Multifamily Investing with Corey “The Big Kahuna” Peterson | 571

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Multifamily Investing

Today, Corey Peterson, a big giant of multifamily investing, is revealing his tips and tricks to developing and maintaining a successful business. Stay with us and learn the secret to raising private money, how ascending interest rates bring about business opportunities, and why it is important to surround yourself with the right people.

Multifamily Investing

What You Will Learn About Multifamily Investing with Corey “The Big Kahuna” Peterson:

  • How Corey’s business looks like today
  • Where he finds his big deals
  • The secret to raising private money
  • Why you should be excited about increasing interest rates
  • How the new systems and technologies impact Corey’s business
  • The biggest mistake he made in his career and the lesson learned
  • His biggest win
  • The book suggestions
  • What gets him excited about the future
  • The importance of surrounding yourself with the like-minded people
  • Where you can learn about multifamily investing

Whenever you’re ready, here are a few ways we can help:

Work with me One-on-One

If you’d like to work directly with me on your business… go to REIAce.com, share a little about your business and what you’d like to work on, and I’ll get you all the details!

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  • Grab my book, Epic Freedom ($1) 
    I frequently hear from people looking into investing in real estate for the first time, “How long is it going to take?” So much so, I wrote a short book about the 2 easiest and fastest strategies to a paycheck in real estate. You can grab a copy for $1 and I’ll pay the shipping – Click Here.
  • Join our Badass Investor Program and be a Case Study 
    I’m putting together a new Badass Investor case study group at Epic Real Estate this month… stay tuned for details. If you’d like to work with me on your real estate investing, go to FreeRealEstateInvestingCourse.com to get started.
  • Also, check these out:

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Transcript:

Speaker 1: From coast to coast, Epic investors are doing the most. It’s time for another Epic Field Report.

Matt Theriault: All right, so I’m on the phone with Kevin McCann our Ace client who just posted a deal on our Follow Through Friday inside of the private Facebook group, and I wanted to bring him on to talk about it, so, Kevin, how are you, buddy?

Kevin McCann: Good. How are you, Matt?

Matt: Very good, very good, so let me read the deal real quickly. Purchase agreement signed on a seller finance deal with $30000 in equity and $600 a month of cash flow, so that sounds wonderful. How did you find this deal?

Kevin: It was through the RAIA mailings that we’ve done directly.

Matt: Okay, so through the marketing that we sent out for you?

Kevin: Yeah.

Matt: Perfect, and then someone called in. How did that conversation go?

Kevin: At first, it started she bought a property in a Ponzi scheme as a rental property that just turned into a bad deal about two years later. The properties have been vacant for a year. A lot of problems as a landlord, out-of-state landlord, so …

Matt: Got it. Cool. All right, so you proposed a solution and you were able to get seller finance on the deal that she was willing to carry back. How did that come about?

Kevin: We started with the three-letter option, and she didn’t like the cash offer. She came back, and I kind of explained to her how option two would work out. She was happy with that because she was actually gonna get a return on her investment also.

Matt: Sweet, so win-win.

Kevin: Yeah, absolutely.

Matt: Perfect, so this is gonna be a rental for you, you’re gonna hold on to this?

Kevin: Yeah.

Matt: And then, I’m looking at your numbers here. You’ve got 30K of equity. You’ve got $600 bucks a month in cash flow. What does that ROI look like? Have you calculated that?

Kevin: No, I haven’t because the final numbers haven’t come out because she’s allowing me to roll everything into the note.

Matt: Got it.

Kevin: Closing costs and everything.

Matt: Oh, sweet. Good deal. What’s the biggest lesson that you learned in this transaction?

Kevin: Always make an offer. Always make an offer and follow through.

Matt: That’s a good lesson. You can’t do deals unless you’re making offers, right?

Kevin: Absolutely.

Matt: Cool, so how are you gonna celebrate?

Kevin: Just gonna collect the cash flow and move on to the next one.

Matt: You get to celebrate every month.

Kevin: That’s right.

Matt: All right, Kevin, thanks for taking time out of your day, and thanks for sharing. Keep doing what you’re doing. If you need any help, you know how to get in touch.

Kevin: Absolutely. Thank you, Matt.

Matt: You back, Kevin. Take care.

Speaker 1: This is Theriault Media.

Matt: Uh. Yeah. What’s up? Hello and Welcome to The Epic Real Estate Investing Show. This is where we meet each and every week, five days a week to help everyday people escape the rat race using real estate, so thank you for listening to the show. Thank you for staying connected with us. If you’re brand new to the show, I’m glad you found us. You can stay connected just by hitting that little subscribe button inside of your podcast app. Wherever you’re listening to the podcast, you can stay connected with us on Instagram at Epic Real Estate and on YouTube by going to EpicREI.TV. That domain or that URL that takes you right to our YouTube channel, EpicREI.TV and this is where the video versions of the podcast are uploaded each and every week, and so much more good stuff happening over there, and that’s wrapping up to be five days a week as well, so if you don’t know, now you know. Please help me welcome to the show, Mr. Corey the big kahuna Peterson. Corey, welcome to Epic Real Estate Investing.

Corey Peterson: Thanks, brother. I’m glad to be on the show, man.

Matt: Yeah, we’ve been talking about it for a long time and we were finally able to get our schedules to line up, so, yeah, I’m happy to have you here too.

Corey: I got on the short list, man.

Matt: Right? Totally, so where are you calling from right now? Are you in Hawaii?

Corey: Oh, man, I wish. No, I like to go there a lot, but right now I’m in Phoenix, Arizona.

Matt: Oh, it’s kind of like Hawaii.

Corey: In the desert.

Matt: In the desert, right. That’s good.

Corey: Somewhere else.

Matt: All righty, so I guess you’re a big giant multifamily real estate investor and that’s become light and you’ve created quite a name for yourself here in the last, I don’t know, 24 months or so. Tell me a little bit about your business and what it looks like today.

Corey: You know, what it looks like today is totally different than it looks like almost five years ago.

Matt: Yeah, when we met, I think it’s very different today, right?

Corey: Yeah. I was still doing the same things. I was still always … I’ve been investing in multifamily since 2011 is when I bought my first deal, but sometimes it takes you still gotta have little other ways to make income, so I was whole selling up until about really almost two years ago, and then that’s when I went full-time. I had enough apartments that honestly, I didn’t need any other income and life was simpler actually. We now, like this year, we’ll close almost 35 million dollars’ worth of apartments-

Matt: Get out of here.

Corey: And that’s pretty cool.

Matt: Yeah.

Corey: What that does is it creates a lifestyle, a cash flow lifestyle, that is beyond imagination. All I can tell you is I’m living my dream right now. It’s good to buy.

Matt: That’s fantastic. Yes, I love it. The cash flow, it resonates over here, so I think that’s the only way to go. I think those that flip properties, they’re working way to hard.

Corey: You know, so think about it, you probably read the same book I did, Robert Kiyosaki’s Rich Dad Poor Dad, right?

Matt: Never heard of it.

Corey: And so, when I read that book, I was like oh, man, that’s what I want, and he always talked about cash flow and making money, but then somehow, I think a lot of us we turned on the TV and we saw flip this house and whole selling, and honestly those are great ways. I mean, listen, I was just on Tom Crowl’s podcast and he’s gonna make a million dollars this year whole selling.

Matt: Right.

Corey: I mean, it provides a great income, but the only difference is you’ll have to do it next year and the year after and the year after, and I won’t.

Matt: Right, right. Yeah, I know, I mean I don’t … I mean, I kind of poo-poo flipping houses every once in a while, but you have to have some source of active income to feed into the investments to produce the passive income, so …

Corey: Yeah, because … Yeah, exactly. One feeds the other, truly. If you’re doing it right because that’s where Robert was always saying hey, listen if you’re gonna make this money, use it and then work on getting out of the rat race by investing in the long-term stuff that passive stuff.

Matt: Exactly. Exactly.

Corey: And that’s really what I’ve done. I mean, I’ve been just playing Monopoly, man. I mean, buy four greenhouses and then trade up to an apartment, and once you get enough of them, then all you have to do is you only buy the red stuff, right? We don’t … You got enough cash when you learn how to raise private money, then all you have to do is buy the red stuff. Buy the big red apartments.

Matt: Exactly, so that stuff works. Hey-

Corey: Thanks, that my kids teach or my mom and dad taught me that game early on.

Matt: Yeah, and speaking of the greenhouses, I’m very familiar with how you go out and you find those greenhouses below market, how is that different when you’re looking for the red big buildings?

Corey: Yeah, it actually is a couple of different ways. Some people will say well, it’s just the same. You can do the same, the marketing and things like that. Now, personally, I don’t do it that way. I do it, I think it’s more of an old arctic, old boy, good old boy’s system meaning it’s more about relationships.

Matt: It is.

Corey: And you have commercial brokers in the world and if you will find a region of four or five states and then in all of the cities get to know all the brokers where they know you by your first name, and you have something other in common other than real estate. Right? And that’s called a relationship, so if you can … and the only way, what I find is the best way to get to that is to say like hey, Matt, what do you like to do for fun? And whatever you tell me like let’s say now, if you told me golf, which I hate golf, I’d be like well, what else do you like to do?

Matt: But other than that, you’re like I think I can have fun doing that with you.

Corey: I think you like the Dodgers, right?

Matt: You’re absolutely right, yup.

Corey: When you said you’re a Dodgers’ fan, I’d be like dude, I love the Dodgers. I remember watching Tommy Lasorda and he was my guy that has the big wind up. He just threw the pitch in for one of their big games.

Matt: Fernando.

Corey: Fernando Valenzuela.

Matt: Yes. You threw with the right hand, so it threw me off, so that’s why like I had to think of the right hand, but no, the big wind up was Fernando.

Corey: Yeah, and so, but like that’s … Every time I would call you if you were the broker, man, I’m opening with we’re talking Dodgers bro.

Matt: Right.

Corey: That’s all. I mean, I’d be like Googling what’s going on with the Dodgers because you’re probably gonna know, and then we have an opening conversation and all that, and then we get to real estate.

Matt: Right.

Corey: And when you do that, that’s the magic, man, and then they want to go to work for you and help you get a deal.

Matt: 100%.

Corey: That’s the secret, man.

Matt: Yeah. Boy, we should put that in a book somewhere and sell it. But, yeah, good old-fashioned relationships. Who knew, right? When they say it’s a people business they actually meant something by that.

Corey: It’s funny because it works the same way with raising private money.

Matt: Yeah, no, totally, no, 100%. It’s all about … A big part of what we teach in our REI Ace program because we have the A stands for attract, and E the word exit, and that C the convert. It starts with building rapport to turn on that conversion process and that’s just the same regardless of what you’re buying or selling. You’ve gotta build the rapport, right?

Corey: It is, man, like relationships. I mean, we’re in the people business. Believe it or not. Real estate is just a vehicle, but we’re truly in the people business, and so if you can get the people at a people level and get them to know, like, and trust you and understand what you’re doing, and then have integrity that solves a lot of things, right?

Matt: Right, right.

Corey: And puts you in like the top one or five percent, right?

Matt: 100%. Yeah, and you just said know, like, or trust, I think the likability outweighs the other two, right? If you can be the likable person, and the one that they would like to spend time with anyway, you can be a little deficient in the other two and still pull off great relationships and pull of good business.

Corey: Yeah, and it’s funny because I look at my investor pool and so, I mean, I’m a very outgoing person obviously, right? You are too, but sometimes a lot of my clients are not so much, and so when I’m around them I tend to mimic them a little more. I try to … I mimic their mannerisms because that’s what they are attracted to. Not the crazy wild person, more the … You have different roles you have to play for your different people and that … because you’ve gotta communicate in a language that they understand.

Matt: Yup, yup, basic mirroring skill. That’s a big part of rapport building. That’s right out of the How to Win Friends and Influence People book.

Corey: I didn’t even know that.

Matt: You did. You didn’t. Well, good.

Corey: I’m not that smart. Did I tell you that by the way?

Matt: I’d love to teach you something.

Corey: I barely made it out of high school, okay.

Matt: There was actually a book about that.

Corey: Thanks to Kevin Henfield I passed math, man. It was like the first-hour hate because math is in the third hour, so it’s like Kevin, bro, I need the homework.

Matt: What trends are you seeing in the market right now that either has you concerned or excited and how is it changing the way you’re operating?

Corey: Man, I’m excited about rising interest rates.

Matt: Explain.

Corey: That sounds weird, but it’s because man-

Matt: I’m actually too. I just want to see if our answers line up.

Corey: As interest rates rise, cap rates are going to rise

… faster, and there’s a lot of stupid money chasing apartments right now. That kind of seems to be the buzzword is apartments and cash flow. There’s a lot of inexperienced operators that are probably operating on razor-thin margins, and a little hiccup like a rate increase is going to screw the pooch. When that happens, it’s going to create opportunities for Corey Peterson, right, for people that are really good at understanding what our operations are and how we can effect change. I think there’s going to be things that are going to be coming up on sale.

Now, we still have a great strong market. We’re still buying apartments. We’re not saying, “Oh, we’re not buying anything.” I don’t think it’s going to be as crazy as what we experienced in ’08, ’09, that kind of … But I feel like a downturn or a slowdown … I don’t know if even it’s going to be a slowdown, because we have so much … I think it’s going to be an interest rate play, as interest rates go up. There’s still a lot of demand for housing, for apartments. The Millennials are not buying. The Baby Boomers are downsizing. They’re moving out of their homes and into things that are done for them. They don’t want to do the lawn. They just want … An apartment makes sense for a lot of …

Matt: Right. I’m liking the interest rates going up a little bit to slow down the appreciation a little bit and extend the inventory and the days on market, because when you’re dealing directly with the motivated private sellers … A lot of times the rebuttal can be, “Well, I can just go sell this on my own and get close to market value.” They kind of can. You know what I mean?

Corey: Yeah. Check this out, we’re buying an apartment right now that in cash flow, it’s stupid, almost like a 1.8, 1.9 DCR, debt coverage ratio. That means almost two times the amount of my payment, I’m making a profit.

Matt: That’s really high.

Corey: That’s stupid, right?

Matt: Mm-hmm (affirmative).

Corey: Why? Because the guy’s just … He’s a developer. He built the building. He built it in 2006, but he hates … He’s an owner-operator, and he’s not really good. He’s a developer. Sometimes guys that can build stuff are really good at building stuff. They’re not so much good at managing stuff. Stuff like that happens all of the time in the marketplace. Another example is this. We have a property we bought three years ago. We were projected to sell it at five years at 5.1 million. We are putting the property up for sale for 9.2. We bought it for 3.6.

Matt: Right, nice profit.

Corey: Even if we sell it for 7 and a half, I’m still going to be pretty dang excited. The thing is right now where we’re at in our marketplace, it’s heated. There are lots of people that are buying stuff that they just … Can we talk about the bonus?

Matt: Sure, everybody loves a bonus. Tell me about it.

Corey: I’m talking about depreciation, right?

Matt: Oh, got it, got it.

Corey: Cost segregation studies. In the multifamily world, what I do … Back in the ’80s, remember the savings and loans crisis? I feel like this is happening too right now. The new law that was just passed allows you to take what’s called a 100% bonus on year one. For example, I’m buying a $10 million property right now. I’m going to get a $3 million depreciation the day I buy it for the next tax year. That’s a lot. That offsets a lot of income. There’re some people out there that they don’t even care about making a return. They just want a $3 million loss to carry on their taxes. That’s going to catch up one day. There’s one opportunity’s coming down the road for that too.

Matt: And you’ll be right there to swoop them all up.

Corey: [crosstalk 00:16:00].

Matt: What system or technology have you … I realize this is a dangerous question for you because you’re not the big technical guy. What system or technology have you implemented in the last 12 months that’s had the biggest impact on your business and how?

Corey: This is great. I know how to answer this question. The biggest system that I’ve impacted is understanding that Corey Peterson sucks at systems. Then I just go find people that are great at implementing systems. I’m going to call this my management play. The reason I’m a successful operator is not because I’m a great operator. It’s because I’m very good at finding great operators to manage my properties. I realized early on that Corey Peterson’s gift is not the details. That’s a deficiency that I have. I realized early on that if I wanted to grow my apartment business to millions of units, like a lot … I’ve got this vision, and it’s like Donald Trump vision, big.

The only way I could do that is by having a team and the right team. Really, I would say my systems are learning how to ask better questions. In other words, when I was trying to find management companies, you usually say, “Hey, tell me about your management company.” Once that question goes out, everybody has a great story. “Oh, we’re the greatest. We’re awesome.” Then you believe them. What I realized is you’ve got to ask questions like this. You’ve got to ask all the crappy questions, man, like, “Tell me about a time when you got sued by Fair Housing. Tell me about a time … Not like, “I wonder if it happened.” If they’re an operator, they’ve experienced this. “Tell me about the time that this happened. You had a pool inspection that went bad. How did you guys mitigate it.”

When I learned that those are the types of questions that I had to ask, I started formulating all the right questions. By doing that, I started to find really, really sharp management companies. Now I only have one management company that manages my stuff nationally. By far, they’re the reason that I look great and so successful is because they do most of the work. I know it’s a long way to get to the answer.

Matt: No, that’s great. That was a perfect answer. You know you suck at systems and you’ve got to delegate someone to do the systems.

Corey: Yeah, that’s legitimate. Yes, that’s me.

Matt: What’s the biggest mistake you’ve made in the last 12 months and what did you learn from it?

Corey: What I always want to say, and that’s the short answer, is I don’t ever listen to my wife, and I wish I would listen to her more.

Matt: That was a good answer.

Corey: I’m trying [crosstalk 00:18:58].

Matt: Especially when she’s standing right behind you.

Corey: I wanted to make sure that I get all my rewards done now. The biggest mistake … I can’t do it in a year. I’ve got to go back in … My biggest mistake was the second deal I ever made, my first, second apartment deal that I ever did. It confirms what I just said in my last answer. I hired a management company that was out of Georgia to manage a property in Tucson, Arizona, and I live in Phoenix. They just didn’t have the right systems. They couldn’t go that far geographically, and they failed.

Here’s where the mistake came in. Corey Peterson said, “Oh, I’m going to self-manage.” Ooh, bad idea. It got worse. I went from bad to worse. For about two years, I had sleepless nights because I had raised about $1.6 million of private money. I didn’t lose my investors’ money, but they didn’t make any. I got my investors’ money back to them with no interest, but the principle for two years. There were sleepless nights for two years, my friend, and I’ll never forget the pain of every month having to go in front of my investors and say, “Guys, we’re not doing it.”

I eventually hired the right company. We righted the ship enough to sell it and exit. Half of that money, I’ll never see again because it was the first time they ever invested. The other half were people that had been in many deals with me and so, they just said, “Corey, great. You’re not perfect, but let’s just go to the next one.” Man, trying to think that you can do it all like you’re invincible, and not going back to principles of underwriting and what a deal is and what a deal is not, that was the lesson I learned is to make sure that you stay true to underwriting, process, procedures. Don’t think that you can do it. Hire the right people to do it for you.

Matt: Got it. I resemble so much of that story. I think we all do at some point. If you don’t, you’re not in the game.

Corey: Show me how much money you’ve lost. That’s if I know you’ve got experience.

Matt: Exactly. You’re making money or you’re getting an education. Biggest win in the last 12 months, and what did you learn from it?

Corey: That one … The first apartment I bought in 2011. I bought it for $3.6 million, $1.4 million of private money. Sold it last summer for 8.8 million bucks.

Matt: Nice.

Corey: That’s almost $5 million profit.

Matt: Right, that’s when you became famous in the community.

Corey: It’s funny, right? That is truly what happens. I didn’t show my HUD to very many people, but I put it on Collective Genius, on their private page. I put a little picture of my HUD. Honestly, that deal set me free. It’s not actually the sale. It’s when I bought the next property. I did a 1031 exchange on a $12.6 million deal. That deal will pay me almost $375,000 for the rest of my life cash flow. It made like a $400,000 acquisition fee. That just put me really on track. We’ve got lots of other deals behind it. That one truly … That was my start to finish all the way through to prove that my system does work. You buy them. You fix them up. You hold them for a while, sell them for lots of money.

Matt: You sell them for lots of money. I like it. What’s the best book you’ve read in the last 12 months, and what did you find most valuable about it?

Corey: Personally, my favorite, favorite book, besides Rich Dad, Poor Dad, is the Richest Man in Babylon. A tenth of everything I make is mine to keep, that’s kind of what I take out of it. Honestly, the book that I just read is … Hold on, let me just pull it up. I should have had this ready. You got me off guard here for a minute.

Matt: That’s what a good interviewer does.

Corey: Right? You’ve already got me there.

Matt: It’s How to Sell with Story. I don’t have the author right now. I’m not going to find it, but you can just Google How to Sell with Story, and you’ll be able to find it. The power of story … When I learned to really … As I become an info-marketer, to sell my educational stuff like that, I’ve learned that you’ve got to become a good storyteller, but it’s helped in everything now. Now, when I’m even talking with capital, I start telling stories of operations and things like that, and they remember the stories.

Corey: Stories work really well when you’re buying property too, right?

Matt: Yeah.

Corey: 100%. You can relate with somebody, right?

Matt: What the facts tell, the stories sell, right?

Corey: Yeah.

Matt: And stories buy too. What’s in the

… future that has you most excited and why. What’s going on now?

Corey: Man, I’m most excited about having complete autonomy from working. So honestly, for the last two years, I’ve been working really, really hard to launch an info business. It’s a lot of work. It’s a lot more work than I thought, but actually, I’ve really enjoyed my events. We’ve got all of our coursework built finally, so that’s kind of nice. To know that I’m in a spot now that we’re getting ready to close on this next program. I’m going to buy a Can-Am, right? A little four-wheeler thing just so me and the kids can go, because we live in a great place in the desert, to take those things out and go have fun. So, this next year is all going to be about saying no a lot more, right? My kind of like “I don’t give a crap” meter has gone way up, right? I love it there, and I don’t ever want to change it.

Matt: Yeah. No, it’s a good place to live from, for sure. This has been a pleasure. It’s funny what you said about the info business, a lot more work than you thought. Yeah, I thought it was going to be a cool little side gig just to leverage what was in my head and produce a little extra money on the side.

Corey: Were you there when I got roasted?

Matt: Arrested?

Corey: No, roasted.

Matt: Oh, roasted.

Corey: At Collective Genius.

Matt: I was, and I remember it, but I don’t remember the contents of the [crosstalk 00:25:40].

Corey: Let me tell you.

Matt: I remember a lot of people telling you that you were crazy, but I don’t remember what the reason was or why they were saying you were crazy.

Corey: Man, here’s what happened, man. I come up there and said, “I’m a full-time dad. I own apartments. I’m the big kahuna.” Right? Then I go up and say, “I’m going to start this info business, and then I’m going to write a book. I’m going to be a best-selling author” and all this stuff. Then we to start to talk about private money, right? I was like, “Well, I’m getting my money at … What I’ve learned how to do is raise a low-cost of capital. I pay a 6% pref, and give a 6% on the back end, so a total of 12%. It’s not 20, okay? It’s 12, and it’s for equity, meaning they don’t have any collateral.”

They’re like, “You can’t do that.” I’m like, “But I am, so explain to me how I am because I’ll show you how I am.” “You can’t keep that going. There’s no way you can sustain that.” “But I am.” So, it was a crazy spot. Now, I will say this, though, I’m doing exactly what I said I was going to do, but I wasn’t ready because the feedback I got was like, “Corey, don’t do it.” Really, what they were trying to say, it came out a little weird, but it was like, “You don’t understand what you’re doing, and there’s a right way and a wrong way.”

When I realized the value of that, it saved me from myself, right? Because a lot of times we get great ideas. As entrepreneurs, we get great ideas every five minutes, and sometimes you’ve got to have enough … You can’t be so full of yourself that you’ve got to take the cotton out of your ears and listen. It was hard. It was hard for me to do, dude. Only God. But the truth was the timing was not right, and I was going to do it wrong. Now that I’ve actually built it right, it took a long time, and it was a lot of work. It was a lot of work to get it going. I’m so thankful that I built it the right way so now, as I’m exiting out, going and continuing, it’s still fun and enjoyable. That’s the key.

Matt: 100%, yes. Why do it if it’s no fun? Isn’t it amazing when people tell you that you can’t do something that you’re actually doing?

Corey: Oh yeah. It’s the best.

Matt: There’s a little, I don’t know, Chinese proverb or something like that. Those that say it can’t be done need to step aside and get out of the way of the people that are doing it, right?

Corey: I call that a trailblazer. The difference is my belief, right? So a lot of times, it’s like The Matrix. I’m not the one, but I know I can go do something, right? So I just knew in my mind my vision was so strong. I knew what I wanted to do. I knew how to get there, and I was going it already. I just knew that if I focused, that I could do exactly what I wanted to do. But that’s like anything in life, even with doing real estate. If someone wants to start real estate and they’re not in real estate and there’s a lot of fear and all your friends and family will tell you what? You’re crazy.

Matt: You’re crazy, yeah. You’re going to lose your shirt. You see what happened to everybody in 2007? Gee. You want to be one of those people? Yeah.

Corey: The right people know how to self-talk to themselves and try and forget all the naysayers. They go anyways. I think that when you get to that point when you really get to that point and say, “Listen, I’m going this way, hell or high water. I’m burning every bridge that I walk across. There’s no coming back. It is all or nothing.” That is when you actually become successful because you will now work with a ferocity that is unmatched by anybody.

Matt: Yep. You know that when you talk about naysayers, and I’ve seen this meme floating around, and I’ve seen it expressed a few different ways a little differently as no one that’s doing more than you is going to tell you that you can’t do what you want to do, right? The naysayers always are the people that aren’t doing as much as you’re doing.

Corey: Yeah, every time.

Matt: Every time, every time. I invest a lot of money in my network, basically, the different Masterminds and the groups that I hang out with and the trips that I take and the seminars and conferences that I attend. I mean, I’m not your normal little “Rich Dad Poor Dad,” a free seminar on the weekend type stuff. I look for those places where I’m the smallest fish in the pond, and it’s pretty amazing the different types of conversations and the different levels of encouragement and the different levels of advice and suggestion that you get when you are very intentional about creating your environment and hanging out and spending your time with the right people.

Corey: Man, if you asked me the question again now that you just framed it that way when I say the biggest thing I’ve ever done, my biggest win, is really joining Collective Genius and about three other groups that are Masterminds that were very intentional. Dude, I’ve learned, I’ve grown more as a human being, as a businessman, as a father, really understanding my priorities. That right there is the greatest gift. Hang around those types of people; you cannot help but become better and smarter. Then the network that all that provides, that’s the reason me and you are talking.

Matt: Exactly. Exactly. I would say that the concept of peer pressure, it works both ways. When we were in high school and we hung around the bad kids, we did dumb stuff and got in trouble. When you get older, hang out with the good kids, and then lots of good stuff happens.

Corey: It’s amazing.

Matt: Yes, what a concept. They’ve only been saying, “You’re the average of the five people you spend most of your time with,” for decades for centuries maybe, and it finally hit. It finally connected. I think about if that lesson was taught your senior year in high school, how much more could have been accomplished in your twenties? I would say if you would have swapped out, say, Catcher in the Rye, we don’t need that book. Let’s just put in the Rich Dad Poor Dad book there instead. What an impact that would have on people’s future.

Corey: School is failing our kids. Let’s just get that out the bush, right? Of course, my wife’s like, “Our kids are going to college.” I’m like, “Yes, they are, but they’re going to come work for dad.” Right? But schools failing because they don’t teach the life skills, right? Man, I would say the same thing. The biggest thing, stay in contact with everybody that you know or meet, some way or form. Have an Excel spreadsheet where you can ping people every once in a while because it’s not always what you know; it’s …

Matt: It’s who you know.

Corey: It’s who you know.

Matt: Another cliché that’s got more truth in it than people like to think, right?

Corey: Yeah.

Matt: 100%. Well, thanks for showing up here today, Corey. I know you’re busy. Well, you’re not so busy anymore. But you are the best, dude. I love hanging out with you. If someone wanted to get in touch with you, what would be the best way for them to do that?

Corey: Two ways. One is if you want to learn about the multifamily space, go to our podcast, Multifamily Legacy Podcast. The other one is kahunawealthbuilders.com. That’s our education site. Yeah, any place you can go, those are the two to go get fed.

Matt: All right. Sweet. Cool. So, let’s check in in a few months and do this again.

Corey: Yeah, I’d love it, dude.

Matt: Perfect.

Corey: Let’s talk about some bank stories next time. I could give you a whole seminar, a whole series, of just all the mistakes and crap that I’ve done wrong.

Matt: Yeah. I’ve got a painful experience I’m going through right now. Hopefully, it’ll be resolved, and I can try and match you. Anyway, all righty, so thanks for being here on The Epic Real Estate Investing Show. God bless to your success. If you want to do deals, just stay tuned here. We give it all away for free. We hold nothing back. As you can tell, we’ve got great guests like our friend, Corey Peterson, here today. But if you want to go fast, go to reiace.com. All righty. I’ll see you next week on another episode of Epic Real Estate Investing. Take care.