Episode five. Today we are lighting up the BRRRR Method. As always. Our goal on this show is to shine a light on people, strategies, systems, and ideas that will help you meet your real estate investing goals. There is so much to say about our show today, y'all . It is so, so good. Our guest, Dr. Bernard Hodges is a proud HBCU graduate and veterinarian and reality star of the hit show, Critter, Fixers: Country Vets, which airs on National Geographic wild.
It follows Dr. Hodges caring for animals in middle Georgia. He is also the best selling author of bet on yourself from zero to millions was reached number one on the Amazon personal finance book list, which is the reason why he's on our show today. He's made millions through real estate Today, we discuss how we use the burn method by refinancing his first home to creating a multimillion dollar real estate business. He delivers so much value in one hour. Grab a paper and pen.
You need to take notes. Let's go! Hi Vernard. How are you?
Hi Candle. I'm doing well.
Good. So how are you adjusting to this new lifestyle of COVID-19 ?
it's very interesting. No , it's different despite of people seeing me out or on TV or social media, you know, I'm very comfortable being home, chilling with my dog, being home, just chilling , watching TV is, it's fine with me. I'll be honest though, it seems like I've done more traveling now I thought I'd ever do in the last few months.
As far as work, it seems like we're busy and then we've ever been, you know, we only do any emergencies but seemed like, I guess everybody's home so everybody's seeing emergency. So we sent a lot of it.
How has your real estate business going?
Well we'll see in a week .
Okay .
I guess we'll see around the first, I think maybe I have about 200 families living in my residences . You know, only two people. Kevin reached out and said they may have some problems, so we'll see how that goes. One of them being my barber. So I was like, don't worry bro. We'll work that out.
So did you already have a strategy in place or ....
My real estate manager and I have definitely talked about it, we're putting some practices in place and rental histories and my LLC is Trojan. If you had a good rental history with Trojan, you'll be fine. You know, just kind of give us a little bit of proof and we'll work with it. And fortunately my banker reached out and said that as far as my notes of my property , they definitely a hour and put some stuff from place to suspend a mortgage payments for the next three months.
So I think I'll be fine.
So let's go back. You've already started talking about your apartment units and of course you want to know how in the world did you get to where you are now. And your book bet on yourself is like my ultimate favorite book of 2018 and you're welcome. Well thank you cause you really changed my life with it and I learned so much, especially about the BRRRR method cause I've heard about it but you really explained it.
So can you share how you use the BRRRR method to end up getting these apartment complexes?
Definitely. I definitely can . We talked a little bit about how you should start with a single family home. If you cannot change toilets. That's my thought. Know how to change a toilet, which not saying physically a lot, but I mean, and I'm just only using that as an analogy because it's , you know, when you go out and buy one toilet and yet change it, that's one thing. But when you've got about 50 that's a whole different ball game.
I mean you , you just need to know what you're doing before you get into the apartment game, even if you just buy one and just kinda kind of try to understand that. I started with a single family home, maybe I bought about 10 and then I was like, I want to go to a different type property. And , and I w I would buy them with the equity in it. So basically people always talking about bird , what that means . But it's basically buy, rehab, rent, refinance and just repeating, kind of what I did.
That is the big thing. You want to, you want to start out and make sure you know what you're doing. When I started, I didn't , I bought a single family house. I was really successful with it. After doing that I bought another and and that went real well. So then I thought I knew what I was doing and went out to Macon.
You know, I live in Warner Robins, I bought those two in Warner Robins and I went to kind of a rough part of Macon you know, it's nothing wrong with buying in Macon and nothing wrong with buying, not so great neighborhoods if you know what you're doing. And I didn't know what I was doing. I bought this duplex that, I mean it was like dirt cheap, but I think I bought this thing for less than 10 grand and it was in a pretty rough part .
And I rehab one side and I've got somebody in and then I start working on the second side. And I thought again, I thought I knew what I was doing in the , I got a call from Detroit, they say, look, we want to pay you for a year's worth rent. So I thought, okay cool. And it turned out after the after year the guy wouldn't pay me. I was trying to figure out what was going on.
This guy was in a witness protection plan for , for being a murderer, which I mean could happen to anybody, but sometimes you gotta you got to vet people. I didn't , all I cared about was uh , getting that check. I didn't, I didn't even vet. The person I'll let cared about was, okay this person is paying me. So those are the things you definitely want to , you know, pitfalls that can happen to anybody. Those, and that's why I say you want to get your system system in place.
So with these single family homes, I was fortunate enough to buy them real well cause you make your money when you buy your house, you don't really, you know, I know you when you sell or you refi whatever you do, you do get money at that time. But you get your money when you, when you buy it because that's where your equity is going to come from. That's the biggest thing. And I tell people all the time, you don't really buy houses or a place you buy neighborhoods.
And by that just like you buy neighborhoods, what I mean by that is with the neighborhood comes a school system. Most people who are going to be renting are looking for a good school system or a school system that they feel very comfortable putting their children in. And that's the one renter you want. You want to rent it . Who thinks like that? Who thinks like they want to have a family first attitudes. So those are the kinds of things I I look for. But back to the BRRRR method.
So, so when you buy it , you know, oftentimes, and most of the stuff I bought, I say, don't let , don't buy anybody else's dream . So for me, I'm going to buy something that needs some rehab. So I buy it. And then I started to rehab it and once I rehab, I'm building my dream . I rent it. I refinanced and I pulled the cash out.
So after doing this so many times, and then I've talked about this in the book, so I don't mind saying it , I'll never forget, my banker came in and said, I want to , I want a million dollar credit card. And he looked at me like, huh? I was like, look, all my properties, I have this much equity. I want a line of credit for a million us . And he did it. And I was fortunate enough to buy my first big apartment complex because I had that line of credit.
I was able to step in and say, "Hey, you know, I don't need a bank. I can close this thing in 10 days. Here's what I'm willing to pay. Will you sell it to him ? "And the guy sold it to me. So that is my method and that's how I've kind of been a , I guess someone's looking is real estate dude .
If you said that you were successful in single families, why apartments ?
All because single familes are are great. It's nothing like getting that check in the mail from somebody who uh, is paying you a good, a good income from a house. Definitely a really cool when you get a hundred of them.
Well there it is.
So once you, once you've mastered the single family game, you know, having all your properties in one place is definitely lucrative. And it , it works out because you have everything there and, and if you send your maintenance guy there, they can kind of fix everything. And if you, you know, I don't, I don't do this for all my single family houses. There are some that I do maintain the , the yards, but definitely more cost effective when you maintain the yards of of 60 or 70 units
and you're not a full time real estate investor. We know you as a full time that that's what I do. So okay to manage this. Who is a part of your team?
So I have a repair guy, I have a a manager who does this. Now, I'm not going to say this is for everybody, but the standard typically is 10% right? So you get a management company, they manage your property for four 10% that's pretty much the going rate. I don't think that's unfair.
I think this , you know, I'm probably a fair rate for screening tenants and keeping up maintenance requests and putting tenants in place and doing different , different things with typical is 10% and usually it's the first month rent for over tenant. So I mean I think they definitely earned that key . However, I'm a little bit of a Maverick and I'll say , and this is something everyone to do, it should do, but I kinda did the , did the math.
I was like, okay , you know my, my properties , I won't say exact , but it's at seven figures. I mean my, I gross over seven figures with rental income, so we won't just use the match number of, okay. So if it 10% will be $100,000 just the manager, right. Plus the first month rent we won't put that in. But my thought was, okay, I have seven figures. If I find the right person and paid him $60,000, I can manage arm-length myself.
I rent out a commercial building and I'll be able to get those taxes for doing that. You know, what's that? And then with fees, maybe I'll be at 70,000 so I was able to say I was able to provide somebody a good income, somebody who I can help manage at arms-length. Like I've never go to the office. He does it, he does a fantastic job, but I can pay him at arm's length. I mean manage him at arms length. We have a conference call on by phone on my way to work.
Typically if not every day , every other day of "hey man, we should do this this way or I'm doing this now" cause cause I trust him. So I just saved $30,000 just off the top. And I have my own management company and I get a tax incentive from them as well. So that's how I met him . And I'm not saying everybody, you know, some people may need, you know, the management route or management company may be the way to go.
However, for me, I liked the fact that providing him with a good income and I'm able to make the decisions along with him. It just works for me.
How did you create that system in place? Did you just already use what was working with the previous property management company you had? Or did you just say, I'm going with this is, my own philosophy and business plan?
Never . No , I've never had a management company. Typically it was me and my receptionist at my office. She kind of did it for years and years because one, I wasn't as big, you know, I mean we're talking about a 16-17 years now doing this. So, you know, initially it would have , maybe I had three or four and then maybe it got to five, then maybe it got to 10 and then maybe we jumped up to 10 and a couple of duplexes.
Then we maybe got to 25 and I own the 50 and then maybe a hundred and then I decided, okay, we've got the 200 and then a few more. And I was like, you know, it's time to make a decision. So to be honest, you know, I'm a little older, I didn't even know what Indeed was, but I heard that's the place you find people. So I put an ad, I put up some things I wanted in a manager with Indeed. And actually my manager moved here from Miami when he came up for the weekend.
He moved from Miami, he and his family, we talked, I knew this was a person now that I think he was gonna move to remind me to Warner Robins now . But he did, you know , so he's pretty happy. He likes the school system. I pay him well, he earneds his bonuses. He saves me tons of money again, you know, because he could do a lot of things that don't. But you know, he's in the office. I trust them . I don't even know who my tenants are anymore.
You know, if the phone rings or if an email comes through for the request, it goes to his phone. You know, I don't have to deal with, I'll see it. Sometimes I'll look at it and ask him , Hey man, whatever happened about such and such last night. He'll say, well I handled it and did this, but this works perfect for me. And if you find the right person and you save money, that's the way to go.
That's a story. Wow. So let's go to rehabbing, because in your book you actually found these apartment complexes well, some of them that you have and they were abandoned, foreclosed, and you had to rehab them. So what was the process in doing that?
That's where, you know, dealing with houses and going in a situation with houses help because I wasn't overwhelmed cause I've bought houses and ran into problems and like, okay, if you know how to handle a problem, it's just sometimes it's just 15 of those problems, you can usually handle it. So, you know, I learned a lot. The first department I did, you know, I walked in and there wasn't a floor and some of it was a 14 unit apartment complex. I bought it at a good price.
But the beauty of it is, you know, I'm always nice to people and people usually keep me in and know something I've, I've found out was right next to it, the city was building this gorgeous walking pad and complex. So it was on an older part of town, but it was, it was being rehabbed. They were putting a new pond, they were doing a walking area. So I knew instantly this place was safe. So that , that's one of the things that , uh , you want to look for.
So again, I learned something that I didn't know and I'll give everybody on this phone that may be worth listening to your podcast of tidbit. I didn't know this, but: if you buy $2,500 worth of stuff at one time, which at this time I was doing, you could take it to Lowe's or Home Depot and you put it into something called a bedroom. And so I was t here maybe at this time, 25 toilets. I knew I h ad needed sheet rock and t hen t he shingles for the, for the roof, I needed paint.
So I just went in, I took all t hese skus down. I just went down my receptionists and you know, I knew it was going to be, I don't know, i t was way over 2,500 and it was simple. I just put these skus down and said, you know, if it was lights I wanted , I just put down three or four different lights . I mean they didn't really care. And what happens is at that store they send it up to where the Lowes Central is and they come back with a price. And on some of those items I was getting 40% off.
So I mean so right. It was something, it was something about it. And I , I'm just giving you tidbits . I'm saying people 15 years, I had been in the game eight, nine, maybe 10 years, maybe eight years. I didn't know anything about the bid room, didn't have a clue. So you become a contractor, the people send that off.
They, they take out these skus, they sent it off and you wait about a day and you get all your prices back and those prices are good for you for like, I want to say maybe 90 days so you can get.... So you get those, you know, like my pain, maybe it was 60% off item that was really cheap. Maybe they would come 40 to 50% off, flooring. Some of them, you know, sheet rock stuff that they can control. Maybe it might be 15%, 20% but you have this big list. And so I would just make a binder.
So I learned as I started rehabbing these bigger properties, I would have my binder and I will just Mark off the items I want. I will take it. I say , look, I want these today. They saved tons of money, but it's all about being like, no. I mean I have been doing real estate forever and I didn't even have a clue that, you know, if you have $2,500 or more , you get to send your stuff off to a bid room.
So during these rehabs, did you do any of the work yourself to save money or did you hire out contractors?
Oh, initially I did all the work myself. When I say that is, I'll be honest, maybe the first five, six years I had my old Sanford & Son truck. I'd paint all the different stuff. Maybe you're seven eight maybe I would do half. By the time I got to the apartment complex, to be honest, I really wouldn't do it a lot. But here again is the key. I knew what it took to do it so nobody could say, this is what it costs or this is what I'm doing.
Or if I walk in and they try to tell me something, I'm like, dude, come on man. This is what I do. I've been doing this for you . And once, once people see that, you know, then you don't really have any problem. I mean your , your labor costs go down because nobody's trying to beat you over the head cause they know they can't get away with it. So those are the things and reasons I say start with a single family home, learn and then keep moving up.
I literally followed the book, I went from single families , then I bought a duplex, I own a triplex, and then I went to the bigger guys .
Okay. So when you said start with a single family home and learn, what should we be learning?
No, about a different paints . I mean people, people might not even know the small things like latex paint, satin paint, slap paint, you know what I mean? There's not a right or wrong answer to that. But find your preference. And then one thing I learned is I found my clothes . Like I'm a bright color guy but I have the same colors for most of my places. You know, originally I was all over the place. I want everything to be beautiful and I do want my places to be beautiful.
If you go to my, all of them are ones that were live in . I mean I'm there, I make sure they look nice. But if you stay with the same color schemes when you need to paint, you already have that paint, you know? So why , you know, but I mean I used to have all these different colors cause I'm like, ah, this would be great Aqua Tea, you know. So you know, I do put accent walls in a lot of my places, but they're pretty much the same color accent wall.
So have you done any flips or do you just do nothing but holds ? Oh no, I , I'm mostly holds, but I have done some flips. I'll tell you one, one flip that- I mean some of them are just so easy. Like I had one place really, really nice, nice neighborhood. Nice schools. Everything was perfect, except this house had a- I would say a six inch crack down the middle of the garage. I mean from the middle of the garage to almost you walk in the door .
So that crack had to be 12 feet long right down, I wanted a house three or four times, and again, this is what I talk about. Don't buy anybody else's dreams. So I looked at that crack. Now I'll be honest, I didn't know how to hit the feet to fix that. Correct. So I'm , and I'm not being racist here. I want to, one of my good friends who were from, and he's a Hispanic guy, I was like, dude, I said, I know you usually have a lot of solutions for them . I said, what would you do?
He said, what I would do is get, I would rent a backhoe and I would just dig the whole garage out. I would take all the concrete on and repour the whole thing. I was like, ah, yeah. So I ended up buying this house for, everything else was perfect. I bought this house for $21,000 I report it. Maybe I put 5 or $6,000 in it and I sold a house in a week for 109,000 all because of that crap .
I see . All we gotta do is be a problem solver.
That'd be a problem solved . I mean that was easy money . I don't, I don't really like putting my leaving Monday like that on the table and it's about being the opportunities. So one one apartment complex is about, I guess, I think it was the last one. We're now Nick's the last one. So really nice apartment complex right by Walmart. Right central located I think is 16 units . I didn't really have to put much into it.
So the housing authority was selling some houses and I really wasn't interested, but they skipped sending these notices out to investors. So I was like, all right, I want you to this one house and this house just cheap . It was a smaller house, not really the house that I was really interested in, but I walked in his house and honestly the lady was there. This is the cleanest house I've ever been in my life, cleaning my house, cleaner than my grandma's house. This house was, just immaculate.
Then I kind of got the scoop, this lady had been, her mother lived there and her mother had passed. So they b oth, t hey to make a long story show, these people h ad been maybe renting this house for 30 35 years t hrough generations. So when I looked at i t, they have a packet of all. I w as like, you know what, for this price I buy it and I mean I'm making money off it and t hese people never not pay. So I was like, a ll r ight, so I bought this house, this is how God works.
I was sitting at the table about t he close and so I was talking to the guy and it's not a simple closing with the housing authority o r t hey own a ttorney. So y ou s itting there, it's not like you go to a lawyer's office or anything. So, so the head of the Authority comes in. I said , "Look ma'am , I'm not trying to be funny. I say , but I know me. Why are y'all selling these houses? There's a reason. Y'all still got the the housing authority. Ya'll still have all these others.
Why are y'all selling it ? " She said, "Well, we want to get into tiny houses. We want to build a tiny house." To me, I was like, why do th ey w ant to build a 10 h o use? But that wasn't my thing. I said, "Well surely y'all selling this. Y'all got so me b igger. I want to see it? " She sa id, "Maybe, maybe not." I sa id, "Come on. I sold." You know, I put on some Southern ch arm. I w a s l ike, come on, you don't charge th is. I'm sure y'all got some.
I s ay, maybe we co uld h elp so we wo uld g e t i n th e c ar. We rode around and there was this apartment unit, never. It was never on the market. Nobody knows what sale. I said, "Why don't you sell it to me?" She said, "Maybe." I said, "Seriously sell it to me." I sa id, "think about it. You don't have to have a real estate agent. You don't have to have anything. Just sell it to me." Got back.
She talked to the ge ntleman I ta lked t o, they email me and say, we 'll s ell it to, they gave me a price. I gave hi m a price, which is a fair price because this thing needed absolutely nothing ev ery. An yway, I said, okay, tell you what, I'll buy it, but look, real estate agents, ge t s omething on both sides. If you need a real estate agent, you have to pay somewhere around seven, 8% I said, give me 5% off this price an d t his price and lets run it. I said, cool.
I own this apartment complex. That's what, and that's one of the things that al low m e to get enough revenue to get a manager. That's exactly. How about people at h i ding t h e h a te y ou bought us . Sa y I just talked to this lady and say, I know th at i t w as selling their... and so from buying this $30,000 house. I ended up buying a one point $1.3 million apartment complex that appraised at about 2.1 million.
Oh my gosh. How many units do you have?
I think 260, 270 something like that.
Nice. So when you were rehabbing these homes? Well, the ones that you did have to rehab, what was your secret with contractors?
Trust but verify.
Meaning?
Don't trust them at their word but verify today are and will and can't they say. Trust but verify a lot of stuff. Uh, I was able to sell by myself, you know, with with Hills that I, that I had, that was a gift and a curse some of it I went with some of it I didn't. But most of the time I buy properties that I am in them so good that I leave myself room for mistakes. You know , I don't know a lot of people, people are in this podcast I'm familiar with period, but I bought a big rehab.
That's the biggest rehab I've ever done across from Perry Hospital. People want to live here. I mean it's right across from a hospital. I like , this is perfect. I'm like, you should have nurses you have, but nobody want to live there because I think maybe that one had 65 units, maybe seven of them were filled . I bought that at a very good price. I rehabbed it and now I have nurses staying there. I have, you know, I'm full. It's a place that everybody would want to live.
And so it turns out down the street from the , that place is a another, I think it was like 30 units. So the guy knew I bought it, he walked in my office, said , Hey, you think you might want to buy mine ? Sure. So I bought that one. Wow. And it's all about synergy. And I tell you , so I bought another one 30 units right around the corner. If anybody's ever in Perry and look at everyone on that street. But let me tell you, so this was the worst buy I had.
So there was another one, and this, this is my thought process. There was another one, which is probably 200 yards down . It was field. It was only about 14 units. It wasn't for sale. But I had my, my real estate agent to kind of reach out. I was like, look. And the guy was really playing hardball and rightfully so. Why would he sell it? He's , it's full . It looks good, is cash flowing so he kinda threw out a number. I didn't like it, but I went back and he didn't like my number.
And I'll tell you, I paid 650 for this building. I want to love to have paid 500 or 525 but this is the thing you gotta think about. This is where you gotta be like Yogi and smarter than the average bear. So I have 60 units, 200 yards away. I got another 30 units, 200 yards from that one. I gotta triplex which is right behind that. I got another 40 units close. Even though I was out in my opinion, I thought I was overpaying is all about synergy because now it's like Monopoly on the whole street.
So like I control the rent so, so I bought it and it ain't no appraising actually in a place about 695. So it may be an appraise 30 grand more. I mean it wasn't a home run, but it gave me control of the whole street. If you go in front of Perry Hospital in Morningside Drive I own everything there. So I controlled it . So it was like Monopoly that your strategy from the beginning, it was not, I want to get into the apartment game and it was a good player.
So I bought the first one, I ended up buying a second. And sometimes you adapt. So sometimes you find the things that work for you and when you get enough hotels on the monopoly board then you buy Park Place. Right . Put it like this. If I didn't own the other ones, I never would have bought this, but I owned other ones. So I just need this last domino, which I had to play a premium for, which I might plan premium, but it gives me everything on that monopoly board.
Then you have to think about synergy .
Right, right. I don't even know what to say. That has to be the dopest strategy I've heard far as acquiring properties, like you made your own monopoly game for real.
I, you know, you know when the two HBCUs use that stayed in that line trying to get my money to go to school. I know, you know, you figure out a way. I mean we, you , you figured out ways to make it work for you. And so with that, it's just, I , I had a friend in the car, he was like, dude, why? I said trust me synergy . And he literally wrote that word down and Googled is like, and hit me back and say, dude, I understand. I said, yeah.
I said, it's about synergy , about finding those things that compliment. I said , no, and I have increased the rents. I mean, I've increased them. The difference with a single-family home, just so everybody knows, if you go to a neighborhood and you buy a single-family home, that home typically is compared by comps, meaning comparables to what the homes in that adjacent area sale for. Real estate goes by cashflow.
So literally, I've never done this because I hadn't found it, but I would love to think about this. If you go buy 350 unit apartment complex, right? And they go by cashflow and let's say this thing throws off half a million dollars a month. Some of them , they were in Atlanta , right ? Big guys. What they do is they go to the bank because banks know how much you supposed to doing that. And there are calculators for this.
If anybody wants to know, you know, I can, I can different tell you, but you calculate and they do with cashflow and it's called cap rate . So a 7% cap rate is, you know, in Georgia here, if you can get something, and that's how it's short for capitalization rate, that's our apartment. So, so what's called by category. So when people see it's a 4% cap or 3% cap, 10% cap, 10% cap is great. But typically the higher the cap, the bigger the problem . Typical .
But let's say you go in, you buy an apartment complex, 3, $4 million, you u h, it's a 6% cap. You come in, you change the toilet paper rolls, you do a few things and you go rent b y 25 bucks. Some people going to movel, you know some people, some people a re g oing b oat something w e're going to say it ain't w orth moving for $25 a month. You have just changed that cap rate probably to an eight and a half, which is another one, one a nd a half cent c ap r ate. Right.
S o o n t hat n ow h is apartment complex was worth five million, r ight. Just from buying and changing toilet paper and doing a few things, a r oll and doing a few things. Maybe paint going up $25 you have just i ncreased your, your n et w orth by a million and a half dollars and you can do that in three months after buying it.
Has this always been a passion of yours real estate? You just seem so excited right now?
I , I absolutely love it . I love it. I mean I love really , I mean this is a lot of fun. I mean I don't get to do it as much as I used to. It's fun. I mean that's is , it is. I mean I like transforming things. I like doing different things. It's , I love this . You can do well with real estate. I mean, you know , people ask me and I absolutely refused and I haven't made money and I've lost my , I absolutely refuse to ever give a stock tip, I don't want everyone to lose a friend.
And I was just about to talk about that because then your book, I could tell and because I know you personally from college, reading the book, it was like you talking to me and it was like your energy changed . It shifted. Because I think it was like the chapter when you talked about how you did your first BRRRR, you know, from buying your , your house. But it just, your energy just changed. Like, and this is how I knew I was real estate investing. Right ?
So even with this , so share what happened to why you chose real estate over the stocks.
So I mean I lost, I lost about a million dollars in stocks. I've lost a lot of money in real estate. I've made money, but I'm betting on somebody else with real estate. I mean stocks. There's absolutely nothing wrong with stocks. I think everybody should be in the stock market. Everybody shouldn't be a maverick or cowboy and everybody shouldn't choose a small or individual stocks like I tend to still do. You know, I play hunches, but I can afford it.
I think definitely with the market now I think everybody should be nibbling in stocks, but I think you should be doing it as a bucket. Meaning you should buy all different industries so that if one goes down one, you know, I'm one of these people that tend to swing for the fence. I'm a homerun guy. I've made, I've made a half a million dollars in a day on the stock market and I lost 200 to 300,000 I've , you know what I'm saying? I'm one of these people that, but that is not the way to do it.
I mean it is. It is not the way to do it. It's not- you're going to lose if you do it that way. To be honest. I mean I and I don't do it much like that anymore. Now I am nibbling, but I am kind of doing it in a basket. My whole philosophy is the real estate. Then , I mean, if it goes down again, I'm going all in on real estate.
Right.
If it stays like it like it is, I mean, I'm content with getting checks in the mail .
Yeah. Yeah. So let's talk about Bet on Yourself. Yes. Why did you write this amazing book? Like what was your , your inspiration or did people just say , "Hey, you need to share this story", because I had no idea all this was in you until I read it.
So , Candle I'm going to share with you something I haven't shared with anyone. I'm giving you an exclusive. I've been on a lot of shows. I'm giving you an exclusive. When I wrote Bet on Yourself that was my farewell song. I was out. God has given me you know, he put me in a position to, to d o what I want, go I where I want, do whatever I think. An d y e s, I have a talent li ttle b it, man.
I' ve g ot other talents but to fight this fight and as an African-American ve terinarian a nd do stuff and, and basically be the top of my game, I could sail into the sunset. I didn't need it. I talked to Ter rance, I l i k e, b ru h, y ou know, we need to sta rt tr ansitioning. I say, I ain't gon na be here long. He's like, "Alright." Tha t's li k e, I 'm not saying I'm totally, but I'm not.
I said, okay, I'm gon na st art writing a b o ok because this is my far ewell so ng and I won't, I'm goi ng to pu t it all out there. My failures, my wins , that I won't do anybody a disservice by walking away without teaching, giving a blueprint, and giving this blueprint has been ... that blueprint has been, I've had astronauts call me from, you know, they're working on, you know, I've had kids, I've had people who, who've read the book and quit their job .
I mean, I can think of, and I won't say their names, I can think of tons and tons of people who've t heir read that book and quit their jobs. I didn't k now, I didn't mean it like that, but I mean, they've started a business h ad b een successful. You know, I really didn't expect to have that impact that it has. But for me, it was my farewell song.
So if anybody reads t hat book and look at the last chapter, b ut i t talks about end game and my end game was get backpack, put your feet up and chill. So here's the exclusive, I've really thought about this last chapter o f my life with this show, which h as done very well. I mean, I can't believe how the ratings are for the show has been.
Congratulations.
Thank you , thank you. But God knew that he cannot send me more dogs, cats, or money to make me stay. So he sent me something so outlandish with somebody and saying, do you want your own TV? Give you a platform to show young people that there are other avenues to, to be successful besides sports or whatever...and here we are. I actually wrote bit only your Bet on Yourself to fade into the sunset, but it turns out that or the other place .
Absolutely. So it wasn't about your will, it was about God's will?
All day. Cause I was out. I mean that's why I wrote it. It was, that was my farewells. It was like, okay, nobody to say he made this, he did this and he walked away. It's like, look, it's all in the book. The blueprint is there. So that , that's why I wrote, I had no idea. Right. There you go . That's exclusive to you .
Yeah. And I mean, and even hearing you say that, it reminds me of Jay Z when he wrote his, he did his last album. He's telling everybody going on media , I'm out, I'm done. But little did he know he had to come right back and give us more, which is what you're doing.
I was fading to black, just lazy .
So now with this reality show, like has that made you think bigger? Like, okay, God, you me in the game more...
You know, yeah. I actually, my last purchase I bought two, two and a half acres on , probably one of the business streets here. And I submitted plans. So I went out to Denver. I figured out like, I don't want to work as hard, but I'm probably, it's smart so about this lane. I'm going to build a , a complex, a shopping complex. And again, the plans are submitted, so hopefully I'll get those plans back any day from the city.
But with that, I also signed up with this, with the largest pet resort in the United States. I am going to open pet resorts and what I mean dog daycare, doggy boarding training. I'm going to open those up across G eorgia and hopefully t hen keep going. But I'll start here. I bought the territory in Macon, I just bought an old large ACE hardware in Lake O'Conee that I 'll go to. So those don't require me to come in and work, work. So p et resorts will be my new thing.
God, if you want me, here I am. I know animals. I don't want to be there to do any kind of surgery anymore. Y ou want to make sure that I want to be the pet resort King. So that's one thing.
Nice. Now to go from where you are now to this next level is so much easier said than done. What have you had to do even just to get that mindset?
Yeah. Why not me at this point? It's like, I mean, I'm not scared. Like before, like you know, I bought the apartment complex, I about this stuff, but I mean when you buy prime acreage right down the street from a Buffalo Wild Wings and movie theatres and all this kind of stuff, for me it's a big game. That's totally been , when you submit plans to the city where you're developing, you got to put your own infrastructure, you go. But it's a whole different ball game.
But I mean, I , I mean not saying I'm the smartest person cause I'm really not, but I don't even really seen a lot of these casts that are, that are doing it that are much smarter than me. So I mean, what I do I got to lose, give it a try. Let's do something different. I mean, I know, I know. pets. I mean there's no , I know that industry, so I'm not, it's not like I'm going to sell hamburgers. I know what the new pet owner wants. I know they want to be able to use an app.
They want to look at their babies at any time . You want to be able to go walk into a facility and see that they can buy, they can get here, get they can get it in Athens and in Savannah. And also I'm selling myself cause I went to the chain when I went out to Denver. I'm like, look, you know, I noticed the percentage ya'll charge, but y'all getting me. I'm willing to be your spokesman. I think you should could expenses down.
I said, you getting me, I said you gonna be in sales stuff just off my name. And they bought it.
You are really spilling some stuff right now. I'm just at a loss words. I had no idea. You are amazing. So like, okay, so Bernard on social media, yes . You consider yourself Batman and your son Robin . Yes. Please share how you are preparing your son for this empire that he will eventually inherit.
So this is small things. I mean, humbleness and respect. We're pulling out of the driveway. Yesterday it was just talking and you know, I ask him what he thought about this and what did he thought about people who were going through this and things we could do. Remember. Nobody want to see you win if you aren't a nice person. And that's where it starts. I mean, if you meet my son , hopefully the first thing you say is he's a mannerable kid. Cause I mean I take that very serious.
So I think it starts with being humble. I think it starts with being nice, you know, those are, those are traits. I think it goes from there. You know, as I am training him on the finances, I am training him on some different things and trying to expose him. I mean, that's why Batman and Robin, I tried to expose him to things. You know, you take your kid to the Superbowl , you do this.
I simply do some remarkable things, you know, I mean I test him sometimes, "Hey man, what kind of car you want to have?" I love cars, I am a car fanatic. I love cars, but I got a job. He doesn't. And he's like,"Dad, I'll take whatever car that drives. I appreciate it." You know, I mean, so just raising him to be home. I mean raising him to thank people first because a lot of times I take a lot of L's you know what I mean? I take L's at my expense, but I can do that.
So, you know, even now to politics, even t hen on a certain thing that I tend to l eave a lot of those philosophy, a lot of things don't help me. And t o h elp people, you know, people like i t. So you know, I can afford to take certain L's. My m ama can't and people can't. So that is why I know, I mean I pride myself in that. I mean, hopefully if you, if you see me first, you know, people hear my name over t his s ame m an, it's a good d ude, you know, not because t hat that goes along way,
Yeah. You're only as good as your name.
You're only good as your name.
Okay, so no real estate talk. I'm just going to ask you a series of questions and I call this my , Financially Lit segment. We're just going to talk about money for a second. And , uh, you can be as quick with the answer or you can explain it. Just some questions that of course you want to know. So this is our chance to be in your classroom and you're teaching us about finance. What financial book changed the game for you? And it cannot be Rich Dad, Poor Dad. Nope.
That was the first one I read.
Yeah because you mentioned that in your book. That's I want you to choose another one.
Who stole my cheese.
Huh. Okay. I like that one.
Simple, simple is better. I mean I'm not as smart as you, so I have to keep simple, you know, people that are super smart. So I would say kinda like say this, you know, start using my fingers and count. So we'll move my cheese.
Okay. Who was your or who has been your favorite financial mentor?
Favorite financial mentor . Mentor. Probably would Mack. He opened up the banking game for me. In my book I talk about unfortunately Mack. took a beating. Mack is no longer banker. He got beat up in '08. It was the same info and the staying where he was, he trusted me with, he trusted a lot of shysters.
I call them the big hat, no cattle guys, you drive up from the F 250's and act like they know real estate and then soon as the game dropped, they left them like a hot potato and went bankrupt and did a lot of things. They were even trying to fight through it. So he lost the job. But I learned, because Mac taught me one thing all the time, is bankers can't make money unless they loan loan it to me or you, you don't think about it. You walk in the bank. What job does a banker have?
You don't loan money. Right. So he opened that up to me. So I would probably say Mack Harden, my first real bank who believed in me. Okay.
What is the best financial advice that you could give to someone that is not taught in school based financial advice?
Let's see . There's so much. But I would probably say learn and I known as cliche is , but I'm gonna go into a little bit, learn to small things like learn what the Dow is. If you want to get in the stock market , people think like the whole market is the Dow. I mean you could learn what a Dow industrial average is in two minutes. And the reason I say learning these to his terminology, cause then you get to sit at the table, because if you don't know the terms, you don't can't sit at the table.
You know what I mean? We look at the , the the news every day we'll watch the and the Dow industrial average field 142 points or the dollars up 13 just go. It's only 30 companies, learn t hem. What I would just say is learn the small things, get to the table, shut up and learn more. That's what I did.
You can interview me because you know what questions to ask and if you don't know what questions to ask or what to listen to, then you lost no matter what I tell you, I can tell you right now, go b uy, W MT right now. I t h as the t icker s ymbol for Walmart.
Simple things I'm saying and those are things I just t aught people in 10 seconds and in my book and t hat going back to t he b ull and people know me, they say, "Where can you find Vernard if he's not home chilling?" There's a good chance you can find me at B ooks-A-Million j ust reading a book. And the reason I'm doing this, is one I'm cheap, I can go in there and read it for free.
I can just don't just pick up stuff and learn because I understand you don't understand and don't know what you don't know you've got to do. Can't keep using those excuses. You know I don't want to give somebody a tid bit and they run with it not because you might get yourself in trouble. Start learning terminology. Learn what these things mean. Learn how to put...then you can learn how to put them in play .
People ask me all time things and I'm always very nice and I tried to tell it but I don't give out a lot of information on certain things because I know it'll get people in trouble because sometimes people give me the lazy myself included , start learning the terminology and then you know what questions to ask. Sometimes I'll stop and talk to some people cause they asked me the right questions and I'm inquisitive and I understand how do they know what ask.
That would be the advice, learn what can you do and what to say when you get to the table .
Okay. What financial lesson have you learned so far with COVID-19?
They always say keep, just keep six months of living expenses and people are learning now that is so true. It's so true. It's so true. Six months. I got a cousin, I love her to death. Great job. Hey girl, you got to make all this money. Save 6 months up. I mean I hadn't heard her from except for, I mean she'd go through money like you know. Them pockets, you can't sell them pocket books when it's times like , like now .
Yeah. I'm so glad you said that cause I had been trying to just share that with people that I know. Like even when we come out of this, we don't need to be spending, we need to get our savings back up. Cause I even started telling my friends like, no, I'm not doing that. Then my first celebration is homecoming cause uh , I'm saving until I get that savings back up. I'm not going anywhere. This could happen again and we gotta be ready for it.
Okay. So you have created multiple assets from businesses, real estate, stocks, even your book, which is content. Right. Well, I think you've probably already answered this, but what is the best asset that you have?
from the ones you said ? I would probably say real estate, but the best asset you have is yourself, I mean, bet on yourself. I mean, if I had your best asset , I mean I could sell myself and I don't, I don't charge for most stuff . I mean all the time to come speak and do this. You know, I thought about it. I know we talked about this podcast. I mean, when I was in LA doing this podcast with this lady, I mean she was asking me a question and she was great. My name is Ellie .
I mean she, she does these Netflix moves , she does all these things, but I just could not, I , when we were talking, I'll , I kept looking at this lady was like, this lady at 2 million downloads of her podcasts every month. I kept thinking two million dollars, she get a dollar, is she gets 10 cents and hopefully you, you, you're there soon. So it's all about yourself. I mean betting on yourself .
I'm not there yet, but they say, just keep, you know, keep talking to keep doing to , you'll have to introduce yourself and people will pay you. I look at our show, I look at what we get paid and we didn't paid well. I mean, for me, I'm happy, but the number one show make a million and a half per season. So, so I'm just saying, I mean I'm not, we're not nearly number one, but I'm just saying...
It's possible.
It's possible. Why not us?
Yeah, absolutely. What tips would you give college students that want to learn how to start making passive income?
Look around. So, you know, because I'm always having to be in different mediums. I'm always needing pictures. So I found this one guy, very nice guy, African-American guy, probably 40. Um, he came, he takes pictures, he came with his daughter , his daughter I think is 17 going to just talking . She was holding, I don't know what you call it, with the little light thing . So I'm talking to her like, "Are you learning anything?" "Nah, I don't like it. This i s not what I want to do."
And I'm not saying t hat w e're the one to do, but I mean y ou, your dad got like tons of c ameras laying around and, a nd then her Dad chimed in and sa id, I'll even pay her to edit. She's like, I don't really like that. But what I'm saying is f ind your hussle. I mean, if you're in college, one thing I've learned going to the different, HBCU's and meeting different fraternity brothers,-their hustles, I never forget going to FAMU. So this was, this must have been right.
'90-'91 and one and it was one of my frat brother's name was Zig and the other guy's name was Zack. So at FAM, this is, this was before they had all this deliver and everything. They had Zig and Zack hot wings. So you know, 30 years ago, they would deliver hot wings to the dorms and these guys made so much money. It was, I mean, I'll never forget those stories, the entrepreneur . And it always stuck with me. Like, man, that's a good idea.
I mean, just find, you just got to find that hustle, you know, if you're in college, it's never, it's not too early. It's never early to start trying to find what ways you can make money, you know , just find a need and fill it. That was my thing, just become an entrepreneur.
Yeah, I agree. Okay, so Vernard, what is your ultimate goal?
You shouldv'e have asked me that years ago. I don't know. I mean, could you, would you want to , I mean , you know. Best selling author, TV show,. You know, I'll tell you what, what is my next thing is. What is going to be interesting? You know, I've talked about getting fan mail from Sweden, Botswana and South Africa. I think maybe I'll go cry in my mama's arm when our networks show...this season will be over in about three weeks straight.
But I think I'll probably cry, again for 200 times in my mom's arm when we go on Disney+ .Here's a kid from Fort Valley, Georgia had some struggles and being streamed and being a part of the Disney family a lot. I don't know, people know, but Disney owns Nat Geo. The night of our opening, we got a email, personal email from the CEO of Disney, which really caught us both off guard.
But I think going from Nat Geo and then going to Disney streaming and being on that platform of Disney+, and you know, I mean, being in front of about 40 million people, you know, I think it's a few million on Nat Geo. but 40 million nationwide, you're all over the world. That's, that's a game changer. I don't know, I'm still trying to think how can I market it? How can I...I'm, I'm actually in talks right now with my agent. We're number one show by Dr. Pols, He does a tour in Europe.
Terrance and I are looking at possibly being a part of that tour to get paid to t ravel through Europe and just do shows and d o talks in the countries that do this,. So, but back to that, I think figuring out how to monetize myself w ith Disney. I mean, is there a bigger platform? It isn't. Y ou k now, I mean, when we go out, when I went to, you know, to sit there and be at the Disney Christmas party and you look around these guys trying to see if you really belong. So t hat's different.
I think trying to figure out this next, t his streaming service and how can I monetize Vernard Hodges on another level that's probably going to be n ear the level. I'll, I 'll take this, but this is a whole nother piece.
Yeah, well you've got it. Oh, so I think you're playing small with that goal. I think God has something bigger for you than that. But that's just my opinion.
We'll see how many of them, I mean, you know, I'll take it. As far as kids and that platform using these kids. I mean, I'll tell you just two things. One, there's been a big push to try to get more African Americans or people of color in the veterinarian professional. I mean....just won't cut it. I tennis now looking at trying to do an Academy for kids in the summertime too to help with that.
I was telling, telling my producer, you know, I want to get all these different things, but small things to other people. Like, this month we're on the cover of , uh , the GVMA, which is Georgia Veterinary Medical Association Magazine. It's never been an African-American own that cover ever, you know. So just being pioneers in this thing i s, it's pretty cool.
Do you feel any pressure on you because you are like somewhat of the spokesperson?
A ctually, no. Because I've always done it Candle. You know, it would be one thing if g oing t o talk to these kids o r having these kids in our class in our o fficers was new. But I mean right now we got 43 people who've come through work with us who are black and gone on to be veterinarians and probably a nother 200 technicians and countless other kids, maybe thousands of kids t hat just, so i s nothing new. I mean i t's not changing.
I mean it's not like we h ave to do i t a nd c hange c ause t his i s what we do. I 've never said, no to anybody who s ay, Hey, I want to bring my kid here. N o, n o. So i t's nothing r eal. I mean i t's n ot, I can't go to every school I have to go to work, but you know, I mean it 's, it's, this is nothing new.
How can people follow you? Cause I know after this conversation they're gonna like I want to know more about this man. He has inspired me. So how can we get in touch with you?
All right , so that's Dr. Vernard Hodges on Facebook and my Instagram was Dr. Hodges_critterfixervet.
Okay. And I will have links on my website too, on how you can get access to a Dr. Hodges . Well , Dr. Hodges, thank you for your time and your energy, your light. I mean, you really, you shed a lot of light today. Oh, this cloudy day. It is. It is light outside because of you. I appreciate it.
Thank you. And hopefully we have homecoming.
Oh yes. Oh, we will. We're going to have homecoming regardless. You can watch Dr. Hodges on critter, fixers, country vets every Saturday night at 10:00 PM on National Geographic Wild to contact Dr. Hodges. Learn more about his business and get transcripts to the show. Just go to candle locket.com/podcast so are you ready to start investing? But you don't know where to begin. Get access to my free real estate investing starter-kit. Just go to CandleLockett.com That's it for now. Stay lit!