All About Raising Real Estate Capital with Sarah Eder

All About Raising Real Estate Capital with Sarah Eder
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Table of Contents - All About Raising Real Estate Capital with Sarah Eder

Podcast Transcript

George El-Masri [00:00:01] Thanks for joining me today. I had the opportunity to interview Sarah earlier. She's very interesting. She actually has a marketing background and she does very well on social media. She's very consistent in posting everything about her, her business, which is basically to raise capital for for real estate. She manages the renovations and she partners with people who have some capital in order to basically buy, fix, rent and refinance properties of the strategy. So she's breaking down her process and how she went from having zero properties. Last year I met with her for coffee and she told me she didn't have anything at the time to now having over 30 doors for herself. Thirty two doors and one year she's raised over three million dollars. And it's just it's fascinating to see that because to think in one year you're able to raise three million dollars for a bunch of transactions like the sky's the limit for for her. There's a lot of good things in this interview. I think you will find great value in it. So I hope you'll enjoy. And just a reminder, if you guys know people who are looking to invest, I'm always happy to help a lot of opportunities in Hamilton, Brentford, St. Catherine's and those types of areas. So I'd love to help your friends and family get into some sort of investment. So reach out to me. You can email me George Well-off Dossie check out my website well off Nazia and don't forget to subscribe on iTunes or on YouTube. If you're on there and share with your friends and family, enjoy the show. Welcome to the Wealth podcast, where the goal is to motivate, inspire and share success principles. And I am here with Sarah Aitor, an entrepreneur from the age of 19. She started off managing properties over one hundred fifty doors. And at this time she actually focuses on building a portfolio of properties with partners. She started she actually quit her job last year and focused all of her energy on just what I just mentioned to you. And she's actually been able to acquire 32 doors in less than one year without using any of her own money. So, Sarah, welcome to the show.

Sarah Eder [00:02:10] Awesome. Thank you so much for having me.

George El-Masri [00:02:11] Great. So I'm excited to speak to you today. I'd like to ask you the standard question that I always start with, which is tell me about your childhood, what that was like and certain things that you remember from from those days.

Sarah Eder [00:02:24] Absolutely. Um, so, yeah, I had a really good childhood. Um, I actually grew up in Saint Marie, which a lot of people don't know about because they assume I'm just a native GTAer um but yeah. So I grew up like really rural, like small town, um just really normal kind of upbringing. And you know, it wasn't until later in my life that I realized, you know, my parents were actually very entrepreneurial and so was my grandmother. Um, she's very close to me. And she immigrated from Denmark after the war with the war, and she had her own antique shop. She was a seamstress for a really long time, all of us as teenagers. That was like our first job was like working with sweeping floors and answering phones in the antique shop. And yeah, I realized like that she gave me a lot of really good business savvy skills growing up and, you know, really gave me that motivation to want to just work for myself eventually. And yeah, I think it was pretty fun. I mean, I left when I was about 19. We too small town for me. And I remember telling my parents that when I was a little kid like mum and dad, I can't wait till I'm old enough. I can't wait to get out of here. And yeah, 19 came on. I was I was gone and I haven't really looked back. That's so

George El-Masri [00:03:35] very cool. Where do you live now, by the way. I ingworth ok. Yeah. Because I think you've been there for a while. Um at what point. Because I know you used to or you still ride horses. I forget what that sport is called. Equestrian. Yeah. Yes. And that's the one. So do you still do that very recreationally.

Sarah Eder [00:03:54] OK. Uh a few months ago was the first time I actually sat on a horse in over a year, the longest time in my life since I was 12. So I want to get back into it more as a hobby. But yeah, I mean, that was my life for most fifteen, fifteen years.

George El-Masri [00:04:07] Um, OK, so you live in Guelph. Um, you grew up with an entrepreneurial grandmother, which is really cool by the way. Yeah. Um and how at what point did you why did you choose to go to wealth of all places. Is that where you went when you were 19?

Sarah Eder [00:04:23] No, I bounced around a lot. So I used to travel down every summer to try to qualify for nationals while I was like a professional athlete. So I lived in more rural areas like I was in like Aaron and Milton King City, Aurora kind of areas. Um, and then I actually moved to Europe in the States for a couple of years. Then when I moved back to Canada, I was in Milton for a really long time, um, because I had my farm close to there. And then I only moved to golf because of my partner going to grad school. And you have G so we're just there. We're actually moving back to, um, Mississauga in December.

George El-Masri [00:04:58] So, yeah, that's that's kind of a funny thing because I kind of know you because of the whole real estate thing. But I actually know your partner because we went to high school together.

Sarah Eder [00:05:07] It's such a small world that we're meeting for the first time at his birthday party.

George El-Masri [00:05:11] Yeah. And I remember him saying that. Yeah, my my girlfriend, she does some real estate stuff here and there. And now come to think of it, like you're doing some pretty big thing. So that's really cool. Um, can you talk about so we kind of touched on in the introduction on what you're doing now. And for those that don't know your you're very active like on social media, you're active in raising capital for for your deals. Can you tell us a little bit about what what you're doing today?

Sarah Eder [00:05:39] Yeah, absolutely. So my background when I went to university was actually in marketing and advertising. And so I've always loved social media. Um, I've had little, you know, businesses my whole life, essentially. Obviously, I have my own horse farm. After I stopped pursuing my Olympic Olympic dream, I kind of came back to Canada, um, and ran everything. So I had my I built my own website. I learned how to advertise myself. I used to solicit, like students and coaching clients. Um, so I've always really loved that. So when I start to get into real estate at number one, I had gotten myself into a lot of debt. For those of you that don't know, equestrian is a ridiculous sport. It does not make money. That's why I left it. It's a passion of the heart, not the pocket. And I got into a lot of debt and I racked up some credit. Hard bills and I wanted to invest and then thought, OK, well, this isn't going to go too well, I don't own a house, I have really bad credit. What am I going to do? So I was actually mentored and taught about this whole concept of joint ventures, which I'm really grateful for, and then kind of just took my own millennial twist on it, took all that marketing and business building skills that I kind of developed over my life and applied it to to my real estate.

George El-Masri [00:06:55] So, yeah. So a year ago, I sat down with you, we had coffee and you were telling me that you were still pretty new to this. You were starting to raise a little bit of money. You had some coaching clients of yours and whatnot, but you had zero properties. Yeah. And then now I speak to you and you say you have thirty two doors and that's in less than one year. Can you talk to me about that journey and how you got to where you are today.

Sarah Eder [00:07:20] Absolutely. So when I first got started, I mean I think for any new investor, especially being young, I was like twenty nine and you know, I look very young and it was it was tough to convince people to invest with me. And I didn't really know what I was doing. And so I managed to acquire a couple of properties, but we sold them fairly quickly. I did a couple of flips and then, you know, I really wanted to take this seriously. You know, I managed a hundred and fifty dollars of multifamily. I felt like I was so experienced, really confident with that kind of thing, like analyzing properties, managing tenants. And I was like, I want to have a serious portfolio. So by the end of last year, we were seriously starting to consider, you know, what my next steps needed to be because I felt like my corporate job was really getting in the way. Every time I need to see a property, I can't take time off work. During the day, I was missing out on opportunities. So I said, you know why? Like, I'm an entrepreneur by heart. I'm not afraid of it. Let's do this. So I quit my job last December and just drove in headfirst. I started up my social media in earnest. I was really active speaking, trying to get writing gigs and news like magazines and things like that, and really just pushed hard. And I made it my job that like every week I was out seeing off market properties. I was going to open houses, going as many networking events as I could. And, you know, everyone always asked me, well, what's the magic secret? It's consistency. You know, at the end of the day, I just did it all the time, every day. And I think that's a big component of my success. Right.

George El-Masri [00:08:53] Can you tell me a bit, um, can you provide some details on how you were able to convince people? Because you kind of touched on it like somebody who didn't really have properties and maybe people looked at you and thought, like, why should I invest with you? How were you able to get past that? And to get our sorry. Work with different people and and actually raise money, a lot of money. How much did you say you raised? Three million. Yeah. So how are you able to do that in detail. I mean, yeah, if you if you can share that. Not all details about some details.

Sarah Eder [00:09:28] Yeah. I mean I like to be honest about this because I feel like there's a lot of generic info online that's like, oh, just write a couple of blog posts or you know, go to some networking events. You'll meet someone who's like minded. That's not good enough. And that's why I started coaching, because I was like I like I wish I had that back then. Like someone to hold my hand. I had to kind of, like, just figure it out on my own. And I will say that, like, a huge component was that I had experience. It might not have been necessarily me owning properties, but managing that portfolio because I mean, like I was in the field all the time. I went to home inspections. I've even been the landlord tenant board, you know, evicting tenants before. Like so if someone were to come to me and say, well, Sara, if we bought this fourplex together, could you manage it hundred percent? Can you evaluate it? Do you know how to maintain the building? One hundred percent. So that was definitely a big upside, I think, in the eyes of my potential investors. Also, I was like really enthusiastic. I was like, I don't care. Like, I'll look at properties all day long, I'll stay up late, I'll do whatever it takes to do it. And I think they really just, you know, took a chance on the fact that I also, um, which is ambitious and really willing to go to bat for them, essentially. But I mean, for those of you that don't have a portfolio starting out, it's a good idea to work for a real estate brokerage, work for a property management company, get some real life experience, get paid to do it. Of course. I mean, that's the ideal situation. I have something under your belt, you know, that you can say, hey, I've done this to an extent. Take that leap for me.

George El-Masri [00:10:58] Yeah. OK, so where did the how did you find JV partners in the sense like how did you know that this person had some money that they wanted to invest, um, before you approached them?

Sarah Eder [00:11:10] I like to work from a different type of model. And this is probably the millennial in me is I believe in that concept that if you build something of value, they will come. And so I was like, OK, instead of me, like chasing joint venture partners, because to your point, I mean, it's hard to tell. Like, I don't know if they have an RSP. I don't know if. Are you going to be financially capable, so let me build the blogs, let me build a YouTube video. Let me talk about my values, show the world who I am and what I do, and then let them kind of, like, reach out to me. And that's still a model I use today. Um, and it's pretty successful that way. Like, I'm not running around trying to have conversations with people that aren't interested. It's people that genuinely like me and like what I do.

George El-Masri [00:11:54] So, you know. Have you heard of magnetic marketing by Dan Kennedy? Yeah.

Sarah Eder [00:11:59] Oh, you have? Yeah, I think so.

George El-Masri [00:12:01] So you were applying those principles from the book, basically. Yeah. So those that don't know that the main principle in the book is like don't chase after people but do things that will attract them to you, which is exactly what you're talking about. So by putting out these blogs and by being active on social media, people say, OK, this looks like it's somebody that I may want to invest with and I'm willing to trust her and and give her some money to to work with and make it happen. So really cool. Yeah, absolutely. OK, so let's see now this person raises their hand and says, I'm interested, Sarah, I'm looking to invest. I don't want to do it myself. I might want to partner what happens from there.

Sarah Eder [00:12:40] Um, essentially, I think part of why I'm successful and now I get a lot of good word of mouth referrals is because I really take the time to get to know my investor. You know, some people might be like, all right, let's go buy a property today. I want to make sure that these are long term relationships. So I spent a lot of time, especially if they're first timers and they're like, oh, I want to go do a very specific type of investing. I'm like, OK, why? You know, and if it's a good reason, it's a it's a good reason. But sometimes it's like they might have just read an article or heard a podcast and they just think that's like the new cool thing to do. I want to know, like, what's your financial situation? What are your retirement goals? You know, do you want to quit your job or do you want to have like an early retirement? How many properties are you looking? And so I kind of act like, you know, broker, banker, realtor, like all in one. And it's almost like kind of like a consulting session. So at some time, you know, really, really getting to know them before then kind of taking the next steps, I send them to my mortgage broker, making sure, you know, they're preapproved the way they need to be set up. Lot like people just go to their average bank. I make sure they go see a good broker because sometimes they're like, oh, I think I can only qualify for like three fifty. And I'm like, OK, let's get you someone qualified and let's see what what the real situation is. Um, yeah. And then we just go uh. Well I go for a property. Yeah.

George El-Masri [00:13:58] OK, how, how involved do you want your partners to be like you personally. Do you want them to kind of just sit on the sidelines. I'll take care of everything, all the active part. And you just maybe I'll give you quarterly reports, things like that.

Sarah Eder [00:14:12] That's an awesome question, I get that so much, um, there's a lot of people like colleagues of mine that are also joint venture partners that say they like completely hands off type of investors. And I get that like I mean, it's nice to have someone that just writes a check, sign their name on a property and they walk away. I mean, that's that's ideal. That's awesome. But I have a lot of millennial, like first timers, and because I coach a lot of people go to me and they say, Sarah, will you teach me? Is that OK? Is that allowed? Will you show me the ropes? And can I come to the construction? Can I see what's going on? Because oftentimes, you know, we're doing large multis. We're doing conversions like pretty big construction projects, and they really want to, like, set themselves up for success. Now, a lot of guys would say not a chance because they don't want to give away their secret formula. They want to be the hook that keeps these JVs investing with them for life. Always like educated, but not enough. My situation is I'm like, you know what, it doesn't matter, like education is education. If these people want to learn awesome, what I'm doing isn't like some magical formula. It's like a renovation. It's buying a house. So I'm more than happy to have my my Geeves be involved. I still make it clear that, like, you know, I run the show like this is how we're going to do the Renaults. They need to trust my expertize and authority when it comes to hunting and things like that. But if they want to come and hang out and, you know, learn how it goes, I'm totally cool with that, too.

George El-Masri [00:15:37] So cool just to kind of talk about a little bit more dove a little deeper into this. So do you. Before you go and look for a property, do you go through, for example, opening like a joint bank account and having a promissory note or some sort of letter of intent that they will actually work with you and provide the funds and whatnot, because you don't want to get into a situation where you go firm on a deal and then your your JV partner backs out.

Sarah Eder [00:16:06] Yeah, that's a fantastic point. Typically, I don't go so far as like a joint bank account per say. Usually we do that like after we've acquired the property, but definitely the letter of intent. I think it's just a nice, um, fenced boundary for everyone. Like my letter of intent also tends to outline, like who brings what to the table, like renovation, cost down payment. What's our split of cash flow? How when do they intend on exiting the property? What is their like refinancing expectation? Is it right away? Is it two years? I think those are really important conversations to have before you start buying properties to your point, because sometimes it's like you could go firm, show them a property, and then they're like, well, we like I want to refinance right away. Well, you didn't have that conversation. So that's a really good opportunity to really have those, like, deep conversations about what they want in their expectations.

George El-Masri [00:16:57] Yeah. So is all of that in your letter of intent or is it in your JV agreement?

Sarah Eder [00:17:02] That's actually all in my letter of intent. It's not super comprehensive. It's just a one page summary, but it hits all the high notes like, um, who brings a down payment, who's covering the financing cash flow refinance. And I think, you know, um, desired kind of like exit strategy all on a page. We both sign it and then the JV will obviously go a little deeper into that. So got

George El-Masri [00:17:24] it. How how long is your JV agreement? Is it like thirty pages.

Sarah Eder [00:17:29] Yeah, it's like thirty five pages. Yeah. Yeah.

George El-Masri [00:17:31] All right. Um, OK, so what kind of properties are you going after today. We're kind of touching on this a little bit, but um if you want to share.

Sarah Eder [00:17:39] Yeah, of course. So I'm super creative. Like I always feel like I don't want to be buying the types of properties everyone else has. And I actually think that's again, part of why I'm successful, because I really like to think outside the box.

George El-Masri [00:17:52] Yeah, everyone's right now, everyone that we kind of know, our mutual friends and what not. The hot thing right now is legal. Second sweep conversions, the Hamilton Mountain. So, yeah, a lot of people are doing that.

Sarah Eder [00:18:03] Yeah, exactly. And I mean, it totally appeals to me. Right. Like, I've always done conversions and multiuse stuff like that. So obviously that's super important. Um, the thing that like, like I'm a numbers person, like I took finance in university and I like run the numbers on some of these duplex numbers. And so I was like, I don't like this. Like, I don't think my views are going to like this or leaving too much capital in the property. Um, the construction costs are actually pretty high for what it is. So it's like what can we do to provide better value to my investors? And so we started looking at two and a half stories rather than just bungalow's. So now we're doing, you know, try Plax fourplex conversions, different models, and also just like remodeling existing large multis, whether they need to be legalized or not, just if they're in good areas, but really run down. You know, we work on getting out the tenants renovating or again, just finding something that hasn't been retrofitted going through the building and then going through the legal process. So, yeah, we're doing a little more creative stuff, but my investors are really looking at, um.

George El-Masri [00:19:10] So typically it's pretty safe to say that if you're doing a legal Psychon suite on the Hamilton Mountain, it would probably cost from from, you know, just different people and whatnot. Eighty two hundred thousand dollars for the construction and the permits and all that. So for one of your projects, let's say you're you're converting to a triplex or a fourplex. What numbers are you typically seeing to to get it to be a legal version of that property?

Sarah Eder [00:19:38] Yeah, I mean, like I would say, we're not spending more than two hundred, but you're probably hitting that like one fifty mark, like on average, definitely way more expensive to convert like a two and a half story than a bungalow. But for me the value is that we're getting them so much cheaper than on Hamilton Mountain. And then plus our Wi-Fi is so much higher because I mean, as you continue to add suites or units, I mean, the appraisal just continues to, you know, skyrocket. So we're actually. Fully able to pull out all of our renovation capital plus some, and I know that's getting harder and harder on the mountain of those duplexes and you're only looking at two units, which makes it tough, so. Right.

George El-Masri [00:20:17] Yeah, that's that's a good point, actually. But the refinance, because a lot of people struggle to get full value for their duplexes because appraisers are like I've had many conversations with other people, but appraisers are comparing those legal duplexes to illegal ones and they're they're not able to get the maximum value of their property. Whereas if you're doing a triple X or a fourplex, that's a different story. You're probably able to get really close to what market value is on the appraisal.

Sarah Eder [00:20:47] Oh, yeah, absolutely. We're not having any issues whatsoever, even on a couple ones. We've done that are retrofitted suites. They're still treating them like full units and especially like we'll use Hamilton, for example. They're really encouraging densification. Right. So if we're going to the city saying, hey, like work with us, we want to get this duplex with like a retrofitted third, we have half the parking. Can we work it out? The city actually been pretty cool. And like I said, and the appraisers are really favoring that.

George El-Masri [00:21:16] Yeah, OK. So can you kind of give us an example of some of the the numbers and also maybe touch on how you're able to find some of these good deals? Because I've seen some I've seen you post about some of your your deals and they seem pretty pretty damn good.

Sarah Eder [00:21:31] Yeah, absolutely. I think that it's part of my job as like a joint venture expert. Like, I think it is my sole job as ever, managing the construction, the tenants, which isn't that difficult. It's finding the deals. So I take it really seriously. I have a whole team now that helps me and not just like realtors and wholesalers, but my own personal team that I just started working with maybe like six months ago, doing it almost full time. We do everything from flier distribution to bandit signs, Kajiji ads, online advertising, and just really like networking with lots of people in different markets, whether, like I said, they are mortgage brokers or realtors, just people that have pocket listings, just developing relationships. And the more I build a reputation for having capital and serious partners, obviously the more people are willing to send me good opportunities.

George El-Masri [00:22:24] So so what would be the most effective technique that you've used to to generate these opportunities? Because I know you've done a bit of egads or. Yeah. Whatever Kajiji ads you're talking about, networking. I don't know if fliers and whatnot. What's been the most effective for you?

Sarah Eder [00:22:43] For me personally, actually, my flier distribution, um, again, my marketing background, I'm pretty savvy when it comes to setting up, you know, budgets, targeting things like that. So we do all I want to say, maybe like three thousand postcards a month for distribution. I have guys out there trying to set up appointments for me or obviously soliciting and targeting multifamily. We have a way of talking to tenants and trying to get in touch with the landlords of these buildings. So, I mean, that gives me control, right? It's like I like to work direct to seller if I can, um, and it just opens up opportunities that would never come on MLS otherwise. So.

George El-Masri [00:23:23] OK, cool. Um, without giving away all your secrets, can you kind of tell us a little bit of what your flier, um, or kind of how it's set up? Is it like a traditional flier with print text and photos or is it some people are doing handwritten fliers.

Sarah Eder [00:23:41] Yeah. I mean, like, I don't mind sharing. Um, I won't tell you my exact. Yeah. Text on it, but I found honestly from all my market research, the more personal you are, the better. For the most part, I think people that are wanting to sell privately are doing so for a reason. If they want to contact a realtor with like a flashy brochure, they would. And I think they trust me because I identify myself as just a local investor. It's a very personalized like I do a handwritten and a printed, even the printed one. It's like the same similar text. It's all very casual. Um, and I think that just like people are less like intimidated and threatened, they're just like, oh, she's a girl that, you know, I was just looking to buy some properties. Oh, I don't have to pay commission. I'll give her a call and see what's up. Um, otherwise I think if you go to formal, um, they just don't want to talk to these poor people, like I said, otherwise I would just call a realtor. So. Right.

George El-Masri [00:24:33] Yeah, exactly. Because everybody gets bombarded with real estate stuff, everybody's mailbox, even mine. Like I live in Hamilton. I get stuff all the time in my mailbox and I couldn't care less about it. Right. Yeah. Yeah. Well, I don't even bring them home. I just on my way in the house, I just throw them out. All right. So I think a lot of people do that, but, um. OK, that's so that's interesting. What's your, what's your vision right now. What are you aiming to do. Like do you have you set certain goals or do you have something in mind that you'd like to achieve.

Sarah Eder [00:25:03] Yeah, that's an awesome question. Um, I would say the more I'm doing like. These larger multiuse, I really think that is the future, honestly, um, the more I'm converting, like single families, it's it's a lot of work, it's a lot of maintenance. So I want to start to get more and more into commercial. So we did um, I partnered with people to buy a 14 unit in Hamilton, and we're actively campaigning, looking for a 15 unit plus. So that's really exciting to me. I've always wanted to do apartment buildings. Um, I have a couple of partners that also are looking into like plazas, more like commercial mixed use. Um, it's something I've always been really, really passionate about. And even just from a logistical standpoint, I'm doing so many deals a year now and I only see that increasing. I would love eventually to maybe only have to do like two or three large deals per year rather than 50 houses. It's a lot of maintenance. You know, it's a lot of construction projects. Like I think I was telling you, like I have seven properties closing, like in the next couple of months and all of them are one hundred thousand dollar runs or more. That's a ton of work, you know, versus if I did one large development or one large commercial, still a lot of money. So a lot of work. But once it's done now, I have 20 units under one roof or applause and I just have to do another, you know, for the year to kind of reach my quota. So, yeah.

George El-Masri [00:26:24] Have you thought about, um, how you're going to be able to manage all of your seven ongoing projects in the next couple weeks, I guess?

Sarah Eder [00:26:33] Yeah, that's definitely something I would great to talk about with the audience, too. Right. Is like as you grow as an investor, like everyone else I remember, like, this is a business, you know, it's great to just buy a few houses here and there, but you have to treat it like a business. And so, um, eventually, probably by next year, I'm actually going to be hiring a few staff. So I already am hiring an administrative assistant to help with more like the day to day management of my business itself. And then eventually, do you want to have kind of like an acquisitions manager who's also kind of in charge of sitting on top of, like doing site visits to the construction projects and things like that? So that's for now. It'll just be me. I mean, I'm very grateful. I use general contractors that I trust. So these guys are very hands on. They are investors themselves. So I get to be a little less hands on with those. I trust them. Um, but yeah, definitely moving forward in the future. I need some some full time.

George El-Masri [00:27:29] Yeah. Very cool. All right. I want to ask you about your coaching. Can you kind of describe how you help people, what your coaching system kind of looks like?

Sarah Eder [00:27:38] Yeah, absolutely. Um, yeah. It's definitely something like a side thing for me that I turn out to be very passionate about. And I think it's because, you know, as you guys know now, I started off with not a lot of anything, and I found it really frustrating, the information that I found online. I took every seminar, read every single book, and it helped. But had I not had a marketing background or like a sales background, I would have been like it would have taken me much longer to get to where I am. So my whole goal for my coaching is that I don't ever want to become like a like a massive group. I want to keep it small, I keep it individualized. And I focus on teaching people how to raise capital, how to grow their portfolio as a business and in practical steps. So everything like I just kind of talked about on this podcast, I'm like, I'm I'm open about it. I don't hold back secrets or try to teach people a washed out way of doing things. I teach them my methods. I give them my fliers, I give them my models, my spreadsheets. I don't hold anything back. I really want people to succeed. So I try to, you know, teach them exactly how to implement my model.

George El-Masri [00:28:48] So I got it. And since we're talking about this, can you maybe share three tips on raising capital, things like just come to mind?

Sarah Eder [00:28:55] Yeah, sure. I would say this is probably one you've maybe heard before, but I think it can not get said enough that. The people need to like you, like your joint venture partners, you can bring them all the great deals in the world. I just talked to a joint venture partner today, actually, that wants to work with me. And he said on the phone, he's like, you know what he's like. You're so honest. You're so genuine. I would do like 10 deals with you. He doesn't know what those deals are, but he likes me like he he gets it. He he just likes my personality and the way I do business. So that's so, so important, especially your first getting started. Don't focus on the numbers, focus on your brand, getting people to genuinely get you. And like you, I would also say, um, get familiar with all the aspects just because you're going to send them to a mortgage broker and a lawyer, you're going to ask you a million questions about financing, about closing, about, you know, like everything that can go on with a property. You better have some answers, because I can tell you, like I've learned more about what mortgage brokers do, what my lawyers do behind the scenes about everything, because I'm really hands on in the process. And when something goes wrong, they don't call the broker. They call me first. So you really become kind of like a fire fighter outr. So you really do need to know what goes on, even if you're not going to be the professional doing it. Um, and lastly, I would say don't wait to raise capital. So many people say, well, I don't know if I want to work with partners. I already have a good job, I already have money. But I'm telling you, every single person I've ever talked to that has like four properties gets bitten by the bug. Then they want like ten. They want 15, they want 20. And you're not going to do it on your own. It's very, very difficult. So I think, you know, start raising capital now, start getting your feet wet because you're probably going to need capital, at least it's probably sooner rather than later.

George El-Masri [00:30:48] So, OK, so to recap here, three tips. One, make sure people like you build relationships. Be honest. Uh, I was number two again.

Sarah Eder [00:30:56] Um, it was

George El-Masri [00:30:58] no, the process. I understand the terminology, understand how things work. And number three was, um.

Sarah Eder [00:31:07] Oh, no, I'm going to forget, uh,

George El-Masri [00:31:10] this is, um. I totally forgot to anyways. What you guys just after wine and listen. All right. Good tips. Oh, don't wait to raise capital. Yeah. Start raising right away. Do it now. Yeah. That was excellent. We'll make sure we'll edit that part out. Uh, OK. So can you tell us something that you can think of, um, to help people who are maybe just starting to raise capital and maybe they're stuck, they're stuck with that first one. They just can't get over that hump or for whatever reason, they just they they have the knowledge. They've they have all the things that you're discussing, but they're just not able to get someone to sign and say, OK, I trust you, let's move forward. So maybe a couple tips on that or maybe just one tip on that, something something that can really help them get move forward.

Sarah Eder [00:31:58] Yeah, no, that's an awesome question. Um, I would say in today's market, at least, the best advice I could give is try to go out and find a good deal. It didn't always used to be like this or raising capital, at least from my original mentors that helped me. There was like a ton of properties and interest rates were really low and it was more trying to just like build that rapport with people. Nowadays, I feel like almost anyone will do a joint venture with you if it's a great deal.

George El-Masri [00:32:24] So if you have it, you mean you have a contract signed?

Sarah Eder [00:32:26] Yeah, exactly. Like an offer in on a good, good property. And I've actually encouraged some of my students to go about it that way because, um, I mean, everyone knows, like, the market is so tight right now and there's so much competition that if you have one golden deal, that can be all it takes to just get like a lot of people interested and then, you know, someone's going to snap up that deal. But there's some people in the wings waiting. So it gives you like that motivation and incentive to just keep finding like deals.

George El-Masri [00:32:52] OK, so let's see, somebody finds that deal. What would it make sense for them to reach out to someone like you and say, hey, look, I've got this deal? Um, do you happen to know anyone who's interested or is that not something that you would possibly do? Or what are your thoughts on that?

Sarah Eder [00:33:05] I mean, I'm I love being creative, right? So believe it or not, I actually am doing a deal like that right now. It was someone who found an amazing deal. They were like, I don't know how to set up a JV. I don't think I can find a mortgage holder for this. What can we do? And so he and I actually ended up kind of like we're going to be co management partners and then we're going to find or I did find actually already a 50 percent JV on the other side for the money partner. So if someone's willing to, you know, maybe give up a bit of the deal or whatever, I can definitely help them get through that that first time.

George El-Masri [00:33:38] So awesome. There you go. So there are different options, I think, really, like once you kind of open that door, you just like, for example, when I started selling real estate like that first house that I sold, it took a while to get there. But then you realize it's not really that complicated. It's yeah. Once you have the system in place, it's you just you could do it over and over. So, yeah, that was a good tip. OK, so let's jump into the next. Shin, which is the Brenham five. Yes, I'm going to ask you five random questions and you can just kind of tell me the first thing that comes to mind. OK, can you describe your morning routine?

Sarah Eder [00:34:12] Oh, OK. I'm a morning, early morning person, so I really like to meditate. So I wake up really scattered like high-Strung person. So my morning routine is like I get up, I meditate. I usually have like a cup of tea and then dove right into social media. That's actually the first thing I do in the morning.

George El-Masri [00:34:29] OK, so you're posting on social media or you like just scrolling

Sarah Eder [00:34:33] up a bit of both. I check on all my groups, but mostly it's posting for social for the day. As you know, it's such a huge component of my my business. So I make sure to try to do that before the day gets too crazy. Yeah, cool.

George El-Masri [00:34:44] Who do you look up to?

Sarah Eder [00:34:46] Oh, wow, that's good. Oh, that's so hard because there's so many, like personal people in my life. Um, you know, I think just because, like, I don't get, like, so personal, but, um, my grandmother just passed away. So I have to say, like, she's been on my mind a lot. And I think, like, of anyone in my life, I looked up to her so, so much, just not only because she gave me, like, my entrepreneurial spirit, but just knowing what she did for my family, like how brave she was to immigrate. She wasn't married at the time. Like, she just, like, gone about. But she was like twenty and just like immigrate to Canada by herself. And it just like knowing like what she she went through to give us like, this amazing life and how strong she was. Like, she's so inspirational to me.

George El-Masri [00:35:25] Well, sorry for your loss. And I'm sure, like, she's I'm sure you're honoring her with everything that you're doing. And I'm sure she's happy to to see you succeed and to be the entrepreneur that you are. Yeah. Yeah.

Sarah Eder [00:35:36] My mom showed her my article in a Canadian magazine. Apparently, she stuck it up on our wall her.

George El-Masri [00:35:42] So that's awesome. OK, what's your favorite breakfast if you have breakfast?

Sarah Eder [00:35:48] Um, I actually don't eat breakfast. I usually like intermittently fast, but it's also because I'm allergic to eggs and it's really sad. So like I don't find like breakfast food to be that exciting. That's not like a donut or like a muffin. But I think my favorite breakfast of pancakes.

George El-Masri [00:36:03] Yeah. Yeah. So what time when's your first meal.

Sarah Eder [00:36:06] Usually I usually like around noon.

George El-Masri [00:36:08] OK, I do the same thing. Yeah.

Sarah Eder [00:36:10] Yeah. Eating breakfast is the worst. I wake up and I'm like really really.

George El-Masri [00:36:13] Really. Yeah. I love you breakfast but I just do it because I know there's so many benefits to enter in passing. OK, what's your most fulfilling and largest goal.

Sarah Eder [00:36:24] Wow that's a good one. Um actually this is sort of real estate related but kind of not so as you know, like my partner is a therapist and part of my whole thing about getting successful in real estate isn't just to own, you know, like two hundred properties or a bunch of buildings. It's to get to the point that, like, we're so financially OK, but now we can better the world around us and be comfortable because I think that's like a point you need to kind of be at. And we really want to open kind of like shelters like, um, almost like group homes for at risk youth and teens especially. So it's like a huge goal for me. Um, as an aside, too, from like real estate. Um, so we like depressing things on this. Um, so my dad unfortunately passed away from cancer a year ago, and it's always been, um, so he had to do a huge stint at Princess Margaret. And it was so expensive for my mom to fly in from like Suzane Marie. And they were staying. And there's not a lot of like there's like the Ronald McDonald House for kids, but for adults, there's really not a lot of options. And it is my goal someday with my real estate connections to provide some sort of like, you know, sponsorship or like affordable housing for patients. Staying at Princess Margaret in their family is cool.

George El-Masri [00:37:39] Yeah, I really like those goals. I think those are a lot of people. When you ask, they don't really know what they want to do, but it's cool to have something that's separate from real estate, something big.

Sarah Eder [00:37:48] Yeah. And I feel like I can use my real estate connections to help people in that way. Like I want to turn, you know, the idea of us as real estate investors as being these greedy, money hungry people and do something philanthropic with it, because eventually it's like, how many doors am I going to own? Is it five hundred? Is it a thousand one? Is it going to be enough? Yeah, I want to take that and actually do.

George El-Masri [00:38:08] Yeah, I've heard that a couple of times. Like just recently I interviewed a very successful real estate agent who's been top ten in Canada for years and years, and he asked the same thing he was talking to like the number one agent in the country. And he's like, when is enough enough? And she didn't know how to answer. So you just thought, yeah, I don't I don't know what to say about that. Yeah. Yeah, absolutely. OK, and the last question is, what success principle do you live by?

Sarah Eder [00:38:34] Oh wow. Um, I would say having been an entrepreneur my whole life, it is that no matter how much things can look wrong and you're doubting yourself, it's to continue to push forward no matter what. If I had stopped when I was like, I don't know how to buy my first property, like I don't know what I'm going to do. I would never be where I am. And even along this road, like I've made so many mistakes, there are times when I was like looking at my bank account or looking at what I was doing, thinking like like I'm insane. This is insane. I cannot do this. And I just like I just had that vision in my head and I was like, no, this is for my family. This is for my future. I will not give up even if it's not working today, some day it's going to work. I know it is. And I just never gave up.

George El-Masri [00:39:22] That's awesome. That's that's a great way to think. And that's a strong mindset as well, which is something that keeps coming up for me. Like, I keep just I'm even reading a book right now called The Success of the Millionaire Mind. Oh, I've heard of it. Yeah. Yeah. So just trying to really focus on mindset and. Exactly. Just making sure that I'm always. Getting better and always thinking positively and whatnot, so great to hear that from you before we end things. Is there anything you'd like to share? And also, do you want to tell people how they can connect with you?

Sarah Eder [00:39:52] Yeah, awesome. I mean, I think I always love to leave people with a little bit of like an inspirational note. I think because of my story, um, I always tell people like, don't don't give up just because you think real estate isn't ever going to happen for you. You might not own a lot of properties. Don't limit yourself to investing the way people tell you to invest. Like if I hadn't listened to people, like in the beginning that told me like 50 50 joint ventures, like no one's going to do that with you. Like, why were you why would you even try that? I had a lot of friends and family tell me that, you know, and I just I was like, no, I'm not gonna listen to you. I've seen people do it. I'm going to do it. Take my story like as one of those sales. And like, I know someone that's doing it. I'm not crazy. I'm going to try my best. So, yeah, you can invest. Um, and if you guys want to reach out to me on my website, it's just my name. So it's, uh, Sarah Eder dot com or you can follow me on Instagram @sarahederinvest.

George El-Masri [00:40:45] Awesome. Well, thank you so much for your time. There was some good stuff in here. Yeah. And I look forward to seeing you around.

Sarah Eder [00:40:51] Absolutely. Thank you so much for having me.

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