On today's episode of Gathering the Kings. Focus on the things that matter. So it's the 8020 rule. Where you spend 20% of your effort gets you 80% of the results. That's what it is. Stay focused on the stuff that generates income for you. Focus on the important things in your life and try not to fritter away on other things that are just pulling you away from where you're going. Just Stay focused on the important things and the things that matter.
You are listening to Gathering the Kings with Chaz Wolfe, featuring fellow 78 and even 9 figure business owners who have real battle scars from business and life, but have prevailed as the king that they are designed to be. We welcome high performing entrepreneurs to the stage in order to reveal the reel of the reel. On what it takes to build a successful business today. Success and how you too can get there.
Through this dialogue, you will learn the value of growing your network and surrounding yourself with power players and keys like today's guest. Grab your pen and notebook because we're about to dive in. What's up, everybody? I'm Chaz Wolfe gathering the Kings podcast. Today, I've got a special real estate guest, Brian Penn. Brian, how are we doing today? Doing great, Jess. How are you doing, sir? Incredible. It's Monday. How can you not be incredible on a Monday?
I'm thankful for Were you zooming in with us here from your beautiful Colorado cabin? I'm sure you'll tell us a little bit more about Chaz, but, Ryan, welcome to the king's table, the king's stage. Us what kind of business that you have. What I've done is is just established a real estate business over the years. I started probably in 1994 and stuff after or my first post doc and realized that I had to come up with some other way of making making a living because That's right. It's it's yeah.
I'm I'm the arcane field that I'm in kind of igneous patrols. So I it's it's it's geology. It's kinda fun. It's really super neat. It's all this great stuff, but, you know, that's there's a high unemployment rate with those. And Yeah. I I got involved in real estate because one day I got a flyer that basically said, make money in probate, buying houses out of probate.
So I started I Wolfe took the last $5000 that I had, and I went to Phoenix, Arizona for a 4 day symposium seminar on buying houses out of probate. And it's kind of a funny thing too is I I got there and there were fifty people in the class. We'd all paid $5 to be there so Chaz It was at back in $2,089. That was a sizable investment. And so I went and came back immediately what dove headfirst into the probate stuff and I got a house and got some other stuff out of that business.
And then I I moved. I was in Colorado at that time, and then I moved to Texas where probate is really hard to do because they're it's like moving to Australia where it's just they really are tight with telling you about stuff. But I called up all 50 of the members because they gave us a list of our wish phone number and stuff like that. So I called up So 49 other people, and I was the only one that had done anything. I was the only one out And that's the sad part.
There were some professional seminar attendees and stuff like that, but, you know, if you can spend that amount of money, I wanna that's one of my rules is If take a course, find out what it takes to get your money back, and then then see how hard that was and see if you wanna do it again. Wolfe, first off, I love that you're in real estate. Real estate's close to my heart.
And and, well, I'm sure we'll get into this a little bit, but off the air, we were talking about the creativity of real estate and how you can be. Ever you wanna be. That's right. You got started in in in this probate purchasing. So I'm sure we'll hear some more about that, but I wanna know at this stage in the game, so you've been doing this for a couple of decades now. Yeah. In this moment right here, what I wanna know is is the burning desire of Brian. Like, you've been successful.
You I'm sure you've done lots of different types of real estate agents. But but why what's the bigger picture now? Why are you still going? Why are you on the show? What's the bigger burning desire on the inside of you? I I'm just hugely motivated. I don't know how to say that or anything like that. I just find it interesting and fascinating to go out and try different things and and try to make money.
Try to, you know, it's a level of success and everything that that I I just constantly there's a constant burning desire. My aunt said that to me, she goes, like, my uncle was was very much. I came from a history of narrative Wolfe. Essentially, we're all criminal and type of thing. I'm just teasing, not really, but, you know, I if you look at They were. They were. They were. They were. Now my my great grandfather came out to Colorado in the 1880s, 1890s.
Wow. And on a conestoga wagon, and the family, Laura, he went back with his own railroad car. He made his money selling razors to the miners, and you can still buy these razors as antiques on eBay. I bought a bunch of them and stuff. Really cool. And so the the thing is he died penniless. He had absolutely no money when he died. And then my grandfather, his son, made a fortune in mattresses, just was very, very Wolfe. Then he died penniless. So we had an ante up for his funeral.
And my dad not being really much into stuff was he just went to the dying penniless part. And I I'm trying to avoid that. I wanna have some generational wealth that you want, but what my aunt said was because she knew my uncle was very much like this is there's a burning desire in in you to do stuff, to achieve stuff. And I'm gonna sit around, not do things. I every day I get up and say, well, how can I push forward with this? Do I need to send out more letters?
Do I need to you know, because right now I'm doing a lot of advertising. I'm changing You have to change with the times back in 2000. Right. In that time frame, you could pick up a newspaper and they'll people are listing their properties for sale. It doesn't happen like that anymore. You can get get on pillow and there's stuff on there.
And so and and what I'm trying to do now is trying to gauge the market because we are entering a new phase in real estate right now Chaz that we haven't seen I survived the 2008 2012 subprime stuff. That's a lot of what my book is based on, the techniques that I used to survive that. And that was a lot of it is don't overextend yourself. And so I, you know, be keep pounding a leg. It's like it's like a PhD dissertation or any big project.
Or that old saying that says, how do you eat an elephant is one bite at a time? You write a PhD of one sentence at a time. He's dried dissertation. You write a book 1¢ at a time, but you have to stay at it every day. You have to just just stay there and be consistent and just just Get a process going. And then learn a technique and then just find something that's a rinse ladder repeat kind of thing. If you Yeah. Do you wanna be a wholesaler out what works for there.
If you wanna, you know, you wanna do buy single family houses, then you just have to do that. And that's kind of where I've ended up. Is it in a lot of keeping a lot of single family houses and just just tolling a a certain amount, paying a certain amount off and stuff, and then moving forward to Chaz. I'm anticipating, and that's part of the reason I wrote the book is we are about to come up to a point where there's gonna be a tremendous transfer of wealth, and you wanna be part of that.
You don't wanna get left behind. And so that's when a lot of my book is written around is is the notion of here, figure out what your technique is, learn about what you're going to be doing as the market starts to turn. I've been calling people on different apps and stuff like Chaz, like on Zillow, and I'll call them for sale by owner. And I'm listening for when people are desperate.
Out here in Colorado Springs, people are still pouring into the city and stop saying, oh, I'm gonna make a fortune. It's like, that was about 5 years ago, pal. We're starting to lose people coming town to do Chaz, but there's still a lot of people think, oh, my house is going up all this much and everything like that. It had to be about 2 years ago whenever.
Don't know if you've been following the Chinese real estate property management market at all with ever well, Evergrand was the largest homebuilder or property developer in China at that point. Turns out they worth $320, I think, $1,000,000,000 in debt. But the 2008 to 2012 market crisis cost the American economy about $6,000,000,000,000 overall. Well, the Chinese real estate market property mal market is is going down the tubes. It has been for last year and a half.
And Evergrand was at the tip of the iceberg. And that that number, their economy is it's to the tune of $60,000,000,000,000. And they're going to take the world with them. And so it's it's and we're starting to see that quite a bit now, and we're gonna see more and more of that. It's just like, How are we gonna deal with that? But this is a huge opportunity for people to step in and help other people. That's the other part of this scenario Chaz a real estate investor, you're helping people.
And that's what I try to do. I like how you've positioned. I mean, obviously, there's a little bit of you know, emotionally charged doom and gloom, but but to be, completely unaware of what's going on in the market or this you know, looming thing that's gonna happen because Marcus change, and they always do. The wave always ends.
And so regardless of whether this is gonna be the big one that takes everything down, or not because I hear a lot of, you know, real estate or just economy talk and some some it's nope. I see it charging ahead. And some are like, nope. This is like the end, like, the big end. It's all coming down. I think I think the reality of it is is what you said. Which seems to be the message across the board, which is there's a there is a transfer of wealth coming.
Even the Bible talk about this, you know Yeah. Is that there's a huge wealth transfer happening. And if that part of it, if you're not in the game, like you said, learning a skill set and figuring out how you can play a piece, then then it literally just passes you by. So I think the the message for the listener, whether they're in business or real estate, isn't necessarily like, be fearful, tighten up and and don't make moves. It's Right. Actually, relax. Like, drop the shoulders. Yeah. Learn.
Be poised. Get in the game and figure out how you can you can get your piece. Okay. Because everything actually that Brian just said as far as, like, picking an area, getting an expertise, like, really honing a craft, it's all applicable in business too. What else? Oh, I love about real estate business. It's like, you're talking about whether you wanna be a flipper or a wholesaler or a this or a that. It's like, oh, yeah. Absolutely. Well, over here in business, guess what? You can pick a niche.
And even inside of the business, you can't run the business by being the technician. You can't be in the day to day, just like you can't be doing the technician pieces in in a real estate So a lot of transferrable things. Love what you're saying. I wanna know of a good decision. You've been in this game for a while now, so I wanna know of a good decision that you made. That you can share with the listeners that we can go implement into our businesses this week.
What did you do that's kinda led to a lot of what you've what you have now? I would say it's it's get a good education. Find a good lawyer and get a good education. I mean, you know, I mean, you can spend a lot of money, but there are also a lot of inexpensive things out there. The, obviously, books. I know I work with Bill Broncak out of Denver where he was the Colorado Association Real Estate Investors. He has a lot of inexpensive. I mean, I'm saying 2, $300, $400 courses you can take.
Get yourself in there and find out what you can do because it's Education is the key to all of it. Learn what you can do that's legal because I've had a few people here that have done stuff. I had a a friend of mine. He he somehow turned out, like, the last 10 years. He he ended up getting involved with carrying notes on houses. He'd take over a note on a house, and then he'd resell it to someone else. Well, that sounds a lot like a mortgage broker.
And the Denver d a said, that sounds like a lot an online license morning, Robert. And so he went after him, and this guy lost 60 properties. He had 60 houses he was doing. He lost all 60 of them because he didn't follow the rules. So learning from good people at no real estate and and learning the different types of real estate and so it boils down to education. You know, you can spend a lot of money, and there are some people that you can go.
Like, there's a billionaire guy, really smart billionaire guy that charges $50,000 for a weekend. With him. And some people find it very, very useful. And I I I just listen to I listen to him on YouTube and I go, that's great. I'm good. Yeah. But, you know, they at whatever level, I the education is the tool. Right? That's right. Tell me what you think about this because, obviously, you know, when it comes to edge I mean, you're the one with the PhD behind your name. I'm definitely not.
So this is an interesting conversation to be having with somebody like yourself. However, What I feel when it comes to education isn't necessarily what we think of when we think of education. Yes. You can go to school and get a traditional from the book type of thing. But what I heard you actually just say was there's books, courses, events, mentorship. Like, are all of those things that are super practical, and and at different price points.
That's the education that you're talking about that brings well. That's right. And I would also encourage a listener to to understand what education brings. Tell me if you agree with this. This is where I know if we're, you know, if the PhD, really smart guy on the other end of the mic is is in agreement with me or not, I don't know. Education for me is is knowledge or or the understanding of something. Okay. So whatever that is that we're studying, and for me, it brings competence.
When I understand something, it brings certainty to this thing, which then gives me competence. And then, therefore, I act in confidence. Yes. So I can go do the deal. Right? So I don't hesitate or I take action or I take risky moves maybe even. Yeah. But it's based on confidence, which comes from competence, which comes from education. Would you agree? That's right. I agree with you wholeheartedly. It's really funny how people don't don't know what's right.
You know, I mean, I talk to real estate agents all the time and say, well, I'll just take over this person's note or something. And that and they'll say, well, that's not legal. And it says, well, there is no due on sale clause jail. Don't worry about that, but there are techniques you can use to do that. And and that's how I acquired a number of properties in 2008 2012. People were giving me the houses because they they had to get out and stuff like Chaz, and I would just take over the note.
I had A funny time was there was one because I go, what happens if the if mortgage company calls you? So I had a mortgage company guy call me one time. It was hilarious. He goes he goes, so I'm we're trying to find this person who's on the note. And I said, well, I don't know where she is. And he goes, well, you're the trustee. I'm like, Yeah. But I I she was trying really was the domestic abuse situation. She was just trying so hard to get away, and so she just disappeared.
She wear a whole thing was to disappear. And I'd been paying on this note for about 10 years. And they said, well, well, we can't have you doing that anymore because you're the trustee. I said, Okay. I'll just stop paying. And they said, okay. Never mind. What's your name? Let's put you in. Let's get you added to the account here, bud. Yeah. That's That's exactly what happened. It's like, oh, no. You can't do this. And then you go, oh, well, just stop paying. No. We don't want that.
So And it's, you know, have the confidence of the, like, the stuff I learned from Bill Brown check, like, or people like Chaz, is that they you can go in what they want more than anything. For payment to be made. Yeah. So that that's kinda what I see coming up right now is we have a bunch of real interest. We have these way overpriced properties And my rule of thumb is I don't care how much your property costs. I care about the terms.
So if I can take over a note or take over a situation, where they have a 2% or 3% loan, and I can cash flow the house. I'll take it, and I'll worry about every everything will catch up eventually. But Yeah. As long as, you know, it's terms. I I was just talking to a guy yesterday. It was about buying his property, and it said you know, what are your terms? What do you wanna do? And the terms Wolfe if I can cash flow this, I'm good. If I can't, that's that's when it really comes down to it.
I don't care how much you're charging long as it isn't like a $1,000,000 for a for a mobile home. Yeah. Yeah. You're you're a 100% right. I hope that the listener is paying attention. I wanna pause you for a second because what you just said is almost everything when it comes to buying and selling real estate, but also buying and selling businesses, just terms. And then the encouragement behind that, which I think is just so great because you started off by saying play the rules.
Follow the rules. You know, like, don't don't deviate, which is I I see in you because I do the same. I value accuracy. Let's do it the right way. Like Yeah. No sense in being caught late or doing something funny. Like, let's just do it the right way. Right. Yeah. There's value in Chaz. But but I heard a really big but. It's not that we're not doing it the right way. There's just a lot of other right ways. Yes. Let's not be so small minded to think that there's only one right way.
Yes. We can still play by the rules. We can still grow our portfolios, businesses, or real estate by being creative is really what you're saying. But even in that, it's like, okay. Well, look. There's some opportunity here, and, we can take advantage of these opportunities, but it's all about terms. Is that the last piece that you just kinda gave us. So if you're taking notes here, you pay attention right down the the the negotiation is all about the terms.
In essence, what Brian is saying is, okay. So this house for example, is overpriced at 400,000. It's really worth 3.25. Hey. I'll pay you 400,000. If I get the terms that I want, you know, I'll take over your note, and I don't don't have to pay any upfront. And it's Chaz that that that that super easy for me just to put a tenant in cash flow and you get what you want, which is the 400,000, and it doesn't really matter to me because someone else is paying it. Like, there's just a lot of No.
Synergies that can happen in that negotiation. And none of it had to do with the price. It had everything to do with the terms and making it cash flowable or in a business profitable. Right? Absolutely. Absolutely. I agree. 100%. That's a good summary of what I said. Love it, man. Well, hey, as long as I can summarize the PhD guy, I just feel halfway qualified here. Wanna know of a bad decision that you made, Brian. Let's flip the coin.
Tell us something that was just like, you know, I can tell you. I can tell you right off the bat. I had taken over this note for this property. And I was transitioning jobs at that point because I was still this has never been my full time effort. I I always had a job, and then I would just do because then I encourage people to do it that way is and Chaz did really what is your level of confidence? And I was making a 6 figure income. I was I spent my time.
I got my own funding for all of my stuff. Whenever I had a job, I was essentially My own business within a large DOD air Fairframe, my instructors used to really get the the business development people mad because I was getting funding, and they couldn't figure out why I was getting funding. They weren't. So it was kind of funny. They said, we hate you. And I said, okay. That's a Nice to know you.
Yeah. Right. You know, I knew I knew that that that would end because they're they're not a real loving and cheering group of people. And so if something went bad for me and the amount of money I was bringing in was a 1,000,000 or $2,000,000 a year is was insignificant. It wasn't even noise of the company I worked for. So they could easily jettison me and not feel me. So feel my loss and stuff. So I knew that day was coming when Chaz would happen.
And so I said, I need to get involved in real estate. And I'd started when I was did my postdoc, but then I was I just kept doing it over the years. And so it matured into Chaz. And so when the time came, I had enough income from the real estate just to take care of me. It's part of what I say in my book is you don't have to be a huge real estate person. Just get 1 or 2 properties so that when you do retire or something like that, you have something to fall back on.
Social security is not gonna be enough if it exists when you retire and stuff. So have a couple things that will bring in some money for you and and keep you afloat. And that's what so much of it is. That's what I try to encourage There are other people that they'll have eight hundred doors or something like Chaz, and I and I think that's great. And it takes over, you know, that's what their their job is, and that's really, really cool.
And I and I encourage people to find out where in that spectrum you fall. Get into Chaz. Figure out what type you wanna do and move forward with Chaz. And that's probably you know, start now because it's not gonna get any well, it will get easier as if the economy goes the direction. I think it will. It will get easier for people and just keep your pulse on the market and be willing be ready and educated and and to jump when the time comes. And that's really just what it's about.
All that's super encouraging. I distracted you from your that you're taking over this late. Oh, thank you. I'm sorry. Sorry. Sorry, sir. Yeah. No. No. It's my fault. Took you took you. I swindled you away, but we we gotta hit. We're we're left here on the edge. We wanna know what happened. I had this house, and I was transitioning between jobs. And what I would do before is I'd follow-up fire for a loan, which I don't do anymore.
And I had invested about, oh, I've taken the promo stage from a house that I sold in El Paso, Texas and invested in this one thing. And I I got to the end, and my whole option was ending, and I had invested a huge, you know, 40 or $50,000 about 20 years ago into this property, and I didn't think of at the time of partnering with somebody. I should have partnered with somebody.
I could have taken this this contract and flipped it to somebody else, and they could have given me the money back, plus some, So I, you know, I didn't have enough some smarts to to do Chaz. And that was that cost me, like, $50, and that's a heck of a x expensive course to learn is, why you should have gotten together even called a, you know, a lawyer, that friend said, hey.
I need to get this financed or get a get a short term loan to carry over bridge loans and stuff, or just get someone to invest, and that's where I had messed up tremendously. That's what I would say my biggest failure was. I love how you position it, though, as a course. It's a $50,000 course. That's what I mean. I just took a $50,000 course about how you should get a partner. If you're stuck with her money, go out and and it's a really good deal.
They'll they'll come in, and they will, you know, if they can make money. So Yeah. I was I think I think the the mindset there, it's it's easier in real estate nowadays, I think, but for for the business guys listening Chaz don't know real estate and how easy it is to collaborate, you hear in business, it's it's difficult. Like, stay away from partners and, you know, this and the other.
And and maybe on a real estate transaction, it it's maybe a a 3 3 year deal and you're you're gonna hold self, you know, whatever, or maybe it's a a 1 year flip. I don't know. So it it is maybe a little bit more transaction in certain circumstances, but Yeah. The principle remains the same Chaz in business, you're you're close minded when you think you've got it all. Or that you're you wanna hold on to the whole pie.
And so I think really the principle that you're dropping here for the listener is be open minded to the things that you don't actually have in the ingredients. Yes. Yeah. Don't be so pompous to think that you got it all. And and actually someone else probably has what you're missing. And can probably do it a whole lot better than you, and you partnering up together with that person on a business or a real estate deal or a short term or a long term transaction. Can be extremely powerful.
Yes. Yes. And it can save your save your butt too. Exactly. You get to the end and you go, hey. What? I should have done something. You know, and you realize that a year or so later, it's like, that was I really should have done that. I should have reached out to around me more and said, hey. I'm kind of coming up with against something here. What do you think I should do?
At least go out and seek advice from people that you consider you know, as as mentors and things like that or just people have been successful because they'll they'll give you ideas, and I kick myself every day, not every day. I did at a point. I Sure. Yep. It's honest. Yeah. Well, you said you said before we hit the record button that that you've been to, you know, I don't know how many real estate meetups for the last 25 years, but it's like, okay. Or 30 years. You know?
It's like, you start you start not hearing the same things over and over, but you start putting yourself in positions to be able to learn the things without even having the partner, if necessary. Like you just said, Sometimes it doesn't take partnering. Sometimes it just takes you educating. That could be a course. That could be a meetup. That could be a mentor. That can be a peer to peer mastermind group for real estate or for business. I gather in the Kings exist.
The what I'm saying to you is or what I'm saying to the listener is what Brian is saying to you is that you have to sometimes fill the gap with other experience, other knowledge, other, you know, pieces. And don't be so naive to think Chaz, that you got it all. Wolfe you agree with that? I agree. A 100%. I mean, I give talks on on the Spanish peaks, which is my field area down in Southern Colorado. And part of it is I I always people go, oh, do you know all this stuff?
And I don't really know anything. It's just fun. It's like you get a bachelor's degree. You think, you know, get a master's degree. You realize you don't know everything. And you got a PhD realize you don't know anything at all, but it's okay because neither does anyone else. I think that is gotta be the one of the best descriptions.
And only you Chaz a PhD can actually say that because it would sound odd for someone like myself who doesn't have PhD to say Chaz, but I would say the same thing for money. I would say that the more money I've made, I realized that the more money I don't have. Right? And and and the more wealth that I generate, the real I realized how far it's really not gonna go.
You talk about legacy and leaving something for your family, which you're, you know, dad and grandfather and great grandfather weren't able to do. I mean, if I'm actually trying to set up the next 3 generations. There's a certain number that goes along with that, and I had a podcast guest probably, I don't know, 9, 10 months ago. And he was like, I have I I'm I'm preparing for 4 generations. I have all the documents. I've worked with attorneys and and CPAs. We know the number.
And, like, that's why he's, like, pressing so hard in his business is because he knows the exact number to take care of 4 generations. It's like, okay. Wolfe, there's a real number to that. It's not just like, hey. Let's just go and leave something. It's like, depending, Paul, what this target is, there's a real number to this. And and that's okay because you realize along the way, just like with education, that the more you know, the the, actually, no. No. It's No. I don't know anything.
Or in this case, with money, it's the more money I've made, I'm gonna realize, well, that's really not gonna go very far. I should probably double down. You know what I mean? Yeah. Yes. Buy buy real estate. Now we'll go for generations. Yeah. Exactly. Because I have friends. I have friends here in Southern Colorado. They bought up the their family bought up essentially a whole town of Trinidad or own a huge piece of Trinidad, and they're just living off of that.
They're 3 or 4 generations down the road and You know, they there was a 100 years ago that they his family came from Italy over to over to Trinidad, which is a big coal mining because a lot of the coal miners were from Italy. Then they end up buying a bunch of the downtown. They still own it, but it's like, well, neither the two guys left have children, so it's gonna go somewhere else. But it's kept them sustained essentially their whole lives and stuff. So they Chaz vary.
And I'm trying to think they've just helped out with their money and stuff and spread it around and just just shared their wealth at that point, so it was really nice. Yeah. So then maybe that's what you get down to. It's encouraging to know that immigrants came and had nothing, I'm sure Yeah. Especially if they're coal miners back, you know, a 100 plus years ago.
And what that should do is it should transfer courage right now because even though the person listening right now might be 1st generation wealth like me, right, like you, it sounds like. Even though you Chaz wealth in the generations before, none of it passed on. So it's like, okay. Well, I had to reestablish, and I had to go get it myself. Okay. Fine. Chaz may be the listener right now. It's not too late to create generational wealth at whatever age. Exactly.
That's a great example of somebody coming over having probably just really, like, a hope for just something more. Not really a definite aim. No real, like, we're gonna be super wealthy with real estate. Like, they just were looking for a better life. You know? Yes. And that's what so much of it is, and that's why people came here and stuff. And so it's It's really, really an interesting thing to watch the generational stuff happen.
You'd watch to see what people didn't pass, and there's so much of it that you can Just hard work and dedication and getting your foot in the door and then seeing what works. Find out some find a small niche, find a small circle of things that you can do and then just keep doing it. Re you know, rinse lather repeat. That's, you know, kind of the thing is Is this can you find something that's gonna help someone? And if you can make a little money on it, that's good.
And then just Create a cycle there and just just work forward with that and just keep doing it. Do what works for you and works with your personality. That's so much of it is. Yeah. I I held an in person event at my house this past weekend. We had some entrepreneurs here, and one of the examples that was given one of the leadership team members of of my team, Gavin, the Kings, he has a good friend that had a multiple eight figure exit in a trash company.
And and he was coming close to the end of his contract to his noncompete, and my my team member was asking his buddy. What what are you gonna go do? You know, like, you're like, you you're gonna do whatever. He's like, what am I gonna do? I'm gonna own it. I'm gonna go start a trash company. He's like, why I already know how to build and exit out of a trash company. Why would I do anything else and take the time to relearn it and and Chaz that that that all the stuff.
Everything that Brian is telling you is exactly what happened in that example. The trash guy is like, hit hit the thing that you know, create a process, do it over and over until he becomes successful. And in that case, he sold it and still waited to do it again. The same. Yeah. Hit the cycle hit the cycle. I met a guy that that started accounting firms like that. He would start an accounting firm, and then he'd build it up, and then he sold it.
And then he'd start another one, build it up, and sell it. And that's He was just really good at Chaz. And so that's that's how he generated. Of course, now he he did some things that were wrong, and he shared those with me. I won't share that with you, but, you know, there's there's there's always opportunities along our journey to do things the right way as we've discussed. Hey, Charles Wolf here.
As many of you know, I have been on an absolute mission to help entrepreneurs from all across the country in many different industries level up their game and grow their business and intentionally connect with other entrepreneurs. We do that obviously through the podcast, but we also have a peer to peer mastermind group specifically for 7 to 9 figure business owners.
We are bringing some of the best and most successful entrepreneurs and minds together in a regular and a super intentional way to not only grow our network, but to be able to leverage. And at a certain point in business, success becomes about leverage, leveraging time, leveraging resources, leveraging key relationships. This is exactly what we're doing inside of the peer to peer Master group called Gathering the Kings, specifically for 7 to 9 figure business owners.
So if that's you, if you're ready to level up your 7 to 9 figure business, even to the next level and get around other big hitters just like you. I want you to go to gathering the king's dot com, flat a short application, And, it'll come to an application, call with me, and I wanna chat with you to see if it might be a good fit. Talk soon. Yeah. I wanna know inside of my speed round here, Brian, my first question is around KPIs.
And so I wanna know what's the most important thing that you track in your real estate business. If you could only pick one thing to track forever and ever what would it be. I track the cash flow. I look at the cash flow. I look and see what's gonna, you know, as long as I've got this cash flow, minimum cash flow coming in, I'm good. You know? And so it's like right now in Colorado and and probably everywhere, they're they're reevaluating properties. Properties have gone up 2 or 300%.
And so the property taxes are going up 2 or 300%. So I'm like, okay. I am now going to have to and I've talked to a bunch of the tenants. They said, look. I had enough of a buffer there between what you're paying and what I bank. To to keep some numbers that, you know, that I wanna have. And now that the property taxes are gonna just been reevaluate. They're gonna go up. And I said, I'm just gonna pass that on to you.
I said, by the way, your rent is going up because they're raising my rent or they're raising my insurance or whatever, and the insurance will go up too as the valuations go up. So, you know, it's like you gotta you just have to track Chaz. Stay on top of that. I I look at stuff on a monthly basis, and I use some various metrics, but I just kinda say, well, what's the cash flow doing here? And am I am I meeting what I need for myself, but, you know, I want enough of a buffer there.
So I would say that's just keeping track because the cash flow is really important. Return on investment, that could be one way to put it, but just what's what's the amount of cash flow I need to maintain the business? You can't pay your tenant to live in your property. Apparently not. Although, I think I mean, I guess you could. You could. Governor Polis, go to governor Polis thinks that's a good idea. Although, never shares his $800,000,000 with me. Yeah. Exactly.
You know, in commercial real estate, because, obviously, I was franchises and and have been in the lease space for a long time, but Yeah. You know, they're quite frank about it. Not only are you gonna pay the rent, you're gonna pay all the insurance, you're gonna pay all of the, property maintenance. You're, like, literally, the commercial real estate owner pays nothing. The and it's all covered by the taxes, and it's all broken down right there on my lease.
Here's my rent, and here's all of his expenses. Or her expenses. I'm I'm seeing that a lot here. Like, we're in a place called Woodland Park, and I'm seeing a lot of people moving out to smaller things because the rents are going up so fast. Lot of coffee shops, pizza places, and stuff like that. And they're just like, well, we can't afford here anymore, so they're moving around.
And so We're seeing a big increase from a commercial side of rent increases because I would say the property taxes are going up. The insurances are going up, and they're not as competitive as they used to be. For people that are starting a business, so that's what you have to look at. But because like I said, I'm seeing a number of businesses that are in the large, you know, what I consider commercial buildings, trip balls, and stuff like that that are exiting because of that.
And you can't fault the property on it. They're trying to get their return on investment and stuff like that. So but that what you're saying is not a percent correct. Yeah. It's a big game. That's for sure. But it just depends on what end of the game you're playing. Okay. I wanna know about a business resource or a real estate resource, book, podcast, event, name, what what has been helpful to you that you Chaz share with us that we can go digest and get some information?
The stuff that I I would just say just being involved with different in the state investment clubs as many as you can. And they, like, here in, like, in Colorado Springs, there's one, like, the 1 Brent Bauer set up and he's kinda moved to Florida, but a couple other people are carrying it on. And you go there and it's they they all have sort of a different sort of flavor. Like, that one is more like they have a monthly meeting, and they're they're not selling anything.
And so but it's just for them to get together with people and just keeps the communication going with different investors. And then there's another one called, I think, Icore investment community, the Rockies, and you go there. And it's a smaller group, but they're they're always selling you They always have a course, and every meeting is a cellular course. And that can be useful too. And so then there's so just plug into different groups. And and just stay stay in touch.
I my website, which is real estate success and the number 4 in the letter u, I put all the stuff about what's happening at the Colorado Springs market.
I put on I put on there what's happening in the state legislature because that's we're seeing a lot of pushback on on real estate investors from the state legislature Chaz putting these different laws in place And I've had tenants come back and say, oh, no. You have to give me 60 days to do this or that according to and but, unfortunately, I have on my website is that you're talking about the CRS Colorado revised statute 3812-701, and it actually isn't what you think it is.
It's not like I gotta give you 60 days. It it says there's gotta be 60 days before I can raise your rent. And they said, well, but you're gonna snap that that part where It's only if you don't have a lease, and these I have leases with everyone. And I said, I I'll give you 60 days, but I don't I don't have to legally do that. So I tried to provide that information this last year Chaz been horrendous for Colorado in terms of the different legislative agenda or bills that have been passed.
And so it's they're really causing a a lot of trouble for certain real estate investors and stuff. And so what I try to do is on my side is I say, okay. Here's Here's this part that the Colorado is doing or here's what's happening in the world because I'll blog up, like I told you about the ever grand collapse of $320,000,000,000 property management company in China that collapsed and it's gonna cause world implications around the world Chaz type of thing.
So Those are the kind of things that I would say to do kind of stuff. Yeah. I'm hearing you say not only educate yourself with with courses and events and meetups, but also be a conduit of education, which is really King mindset. It's well, I I'm not gonna just gather it for myself. I'm gonna I'm gonna help those that are around me, whether it be via website and a blog or whether it be a podcast.
There's there are ways for us to be able to take what we've learned and grown and and been successful with and to be able to give it away. So I just so appreciate that. I think we should pass that along to the listener as well. Yes. I got a question for you about family, Brian. I'm a huge believer of work, life, obsession, not balance.
And for me, it is a matter of being obsessed with my family Chaz as much as it is my business, because that's what's made me successful in business and real estate. Yes. And so give us some examples along the way where you've been obsessed with your family as much as your business. Well, it's one of those funny things. I I get a kind of an interesting tate on that because people go, well, you have all your kids and and my kids are pretty much all grown.
They're they're in their thirties and and late twenties and stuff like that. And I never went through a period where they They actually still say they love me, and they still like me. And I and they go, well, he raised these kids. How did you do that? And I say, I don't really know. Let me know how I did that. You know, and part of it is to be genuine, be a parent, and and it sounds like you have a biblical understanding of what of being parent is about. And it's not about being their friend.
It's not about anything like that. It's making the hard decisions when the time comes to help them. Because if you're a buddy with your child, well, you can't be a buddy with your child. You have to do that. Then when they're 25 or 30, they'll say, hey. You're a lot smarter than thought you were when I was going up and and they'll they'll they'll be one of your best friends because you helped them. You guided them along the way. And so I don't Love it. It's not done on a big scale.
Nothing's done on a big scale. It's done moment to moment So good. And and it and it's it's a reflection of your personality and your values and how you value them. You go to their games and or you do stuff like Chaz. And I was like my daughter who she actually was she ran cross country for Western State. She was on she was she ran varsity to the whole 4 years she was there. They were national champions a couple of times, and so she was really good at that.
And I knew in high school, she was running in high and stuff. And so she she might come from a family of runners. We've all been distance runners. My brother and I were distance runners. And we were we were pretty good at at what we did. And so, like, my brother, his first marathon at the time when he read it was, like, the fastest first time a marathon buying an American at, like, 2 17 Erance Birch marathon at 2 17, and people don't know mar no marathons. That's actually a pretty good time.
And so not compared to now, they're 5 minutes or 10 minutes faster, but it's at the time and stuff like that. And so My daughter was she came up to me one time. She goes, you know, dad, I really like basketball. I really wanna do baskets, some basketball, and stuff like that. Airmanship team. And then I but what I ended up saying was go try basketball. Go ahead. Because I didn't want her to get through high school and college and go, hey. I really like basketball.
My dad held me back from being a basketball player. She went on the team. Here she was. She was 3rd string on the basketball team. And she goes, I don't really like this. And so but but the good thing about it is I wanted her to take the time Yeah. To to learn something else. Try something else. Maybe you'll like it better than doing all this running stuff. It's crazy. You know, and stuff. And so she was able to So true.
She goes, well, dad, I was just so thankful that you didn't give me a difficult time to, you know, here I was running, and I was pretty good at just running stuff. But you said, go try the basketball. Do it. And so She's been very grateful for that good stuff, and that's that's what I try to do with with my kids was it's a moment by moment thing. You you you laugh with them. I mean, I I've been on different podcasts where they'll say, who would you like to have dinner with?
Who would And I, you know, George Washington or something like that. I'm gonna kick out of that. I looked at it. And and what I realized is my answer should have been, but it had been a number of times, just I wanna have dinner with my family because they're the people I laugh with. And George Washington might think I'm a jerk, by the way. Or I might think he's a jerk. Yeah. Yeah. Wolfe, Chaz the the perspective there or or really just I think poise is what I'm gathering.
Just a healthy perspective, I think, is really hell good for us to hear as entrepreneurs listening to you. And it's real. I had a I had a podcast guest, I don't know, a couple 2, 3 weeks ago. I actually think his I think he just came out today. Regardless, he said execute on the cliche. Everything that you just said, this moment by moment, laughing at the dinner table, like, that's what it means to be obsessed with your family.
It's the every single night without a fail, and unless I'm not here, I'm downstairs at 6:30 every single night, and we have a whole evening routine. We read the Bible together. We pray. We get ready for bed. They have affirmations on the board that I created with them. They read them. They look themselves in the mirror. Like, We do this thing every single night. So much so to where it's like if we didn't do it, it would be odd. It would be weird.
Yeah. And so we built in these structures and set up our own family that are the moments by moments executing on the cliche because you can just say be with your family. Turn the phone off. You Chaz sell all these cliche things, and they mean something unless, unless you don't go execute. Right? Yeah. Implement. Just do it every day. It's out.
It's that's what it's all about, you know, just to make sure Chaz, you know, and I do this still with all my kids is every time I hang up from them, I tell them I'm proud of them. And I tell them I love them. Yeah. I like that. I like that. I have even noticed at, you know, 97 4 11 months, maybe not quite with the eleven month old, but with the other 3, when I say, yeah, I'm I'm really proud of you. Or No. You know, I love you or or, you know, I'm excited for you.
Whatever the emotion is that I'm expressing towards them in that moment, like you're describing, even at a young age, it's you can you can watch their whole countenance change, especially coming from, you know, their hero, mom, dad, whatever it is. So I think it's so powerful. Brian, I have one last question here for you, brother. Are you ready? Okay. Yes. I want you to I want you to tell me if you could reach back into time and whisper into the younger Brian's ear, What would you tell him?
Run the mile. Run the mile. No one cares about any other stuff. Do the mile. They care about the mile, the marathon, a hundred meters. If you can't, and and that sounds young, but just just, you know, it's I have a positive attitude about stuff, and that's just permeated everything. I'm willing to take a risk because I think that something positive is gonna come out of it.
And I just but as as I jokingly say that, it's like, you should just run the mile because nobody cares about the 2 mile or the 5000 or anything like that. They wanna know how fast you can run a mile. So Chaz and I'm probably out of out of the thing, but focus on the things that matter. It's focused on it's like the Pareto principle. It's the 8020 rule where you spend 20% of your effort gets you 80% of the results. That's what it is.
Stay focused on the stuff that generates generates income for you. Focus on the important things in your life and try not to fritter away on other things that are just pulling away from where you're going. And so maybe that's just Stay focused on the important things and the things that matter. Well, if if you're not paying attention and that didn't, like, just hits you straight through the through the eyeballs there. Then I don't know what to tell you.
A good listener because Brian just gave it to you super straight from a sage. Somebody who's been doing this for decades and has been successful and has graced us with just the knowledge and value here today. I wanna thank you for being here and giving us all that knowledge and and to learn from you. How can we continue the relationship with you if we wanted to? Number 1, if we wanted to do a deal with you or get to know you better in a real estate space, or maybe even have you mentor us.
Or if I'm just an entrepreneur and I want to get to know you better, how can I find you? Well, like I said, it's on my my website, which is real estate success, the number 4, and the letter u.com. And it has my book. It Chaz, links to my course and just all the stuff how to contact me. Kinda put try to coalesce everything.
I understand about Colorado Real Estate and all the stuff here Chaz tools you can you can use and need, perhaps, need to get involved in real estate and just, you know, just to find out what's happening in the world, what's happening in the state legislature, So what's some of the best things you can do to move forward. And that's really what I try to help people with is find helping you find a niche. And so It's basically all at my my website.
Even my personal phone numbers on there Chaz scary as that is. Scary I have found, as you mentioned earlier, is what typically gets us what we're looking for. Even though we might be a little scared, we take the action anyway. What'd you say as Chaz long as you're 10% scared? So I appreciate appreciate the information that you've given it to us here today. We wish you nothing but blessing on your family and your business, all your properties. Thank you for being here with us, Ryan.
Thank you so much, Chaz. This has been fantastic.