Finding Real Estate Opportunities in Hot Markets with Josh Eitingon, Episode 64
Sometimes it takes a bit of blind confidence to get going. Take Josh Eitingon for example. He has always been drawn to multifamily real estate. So at 25, he jumped at a short sale opportunity for a distressed 20-unit property in a neighborhood he wouldn’t want to hang out in at night. He didn’t have the capital so he raised debt equity for the deal. His early vigor led to a portfolio growth in multiple markets. He is the perfect epitome of starting, then learning and improving along the way. Learn how Josh positions himself and his team to be at the forefront of advantageous opportunities in hot markets.
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Key Market Insights:
Drawn to multifamily & residential real estate
Bought a short sale 20-unit distressed deal in Cincinnati, Ohio at the age of 25 for $175,000
Put in additional $200,000
Financed his property through debt: Promissory note (family & friends), $145,000 loan from the bank, plus $40k from his own pocket
Acquired another 44-unit and 62-unit in Cincinnati, 70-unit in Florida, 96-unit and 80-unit in Charleston
One of the two acquisition members of URS Capital Partners, where he led the purchase of over $100 million worth of multifamily real estate
Founder of JAE multifamily, a real estate investment company, responsible for acquisition, asset management, and investor relations
Overseas all the major operations of the company
Property Manager - a key piece in sourcing a good deal
Cincinnati: Diversified employers and strong solid population
How to Identify Markets: Established relationship with a handful of brokers and property managers
A good deal has a compelling value, which you can either buy or create
How to Choose a Good Property Management Company: Check on their presence and their resources available in the market
Charleston Market: Insurance is typically higher than in the Midwest due to a number of hurricanes
Debt vs. Equity: Debt, loaning money that needs to be repaid with interest; Equity, investing money in exchange for a portion of ownership
Indianapolis Market: An older city with good employment & salesforce, lower home prices compared to a lot of other states and some of the Southeast markets
Currently, closing a 90-unit deal in Indianapolis and working on a Westchester deal and retail in New York
Bull’s Eye Tips:
Winning Your Market: Have the right team in place that can adjust to different market conditions.
Tracking Marketing Changes: Be consistent in making necessary adjustments, and try to be at least in the forefront of any opportunity you can take advantage of.
Daily Habit: At the end of the day, allot some time to plan out the day ahead.
Think and Grow Rich by Napoleon Hill
“I don't think the strategy to finding opportunity changes wherever you are but how you underwrite definitely does.”
“It's less about the cap rate. It's more about your business plan and the ability to create value”
Places to Grab a Bite:
Connect with Josh:
LinkedIn - https://www.linkedin.com/in/josh-eitingon
Website - https://www.jaepropertygroup.com/