On this episode of the Big Mike Fund, I’m happy to welcome a brother from theCollective Genius Mastermind and the Freedom Founders Mastermind, Marck De Lautour. He works in redevelopment projects, commercial deals, as well as turnkey properties.
Today we’re focusing on various aspects of Marck’s specialities including his process in acquiring new products, his business practices, historic building conversions, and building new turnkey range affordable housing. Marck also introduces the topic of container homes and talks about his 7-14-300 method.
Minute Markers:
00:20 – Hello and Welcome
00:37 – Marck Introduction
04:20 – Cash flow in appreciation, Marck’s business practices
12:00 – Specificities about the market: sales price and rent prices
16:07 – Real estate is still a business
18:20 – Where Marck finds his supply of product
21:22 – Building new turnkey range affordable housing
22:40 – Historic building conversion
24:35 – Container homes
27:10 – Contacting Marck
28:07 – Thank you for listening to the Big Mike Fund Podcast
Quotes:
“Then, I flipped my house in Kansas City while I was getting my MBA. Just flipped my first house and kind of stumbled into a decent profit. I thought, well, why go sit behind a desk making $40,000 or $50,000 a year when I could have some fun?” – Marck De Lautour
“When the student is ready, the teacher appears. I believe that the same could be said for the marketplace. When the market is ready, the entrepreneur appears.” – Marck De Lautour
“I joke that the best exit strategy for real estate is to never exit. Our investors value the fact that they have a high-quality asset in a better area. The caveat to that is you have to manage it effectively over time. The two big killers of cash flow, as you know, Mike, are vacancy and maintenance. Those are completely controlled by having dialed in property management.” – Marck De Lautour
“We call it the 7-14-300. We have a 7% yield or cap rate, a 14% cash on cash return minimum, and a $300 per month minimum cash flow. We will not sell an asset if it doesn’t clear those hurdles. That’s kind of our minimum financial criteria for every asset.” – Marck De Lautour
“The old container homes are getting repurposed. They are all steel. You can actually use that as a shell rather than building with wood and frame. You can actually cut the sides off and put them two together. You can get a thousand square foot home inside one of these container ships. It’s quite amazing what the finished product and how amazingly homey it feels.” – Marck De Lautour
Resources:
Amazon: MISTAKE FREE REAL ESTATE: A passive investor’s guide to winning with rentals
Marck’s landing page: mistakefreerealestate.com
