When you are a complete newbie, it can be difficult to get started in real estate. DJ Hume knew this feeling as he made the decision to purchase his first home at 22 years old. His friends and family thought he was an idiot. Despite the negative feedback, he knew he was prepared and ready to pull the trigger. Now, he is a multifamily investor and his friends and family want to invest in his deals.
DJ learned a lot on his first deal as he bought a single-family house to fix up. Once he got it solidified, he moved out and got his first tenant. One thing that gave DJ a ton of confidence was that he knew his markets were in high demand. Located in Dayton, OH, he started investing in Springboro because of their great school systems and targeting moms. He invests in Dayton, Cincinnati, Northern Kentucky, and Toledo.
In addition, DJ has spent time building a strong Instagram audience with over 28,000 followers on IG. In this episode, he shares how he overcame that negative feedback from his network, how he got into apartments, and how to build a strong following on Instagram.
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Key Insights to Go From a Complete Newbie to Multifamily Investor
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How a 22 year-old DJ started in real estate investing
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DJ persevered even though his family didn’t believe in him
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Business lessons learned by surviving the failure of his first software company
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His experience as a landlord on his first deal
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Overcoming self doubt and taking action
Preparation is key: I knew who I wanted to rent to, what their budget was, how much they were making and backed into my numbers with that information.
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The spark that took DJ from single-family rentals to multifamily investing
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The due diligence before making his first multifamily deal
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Strategy to get other investors to invest with him as a newbie
The Three C’s to attract capital: Confidence, Credibility and Connections
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The markets where DJ is investing: Cincinnati, Kentucky, Toledo
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What to look for when analyzing a potential investment
I’m looking for properties that have an opportunity to either push rents or reduce expenses, and it’s a home run when it’s a combo of both.
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What to analyze when looking for a good multifamily deal
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Using technology to ease your property management tasks
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How to use Instagram to connect with investors (from 0 to 28K followers in a year)
On Instagram, I can align with people who are interested in real estate and potential investors.
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How to grow your Instagram followers
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Bullseye Round
Apparent Failure:
The seller didn’t show up on my very first closing meeting. For the next 5 months, I followed up consistently. Finally, on Christmas Eve I sent a handwritten letter expressing, again, my interest in buying the property. I signed the property that very day. Persistence pays off!
Digital Resource:
Business Wars Podcast
Most Recommended Book:
Rich Dad, Poor Dad (Robert T. Kiyosaki)
Daily Habit:
Making a schedule that I stick to
Wish I Knew When I Was Starting Out:
I wish I would have gotten a mentor
Contact DJ:
Social Handle: @DJHumeOfficial