BiggerPockets Real Estate Podcast - He Bought 58 Rental Units in Just 4 Years by Solving Other Landlords’ Problems

Episode Date: July 13, 2026

When the Great Recession hit, Andy Gil lost his business. Suddenly, he was forced to start over. But the fear of losing everything again was the driving force behind what would come next. Andy got serious, raising his young kids in an 800-square-foot house, driving 10-year-old cars, and funneling every spare dollar into savings so he could start buying rental properties. These were the types of sacrifices the average investor probably wouldn’t make, but they became the catalyst for scaling to 58 rental units in just four years! What’s more, Andy has never had the benefit of 3% mortgage rates. He got into real estate investing at the tail end of 2022, meaning he’s been able to grow his large, cash-flowing real estate portfolio in a tough housing market with high interest rates—all while using very little of his own money. Today, he manages his own rentals and other people’s properties, deploying a unique investing strategy that has even helped him acquire a 30-unit property. In this episode, he’s sharing exactly what that strategy is (and how YOU can implement it), what he’s learned in over 20 years of contracting experience, and how to use AI to gain an edge in today’s market. In This Episode We Cover Andy’s journey from losing his business to buying 58 rental units in four years The massive sacrifices Andy and his family have had to make to invest in real estate How to accelerate your investing journey by living within your means The secrets to managing a large rental portfolio (on your own!) How Andy uses artificial intelligence (AI) throughout his real estate business Why persistence is the key to finding great real estate deals in 2026 And So Much More! Check out more resources from this show on ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠BiggerPockets.com⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ and ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠ ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠h⁠⁠t⁠t⁠ps://www⁠.biggerpockets.com/blog/real-estate-1303. Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email ⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠[e-mail]⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠⁠. Learn more about your ad choices. Visit megaphone.fm/adchoices

When the Great Recession hit, Andy Gill's business went under. The future he thought he'd created disappeared overnight. And the fear of being in that position ever again became his new obsession. So he grinded, he hustled. He faced major setbacks along the way. And in 2022, he got serious about real estate investing. While most people around him upgraded their lifestyles, Andy took extreme measures. He downsized his house.

he drove old used cars and he pinched pennies so he could funnel every extra dollar he had toward buying rental properties. Most investors aren't making these types of sacrifices. But for Andy, it was a temporary trade-off for a more secure financial future. And it is already paying off. In just four years, he's scaled to 58 rental units and counting,

and he's done it all in today's high-interest rate environment without a super high-paying job. In many ways, Andy is just the average investor, but he also knows his superpower. He uses his creativity to cut through the noise, to spot opportunities that fly under most buyers' radar, and he solves problems for hesitant sellers. Today, he's even going to pull back the curtain

on a genius strategy you've probably never heard of, but it's one that helped him take down a 30-unit property with very little of his own life. What's up, friends? I'm Dave Meyer, chief investment officer at Bigger Pockets. Today in the show, we have Andy Gill,

an investor in Connecticut, who was previously on episode 803 back in August of 2023. Andy's also been one of our most popular speakers at BPCon the last few years. So excited he's going to be back on the show and hear what he's been up to. Let's bring him on.

Andy, welcome back to the Bigger Pockets podcast. So good to have you here, man. Thank you. I'm always flattered to be asked and always pinch myself a little bit that I get these opportunities. Well, it's always great to have you here, Andy. This should be a lot of fun.

You have been on the show before, but for people who haven't heard your previous episodes or didn't attend your wildly popular session at BPCon last year, tell us just a little bit about yourself, where you are in the country and what you do in real estate. So my name's Andy Gill.

I am on the East Coast in Connecticut, directly between Boston and New York, and we own and operate a portfolio of about 58 apartments currently, all within about 30 minutes of our house. So I'm also a contractor and where we're building new homes and new renovations. I've been doing that for my, basically my whole adult career, so 25 years, but I didn't start buying real estate. I didn't understand that that owning the asset was the goal until about five years ago. So we've been in about four years. Oh, wow. Okay. So you were just doing contractor work for other people, homeowners, real estate investors,

I assume for 20 years. What clicked? What happened that made you realize now is the time for me to start trying to hold on to these assets? I had a really bad business experience that I learned a ton from that taught me that I didn't understand finance. I didn't understand a P&L. I didn't understand any of that. And so I had to get smart. And so and then I had another opportunity another mentor and learned how to manage. If you can't measure it, you can't manage it. And so being able to project costs and walk it in. And after I kind of developed those skills and people skills,

I realized that owning the asset, not just improving it, was the path. So we started looking for flips, and that didn't work out. And our first purchase was a 12, 12 condos in here in Connecticut. So you just went for it. Went for it. I got a partner to go 50-50. And yeah, my contracting career. being able to do rinse, repeat work.

Twelve identical condos spoke to me. So I could understand, and once I understood one, I understood them all. And regarding the tenants, understanding how rent would move, what the improvements would be, how all that would stuff. I was comfortable with that. So we jumped in the deep end. What does your portfolio look like now? So we have 58 apartments in various different structures.

Amazing. Some we own ourselves. Some we own single partners. And we got into a 12 family with two other partners. and they're all spread. They go, we go as high as like Putnam area in Connecticut and the low is about Norwich in New London County. And so we manage all of those but 12.

That's a lot. That's scaling quickly, 58. How did you finance it? It sounds like with partners, but did you have money saved up from contracting? I grew up pretty with limited means. And early in my marriage, we didn't have a lot. And my son has cystic fibrosis,

which is a heavy, heavy financial implications. And so it took us a while. And I took a real hard hit with that business loss during the Great Recession. So it took a while and we learned to live below our means. And then slowly we realized that we were starting to save. And so we stayed minimal and we drove used cars and we moved to a smaller home. And then we had a little bit of cash. And we were able to get in with a partner and learned commercial financing.

And so that was originally how we went in. We got a commercial loan with a five-year arm, and it was a value ad. And we created quite a bit of equity in that just by coming in, stabilizing the property. And then we were able to move some of the equity into other deals. But along the way, once you prove you can do the thing, so if you stay singularly focused on what you're great at, then people will loan to you. Most of all the financing we do now, or most of the loans we get now are private. And so we'll talk about this deal that we have taken down over the last 18 months and we'll continue.

So like a three-year plan is privately financed. We're going to turn our attention and talk about this awesome, very cool, unique deal that Andy is doing that I'm very eager to hear about. But I just want to ask you a little bit about that financial sacrifice you made. You said, you know, you downgraded, you live below your means. How did that impact your ability to be a real estate investor? And how do you look back on it now? Like, was it a big sacrifice? It sounds like it was worth it, right?

Yes, it certainly was worth it. At the time, I think it was more out of fear at the time. Like I was afraid of debt. And so, and now I'm, you know, debt being good versus bad, and how you define that is, you know, different for everyone. But I really just wanted to, I didn't want to owe anyone anything. And so living below our means was freedom for us. so I didn't want to have to work to pay for a car that other people viewed as us being well off.

That didn't mean anything to me. Good. So we downsized the, you know, we downsize the house. And I raised my two kids in an 800 square foot house. We're still, you know, 850 square foot house. And we're still here now. And so was it a sacrifice? I mean, I guess.

But it was the way, it was how I felt safe was at that time. And then I realized that. that we were growing a net worth with equity and savings. And then when it was appropriate, then we shifted that into investments. So yeah, I think that living below your means, I think understanding what your overhead is

and everyone should look at their personal, you know, their personal as overhead and being able to clear that. And I don't mean everyone. Not everyone has the ability to do that. But if you do have the ability to live below your means, you should. You mentor a lot of people, right? you talk to a lot of real estate investors. Do you find a lot of people are willing to do this

to sort of reduce their lifestyle, even if it's just temporary to pursue real estate? I don't think everyone sees the value from a social media high level, okay, this is the life. You buy these things. People pay rent and you make money, lots of money. But, you know, it's not passive. So when you start talking about what it actually takes and the amount of grind and the different steps like so to get through acquisition is a marathon and then you start and then you meet your tenants and then you have to figure out how to screen tenants and collect rent and do maintenance and what value add you should do and how do you do all this stuff so there's a ton of education with it but a lot of people do not follow through or you know they don't see the value in it and so you really

have to i think you really have to want it and i think that you have to to dig in and put some of your your wants and desires in the parking lot for later. Yeah, I think that that is true. It can become passive, but it can't be passive up front. If that's what you want, you either have to be already really rich, right? And so you can go and be a lender or go invest in syndications or something. Or you should just invest in the stock market. It's very difficult to say, I simultaneously want an avenue, a path to accelerate my financial

situation that's better than every other option out there, like real estate, I believe it is. But I also don't want to do anything. Like that is a really hard thing to ask for unless you are fortunate and are already really wealthy. And I just think not everyone has to downsize their house or drive a used car, but like you got to find something that you're willing to give up to pursue it, right? It's not free. You have to put something into it. And I've found a lot of younger people are willing to do what you're talking about. When I started, I was 22. I lived in my friend's grandma's basement for three years. I didn't even think twice about it. It was fine. I was like, yeah, whatever, it's a bed. But I do think doing it at the age you're at when you had kids

is something that I hear of less. How long ago was that? We're in our fifth year now. You know, it's a fifth year. Yeah. Yeah, we started, I'll be 49 this year, so I was 44 when we bought our, I mean, we'd done flips earlier. It had been a contractor a long time. But The first buy and hold, I was 44. Wow. And so five years later, I would assume with what you're telling me, financial situation trajectories completely changed by making those sacrifices by your lifestyle, but also putting in a lot of work and just sticking with it.

Yeah, it's, you know, I didn't have a 401K. I didn't, like, we were just paying for, you know, trying to pay mortgage, keep, you know, keep food on the table. And so I knew I had to do something. And so, you know, we went for it. And I didn't know it was going to go. I didn't know I was going to get in when it was still going up. You know, interest rates were already spiking and, you know, I didn't think it was going to be like this, but, but I had a belief in

myself, like my, I got good at something and I pay, I identified the specific metrics that I needed to be like monitor and watch and it's gone, it's gone well. And now when we buy things like, we have a good plan and, you know, we go to execute it, but if it doesn't go as well, you know, we know when to let it go. Well, awesome. Good for you, man. I, I love, hearing your story. It's super inspiring and relatable. It's something that really everyone can do and just happy for you and all the success you've had. Thank you, man. But you haven't stopped, obviously. And you told me you're doing a really cool, interesting deal that's going to really expand your portfolio. And I want to dig into that, but we've got to take a quick break.

We'll be right back. Summer bookings sound great until someone slips by the pool, gets hurt on your dock, or damages is your property during a long holiday weekend. A lot of short-term rental investors don't realize their standard policy may leave gaps when it comes to short-term rental activity. That's why investors use steadily. They offer landlord insurance built for real estate investors, including short-term rentals. And if you're a BiggerPockets Pro member, you'll also get 5% off your landlord insurance premiums. Visit BiggerPockets.com slash landlord insurance to learn more. A couple of weeks ago, I traveled to the East Coast for my dad's wedding.

It was quite the trip. I had the honor of walking my 71-year-old father down the aisle, which is something I never imagined I would get to do. I spent time with family and friends I hadn't seen in years, soaked in the East Coast charm, and of course, enjoyed a lobster roll, which always makes a trip out there even better. But while I was there, I was thinking that while I'm on the East Coast, My home was sitting completely empty the entire time I was away. That's why Airbnb's co-host network is such an interesting idea. If you've ever considered listing your space on Airbnb but don't want to manage everything yourself,

you can hire a local co-host to help create your listing, manage reservations, message guests, and provide on-site support. Find a co-host at Airbnb.com slash host. Most deals don't fall apart because of the numbers. They fall apart because of the numbers. because of the financing. You find a property that cash flows. The deal makes sense. But then, the lender looks at your personal income, your tax returns, your debt to income ratio, and suddenly the deal doesn't qualify. That's the disconnect. Because as investors, we're not

buying based on our W-2. We're buying based on the asset. That's why host Financial offers DSCR loans designed for real estate investors, where qualification is based primarily on the property's income, not your personal finances. So no W-2s, no tax returns, and no DTI requirements. And with loan-to-value options up to 80 or even 85% on eligible deals, you can keep more capital available as you grow. If you're buying rentals, refinancing, or scaling your portfolio, go to hostfinancial.com. That's h-o-st-financial.com and see what you qualify for. Do you ever notice how every passive investment somehow turns into a very very active lifestyle, active spreadsheets, active phone calls, active stress. Here's a better question.

What if you could buy brand new construction homes, 10% below market value in the best markets across the country, without making real estate your second job? That's exactly what rent-to-retirement does. They're a full-service, turnkey investment company handling everything for you. In some cases, investors get 50 to 75% of our down payment back at closing, plus interest rates as low as 3.75%. They've partnered with Bigger Pockets for over a decade, helping thousands invest smarter. If you want to do the same, visit BiggerPockets.com slash retirement to learn more. Welcome back to the Bigger Pockets podcast. I'm here with investor Andy Gill. Before the break, we talked a little bit about Andy's background and how he got to where he is today with a sizable portfolio in Connecticut.

But Andy, last time you're on the show, you said, I think you told us that you were ready to do something new, but you didn't know exactly what it was going to be. Now you're know what it is, right? So tell us about it. Yeah. So I had an idea. I figured that if I could take under management of properties that I didn't yet own in older landlords that I knew would be selling, that were a bit frustrated, I'd be already controlling the property and be able to be in the first position to make an offer and acquire that property. So I sent out a bunch of mailers that I designed with AI and they were really cool. And it basically said, like, being a landlord sucks, you should sell to me.

Let me, like something along those lines. I don't remember. It was like cartoons and stuff. And I hit one of my long-time friends and builders that I didn't know owned properties, or I forgot that owned a bunch of apartments. So we talked and I was like, well, you know, he's like, my wife is all over me. I want to sell. She wants to travel more, blah, blah, blah.

And I've been working with this guy for, you know, 20 years. Fast forward a year. And then he's like, I think I'm ready to start talking you about that. And so we kind of curated this deal where he didn't want to pay the capital gains. And he wanted to be careful about the depreciation of capture, but he bought, you know, a long time ago, so it was pretty minimal. And so I created a proposal where we would transfer properties to me staged over time, and he would hold the note and we'd put a small amount down. But I wanted to manage them up front right away. So I could see under the hood and get comfortable just because we

had limited capital to take on something this big without partners. So we started doing that. And it took a while, it took a year to put all together. And it was a, you know, a phased acquisition and where we bought some, managed others, and then over time transferred the rest of those into our ownership, into our portfolio. So we're about halfway through that now. Wow. Plans of transferring the remainder in the coming 12 months, I guess. This is very cool.

All right. I really, we got to talk about this and dig into this. So first and foremost, your thought was. if I basically become a property manager for other landlords, I assume you can make some money in it. But you weren't really doing it for that. You were doing it for deal flow as those landlords potentially want to sell an offload. They're going to come to you first and you'll have early access. I love that strategy. Did you just, did you, did someone tell you to do that or do that? No, just think of that in your own. No, that was me. That was my thought process.

Wow, it's genius. Thank you. Yeah. Don't tell anyone about it, right? Yes. Tens of thousands of people are about to hear that idea and copy you. It is. I mean, but it really comes down to like, would these people hold financing for others? Well, you need to develop the skills so that they would. Yeah. You know, like it's, and so, yes, they will if you prove yourself, if you add value. So I take care of problems and I let that be known, you know, and it has become more safe to transfer it to me than anything else as time has gone on. I love that strategy. It makes so much sense. So tell me about the mailers, because a lot of

people said mailers. I, as a landlord, get all of them all the time from wholesalers and people want to buy my properties. What were you saying that was different than just a normal mailer that goes out? You want to be relatable and approachable and in real world as well as in the, you know, the perceived world. So I designed a, you know, a cartoon character. And, of myself and what I do. And I use all the images of like I wear flannels. I'm a, I'm a very tactile hands-on person.

I do my own lawn mowing and snow removal as much as I can. I have to hire a lot of it out. But I'm very hands-on. So I wanted to relay that and who I am and what I do. And it worked. Like I had a, it was like a flannel and a tool belt and a dog and, you know, and a pickup truck. And it basically said, like, I'm a landlord too.

It sucks. It sucks. You're probably done. I get it. Yeah, you know, people call you and it must be annoying, must suck. You should sell to me. So something like... Do you actually think being a landlord sucks?

No, I love it. I actually love it. I don't either. I don't think it sucks. Like, all these things are like, oh, be a landlord sticks, do passive. I'm like, really? Like, they're annoying parts, but there's an annoying part of every job. Like, no, I love it.

Yeah. Okay. But you're selling it. So, like, I get it. And, you know, if you're, especially too, if you're hitting someone who's been a landlord for 30 years, maybe they're over it. And that I could see. And you're fresh, man.

You're five years in. So, yeah, you're ready to go. Yeah. Yeah, 49 year old fresh legs. But yeah. Super fresh. Yeah. So, and it worked.

And, you know, it worked. I got a bunch of calls. I actually got a bunch of calls in that one mailer. I think we sent out like 600 mailers or something like that. And I got 100 calls about it. Wow. What? That's very cool.

I just want to say to, because you're a big AI user. And we're going to talk about that in a little bit. But I just like that you used AI to be unique in an individual. Because I think if you just go on and use AI and use the template, like you said, that anyone else uses, you're not standing out. It's no different than just hiring another company to do it. But you sat down and thought about, like, who am I? How can I showcase ourselves? And then you use AI to do the execution.

That, to me, I assume you attribute. the success of that mailing campaign and the response rate you got to just by doing something a little bit different. I did a follow up to that too with like a handwritten, like a hint, well, quasi handwritten letter. And it said being a landlord stinks and I got scratch and sniff, snickers of like dead fish. And I put it in me like, it's the most New England thing I've ever heard. Yeah, I bought them on Amazon. It was like, yeah, scratch and sniff stickers. Yeah. Well, okay. All right. So anyway, your friend, your friend, this guy you know, he calls you, how big is his portfolio? 30 units.

30 units. It's a mixed spread. Yeah, it's spread out over seven or seven properties. Okay. And close, like in your target area. He's been doing this for a while. It sounds like his wife wants to travel, but he doesn't want to sell it today, right? And it sounds like you didn't want to buy it today. I mean, I would have to bring in partners. So I didn't have the cash to take this hold down all at once without giving up significant equity, which would have been fine too, but he didn't want that. And so what's the structure? Let's walk through it. You figure out a way you take over management, that was the first step. Yep. So it was two contracts. So the first would be the management contract for a duration of time. The second contract would be for the purchase and sales.

Okay. Yeah. Did you agree on prices for the sale up front? Or was it just kind of like a right of first refusal where if he decided to go sell, you had the first shot at buying it and making it off? Yeah. Yeah. So the first one, we did the appraisals and it went, you know, went based on that. The remaining ones were to be, um, were with prices to be. agreed upon, you know, at current market. We actually are like just agreed on a per unit, you know, price. Because we're like, let's stop paying for appraisals. It's a... So you just basically said, you have 30 units. I'm going to pay you. I'm going to make up a number, $100,000 a unit. And we're not going to go and get eight appraisals right now. Right. Because

then you're like, it's fine. You win some, you lose some, you know, but it's a summer, three beds, some are two beds. Some are in better areas than others. But, you know, if you're taking the whole thing, it made sense. Well, I imagine a big part of the appeal of this to, to, you know, The seller is simplicity. He doesn't want to spend, you know, half of his days right now with appraisers and title agencies and like make it simple. And so how far are you into this deal structure? We're about halfway, yeah. So you've been managing the properties for how long?

Coming up on a year now. Okay. Yep. It'll be a year soon. And we've transferred three of the seven properties. Okay. And we're working towards the remainder. Yeah.

Awesome. That is so cool. And how are you feeling about the structure? Is it working well for you? It works really well. And in that, like for management, it works really well because I'm already in control of the property. I already know the tenants. I already know what the problems are.

I already know what I'm already collecting rent. So essentially, I basically just go into rent ready and move it from his account to mine. And do you think the seller's happy with the arrangement too? He loves it. He loves it. He actually, so he's a builder also. And so now we're talking about going into a business. development because as he wants to retire, he wants to stay involved. And, you know, it doesn't actually

want to retire. He wants to work less. So we're talking about developing other, other rental properties. There's a thing called an 830G here, affordable housing. And so he's getting into that developments where we can essentially disregard the zoning regulations and increase density. So he's into that. So we're working on some developments that we would partner on also. So we get along really, really well. He's an awesome game. That's so great. Did you follow up with other investors who responded to your mailer? Or once you found this, was that sufficient? I did. There was some in, but they all were just like every other, you know, that you get a call from a postcard, right? So there, you know, some of them, hey, maybe later, whatever. And so I was keeping a spreadsheet. But then once we got into

this, I was like, this is all I can, I have bitten more than I can chew right now. So we need to, you know, stagger this. So I hadn't, I basically stopped. Yeah. I don't really chase down, I don't chase down any deals. I get phone calls on them a lot. Yeah, stuff that, you know, once you, once you, if you singularly focus on being good at something, you'll, you will get referrals and things will come your way as you're, as you're, you know, as you develop and grow. That is such good advice and so true. You don't have to be good at everything in real estate, but you, if you can be good at one thing and people can count on you for that one thing, it's going to help your career. Well, congrats, Andy. It's super cool. I love the approach that you're taking here, something I would, try to emulate. Maybe not doing the property management, but buying a portfolio. I love the idea. And as you said, Andy is good at this. You mentioned that you manage your properties with rent

ready. If you are a BiggerPockets pro member, you can get a discount on Rent Ready. It's an incredible deal. It basically pays for the BiggerPockets Pro membership. If you want to check that out, go to biggerpockets.com slash perks. All right, Andy, I want to turn more towards just some advice, because I know you mentor a lot of people and help a lot of people with real estate. I want to hear the advice that you're giving people to navigate the unique market that we're in right now. But we've got to take one quick break. We'll be right back. A lot of insurance companies compete on one thing, speed.

But if you're protecting an investment property worth hundreds of thousands of dollars, should speed really be the priority? NRAG believes strong coverage starts with understanding the property, the risks and the realities of owners. ownership. That's why they don't rush the process. Their policies are designed for real-world claims, not just quick quotes. If you want insurance built to protect your investment when it matters most, visit nr-eig.com slash B-P-LLC and learn more today. Buying real estate has a funny way of making the future feel very real. You start thinking about mortgages, cash flow, tenants, and suddenly

you realize if something happened to me, with the people I love be okay. And this is something that hits pretty close to home for me. I've worked really hard to build a real estate investing portfolio, but if something were to happen to me, I don't know that my family would be able to or would want to continue the portfolio that I have created. And that doesn't sit right because I want to make sure that my family is taking care of from a financial perspective, regardless of what happens to me. And I get that life insurance is one of those things that is. easy to put off, but I finally got around to doing it about a year ago, and I am super happy that I did because it really does give me increased peace of mind. And ethos makes getting life

insurance fast and easy. It's 100% online. You can get a quote in seconds, apply in minutes, and potentially get same-day coverage. There's no medical exam. You just answer a few simple health questions online. You can get up to $3 million in coverage and some policies are as low as $30 a month. Ethos helps provide financial security and helps protect the people who depend on you. Take 10 minutes to get covered today with life insurance through ethos. Get your free quote at ethos.com slash real estate. That's ethos.com slash real estate. Application times may vary. Rates may vary. Investing in real estate has always been smart. But, It hasn't always been simple.

Now, it's both, thanks to the Fundrise Flagship Fund. The Fundrise Flagship Fund launched more than five years ago with a mission of delivering low-fee access to Blue Chip private market real estate. Today, the Fundrise flagship fund has grown to manage more than a billion dollars of real estate on behalf of hundreds of thousands of investors, making it one of the largest funds of its kind. For those who believe real estate has an important role to play in their portfolio, the Fundrise flagship fund has positioned itself as both a simple and a smart option.

Whether you're starting with $10 or $10,000, the Fundrise Flagship Fund makes adding real estate's unique potential for both passive income and consistent growth. Just visit fundrise.com slash pockets to make your first investment today. Carefully consider the investment objectives, risks, charges, and expenses of the Fundrise flagship fund before investing. This and other information can be found in the fund's prospect. at Fundrise.com slash flagship. This is a paid advertisement. You know that thing where you discover a feature you wish your software had? And it turns out it already exists just on a different platform. Like, oh, you want

rent payments processed in two days. Rent ready does it. Oh, you want to block tenants from making partial payments mid-eviction. Rent-ready does that too. Oh, you want full accounting and tax-ready reports without paying for a second tier, Rent Ready does it. And oh, you want tenant screening that doesn't overcharge your applicants. Rent Ready also does this. Basically, if you've ever complained out loud about your property management software, Rent Ready probably already built the fix. It's $12 a month. You're welcome. Sign up right now for $50 off your first year of Rent Ready with promo code BP Cash. Bigger Pocket's Pro members get it completely free. Sign in through your pro account at rentready.com slash bigger pockets. That's rent, rEDI.com slash bigger pockets.

Welcome back to the bigger pockets podcast. I'm here with investor Andy Gill. We've heard a little bit about his background and story and about the very cool, unique deal structure you came up with to really supercharge your portfolio building. You mentioned, and you know, you and I've talked about this, but you help a lot of people build their real estate investing careers. What are some of the things you're seeing people struggle with? And maybe what's some of the advice that you're giving to help people move forward with financial freedom through real estate? The advice I'm giving currently is to is to be persistent. You know, you have to make a lot of offers. You know, my son is actively trying to buy his first property. Oh, nice. He moved into one of his,

you know, he's 20 years old. He's got pre-approved for an FHA loan. He's doing great. And so, you know, and when I watched him make his first offer, like you're emotionally tied to it, right? So he wanted to get that deal because we picked it apart. And it's not going to be that deal. It's probably not going to be that deal. It's probably going to be the 15th or the 20th of the 30th deal. And so kind of scan them at a higher level and be persistent. And make lower offers, underwrite without the price in mind with what works for you for cash flow.

It's just about sticking with it right now. It's just good. I saw, you know, Michael Zuber for one rental at a time, his community. he was like saying that this is the error for low ballers. I like that. And it's not like you're necessarily trying to screw people over, but you're just showing them what you're willing to pay. And someone will agree to that.

Like at some point, the sides will align and there will be mutual benefit, but it's not going to be everyone. So you just really need to be patient with it. Do you find that's hard for new investors to accept? Yes, I do. So it's two part. be persistent, but also believe in your own abilities, like to figure things out. So you don't, your first deal doesn't have to be a home run. It just has to get you on base. So if I know that when I

get into a deal, like if, if you miscalculate something, if some, you know, conditions are, are discovered afterwards, like you, you're going to fight through it. So when you have to be able to believe in your abilities to get yourself out of jams. So, like, don't hide behind, like, well, I need to have X amount of cash flow in order to do this. Like, figure out what, you know, what would you pay? What would you buy it for? And then find the mean of that. And just do it.

Like, get on, get enough, get around people that will validate that, get in the right rooms, and then go for it. Create a network and swing the bat. That makes sense to me. So, like, what is, like, you said cash flow. Are there any other minimum thresholds that you feel a deal needs to hit these days? For these multifamilies that we're buying, we have cash flow. We're already looking for. We're looking for, I mean, cash on cash is, like, I want to get my money back,

you know, as fast as possible. You know, I also want to be able to, I want to buy in a place that gets 3% organic appreciation historically, you know? Yeah. Or, you know, I'm not looking for a place that's going to just, it's parking money, but that's not going to grow. I know, but that's not asking it. Like, 3% is pretty normal. So, like, you're not saying I need to be in Austin in 2020. Like, yeah, it's just, I get. But, I mean, this. deals that when there's no deals, the deals that are available are typically in the area that you can buy are areas that sit flat. Yeah, that's fair.

So stay out of that. And then what about condition of property? Because you, New England, there's a lot of old stuff around there. So, like, are there any things you won't touch or what kind of properties do you look for? It's funny you say this, because the things that are acceptable to me and the things that I see other investors being like, I'm afraid of that. I mean, I don't like knob and tube wiring. You know, I want to do that.

I like to get a good roof on the place. I want to know. Structural problems. We have a lot of stone foundations here. And I mean, you get out in our basements in New England and you're like, someone was killed here for sure. And it's like, oh, there's weird stuff. So there's limited amount of things. I mean, if you look at like bad roof, structural problems, you know,

or knob and tube wiring, things that cost a ton of money to. I also, like sewer laterals, we have old infrastructure here. So you want to, there's your electrical service here, like sewer and water. You want to make sure you get inspected all the way out to the street. That's a very, very expensive find later. So there's like a short list of things that I say, stay away from this, stay away from that, or at least get it resolved when you're in contract. Okay.

But would you give that advice for people who might not have your background in construction and contracting? Do you think for people who don't have that background, you would change the criteria of what to buy. No, I wouldn't. I mean, like you said, we started this. Like, this is not passive income. If you're going to come in, you're going to have to work. And so you're going to get calls on Saturdays and Sundays and there's problems that are going to happen. And the stock that, like, someone else is not going to come in and buy something better than me at a price better than I can buy and not have the problems that I have. So it's, it's, you're going to have to figure it out.

It's, you know, you're going to have to go through the renovations. You're going to have to go through the heavier cap-ex problems. You're going to have to figure it out if you want to be in this game. It's good advice, man. I really, I like that. Figure it out. You can. That's being an entrepreneur. You don't know what's going to happen, but you can figure it out. You absolutely can. Thousands of people have done it. That's literally the whole point of bigger pockets too. You're into a problem you can't solve. Go on the bigger pockets forums, ask a question. Someone will help you. Come to BPCon and you can meet people who can help you. That's the whole value of having a network. I mean, look at Andy. Having a network landed him this sweet deal with 30, you know, it's just like you can absolutely do this.

Speaking of BPCon, Andy, you had a wildly popular session on using AI with real estate last year. And I understand you're coming back this year and doing more on AI. Yeah. I think it's super fascinating because I'll be honest, I use AI a decent amount, not that much for real estate investing. So tell me what you're talking about at B&I. EPCon and what investors might learn? Well, last year I documented how I use AI, so the different frameworks and how I use it. And it was, it was an incredible opportunity.

I'm incredibly grateful for it. I never thought I'd speak on a stage with so many people. There's like 800 people there. Yeah. It was great. Andy went viral at the conference, basically. Thank you. Yeah.

It was pretty cool. It was an experience I'll always remember. And so this year I was asked to host an AI-focused networking session. So the networking sessions at BPConnor, if you haven't gone to BPConnor, it's absolutely incredible. This will be my third time, third year speaking, I think my fifth show. And I won't, I won't miss it. It's, um, I love the networking stuff.

And I like how every year, like, it gets more focused on networking. So yeah, I'm going to be doing like a 20-minute talk on AI and how I use it, but this time focused on other people talking to other people about how they use. it and to be able. I wanted to be of value in the last two years. I really spend quite a bit of time making sure that it's, I want it to be digested really well and people to walk away with being like, wow, that was incredible value. So, and I beat the hell out of myself to get there. Like it's, I was super late last year and submitting it. I'm like, it's not ready. It's not ready. I do the same thing. I'm always like tinkering until the last day of my speech. But yeah, it was

super popular, one of the highest rated sessions that we've ever had. And yeah, I love the idea that You're obviously sharing what you do, but AI is so new. It's so, it's, it's interesting always to hear what other people are doing with it. Like, no one has the one right answer right now. And people are super creative about it. And I'm, I'm super excited to come to this and hear how other people are using it. Because even just in regular life, I sometimes hear how people are using AI to automate tasks or things they do in their damn. Like, I never would have thought of that.

So that will be a lot of fun. If you want to grab your ticket, go to biggerpockets.com slash conference. Join me and Andy, Henry, and thousands of other investors learning and sharing with one another. As Andy said, it's a can't miss event. I look forward to it every year. Super excited for this one in Orlando, October 2nd to 4th. Well, Andy, thanks for joining us again, man. Always enjoy talking to you, learning from you.

Congrats on all your success, the cool deals that you're up to. We really appreciate your time. Thanks, Dave. I appreciate it. Thanks for having me. If people want to connect with you outside of BPCon, where can they do that? I'm primarily on Instagram. I'm not on the other platforms.

Coach Andy Gill, G-I-L, A-N-D-Y-G-I-L. And I try to answer all my DMs. And I'm an idiot on there and post all kinds of things. I like your content. It's fun. Well, check him out there, Andy there, on Instagram and at BPCon. That's our show for today. Thank you all so much for watching this episode of The Bigger Pockets.

podcast. We'll see all next time. Thank you all for listening to the Bigger Pockets Real Estate Podcast. Make sure you get all our new episodes by subscribing on YouTube, Apple, Spotify, or any other podcast platform. Our new episodes come out Monday, Wednesday, and Friday. I'm the host and executive producer of the show, Dave Meyer. The show is produced by Ian K, copywriting is by Calicoe content, and editing is by Exodus Media. If you'd like to learn more about real estate investing or to sign up for our free newsletter, please visit www.w.w.com. The content of this podcast is for informational purposes only. All host and participant opinions are their own. Investment in any asset, real estate included, involves risk. So use your

best judgment and consult with qualified advisors before investing. You should only risk capital you can afford to lose. And remember, past performance is not indicative of future results. Bigger Pockets LLC disclaims all liability for direct, indirect, consequential, or other damages arising from a reliance on information presented in this podcast.