind of similar to your stock strategy, where it’s more appreciation, where it is you’re actually cash flowing and that’s where the challenge that’s where the rub, I really felt was, got you.  

[00:07:10.130] – Sean

Okay, so what year did you transition to the syndication?  

[00:07:15.330] – Bronson

Yeah, this conversation was 2018. May of 2018. There’s over four years ago, I had a conversation with my cousin and I transitioned. I started to meet up in Pasadena, California, where I live, and found my first investor there, and raised a little bit of money for one deal and started investing in deals. And then over the next two years, I found another partner and we raised $50 million and bought about 60 million worth of real estate. And I just saw kind of how amazing it is and how powerful I was able to over the last four years. I’ve been able to about 20 X my net worth by being on the side of syndicating it. Which is obviously more work. But some people want to do the more active route. And some people are like. I I just want to invest and not have to worry about anything.  

[00:07:56.310] – Sean

That’s what I want to dive into. So there’s a great segue. So our listeners may hear this episode and be like, all right, I want a strategy here where I can put my money to work. I don’t have to do work, I don’t have to work on properties, I don’t have to do any plumbing, I don’t have to find tenants. So if somebody wants to get started, let’s walk through that process.  

[00:08:16.230] – Bronson

Yeah. So for a lot of people like myself, had some experience with real estate, or they had a tenant and it was hard, and they sold a rental house, they’ll never do it again. So you had to deal with toilets, tenants and leasing. And it is a lot of work even if you have a team and if it’s out of state, and it’s really not a scalable strategy. What I mean by that is it’s really hard to actually grow income by doing single family. But it’s the craziest thing. Like 98% of people think, oh, I’m going to do single family, and then I’ll become financially free, I’ll quit my job. But it’s just very difficult to make happen. Versus multifamily is really unique. We typically have investors come in at 75 or 100,000 or more. Sometimes they put more in, but they’ll come in, they’ll invest, and it usually takes at least our deals, not talking about any specific deal, but around six to twelve months for cash flow to start. And then the goal is to about double the investor equity in five years. So you get kind of a cash flow that’s paid out quarterly.  

[00:09:07.500] – Bronson

About half of the income usually comes through cash flow, and the other half is when the property sold. Sometimes there’s a refinance two to three years into the deal. Sometimes the deals lately, they’ve all been selling early. So instead of a five year old, we’ll end up holding two to three years and still get to that same two X in the equity multiple. We actually had one deal that was projected to be a six year old, and we bought it for 27 million. This was a 288 unit apartment complex in Jacksonville, Florida, which is where we have most of our properties. I love that market because the population is growing so much. It’s business friendly, it’s landlord friendly. Retirees want to move there because it’s Florida, people that are working remotely want to live there. And you can still buy a pretty decent house there for about 300,000. So it’s just growing. The population is growing so much. There’s so much demand for housing. So over in this area, we bought this property for 27 million. We sold it ten months later for 37 million. And because we take out debt to buy the property, we had almost 100%.  

[00:10:01.740] – Bronson

IRR was like 60% to 70% investor increase just in those ten months. So everything is for sale at the right price. And when they’re creating so much currency as they are put parking your money in things where you have debt, it actually gets so many advantages. Right. You pay off in dollars in the future that are worth less. And the rate that we’re getting interest rates between four and a half and 6.5% are substantially below the 9.1%. Or you can realistically 15 plus percent inflation that we’re getting. So it’s really a win win to get into these deals.  

[00:10:35.210] – Sean

So you mentioned about $75,000 to $100,000 to get involved. What is the minimum dollar amount you require?  

[00:10:42.540] – Bronson

So our deals, it’s $75,000. We typically have to have a relationship with someone so people will join our investment club. We’ll find out really what fits for them. So I guess the disadvantage is this isn’t for someone who has a net worth of 50 or $100,000. It’s for people that usually have some more money. You can even invest retirement funds in this strategy. There are ways you can use a self directed retirement account. But yeah, it’s typically I guess, if somebody has less money, I usually tell people with multifamily, there are two ways to get involved. Either you have money or you have time. And so if you have money, you can just invest. If you don’t have money or you have time, I really didn’t have either when I started, so I made the time and then I learned how to do it. I learned how to raise money or learn how to you can either learn how to raise money or learn how to find deals and operate them. But it’s a great business to be in as an investor. It’s great to be in. And I invest personally in everything that we do as well, which is a lot of fun.  

[00:11:34.060] – Sean

Sure. And then let’s use round numbers here. Let’s say you use $100,000 to invest with you guys. What kind of reoccurring revenue would we see from that in one year?  

[00:11:45.100] – Bronson

Right. This is just general, this is not any specific deal. And I just give some disclaimers because I used to be an investment advisor, so I don’t want to be offering anybody, but generally 100K, we like it to become conservatively because that turned into 200K over five years. So of that money, we’d like to say about half of it. So 50K growth would come at the sale, and about 50 kwh would come through the cash flow. So that’s the case. We’d expect around $10,000 per year or $2,500 a quarter being paid out. Again, I said it typically takes around six to twelve months for that to start. So let’s say it starts six or nine months, then it’s going to be a little less in the beginning, and then it usually ramps up to be more towards the end.  

[00:12:26.470] – Sean

Got you. Okay. And that’s in line with other people I’ve had on the show, as well as about that. 10% is a nice round number to think about.  

[00:12:35.180] – Bronson

Right?  

[00:12:36.210] – Sean

Cool.  

[00:12:37.530] – Sean

Do you have to be accredited?  

[00:12:39.690] – Bronson

Yes. So the term accredited is you have to have a certain net worth or a certain income. So it’s either a net worth of over a million outside of your primary residence, or income of over 2000 a year if you’re single, or 3000 if you’re married. Some of our deals are for accredited only, some of them are for both accredited and non accredited. We still do have kind of a minimum net worth. We like to say usually around 300,000 is kind of a good minimum net worth, just because we feel like you shouldn’t have more than 25% of your net worth in any one deal, even if it’s retirement money or other things like that. But everybody’s situation is different. That’s why I like to kind of like to have a call’s goals are their risk tolerance and set those expectations.  

[00:13:19.470] – Sean

Well, you’ve got a fun comment here. We’re talking about offline, which is how to pay zero taxes legally. Walk us through.  

[00:13:28.370] – Bronson

Yeah, that’s, I think, a real advantage. One thing I’ve learned about is it’s not just how much you make, it’s really how much you keep and how it works for you. One of the advantages of real estate is that they have all this depreciation you can use. So if you buy a house, typically you can take the cost of the house, and every year you write off, I think it’s 120 7th, I think it’s 27.5 years, you can write off the entire cost of the house. You can also write off the cost of the loan or whatever you’re paying on the loan payment. And so those are right off. So the same thing works in multifamily, but multifamily or syndication has this thing called a cost segregation study, which just means we hire an engineering firm to come out to the property, and they evaluate the property divided into different parts, and instead of putting it over the longer period, you can bring forward all the depreciation in year one. So if somebody invests 100K, there’s typically around 80 to 100K year one passive loss. What does that actually mean? Well, you didn’t really make any money.  

[00:14:26.000] – Bronson

You didn’t really lose any money, or maybe a little money, but you didn’t really lose any money. But it’s on paper, it’s showing all this depreciation. So if you sold another house or you had some other investment property, you could use that against that, or let’s say you just had that, you could use that against the cash flow from the property from the next five years until it sells. Now, what happens when the property sells? When the property sells, you would have a recapture event, which just means, let’s say it’s over a 27 and a half year schedule or whatever. Those years, we only use five of those years. You’d have to kind of recapture the other 22 and a half years or whatever. There’s different schedule for different parts of a property, but you’d recapture that. But if now your 100K is 200K, you reinvest in other properties, you have more depreciation, hopefully to offset some of the gains that you had in there as well. So that helps you to basically on this side, which I call the kind of the investment bucket to reduce taxes there. But there’s actually a really magical thing that’s out there called the real estate professional.  

[00:15:18.090] – Bronson

And this is an IRS designation that allows you to basically take your ordinary income. If you, let’s say there’s a couple of stipulations to it, you have to do 51% of your hours in real estate, which is up to 750 hours a year or more. But like for me, if I do the majority of my hours in real estate now, I can actually write off my ordinary income. So somebody who is a real estate agent, or maybe their spouse is a real estate agent, or maybe they do investing or syndication or things like we do, you can take all of these depreciated losses and put them against your income, so you end up deferring or potentially completely writing off income that you have. I was able to do it in my last few years of working a sales job I was doing, and I was a W two employee. But I was able to do it because I had more hours in real estate, my real estate business that I had another thing. So let’s say somebody is doing other things or trading stocks, but they do more hours in real estate, or maybe they’re a physician and their spouse is a real estate professional.  

[00:16:14.630] – Sean

It gets really magical because you really can actually take some and some people are like physicians, they just can’t believe this is real because they’re paying 40 or 50% in taxes. And so it’s really an awesome way to grow your wealth over time.  

[00:16:25.530] – Bronson

Yeah, protecting your assets, especially as you accumulate more wealth is a big deal. And there’s a lot of professionals out there we’ve talked to like a Tykr. We’re big on that acceleration, building your wealth fast. But how do you shelter your money? How do you prevent it from being taxed? And that’s where somebody like you could come in and help. And for example, you sell a bunch of stocks, you’re going to have a tax event, right. Unless you put that money they could reinvest with you.  

[00:16:53.640] – Bronson

Yeah, so I’ll give this disclaimer, I’m not a CPA. I’m not giving any specific tax advice. I think obviously consult your tax professional. A lot of people though yeah, they don’t realize there are ways to offset gains or there are ways to offset things. Typically what I see, it’s usually real estate, property, somebody sells a house or something, they’ve got some gains in other ways. I’m not sure how that works when it is regards to stocks. It is a good question though to look at. But there are unique ways. There’s all kinds. I know a guy that sold a business recently in California and he was trying to find a way to reduce his taxes. Well, he basically found a way to have his wife be a real estate professional. This is like a multi million dollar business. They were selling. And he found in California, he was still going to have to pay the state income tax because it was not exempt from state, but exempt from federal. But he found a way that if he donated $100,000 to this land trust thing in California, then you get like it’s like a four and a half times.  

[00:17:53.190] – Sean

You basically get a $450,000 tax reduction. So he basically got to where he was able to pay for a $4.7 million sale. He was able to pay only about 100, $150,000 worth of it was amazing, right? To almost get to zero.  

[00:18:07.790] – Bronson

Incredible.  

[00:18:08.570] – Bronson

Which most people would be paying almost like 40, 50% on a sale like that. So there are people that do tax strategy. I love talking to people to talk about how you can sell even there’s a way with properties. If you have a property, you can do what’s called a 1031 where you sell a property with a tax exempt exchange, you take the half million or whatever it is and you roll it into a syndication or another deal. So there are all kinds of people around us that can find ways to.  

[00:18:30.820] – Sean

Try to help reduce taxes. The business, selling of the business is a perfect example I talked about in another podcast is you have a big liquidity event. In this case, you mentioned 4.7 million. You don’t want to be paying 50% to Uncle Sam, right. Situation like that. So 100K. That’s incredible.  

[00:18:50.140] – Bronson

Yes, it really is amazing. That’s what a lot of people think. When you ever hear the terrible, you can’t do that or I can’t do this, or whatever. A lot of people just they kind of are stuck in. If you’ve never read the book Rich Dad, Poor dad by Robert Kyosaki, the second book is called Cash Flow Quadrant, and he has this idea of these quadrants we live in, right? If you’re an employee, you’re over here. If you’re a self employed, which is like a doctor, you’re over here. And self employed employees typically pay between 40 and 60% in taxes. But if you move to the other side, which is the business owner or the investor, you can pay 20% as a business owner or 0% as an investor. So a lot of it is just learning. It’s just learning how to do it. And that’s where when I’ve seen people really get it, it’s like they just can’t believe they paid all those taxes all those years. Some people call them loopholes. I really call them incentives. And really, what is the incentive, right? The government is incentivizing you to help with their agenda of trying to get more workforce and housing for working class people.  

[00:19:47.870] – Sean

So it’s going to get to really partner with the government on, which is cool.  

[00:19:50.220] – Sean

Sure. Let’s take a quick commercial break.  

[00:19:56.170] – Sean

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[00:21:14.680] – Sean

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[00:21:34.730] – Sean

I’ve got a question here I did not ask in a few of the last real estate episodes, which is where do you see real estate going? Do you see this massive construction of multifamily happening or more single family?  

[00:21:49.550] – Bronson

That’s a good question. I mean, I think there’s a lot of factors that go into where things are headed right now. There’s a couple of studies that have come out. The National Association of Realtors came out a little while ago and said that we’re short 6.8 million housing units in the US. There’s other ones that come out somewhere between two and 5 million. So we’re short whatever it is. We’re sure some people think it’s as high as eight or nine, but they were substantially short of housing units. And if you look really Sean, what they’re building, they’re not building starter homes. They’re not building the three bedroom, two bath starter home. They’re building these luxury homes that are huge and they’re building all over. So it’s leading to a real shortage of what we call workforce housing or just places where people can live. And there’s this big trend of people moving to cities. And there’s a lot, of course, even with covet people or some people are going to other areas. But I do think in general, if you look at what happens, a lot of people are wondering, why isn’t multifamily just like single family?  

[00:22:43.170] – Bronson

Right? And if rates rise, isn’t going to drop or we’re going to have this cyclical type of thing. But I don’t think it’s the case. And the reason why is we had between February of 2020 and February 2022, we had a 40.9% increase in the Mtwo money supply, which means physical currency or money in bank accounts. There’s this massive creation of money. And if you look at the trendline of rents and inflation, they’re completely correlated. Usually rents lag just a little bit, but it’s a trend line. They just completely follow each other. So I think in general, and that’s really another difference between multifamily and single family, is that single family is all based on property. So if you want to know what your house is worth, what is the one across the street or across to how much does that sell for? A multifamily is more. How much income did this property produce? So if you can come in, you can do a value add strategy where you’re increasing rents or you’re doing some development on the property, you’re able to do that over time. It allows you to know that this property is going to be worth more.  

[00:23:39.760] – Bronson

So I think there’s so many positive things going on the side of just, we need more housing, there’s inflation, all this stuff is going to keep rising. And I think it’s just going to riding that wave is just amazing.  

[00:23:49.480] – Sean

Sure. Nice. Yeah. Thanks for providing an honest answer there. I recently did a stock review in a company called CABCo, and what they do is they manufacture mobile homes, which I know aren’t the most glamorous, like, hey, I want to live in a mobile home. But they’re equipped with a lot of tech like modern. Day homes are built with the other home they make is what’s called module homes, which are kind of like preconstructed in a factory, just parts of the home and then fully constructed on site. And these homes can be as low cost as seventy five dollars to one hundred thousand dollars for like a two or three bed. And I see those because you can manufacture them really fast. I see those more entry level homes maybe being a trend. I still see what you’re involved with. Multifamily, definitely know if, ands or buts. I see that being a demand now and well into the future. But Capco, I think that module home could be something for these. Let’s say you’re 30 years old, just got married, you’re going to have your first baby, you can’t afford a million dollar home which where I live west of Milwaukee.  

[00:24:54.090] – Sean

Those types of homes are being built everywhere and they’re not very easily the average person can’t enter into a home like that. But what are your thoughts on Capco and their business model?  

[00:25:04.330] – Bronson

Yeah, so I haven’t seen this specific business, but I do think that something is happening in California or at least in Los Angeles is they’re doing this thing called Adu’s, which is accessory dwelling units. And it’s basically saying with these particular units these can go in kind of the back of a house in the backyard and they can build them, they can drop them in there. And now you can have two instead of one or three instead of one. It’s a trend that’s happening. People, they need more affordable housing. And I think there is, we’ve been seeing in some cities that are doing it, I don’t know, out of Capco does smaller ones as well, but they’re even doing it some homeless population of like how do we use these? The biggest thing is we’re short of housing. So I think that anybody who can put together reasonable housing and they’re creating value, I think it’s really positive. So it’ll be interesting to see as we go, if we do go in a recession or what that looks like, will things slow down or what will slow down and what will keep going? But we do need more places to live.  

[00:26:01.080] – Sean

I think mobile home parks in general, they’re not really building many more of them, but I think for where they are building them or where they can replace the current ones, I think it’s a great place to invest as well. But people typically get a much better deal than living in a stand alone house.  

[00:26:16.920] – Sean

Exactly. These custom homes that they’re built from the ground up on site wood, aluminum, cabling, everything. It’s just you see them, they’re monstrosities where I live and there’s a few listeners on this podcast that live in the same area I live in and it’s almost like who can afford a home like this? You definitely got to be well into your career and have some wealth built up. But yeah, it’s very interesting to see what Capco is doing. There’s a few other companies. There are also companies that they’re taking sea containers and turning those into homes. You punch some holes in them for doors and windows and you’ve got a structure here that’s built to withstand high winds. You can put them against the sea, so they’re a little more sturdy than your average stick home, you could say.  

[00:27:05.720] – Bronson

Yeah, that’s great. I think it’s interesting you can look at specific companies. I think I’m honestly probably a little more of a macro investor where I look at like, what are the trends, what’s happening, what’s going to be needed? And I think that that is a huge trend that is just riding away. Right. If you just invest in the right type of business at the right time, with what’s happening in the economy and what’s happening as far as needs and shortages and everything, I think that’s a great place to be. I love the idea.  

[00:27:29.680] – Sean

Cool.  

[00:27:30.400] – Sean

Yeah. I love to hear your thoughts on that. That was great. But I’d like to do next is transition to the rapid fire around in a second. But are there any questions I should have asked but did not ask?  

[00:27:42.350] – Bronson

Yeah, I think for some people I’m happy to connect with folks offline or we have some resources at Bronze and Equity about kind of multifamily investing and how it works and just kind of getting involved. A lot of people have a lot of questions. They’ve just thought, I don’t know, like, I’ve never done this, why would I do it? But I think the biggest thing that for a lot of people I’ve had so many calls now with high net worth investors that one call comes to mind. This position I spoke with who’s worth $5 million. He was late 50s, early sixty s, and he’d had a successful practice. He’d only had a money person and invested in stocks and bonds. And so for him, I think really the goal is 50 or $100,000 thousand dollars is not insignificant as far as an amount of money to invest. But for someone who has a net worth of 5 million, it’s not a substantial amount of their net worth. Right. So I think for somebody getting some experience, until you’ve tried something you don’t know, until they’ve tried working with your screener, they don’t know how great it is.  

[00:28:40.900] – Bronson

Right. You got to get somebody to actually try it and put some skin in the game and try it. So this is kind of what I tell people, is that the goal is not necessarily investment. People will look at different operators like us that do these type of deals. But the goal really isn’t necessarily to just on your first investment, just absolutely kill it. The goal is to actually just get confidence that this is a solid, legit strategy that you can use to grow income and potentially leave your job through passive cash flow, which is awesome. I just wanted to say I think that’s kind of a helpful point.  

[00:29:07.300] – Sean

I love it. We’re all about that residual revenue. Cool. All right, let’s transition to the rapid fire round. This is part of the episode where we get to find out who Bronson really is. If you can try to answer each question yes. Here we go. If you can try to answer each question in 15 seconds or less, you’re ready.  

[00:29:25.500] – Bronson

Okay. All right.  

[00:29:26.420] – Sean

What is your favorite podcast that you listen to?  

[00:29:29.460] – Bronson

There’s a podcast called the Real Estate Guys. They do all kinds of different assets beyond multifamily and other ATM machines and all kinds of different things precious metals and things that I love, alternative assets. So it’s called the real estate guys radio show.  

[00:29:46.080] – Sean

What is a recent book you read and would recommend?  

[00:29:49.070] – Bronson

I just finished this book, actually. It’s called The Power of One More by Ed Milets. It’s a kind of motivational book, but he’s just saying, what’s the power of one more conversation, one more hour, one more thing, working hard, basically just to get you motivated, like, what can you do? And I really was encouraged by it.  

[00:30:08.370] – Sean

Nice. What is your favorite movie?  

[00:30:11.150] – Bronson

Favorite movie? My favorite movie of all time is Nacho Libre. It’s the most quotable movie. I love it. I’m really a goofball at heart.  

[00:30:22.410] – Sean

I like this part of the episode because some of the movies people listen. It’s like, okay, all right. I see who you are.  

[00:30:29.770] – Bronson

Yes. That’s it. That’s it. So I got to be honest, I was going to say The Matrix, but I was like, no, honestly, it’s naturally brace.  

[00:30:35.970] – Sean

Nice. All right. What is the worst business or investment advice you ever received?  

[00:30:45.370] – Bronson

That’s a tough one, I think, for me. I grew up in a family of educators. Everybody’s an educator, and when I was getting ready, I wanted to leave my job a year ago, so I actually left my job. But all of my family and friends were like, why would you ever leave your great job? But I have my entrepreneur network. Like, I have this group of six guys. We met together every month, and without exception, they were all like, yeah, you should leave your job pretty much as soon as possible. If you just listen to the people around you. There’s Brian Harris. It’s Jim Rohn quote, you’re the average of the five people you spend the most time with. So that was something I had to get around other people if I wanted to change my life.  

[00:31:24.450] – Sean

Yes. I think we know the answer to this next question is flipping that equation. What is the best business or investment advice you ever see it leave your job?  

[00:31:35.540] – Bronson

Go for it.  

[00:31:36.230] – Sean

Yes. And the last question is a time machine question. If you could go back in time to give your younger self advice, what age would you visit? What would you say?  

[00:31:45.750] – Bronson

Oh, man, it’s really tough. I feel like life is a collection of experiences that you can’t cut anything out. I think I could say, yeah, I wish I’d started sooner. I wish I’d started in college and say, hey, let’s just start going. I think the advice I would give would be to just make the biggest goals you possibly can and just go for them and just do your best. Even if it doesn’t happen the way you think it would by having huge goals. It’s going to put you in the right room. It’s going to get you around the right people, and you’re going to get people are going to look at how you doing all this stuff, and you’ll be like, I just make big goals easy.  

[00:32:23.360] – Sean

I like it. All right. And where can the audience reach you?  

[00:32:26.940] – Bronson

So, yeah, I have this free report, which is how to use inflation to your advantage. It’s like 50 color pages of just a guide of different choices today and kind of how you can use debt to be able to like how we use debt to buy real estate. So that’s at Bronson equity.com, people can also join our investment club if they want to hear about our upcoming deals. So we can only share those if somebody’s actually joining our investment club that’s also at Bronson equity.com. But this has been great, Sean. I really appreciate you having me, and I love that you’re doing this payback podcast, man. I’m a huge Filltown fan. I can’t wait to check out your screener as well.  

[00:33:02.160] – Sean

Nice. Well, thank you so much for your time. Always appreciate ways to create residual income, and you got a sound strategy I think a lot of investors should explore.  

[00:33:11.700] – Bronson

Awesome. Thanks so much that this has been wonderful.  

[00:33:13.610] – Sean

All right, we’ll see you, bronson.  

[00:33:14.800] – Sean

Thanks again.  

[00:33:20.590] – Sean

Hey, I just want to say thanks for checking out this podcast. I know your time is valuable and there’s a lot of other podcasts out there you could be listening to. So thanks for taking the time to listen to my guest story. If you did enjoy this podcast episode, could you head over to itunes and leave a five star review? That would be much appreciated. Thank you. And last but not least on this podcast, some episodes we do talk about stocks. And please keep in mind, this podcast is for entertainment purposes only. So if you did hear any buy or sell recommendations, please don’t make those decisions based solely on what you hear. All right, thanks a lot. See you.