
Why Real Estate is Your Best Hedge Against Inflation (2024) ep. 368
REady2Scale - Real Estate Investing
2024-06-26
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Are you ready to discover how real estate can be your ultimate inflation hedge and a powerful tool for building wealth? In this episode of "Ready to Scale," host Jeannette Friedrich, Director of Investor Relations at Blue Lake Capital, sits down with Elijah Brown, Co-Founder and Managing Partner at Goldhawk Capital. With a portfolio of over 2,500 units and a transaction value of $350 million, Elijah shares his extensive experience and journey through various roles in real estate investing.
Key Takeaways:
Real Estate as an Inflation Hedge:
-Elijah and Jeannette discuss why real estate is a strong hedge against inflation, emphasizing its ability to preserve and grow wealth over time.
Different Investment Models:
-Elijah outlines his progression from syndication to co-GP roles and finally to fund of funds. He highlights the pros and cons of each model, providing valuable insights for investors at different stages of their journey.
-Syndication: High potential profits but requires significant time and effort.
-Co-GP: Allows for leveraging other partners' expertise and scaling efficiently.
-Fund of Funds: Focuses on raising capital and vetting deals, outsourcing property management.
Navigating the Current Market:
-Elijah provides strategies for raising capital in today’s challenging environment. He advises positioning oneself to capitalize on future market upturns and stresses the importance of having a solid, standout deal to attract investors.
Leadership Skills from the Military:
-Elijah reflects on how his military background, especially his training in discipline and leadership, has contributed to his success in real estate.
Geopolitical and Economic Insights:
-Elijah discusses the potential impacts of geopolitical tensions on the economy, particularly inflation, and the importance of long-term fixed-rate debt to weather market fluctuations.
Automation and Efficiency:
-Elijah emphasizes the value of automations and delegations in business operations, sharing tools and strategies for optimizing workflows and freeing up time for strategic activities.
Practical Advice for Investors:
-Elijah advises aspiring investors to take action rather than getting stuck in perpetual learning. He recommends starting with small deals to gain experience and insights.
Bonus Content:
Elijah offers a free "Quick Calculator" tool for aspiring operators to quickly assess deal viability without extensive underwriting. Access it at goldhawk.us/quickcalc.
Tune in for a wealth of knowledge and practical advice from an industry expert who has successfully navigated various facets of real estate investing. Whether you’re a new investor or a seasoned professional, Elijah’s insights will provide valuable guidance to help you scale your investments effectively.
For more resources and updates, visit bluelakecapital.com and subscribe to our weekly newsletter.
Contact Elijah Brown:
LinkedIn: Elijah Brown
Free Quick Calculator: goldhawk.us/quickcalc
Are you REady2Scale Your Multifamily Investments?
Learn more about growing your wealth, strengthening your portfolio, and scaling to the next level at www.bluelake-capital.com.
To reach Ellie & the Blue Lake team, email them at info@bluelake-capital.com or complete our investor form at www.bluelake-capital.com/new-investor-form and they'll connect with you.
Read the transcript here.
Timestamps
00:00 Introduction to Real Estate and Inflation
00:27 Meet Elijah Brown: Background and Experience
01:52 Elijah's Journey in Real Estate
05:02 Pros and Cons of Different Real Estate Roles
09:40 Challenges and Strategies in Capital Raising
17:55 Military Leadership and Real Estate
21:53 Geopolitical Impacts on Real Estate
25:27 Lightning Round and Final Thoughts
Credits
Producer: Blue Lake Capital
Strategist: Syed Mahmood
Editor: Emma Walker
Opening Music: Pomplamoose
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