Interviewing Dan The Mind Behind Resilient REI
Resilient REI
Today we are doing an interview Dan to get to know the man behind Resilient REI who has been very busy interviewing serious real-estate investors for his weekly newsletter, launching a new podcast and growing his own rental property empire!
If you haven’t done so already check him out and over on twitter @ResilientRei, TikTok ResilientREI, Instagram, and his new postcast!!
Now the introductions are done let’s kick off the interview!
Blind Luck Project (BLP): Hey Resilient REI, I enjoy following along with your rental property adventures and the interesting people you’ve been interviewing lately every one has such a unique backstory. The big thing that sets you apart in my opinion is your positivity and ability to grow a strong community around a common idea, Real Estate Investing!
What got you into real estate investing in the first place?
Resilient REI (RR):
My journey to real estate came from coming to the conclusion that job security was a myth.
Right out of college I landed a job at an amazing startup. The company had just raised $500 million and was the talk of the Chicago startup scene. We had free lunches, 3 baristas on staff, and a ton of momentum.
About 6 months after I started the Wall Street Journal published a feature article on the company. Outlining how they had been stealing money, cooking the books, and a whole host of other white collar crimes.
I went from having all the job security in the world to seeing a billion dollar company crumble around me. From then on I knew I had to find something that I could depend on. Which ended up being real estate.
BLP: What is your ultimate cashflow goal from your real-estate portfolio? Do you have a net worth goal as well?
RR:
I wouldn’t say I have a particular end goal in mind. Right now I’m focused on accumulating enough cash flow to be able to Resilient REI full time. Which I’m estimating is around $7K. Once I hit that number I will continue growing the portfolio!
BLP: What are you trying to accomplish with Resilent REI? Who do you think will get the most value from your newsletter, podcast, etc?
RR:
My goal is to help people like me - people working a day job who are choosing real estate as their financial vehicle. Meaning people who are working to buy that first property all the way up to people with huge portfolios of single family and small mulit-family properties.
In the end better investors do better financially and their tenants enjoy a competently managed property.
BLP: What would you do differently if you were to start all over again in real estate investing?
RR:
I haven’t made any egregious mistakes yet. But probably house hacking out of college.
BLP: What would you say to people who say we are in another housing bubble like we were in 2007/08?
RR:
The housing bubble of 2007/2008 was a financing bubble that had strong ties to the housing market. Loans were being given to people who had no business getting those loans. Which ultimately inflated housing prices.
Lending is a lot more strict now - meaning that the market is more stable. Additionally there is just not enough housing inventory for all the demand.
With rising interest rates we will likely see prices decline in certain markets - but I doubt we’re in a bubble.
BLP: If you couldn’t buy real estate what would be your investment strategy?
RR:
Candidly I have no clue. I’d probably invest in index funds. But where is the fun in that?
BLP: I often share some of my personal failures with people to encourage others, and show setbacks are normal and just part of the process. What’s the biggest financial setback you’ve experienced?
RR:
After I graduated college I had this idea of buying my own place as soon as possible. Purely so I could say “I bought a house within 12 months of graduating college”.
Initially my goal was to buy a 2 bedroom condo in Chicago and rent out the extra bedroom. I didn’t know the term house hacking back then and candidly didn’t do much research on real estate.
My problem was that I couldn’t afford a 2 bedroom that was move in ready and in a decent neighborhood.
I ended up caving in and bought this amazing studio condo overlooking Lake Michigan. It was amazing and I lived there for 3 years.
But when I went to sell I was in for a rude awakening. It would not have cash flowed if I kept it as a rental (wouldn’t have even broke even). And I would only be selling to young people or single people (comprising my buyer pool).
I had just gotten married and we needed to move. So I had to sell and essentially sold it for what I bought it. But after all the taxes, commissions, fees, etc. I ended up losing about $20k.
I don’t regret buying the studio but it was a huge financial mistake in hindsight.
BLP: A few of my friends own rental properties (both SFH and STR’s) I’ve heard some pretty good stories from renovation surprises to eviction stories. It happens sometimes (hence the reason landlords are paid). Whats your best/ worst story or experience?
RR:
My experiences have been pretty good. Since my properties are in C class neighborhoods - rent is almost always late. But it always gets paid and I haven’t had to do any evictions.
Best story would have to be buying my first rental property. I say that because when we drove past it we say a Porsche in the driveway and figured it was the old investor’s car (we knew it was investor owned). Later we drove past again and saw the same Porsche. Turned out it was our tenant’s!
BLP: What is the biggest mistake you see new investors making with real-estate investing?
RR:
Jumping in impulsively. Meaning people buying in areas they hardly understand with no team on the ground. You need to study a market for months and network heavily prior to that first purchase.
BLP: What would you tell people who say they don’t have enough money to get started in real estate investing?
RR:
It’s a myth that you need to be wealthy to start in real estate.
That being said you do need some money. Because putting that initial $25k or $30k is almost like getting your gen eds in college. You need to learn how to budget and how to make enough to buy that property. This could be through tracking your expenses and getting a side gig if you need it.
Getting started in real estate with no money at all puts you in a very risky situation. If something breaks or you have a bad initial tenant… you could be out of the game right when you got started.
BLP: What books have inspired you that you’d recommend to someone looking to get started in real-estate?
RR:
BLP: What are some of your hobbies when your not busy lining up interviews, deals, or hosting a podcast show?
RR:
I work out probably 5 days a week but end up going out to restaurants with my wife 2 times a week. So that kind of balances each other out.
BLP: What did you want to do for a living when you were a kid?
RR:
In all honesty I did not have a real plan on what I wanted to be. I figured I’d go into business but had no idea on what my job would be or what industry.
It wasn’t until I discovered real estate out of college that I found my passion.
Editors Note: This is a common trend we see among high net worth individuals. almost all of them work out consistently!
BLP: Do you have a 9-5 job or is real estate your full time job now?
RR:
I still work a 9-5 and probably will stay working there for another 3-4 years.
BLP: How do you stay so driven? A lot of people have dreams but I find you need a strong “why factor” that translates into action toward your goals.
RR:
I’m driven because I have so much I want to do once I can do Resilient REI full time. I want to build my own office, hire a team, launch a magazine, do in-person events, and become the top media brand for real estate investors.
Life is boring if you’re not building something
BLP: What’s something people don’t know about you? A weird talent or something you’ve done?
RR:
I am a huge history fan. YouTube videos on history, Netflix documentaries, Podcasts. I love learning about historical battles, empires, and important people.
BLP: If people have never read your newsletter or checked your podcast out, what piece are you most proud of that they should checkout?
RR:
I am most proud of the podcast I did with Tom Brickman (TheFrugalGay on Twitter). He shared how he never made more than $80K at his day job but flipped products on Ebay. This side gig allowed him to buy rental properties. He now has 19 properties and is financially free!
BLP: if you were to retire but couldn’t stay in United States where would you go?
RR:
Brazil
My wife was born in Brazil and we’ve gone a few times. I love the country. The people are incredible. The dollar is incredibly strong. The food is amazing. Definitely long on Brazil.
BLP: what’s something you splurge on or feel spending extra money is worth it?
RR:
My wife and I enjoy finding unique restaurants in and around Chicago. Always open to checking a new place out.
BLP: What advise would you give your 16 year old self?
RR:
Don’t let people around you define who you should be or do. You’re mowing lawns right now - don’t treat it like a stupid summer job. Build it out - aim to grow it to a million dollar business. Where you can manage it while in college.
Additionally take real estate classes and try to get your license. Thank me later.
BLP: Where can people find you?
RR:
I’m most active on Twitter and Instagram
My newsletter comes out twice a week (Tuesdays and Fridays)
Podcast comes out every Monday
All my links are conveniently in this one link:
BLP: Thanks for taking the time to sit down with us! Been great getting to know you a bit better!
We interview at least one personal finance creator or personality every month so make sure you Join our Community so you don’t miss out on future interviews or updates!
