Join Vee Khuu and Jerome Myers as they talk about his experience with getting into real estate as he left corporate America. Jerome is the kind of investor that likes to give opportunities to others. He gives his take on expensive coaching programs in the space and his love for joint ventures. There is a lot of value to experience and using it to drive growth for your business, rather than paying for courses with promises that are too good to be true. Stay tuned, and enjoy the podcast!
The Myers Method to Real Estate Education
While Jerome does believe that nobody gets into the business for free, he doesn’t think that you have to spend $30K to $50K just to be in a mentorship program. Especially when the backside promise is you’re going to kill Moby Dick on your first deal. The Myers Method goal is to take down something about half a million to 1.5 million, partner with family, friends, and somebody that has experience. By going through that, you’re going to get some momentum. That’s the Law of the First Deal. Once you get it, the experience box gets checked by the bank by signing the loan; you can start talking to brokers and make arrangments with other investors to build up your ability to raise capital.
There are four challenges that every investor is working through: their knowledge, lead flow, experience, and capital. You have to solve each of those problems in order. If you don’t have the knowledge, then you can’t analyze a deal because you don’t know what the market looks like, and what a reasonable property looks like. After that, you need to use that knowledge to get leads and then use experience so you can buy those leads. Banks are not going to sign if you don’t have experience. Lastly, when everything comes together, capital follows.
“The idea that you don’t need to make any investment in education to do this businesses kind of naive…” – Jerome Myers. Get the full interview on the Real Estate Lab Podcast! https://bit.ly/RealEstateLabPodcast
Joint Ventures Versus Syndications: A Helping Perspective
For Jerome, the best way to open doors for other people who grew up like him, that didn’t know you could buy apartment buildings, is through joint ventures. With joint ventures, you get to have business owners and high net worth individuals coming over for dinner and talk about entrepreneurship around the table. There’s a particular community created among people with the same values. With syndication, it’s a little cold, in a sense. You have somebody that talks to through your website, wire money into your deal, without having a voice in it. Jerome believes that partners should get the experience of being a business owner and having a voice, especially if they want to be operators in the future.
“If you have ambitions of being an operator… but a passive investor for the next five years… you’re not going to get the experience you need in order to be operator…’” – Jerome Myers. Catch the latest episode from the Real Estate Lab Podcast! https://bit.ly/RealEstateLabPodcast
About Jerome Myers:
Jerome Myers leads The Myers Development Group, LLC, which focuses on buying broken apartment building businesses and using innovative thinking and solid execution strategies to optimize the operational efficiency of the business. Currently, Mr. Myers is asset manager for approximately 90 units and 90,000 square feet of workforce housing across Virginia and North Carolina and on a mission to hold 1,000 doors by the end of 2028. When not actively working on his personal portfolio he coaches other real estate investors on the Myers Methods of Multifamily Investing. Outside of real estate Jerome hosts the DreamCatchers and Myers Methods presents Multifamily Missteps Podcast, volunteers on STEM (science, technology, engineering and math) boards and enjoys traveling internationally.
Outline of the Episode:
- [02:51] College football, being a free safety, and meeting Rob Smith.
- [04:01] Wanting to be a fighter jet pilot, but ended up choosing between civil engineering and psychology.
- [06:25] Deciding to start in real estate after fulfilling someone else’s dream. At some point in life, you don’t have to ask for permission anymore!
- [08:00] Writing his book, The Politics of Marriage. What was the reason behind it?
- [12:47] On real estate education: everybody does not agree, everyone has their own opinions, and the lack of cohesive foundational knowledge. How can we fill that gap?
- [14:23] An overview of the Myers Method compared to expensive courses.
- [23:55] Why does Jerome like joint ventures over syndications?
- [26:21] Getting educated, gaining experience, and looking for deals as a joint venture partner.
- [27:55] The qualifications sought for in a joint venture partner, Jerome’s vetting process, making sure that values are aligned, and that partners are willing to do real work.
- [32:06] Preventing people from not pulling their weight through operating agreements.
- [33:52] Who are the ideal clients for his coaching program? You don’t have to spend more than $15K to get real estate education!
- [40:11] Doing things the same way even with COVID-19.
- [43:30] Translating the hustle from football to real life. There is great value with the extraordinary effort that goes until the end regardless of what the scoreboard says
- [45:52] The need to spend time to build infrastructure to raise capital to do deals
- [47:17] It’s time to exit the Matrix! There’s no turning back.
- Connect on LinkedIn – https://www.linkedin.com/in/jeromemyers/
- Listen to the DreamCatchers Podcast – https://soundcloud.com/dreamsshouldbereal
- Watch the DreamCatchers Podcast – https://www.youtube.com/channel/UCooy2LtVZEmGafiyEQmxLhA
- Gain access to real estate investing education – www.MyersMethods.com
- Learn more about the Myers Development Group – www.d3v3loping.com
- Watch Myers Methods Masterclasses – https://www.youtube.com/channel/UCj9lIRCit-ULEiI4GTuJ4ww/
- Free 15-minute Multifamily Kickstart Call – https://calendly.com/d3v3loping/kickstart