Ep. 59: Find Deals and Stop Chasing Returns with Ivan Barratt

Growing up in a family of investors, Ivan Barratt had a taste of real estate during his formative years. Since then, he had set his goal of becoming an investor himself. He studied about the industry and even worked a commission-based job just to gain experience. At his lowest point, he started a property management company Barratt Asset Management out of his spare bedroom and slowly began acquiring properties.  Fast forward, he became a multifamily owner, manager, and syndicator, who specializes in an agency and FHA finance project. Based in Indianapolis, he focuses on strong Midwest markets with a long-term strategy. On this episode, he shares his thoughts on managing properties, finding deals that work, growing markets, and financing opportunities.

 

 

Key Market Insights

 

•    Grew up in a family of real estate investors, influencing his vision
•    Graduated from one of the top real estate schools, Indiana University
•    Worked on commission-based as an in-house salesman for a local developer
•    Started Barratt Asset Management (BAM) out of his spare bedroom in 2010
•    Leveraged BAM as a vehicle to acquire assets and generate cash flow
•    Manages over $150 million of real estate
•    Recently closed a 163-unit apartment community
•    Property Management Company – provides relevant and honest information regarding your chosen market and expected type of tenants
•    Current underwriting strategy: Does not chase internal rate of return and cap rates
•    Indianapolis Market is gentrifying economically: New developments & constructions, and diversified job growth
•    Other Markets: Suburb Northeast of Indianapolis (McCordsville), Southwest Ohio, Kentucky
•    Good Location: Strong school districts, diversified employment, new developments
•    HUD Financing: Long-term financing for ABCD assets with 85% LTV for acquisition, replacement reserves and renovations
•    Currently writing his book and redoing his website

 

Bull’s Eye Tips:

 

Winning Your Market: Persistence

 

Tracking Marketing Changes: Be curious every day. Read a lot of information. Be diligent.

 

Daily Habit: Keep God and family first. Work out in the morning.

 

Resources:

 

HUD Financing

 

 

Book Recommendation:

 

If You’re Not First, You’re Last by Grant Cardone 

 

Principles by Ray Dalio

 

Collusion by Luke Harding

  

 

Digital Resources

 

Evernote

Slack

 

 

Tweet This:

 

“Instead of focusing on how much you could earn, focus on how much you could learn.”

 

“Get on a team with a track record, if you know you need help.”

 

“Take small steps on a daily basis to cultivate relationships.”

 

 

Places to Grab a Bite:

Spoke & Steele

 

 

Connect with Ivan:

 

Website: www.barrattassetmanagement.com/

Phone: 317.762.2625

 

 

 

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