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We Study Billionaires - The Investor’s Podcast Network

TIP448: A Way to Hedge Inflation? w/ Dan Handford

We Study Billionaires - The Investor’s Podcast Network

Stig Brodersen

Education, Investing, Business

4.63.6K Ratings

🗓️ 15 May 2022

⏱️ 62 minutes

🧾️ Download transcript

Summary

IN THIS EPISODE, YOU'LL LEARN:

  • 01:35 - How to compete in competitive real estate markets and why conservative underwriting is necessary for longevity.
  • 08:08 - Ways to reduce your tax bill by investing in CRE.
  • 09:30 - Who CRE firms and funds go to for debt financing and what the debt structure can be for large real estate firms.
  • 12:02 - How real estate investors are taxed.
  • 25:03 - The difference between preferred equity and common equity.
  • And much, much more!


*Disclaimer: Slight timestamp discrepancies may occur due to podcast platform differences.


BOOKS AND RESOURCES

  • TIP’s Real Estate podcast
  • Multifamily Investor Nation conference
  • PassiveInvesting.com’s Mariner Grove offering
  • PassiveInvesting.com’s Self-Storage fund
  • Joe Fairless’ book Best Ever Apartment Syndication
  • All of Robert’s favorite books
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  • Browse through all our episodes (complete with transcripts) here.
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Transcript

Click on a timestamp to play from that location

0:00.0

You are listening to TIP.

0:30.8

You are listening to the Investors Podcast where we study the financial markets and read

0:36.0

the books that influence self-made billionaires the most. We keep you informed and prepared for the

0:41.4

unexpected.

0:50.2

Welcome to the Investors Podcast. I'm your host, Stake Brodersen and today I'm a company by my

0:54.8

co-host Robert Leonard from Real Estate 101 and then hand forward from passiveinvesting.com.

1:01.4

Dan, welcome to the show.

1:02.9

Stake, Robert, thank you so much for having me. Looking forward to sharing with the audience today.

1:07.4

Inflation is all the rage right now and like every other investor out there, I'm just worried about

1:14.4

keeping my purchasing power intact and real assets and I should then say most noticeable.

1:19.6

Real estate really comes to mind here. So with that said, we are quite excited to provide an audience

1:25.4

who are primarily stock investors. The opportunity to learn more about how to diversify into a different

1:31.2

asset class and Robert, I know you have the very first question for Dan.

1:35.6

Real estate markets, Dan, have become so expensive and competitive recently that local and state

1:40.8

governments are actually starting to feel the need to intervene. Atlanta has recently put limitations

1:47.3

in place for Airbnb investors and Dallas where I know you have properties is even considering

1:52.4

putting in laws and regulations to slow down real estate investors. As part of your underwriting process,

1:58.2

you stress test your properties at 60% or less occupancy, you use conservative rental rates

2:04.0

and occupancy rates and you build into your business plan at least eight months of reserves.

2:09.0

In a market environment that is so competitive and full of capital, how are you finding and acquiring

2:14.0

properties that fit all of your criteria? Well, I will tell you that it's very challenging. Right now

2:19.9

in the market, we're underwriting dozens and dozens of the deals every single week and it's

...

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