Insider Secrets Podcast Season 2, Episode 123
Guest: Brad Sumrok
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Since 2005, Brad has personally helped his students purchase over 3.5 billion dollars in apartment complexes, involving thousands of investors who have taken his training. Many of Brad’s students began with zero previous investing experience and, within a few short years, hundreds of students have retired and/or increased their net worth by over $1 MILLION. Even more are earning double-digit average annualized returns!
Brad’s first investment EVER was in 2002. He started with a 32-unit apartment complex and by 2005 he retired from his six-figure income job. Over the years, Brad has owned over 7500 units in 11 US Markets. He and his wife Jen earn 7-figures annually from their investments and have in turn significantly reduced their taxes.
Brad and Jen love to spend time with friends and family and love traveling internationally. They are also passionate about charity and along with their students have contributed hundreds of thousands of dollars to various charities and have a goal to contribute over $1 MILLION in charity.
Their mission is to help as many people as possible achieve financial freedom by investing in apartments and following Brad’s 20-year proven process. Brad wants you to be able to enjoy the same quality of life that he and Jen are so fortunate to have.
Being committed to your real estate goals is vital, but without taking consistent action, your commitment won’t yield the desired results.
When considering investments, prioritize markets with proven track records, such as Dallas and Houston, as they continue to shine in the multifamily sector.
In syndication deals, ensure that all partners have the financial backing necessary to weather challenges and keep your deals funded.
Be cautious when opting for fixed-rate loans with steep prepayment penalties. Always consider potential exit costs in your financing decisions.
Success in real estate often comes down to focus and passion. Specialize and stay committed to your chosen niche for long-term success.
Believing in the opportunity and being confident in your message can significantly impact your success.
“Master the Mundane Boredom. The everyday monotony of those things that you do over and over repetitively.” – Brad
“Dallas continues to be a great market for apartments. And if you compare that to a place like Austin, Texas, Houston, and Dallas are the two best markets in Texas and probably in the top five to 10 in the country.” – Brad
“It always seems safer up front to get a fixed rate loan. The challenge with that is a lot of these fixed rate loans with the agencies have very steep prepayment penalties.” – Brad
Transaction volume is down 90%. People still have money to invest. People need to know that if hits the fan, people want to know their investment is secure.” – Brad
“You got to know who your audience is, and you got to know who you’re talking to.” – Brad
[00:40] Intro to Podcast
[02:46] Intro to episode guest
[05:54] One word that describes Brad personally and professionally.
[07:44] Brad shares why he doesn’t deviate from what he is doing.
[08:52] Brad, what specific factors do you consider when conducting property underwriting beyond the usual metrics like rent growth and exit cap rates?
[16:54] Are you still underwriting deals and looking at deals?
[19:20] What strategies do you currently teach students for raising private capital in today’s market, and how do you adapt to the challenges posed by the current market conditions?
Kristen: [00:00:00] Welcome to this edition of Insider Secrets, the weekly podcast that turns real estate investing goals into reality. Each show we interview guests who are seasoned real estate professionals, actively closing and managing real estate deals. Mike is the founder of My Core Intentions and would like to help you make your real estate investing dreams a reality.
Mike coaches you to buy investment real estate, creating short term cash flow and long term wealth. Your host and real estate coach, Mike Morawski, has more than 30 years of real estate investing and property management experience. Here’s your host, Mike.
Mike Morawski: Hey, good morning everybody, and welcome. I am glad you’re here today. Buckle up. I know I talk about that every week, but today I mean it. I have a great guest. I’m really excited about our guest today and the knowledge and information he’s going to bring.
But before we get there, I’ve been thinking about three words this morning [00:01:00] and the first one is commitment. Are you committed to what you’re doing? The second thing is action. We can be committed and sit there and not take action. But if you are committed to something, you take the action, you’re going to gain the results from it.
It just kind of that process that’ll happen. But the third word that came up for me this week was compounding. The compounding effect of that action that we take. I heard a real estate trainer early on in my real estate career talk about “Mastering the Mundane Boredom.” That everyday monotony of those things that you do over and over repetitively. But as long as you continue to do those. And you master those and capitalize on those. The compounding effect is huge.
So whether you’re looking for deals and talking to sellers, whether you are underwriting a number of deals to find something that [00:02:00] pencils, or whether you are raising capital and talking to people every day. Taking action, building on that action every day. The more prospecting you do, the more conversations you have with people, the more followup that you’re engaged in, the better your chances and results for finding opportunities to buy. Raising capital is going to all come together for you. So stay committed and keep taking that action.
Hey, if you’re new to the show this morning, welcome. Glad that you’re here. If you’re on YouTube, smash the subscribe button and, continually listen in. Get content that we’re putting out every day that will help you on your multifamily journey, your real estate investing journey.
Hey, my guest today, I’m excited, Brad Sumrok. Brad is a multifamily coach, trainer, and syndicator from Dallas, Texas. He’s been doing this a long time. I want to bring Brad in, and see what we can [00:03:00] learn from him today. Hey, Brad, how’s it going?
Brad Sumrok: Hey, it’s going great. Thanks for having me on today.
Mike Morawski: You bet. Got it right this time. So, we’re good. Hey Brad, I know you’re from Dallas. And we were talking about this a little bit before we started the show, but it’s pretty hot there today, huh?
Brad Sumrok: Well, the temperature is very hot. Very, very hot. Triple digits. I don’t know how many days in a row. So it’s not the best time physically to be in Dallas.
Mike Morawski: Yeah. I was in Scottsdale a couple weeks ago playing golf. Eight o’clock in the morning was 108. So, I get it. But the other thing that’s interesting about being hot is you were just mentioning about a report that came out about lease ups in the Dallas and Houston market.
Brad Sumrok: Yeah, we’ve heard about obviously everybody knows about, the rain increases that happened after the pandemic. And then we’ve been hearing more recently [00:04:00] about those rain increases stopping or even reversing the other direction. But there was a report that just came out about the markets that have the highest leasing activity or absorption. And Dallas is number 1 and Houston is number 2.
So, Dallas has been and continues to be a great market for apartments. And if you compare that to a place like Austin, Texas. And by the way, Mike, I’ve missed that on Austin for 12 years, man. Like, every time I’ve looked at a deal in Austin for the last more than a decade, it’s like, Oh my God, it’s too expensive.
But if I had bought it, I would have made so much money. But like now might not be the best time to get into Austin because vacancies are going up, new inventories coming online, and it’s a tough market there right now. And so what I’ve always been telling people is like Houston and Dallas are the two best markets in [00:05:00] Texas and probably in the top five to 10 in the country, even right now.
Mike Morawski: Here’s what I know. Dallas has been on the top 10 list of cities to buy multifamily and read for as long as I can remember, 15 years at least. And it’s been in the top 10, if not in the top five for a number of years. So Dallas has always been a great market, that’s for sure.
When you were talking about Austin, I had to laugh. ’cause every time my underwriter says, Hey, there’s a deal in Austin, I say, let’s not even burn the calories on it. It doesn’t make sense. We know it’s gonna be too expensive.
Brad Sumrok: Yeah. I know.
Mike Morawski: Hey, one question I always like to ask my guests at the beginning of the show. And I always say I’m going to write a book on this. And I’m pretty close to getting that started. But in one word, Brad, what best describes you personally and professionally?
Brad Sumrok: Well, there’s two that come to mind and I’ll just give you the first one. It’s focus.
Mike Morawski: Okay.
Brad Sumrok: [00:06:00] Focus.
Mike Morawski: What makes you focused?
Brad Sumrok: I think that, I wasn’t always focused. In fact, I spent ultimately 17 years in corporate America with not a lot of focus because I was trying to find something I was passionate about.
And if I had to pick a 2nd word, it would probably be passionate, because once I became passionate about being financially free and achieving financial independence through real estate, I was able to really hone in and get focused on multifamily. And I’ve been doing that for 22 years and I haven’t like deviated.
Look, I pivot all the time. I pivot strategies. I pivot business models. I pivot debt. I pivot holding periods. But unlike so many other people, I have absolutely no interest in being a jack of all trades. I don’t do commercial real estate, industrial storage, warehouses, office buildings.
There’s always a way to win in multifamily. And I’ve been able to find that way to win no matter [00:07:00] what’s happening in the market. So that’s given me a lot of focus. And I think it’s given me a lot of success.
Mike Morawski: Yeah, awesome. I think Brad, the last few years, things have been really hot. Whether you were a good operator or not a good operator. It didn’t make any difference. You had some success over the last few years. You kind of rode that wave up. But what’s interesting is a lot of operators have shifted their focus, right? They’ve gone to industrial or they’ve gone to self storage right now, which I’ve always been really focused on multifamily. It’s what I know. It’s what I’m good at. And why deviate from that? And I love what you said about that.
Brad Sumrok: Yeah. Look, people deviate because they’re just chasing returns and I get it, I do. I get it, but I don’t get it enough to do it myself because here’s the deal, when you go from something that you have a high level of [00:08:00] competence in and you move to another asset class where you have less competence. You’re taking on more risk. Like people think, oh, I’m going to move from multifamily to triple net leasing or to industrial or whatever, because the returns are better. Well, the returns are only better. It’s like, I asked myself, what don’t I know about this asset class?
What don’t I see? What are the risks that I’m not even aware of? Because something might look better on a sheet of paper, but there may be risks that you don’t know about. And in multifamily, I’ve been through the 2008 great financial crisis. And now, whatever we want to call this shit, the one that we’re in with the Fed. But I understand the risks. And I know how to mitigate them and I know how to get through them.
Mike Morawski: Yeah. So Brad, let’s talk about that for a minute. So what do you look for that? Okay. So we can all do an underwriting and build a great [00:09:00] spreadsheet and look at rent growth and look at exit cap rates and look at all the fundamentals that go into saying, Hey, I can produce this return. What do you think that you might miss or what do you look at maybe when you walk the property or you look at that underwriting? What are you looking for?
Brad Sumrok: Yeah, see, I’ll just tell you what I’m looking for is I’m looking for who’s in control of the deal. I could just tell you right now, there’s a lot of operators that had amazing projections and forecasts when they bought the deal 18 months ago, 24 months ago.
And none of them are hitting their numbers, including me. And I’ll say that I don’t have a problem saying that. But what’s going to separate us from other people. Yeah, you could say it’s operations. You could say it’s asset management, but it’s also financial strength. It’s backing. It’s like, what do you do when you don’t have enough capital to keep the lights on?[00:10:00]
And so there’s been a lot of syndicators that put together great projections and great spreadsheets, but are very weak financially. And they’re in a situation where they are not going to be able to keep their deals funded. And so, the number 1 thing I always look for, and I’ve been doing apartments for 22 years, is if I’m going to be a limited partner, which I still do from time to time, I want to know a lot about the strength of the GP team and not just on paper.
And if I’m going to be a GP, which is mainly my model in a syndication, I want to make sure that the other GPs also have financial backing and I’m not the only one. And trust me, I get the calls every day from my students of like, hey, we’re in a deal. We’re GPS and we’ve put up money and the other GPS don’t have any money to put in Brad and it’s not fair. [00:11:00] And I’m like, I don’t want to say I told you so, but it’s like, why did you get involved with those people in the 1st place?
Mike Morawski: Yeah. Interesting. Interesting thing to think about. How much of it has to go with, I want to talk about this floating rate debt deal where when the markets were so hot, you could go buy a floater at a 2% interest rate today. And then the interest or insurance on those floating rate, interest rates got so high, people weren’t buying their locks or their caps anymore, and now they blew outside of those caps.
And the interest rates are 8, 9, 12% in some cases, they don’t have the capital to put in. What’s your thought around debt today? Where’s the safest place to be with a type of a loan?
Brad Sumrok: Look, if I had the exact answer, I would be worth a lot more money than I am [00:12:00] right now, and I’ve done pretty good. But here’s the deal. It always seems safer up front to get a fixed rate loan. It always been that way. And so right now, especially when we have in our very distant rear view mirror, we have all the horror stories of people that got variable rate loans. With rate caps that expire in 2 years, and now they’re coming up and they have to buy another rate cap for 2 million dollars, and it cost them 40,000 two years ago, and they got to do capital calls.
So everybody’s operating in a fear mode right now. Just about everybody I know is opting for a fixed rate loan. The challenge with that is a lot of these fixed rate loans with the agencies have very steep prepayment penalties. Especially if the interest rates go down and 1 of the things you got to do is say, okay. I’m going to lock in a fixed rate loan now, [00:13:00] but how much is it going to cost me in 3, 5 or 7 years when I want to exit this deal.
And that’s a wild card. We don’t know what interest rates are going to be. But if you get a fixed rate loan right now, a 5 and a half percent. And rates are at 4 and 5 years from now, your prepayment penalty is going to be high. It’s going to be high. And see, nobody’s putting that in their underwriting.
Mike Morawski: So if you were looking at a deal today that had a fixed rate debt on it, and I bring this up cause we’re in the process of closing on a five property portfolio and the blended rate is 3. 6% fixed Freddie money for another eight years. That’s a pretty good opportunity to get into. Wouldn’t you agree?
Brad Sumrok: I think it’s really good. I think it’s really, really good. And again, what’s the chances? The thing is, that’s a really good rate. That’s really good. I would take that all day long. We’re going to rate lock a Friday loan with[00:14:00] I don’t know, five, five and a half percent or whatever the prevailing rate is, but we want to have a flexible prepayment option. So call it a step down prepayment. We don’t want to have a defeasance or yield maintenance type of prepayment penalty because that is also really hard to model.
The thing is now, if you get a variable rate loan now, your rate cap is going to be extremely high. But that’s based on the last couple of years. But the reality is, it’s like, most people I talked to believe the rates are going to go down, not up. And again, I don’t have a crystal ball, but if you just think about it, 2024 is going to be an election year.
The Fed just raised rates, 25 dips. They may raise rates another 25 dips. And I could be completely wrong, but everybody I talk to that’s one or two levels above me in terms of their multifamily experience and their network, and their number of units and the people they [00:15:00] talk to at JP Morgan and Wall Street, everybody thinks the rates are going to go down in 2024.
You got to look at things deal by deal. I still tell my students that we got to look at everything deal by deal and loan by loan, and what could you get? Because this may not make me very popular, but variable rate loans pay off 87% of the time, better than a fixed rate loan.
It’s just so happened we got caught up in the 13% for the last 18 months. So I am not telling people to go out and run out and get variable rate loans right now. I’m just saying that I know some sophisticated investors that are doing that and they’re looking at it on a case by case basis and their holding period, their rehab, their loan proceeds, their level of perceived risk. Comparing variable rate to what a fixed rate would be prepayment penalties and all that type of stuff. You got to [00:16:00] look at the whole enchilada.
Mike Morawski: So Brad, I know you and I know some of those same people that are one or two levels above us that have big portfolios, big networks, deal with some of the JP Morgan’s and the Goldman’s and the interesting thing is that I’m hearing that 2025 is when rates will start coming down. I actually believe, and I got killed, I got crushed in 2008. And I don’t see the comparison between that time and this time, because the fundamentals are different, but I do see that the feds, I believe are going to push these rates a couple more 25 clips up 25 basis points up, and then we’re going to see in 2025 we’ll see these start to come down. So I think it’s a matter of holding tight right now. Are you still underwriting deals and looking at deals?
Brad Sumrok: Absolutely. I [00:17:00] just put one under contract and we’re going to do a raise. We’re going to do an 8 to 10 million raise on a deal. And there’s 2 others that we may be pulling the trigger on. The key in this business is if every time you step up to the plate, you’re looking for a home run. And this is the biggest question I get, is Brad should I jump in now or should I wait or things gonna get worse like they say, Brad, on one hand, you say things might get worse before they get better.
So shouldn’t I wait? And it’s like, look, the key to winning a baseball game is to getting base hits. It’s to put a runner on 1st base and then advance into 2nd base and then advance into 3rd base. Then you have a runner on 1st and 3rd, and then they hit a double into the outfield and 2 runners score.
But if every time you’re at bat, you’re looking at to get a home run, you’re going to end up striking out a lot. And the thing is people waiting is like one of the most toxic things he could do. I’m getting into good deals now and I’m going to be getting into good deals later.[00:18:00]
So it’s not an either or, it’s like, I know how to value deals. I know what properties are worth. I know what I could buy a deal at a discount. And we know what we could do with the property once we own it. So if I could find good solid deals that are singles or doubles that I can get into right now, then i’m going to do the deal.
Mike Morawski: Right. I think that just based on what you just said. Either the next time you’re in Chicago, we’ll have to go to a white sox game. Or the next time i’m in Dallas, we’ll have to go to a rangers game.
Brad Sumrok: That sounds great.
Mike Morawski: Hey, let’s talk about raising capital. I was just telling my assistant this morning, we’re having this conversation and I said, it’s been interesting to watch the trends. Last year, everybody was talking about underwriting and training and coaching around underwriting.
And this year, everybody is running these programs talking about raising capital and how to raise private capital. What do you teach in your students in that space today? And what are you finding with raising capital? Obviously, it’s harder for everybody today just based on the market. What are you doing different?
Brad Sumrok: If there’s anything [00:20:00] I’m doing different and I’d have to ask myself, what am I doing different? And I’ll let you know in a week or two, when we do our raise for the eight to 10 million. Everything I’m hearing is Oh my god, it’s so hard right now to raise equity. So first of all, like mindset is your biggest skillset.
So if you believe it’s going to be hard, it’s going to be hard. I’m just telling you right now, I’m going on the record. We’re going to raise eight to $10 million as easily as we’ve done in the past. So I’m going to start off with that belief. And why is that? Transaction volume is down 90%.
If I have a thousand potential investors in my database. Last year I did nine deals at this time, or two years ago I did nine deals by this time, and this year it’s my first raise. There’s a lot of people with money that haven’t been solicited, or solicited is a cheesy word, but there’s a lot of people with money that haven’t been shown a good opportunity.
One thing people need to understand is transaction [00:21:00] volume is down 90% from last year. So people still have money to invest. And yes, people might be a little bit more gun shy because of CNN, the constant negative news that they tune into and all these other, the media and all that type of stuff.
But the reality is if the number of transactions is down 90%. And people are 50% less likely to invest. There’s still more money out there. Like just do the math. Okay. So people got to believe, and I believe there’s a lot of money sitting on the sidelines, waiting for the right opportunity.
So with that belief, now you just gotta be really confident in your deal. And I think confidence sells and I think your message matters and the way you communicate matters. So like now more than ever before, I think you have to be much more confident and much more articulate in your equity raise. [00:22:00] Whether it’s a pitch deck or a webinar or the one on one conversations you have, but people need to know that if shit hits the fan and excuse me, I didn’t ask if I could speak like this on your show but..
Mike Morawski: You could talk worse if you want.
Brad Sumrok: If the going gets tough, people need to know. What the capabilities are of the management team or the leadership team. People want to know their investment is secure. And so I think it matters more than ever on how you communicate. But Mike, really, it’s got to start with this belief that says, hey, look, the numbers don’t lie.
If there’s X hundred million dollars out there to invest. And we’ve done 100 deals so far last year at this point in time, and we’ve only done 6 this year. I’m just saying we meaning a community, a group, a market, an ecosystem, whatever we is, there’s been far [00:23:00] less deals. There’s far less deals happening than there is. There’s far more money available than there is deals happening. So there’s a lot of money on the sidelines.
Mike Morawski: I’m on the phone every day talking to investors and people are him haunting around or they say they’re going to do it, but they really don’t move forward. And you’re trying to call capital but you just said something, you actually said two things that I think are really important.
The first one is articulate. You have to be able to articulate the deal. You have to be able to talk about the math. And talk about the sponsorship team and the deal itself. So you have to be able to tell that story, and tell it with passion and enthusiasm. And the other thing is that I think that you challenge that investor today.
And challenge could even be too strong of a word, but I think you challenge that investor today and say, where else are you going to find a deal [00:24:00] in today’s market, that’s going to produce a return like this? There’s not enough opportunity out there to look at to find this type of a deal. I thought that was really good how you said that.
Brad Sumrok: Yeah. And again, people need to know like, let’s say half of my potential investors never invested before, but the other half invested in the last two years and they’re not hitting their numbers or we’re not hitting their numbers.
So there’s a different message to those folks. There’s a different message. So you got to know who your audience is, and you got to know who you’re talking to. Let’s say, Mike, you invested with me before. And we projected a certain return, and we’re not hitting it and now I’m having a conversation with you about another deal.
The way I speak to you, and the message that I want to deliver to you might be different than the way I would speak to somebody that never invested with me before. If that makes sense.
Mike Morawski: 100%. Yep. And you know that about knowing your [00:25:00] audience too. You might talk to an investor who needs some tax benefits. They made too much money this year, or they’re gonna make too much money and they need to offset it with depreciation. Or you might have an investor that’s just looking for the cash flow and wants that preferred return. You’re right about knowing your audience. I think it’s important.
Brad Sumrok: Absolutely.
Mike Morawski: Hey Brad, I think you have a big event coming up here this month, don’t you?
Brad Sumrok: I do, it’s our 6th “Annual Apartment Investor National Conference”, and it’s at the end of August. It’s the 25th, 26th and 27th. And for some people, the 28th.
Mike Morawski: Okay. And where’s it at? And we’re gonna put up a QR code here in a minute and let people grab that QR code. But how do people find out about it? What are you going to do at that event? Give a little bit on the agenda.
Brad Sumrok: Yeah. So the first question you asked is where is it? So it’s in Dallas, downtown Dallas. And [00:26:00] it’s a 3 day event. And the reason I said, for some people, a 4 day is because we have a platinum ticket that everybody that has the platinum ticket gets a bonus day for, just to clarify on that. And what we do at this event is it’s really about teaching a framework to become a millionaire investor.
It covers a lot of multifamily because look, that’s my thing. They call me the apartment king, they don’t call me the investor king or the commercial real estate generalist King, they call me the apartment King. So, it’s a lot about apartments, but we still cover other things like mindset. We cover mastery. We cover things like focus. We cover things like commitment. We cover things like passion. We cover things like doing the mundane tasks over and over again.
I heard you say in your introduction. And who’s we? Okay. We ain’t just me. This is the one event a year where I bring in some of the best speakers in the world and some really well [00:27:00] known people and some not so well known people. There are people out there that are doing more deals than Grant Cardone that nobody knows about. And some of those people will be at my event.
Mike Morawski: Okay. Any glimpse of who’s going to be speaking this year?
Brad Sumrok: Yeah. So Robert Kiyosaki is going to be here in person and Robert has been on my stage now, this will be the third time in six years that he’s been at this event. And like how many people got started in real estate by reading his books. I know I’m one of those people.
Mike Morawski: Yeah.
Brad Sumrok: So he’s going to be there. Now another guy that’s not necessarily a big real estate guy, but he’s a millionaire investor and one of the most powerful speakers I ever met in my life. And he’s going to be speaking on overcoming adversity. Whether it’s confidence, mindset, and the guy has no legs and one arm and his name is Nick Santanas Daso.
He’s 1 of the best keynote speakers [00:28:00] I ever heard in my life. I heard him speak at Tony Robbins event and I became his friend and now he’s going to be speaking at our event. And, you think you’re having a tough day raising capital. Imagine you got no legs and 1 arm. And how did he become a fricking millionaire?
So if he could overcome adversity, what we’re going on, what we’re going through right now with the economy and everything is a temporary situation. And so now, more than ever, we need to have these other skills. Tony Robbins says the best, your psychology is 80% responsible for your success.
And your subject matter knowledge is only 20%. Think about that. A lot of people, they focus 80% on subject matter and look, subject matter is super important. I’m not saying it’s not important. We’re going to cover all that, but we’re going to cover well beyond that. So we’re going to have some amazing speakers.
Tom Wheelwright will be there. Who’s the tax guy that’s associated with Robert Kiyosaki and writes all the books on [00:29:00] tax free wealth and stuff like that. So, if you want to save tax. You should be at the event. If you want to hear from Kiyosaki and, where he’s at right now with investing in real estate. And he’ll even talk about other asset classes.
Then you want to be at the event. If you want to hear from a millionaire with no legs and one arm. Again, we’re going to have guys from really good friends and business partners in some domains with the guys at Madeira residential, they’re buying more deals right now than Grant Cardone, but they’re not well known on social media, but that doesn’t mean like they’re buying billions of dollars of assets right now in 2023.
So they’re going to be talking about what they’re buying, how they’re buying it, how they’re financing it, how they’re raising the money, and what they’re not buying. This event, if there’s 1 event the rest of the year that somebody’s going to go to for multifamily, and I know there are other events out there, but this is the 1 that I think people should dial into the most.
Mike Morawski: And how many people usually come to your event?[00:30:00]
Brad Sumrok: I do this event once a year. Last year we had maybe 800 people at the event. So the networking is pretty good.
Mike Morawski: It’s a good size event, huh?
Brad Sumrok: Yeah. It’s a good event to be at.
Mike Morawski: Sounds like something I should come to?
Brad Sumrok: I think so.
Mike Morawski: You want to send me a ticket?
Brad Sumrok: Sure, I will send you a ticket.
Mike Morawski: Thanks. I was going to mention too, are you a reader? Do you like to read still?
Brad Sumrok: I do.
Mike Morawski: When we’re done, I’ll have your staff send me your address and I’ll send you a copy of my book.
Brad Sumrok: Awesome.
Mike Morawski: Hey, this has been insightful and I always try to tell people, I say, Hey, I try to interview people who are smarter than I’m. And I do that because I want to learn something. It’s kind of almost a selfish thing, and I’ve learned a couple things from you today, and I appreciate you for that. Thank you.
Brad Sumrok: Thank you. Thank you for having me.
Mike Morawski: Hey, as we start to wind down, first of all, just tell people how they can grab a ticket [00:31:00] or get in touch with you?
Brad Sumrok: Yeah, so there’s a couple ways, and I know you’re going to put a banner or a QR code or something, but you go to my website bradsumrok.com There’s no C in my last name. If you want to actually interact with somebody on my team, email support@bradsumrok, and then I’m on all the major social media platforms.
Again, it’s BRAD SUMROK no punctuation. No underscore. There’s a lot of fake accounts. Especially on Instagram, I have some Instagram fake accounts that have like thousands more followers than me. And I’m like, these are Brad Sumrok accounts and how do they have like all these followers? And I’m like, what the hell?
Mike Morawski: And what did they do with them?
Brad Sumrok: They send them like bullshit solicitations for crypto and Forex and all this stuff that like, I don’t know. People message me and say, Brad, have you shifted away from apartments? I’m getting spam from you [00:32:00] about like crypto. And I’m like, no, that’s not me.
Mike Morawski: Crazy. Yeah. I see that sometimes too. Hey, listen, as we wind down here, I like to ask three questions. So, what’s the best book you’ve ever read?
Brad Sumrok: Oh, my God, I thought you were going to ask me what I’m currently reading right now, but the best book I ever read. It’s so hard because I’ve read so many. I can tell you the 1 that moved the needle for me. So does it make it the best? I don’t know.
Mike Morawski: All right.
Brad Sumrok: The most impactful actually was Rich Dad, Poor Dad that’s the 1st thing I thought of. And it wasn’t necessarily reading the book, but it was the action I took after reading the book. So I read the book and I learned about cash flow and assets and ESBI, employee, self employed business owner, investor. And as a result of reading that book, I took massive action and that was to go to an event.
And I know that ties into my event coming up, but look, you could read and get [00:33:00] knowledge. And I heard you might say this in the beginning about commitment and action. If you just read a book, but you don’t take action, yeah, it could be a great book.
And my God, it’s the best book I ever read in my life. And I’d say, how did that benefit you? It really didn’t, I have all this information that I didn’t do anything.
Mike Morawski: Yeah. Right.
Brad Sumrok: So take action.
Mike Morawski: Awesome. And you’re like me, you travel around a lot and, so where best tourist attraction that you’ve ever seen?
Brad Sumrok: Oh, my God. I absolutely love Thailand. I went there five years ago. I love Thailand. I know it’s a whole country. Geez, I just got back from Africa like a month and a half ago. I had an amazing time.
Mike Morawski: Hey, best restaurant in Dallas. Where should I eat when I come to your event?
Brad Sumrok: Oh, my God. But what do you like? Help me out here.
Mike Morawski: You know what? I’m pretty easy. Tacos and steak.
Brad Sumrok: For steak, Nick and Sam’s is really hard to beat [00:34:00] for steak. I would say Nick and Sam’s.
Mike Morawski: Okay. Perfect.
Brad Sumrok: Especially if you like a good vibe. You know what I mean? A high energy vibe, a good crowd, not nightclub ish, but it’s a good vibe.
Mike Morawski: Nice. Awesome. I may have to check that out. You’re like the second person that’s mentioned that to me.
Brad Sumrok: Got to give it a try.
Mike Morawski: Hey, I appreciate you being here this morning. What do you want to leave people with? What do you want? If somebody was a new investor listening in to you and I this morning for the first time, what do you want to leave them with?
Brad Sumrok: What I’d like to leave them with is you got to look, the sooner you get started, the sooner you get to the finish line. And it is. It’s the number 1 question I get right now is Brad. Should I start now or should I wait? It took me 3 years to replace my job income with my investment income. And I didn’t say, I’m going to wait for a better time to get started because it’s still going to take you 3 years.
See, people don’t understand that. They think, I’m going to [00:35:00] wait until, let’s say 2025 and then I’ll get started. Look, by the time they start lowering interest rates, the pricing is going to be 18 months ago, people complained that the pricing was too high and there was too much competition.
Now, the pricing is down 20% and there’s virtually no competition. If you want to buy deals, so get started. That’s the number 1 thing. I just want to let people know is if you have a financial goal that involves passive income or investment income. I like to call it a passive income, investment income, not passive income. But the sooner you get started, the sooner you hit your goals. So get started now, get educated, invest in yourself. And that’s what I want to leave with people.
Mike Morawski: Awesome. Thank you. I appreciate that. Tell people again, how they get ahold of you.
Brad Sumrok: bradsumrok.com and firstname.lastname@example.org is the email.
Mike Morawski: And I just want to encourage everybody to if you can get to Dallas or if you’re in Dallas, get to Brad’s event. I know [00:36:00] the information he has shared and I been in the business a long time and Brad is at a high level. And so I know the information and the speakers and the guests that he’s going to have at his event will be priceless.
So if you are getting started, if you’re seasoned in the business. Go get a shot in the arm. Learn how to mitigate through this market and go get what you need. But be at Brad’s event this August. Brad, thanks for being here. I look forward to connecting. I look forward to seeing you in August at your event.
Brad Sumrok: Sounds great, Mike. Thank you for having me today.
Kristen: Thank you Mike, and thank you for joining us for another great episode of Insider Secrets. As always, Insider Secrets is brought to you by My Core Intentions. Wherever you hang out on social media, you will find Mike and My Core Intentions. Please like and follow us to get the most up to date real estate investing trends.
Visit [00:37:00] mycoreintentions.com where you can get expert coaching on all things real estate investing and property management. If you’re looking to become an expert, Mike’s coaching will help you scale your real estate investment business. We’re looking forward to having you back again next week for more Insider Secrets.