Ep. 76: Finding and Closing Off-Market Deals with Joseph Gozlan

Successful investors have a knack for finding the path of progress. Where the progress goes, the money follows. In today’s show, Joseph Gozlan, a multifamily investment specialist, shares how he gets ahead of the progress happening North of Dallas. He talks about his current market (Celina and Lubbock) and how he finds other investment opportunities in Dallas. Plus, he shares valuable tips in finding and closing off-market deals, avoiding bad neighborhoods, choosing an apartment opportunity, and how not to lose money through multifamily investing.

Key Market Insights

 

• Born and raised in Israel, where he served as a lieutenant for the Israeli Defense Forces
• Key Takeaways from Military Service: Discipline, Understand Chain of Commands, Leadership
• In 2001, studied engineering after his military service
• In 2004, became a software engineer, and was relocated to Dallas, Texas in 2007
• Purchased single-family homes during the recession 
• Major Disadvantage of Single-family homes: No other unit can cover expenses or recurring cash flow when things go wrong
• Identified multifamily as the most opportunistic asset class, so he transitioned in 2015
• First multifamily acquisition involved direct marketing (yellow cards, cold calling, meeting owners) – reasonable price, established a relationship with the owner, lower down payment, owner financing at reasonable terms
• Celina Market – far North Texas, a suburb of Dallas; Path of progress, emerging retails, and expanding road infrastructures, near job centers
• Dallas Market: North – more affluent suburbs, including Plano, Frisco, McKinney (which is included in Top 10 cities to Live); East – surrounded with lakes that’ll eventually stop growth; West – close to Fort Worth; South – rougher parts of Dallas
• Hot Dallas Market: North – job and population growth, close to job centers, transportation hubs
• Metrics in Choosing an Apartment – Class B & C properties, close to transportation and job centers, avoid war zones
• Identifiers of War Zones – a lot of unemployed individuals and occupied parking and streets
• Lubbock Market – secondary market in Texas, and a tertiary market nationwide; Great economic drivers, Texas Tech University, medical facilities, low unemployment rate, population and job growth, emerging retails and infrastructures
• Opportunities in Lubbock Market: East – industrial, low-end; North – close to the university; Southwest – blue collar, low crimes, safe and clean
• Advice for Investors: Understand the numbers, and get engaged with lenders as soon as possible
• Best deals are off-market
• Finding Off-Market Deals: Direct Marketing. Be consistent. Position yourself in the frontline

Bull’s Eye Round

 

Winning Your Market: Work hard. Build relationships. Find off-market deals.

 

Tracking Market Changes: Keep an update on industry news.

 

Daily Habit: Block time for prospecting, and finding new deals, buyers and sellers.

 

Resources:

 

Yardi Matrix

Book:

 

Profit First by Mike Michalowicz

 

Rejection Proof by Jia Jiang

Digital Resources:

 

Social Media

 

Feedly

 

Tweet This:

 

“Direct marketing is about consistency.”

 

“Don’t get into a bidding war. Find deals before anyone else.”

Places to Grab a Bite:

 

Estilo Gaucho

 

Grub Burger

 

Connect with Joseph:

 

LinkedIn: https://www.linkedin.com/in/gozlan

Website: www.ebgtexas.com