Still Doing Deals... Thanks to These 2 Pivots With Marcus Maloney (Part 2)| BP Podcast 386.5:

TL;DR

Marcus Maloney shares how he pivoted his real estate business during COVID-19.

Transcript

this is the bigger pockets podcast show 386 part 2 you're listening to bigger pockets radio simplifying real estate for investors large and small if you're here looking to learn about real estate investing without all the heights you're in the right place stay tuned and be sure to join the millions of others who have benefited from bigger pockets c... Read More

Key Insights

• Marcus Maloney pivoted his real estate business during COVID-19 by focusing on Midwest markets, which offer lower risk due to affordable property prices.
• He leveraged his network of private lenders to finance deals when traditional lenders became hesitant during the pandemic.
• Marcus emphasized the importance of discipline and consistency in building self-confidence and achieving success in real estate investing.
• He highlighted the significance of documenting and sharing your journey in real estate to attract potential partners and lenders.
• Marcus's experience with a tenant during COVID-19 showcased the importance of communication and flexibility in property management.
• He stressed the need for entrepreneurs to develop a mindset that embraces problem-solving and adaptability, especially during challenging times.
• The podcast discussed the value of building relationships and networking as a way to find strategic partnerships in real estate.
• Marcus advised on the importance of having a long-term perspective and planting seeds early on for future success in real estate investing.

Questions & Answers

Q: How did Marcus Maloney pivot his business during COVID-19?

Marcus Maloney pivoted his business by focusing on Midwest markets, which offered lower risk due to more affordable property prices. He also leveraged his network of private lenders to provide financing when traditional lenders were hesitant, ensuring his deals could still proceed despite the pandemic's challenges.

Q: What role did private lenders play in Marcus's strategy?

Private lenders played a crucial role in Marcus's strategy by providing the necessary financing for his real estate deals when traditional lenders pulled back during the pandemic. By tapping into his network of private lenders, Marcus was able to secure funding for his end buyers, facilitating a win-win-win situation for all parties involved.

Q: Why did Marcus focus on Midwest markets during the pandemic?

Marcus focused on Midwest markets during the pandemic because they offered lower risk due to more affordable property prices compared to coastal markets. This strategic pivot allowed him to minimize risk while still achieving profitable returns, as the Midwest markets tend to have more stable pricing trends.

Q: How did Marcus handle a tenant situation during COVID-19?

Marcus handled a tenant situation during COVID-19 by maintaining open communication and flexibility. When a tenant who had always paid rent on time lost her job and requested to break her lease, Marcus agreed to refund her advance rent if a new tenant could be found before the month's end, demonstrating empathy and understanding.

Q: What advice did Marcus give for developing self-confidence in real estate?

Marcus advised that developing self-confidence in real estate starts with discipline and consistency. By setting small, achievable goals and sticking to them, individuals can build internal determination. He emphasized that this self-confidence is crucial for overcoming fear and making progress in real estate investing.

Q: How important is networking in real estate according to Marcus?

Networking is extremely important in real estate according to Marcus. He highlighted that building relationships and sharing your journey can attract potential partners and lenders. Networking allows investors to find strategic partnerships and leverage resources that can significantly enhance their business operations.

Q: What mindset does Marcus believe is crucial for real estate success?

Marcus believes that a mindset embracing problem-solving and adaptability is crucial for real estate success. He emphasized that entrepreneurs should be prepared to pivot when necessary, develop a strong internal discipline, and consistently look for solutions rather than giving up when faced with challenges.

Q: What is Marcus's view on documenting and sharing your real estate journey?

Marcus views documenting and sharing your real estate journey as essential for success. By consistently sharing experiences and insights on platforms like social media, investors can build credibility and attract potential partners and lenders. This transparency can lead to valuable connections and opportunities in the real estate industry.

Summary & Key Takeaways

• Marcus Maloney adapted his real estate business strategy during COVID-19 by shifting focus to Midwest markets, where property prices are more affordable and risk is lower. This pivot allowed him to continue operations despite challenges posed by the pandemic.

• By leveraging his network of private lenders, Marcus was able to secure financing for deals when traditional lenders were hesitant. This proactive approach ensured his business continued to thrive during uncertain times.

• The podcast emphasized the importance of discipline, consistency, and networking in real estate investing. Marcus shared insights on building self-confidence, documenting your journey, and maintaining flexibility in property management to achieve long-term success.