MB 218: The Most Direct Route to Financial Freedom – With Jacob Blackett Financial Freedom with Real Estate Investing

Those of us who enjoy success in the real estate business are typically introduced to a model, an investor operating at a scale we never considered, who gives us an idea for what’s possible and a vision for the future. And if we’re smart, we can learn from their mistakes and leverage their knowledge and experience as a springboard, affording us a more direct path to our own financial freedom.
Jacob Blackett is the Founder and CEO of Holdfolio, a platform that connects investors with high-yield investments in the real estate industry, and Syndication Pro, a software company that helps syndicators raise capital and manage investors online. Jacob got his start doing fix-and-flips as a 19-year-old sophomore in college, and today, he has placed over $50M into income-producing real estate, building a portfolio of 600+ units (as the lead sponsor) and a network of 3K registered investors.
On this episode of Apartment Building Investing, Jacob joins me to explain how an infomercial inspired his interest in real estate and share his journey from fix-and-flips to wholesaling to SFH rentals to multifamily. He walks us through the steps he took to scale his real estate business, describing why it’s beneficial to have an in-house property management team and how the technology he built to raise capital online became Syndication Pro. Listen in to understand how Jacob overcame losing $40K on his first deal and learn how to avoid his mistakes by joint venturing with an experienced team early on!
Key Takeaways What attracted Jacob to the real estate space
Free fix-and-flip seminar (sophomore in college) Up to $80K for single flip vs. CPA starting salary
Jacob’s experience with his first fix-and-flip
Picked up deal on MLS with grandma’s capital Didn’t go as planned, ended up losing $40K
Why Jacob pivoted from flipping to SFH rentals
Very transactional, no tax benefits Growing portfolio = monthly income stream
Jacob’s first AHA moment around scaling his business
Create partnerships with investors Build portfolio of 150 SFH rentals quickly
What inspired Jacob’s transition to multifamily
All rentals in one place with staff onsite Banks/lenders prefer multifamily
Jacob’s first multifamily deal
46-unit with fire damage at 50% occupancy Leveraged investor network for capital
What surprised Jacob most about multifamily
Breath of fresh air (power of all in one place) Had to learn a lot about asset management
Jacob’s background working in property management
Met investor through wholesale deal Managed all his acquisitions within 2 years
The benefits of using in-house property management
Generates revenue once reach 500+ units Control and consistency in best practices
Jacob’s first steps for scaling his real estate business
Implement use of Propertyware software Hire talented leasing agent and COO
How Jacob scaled his capital raising efforts
Crowdfunding sites caught eye early on Built website to raise money online
How Jacob bounced back from losing $40K
Resolve to fix mistakes Determined to pay grandma back
Jacob’s advice to his 19-year-old self
JV on first flips to hedge risk Job at multifamily private equity company
Jacob’s advice for aspiring multifamily investors
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