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  • Networking and Connections: The Key to Finding Great Real Estate Deals With Vlad Arakcheyev [Ep175]
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October 17, 2023

Networking and Connections: The Key to Finding Great Real Estate Deals With Vlad Arakcheyev [Ep175]

Vlad Arakcheyev is a seasoned real estate investor with a wealth of knowledge and experiences to share. In this episode, he emphasizes the importance of networking and connections in finding great real estate deals. He discusses attending webinars to learn from successful individuals who have achieved success in winning deals. Vlad also shares how implementing certain strategies in business plans can lead to generating more income and paying higher prices.

As we dive deeper into the conversation, Vlad provides valuable insights on various topics within the real estate realm. From his expertise in contracts, HVACs, and piping, to his recommendations on maintenance and painting, Vlad's tips and suggestions truly add value to our discussion. He even shares his own journey in the real estate market, including his first deal and how he attracted additional investors.

Join us as we delve into Vlad's extensive networking resources, his experiences with syndicators, and his suggestions for finding the right partners and markets to invest in. He sheds light on the transparency and reporting methods in real estate partnerships and discusses his involvement in LP work.

Episode Timestamps

  • 00:02:28 Vlad had expertise in house flipping and added value to the conversation with his knowledge on HVAC and piping.
  • 00:04:11 When to paint; which company to use. First deal success, brought in investors, gained co-GP title, valuable learning opportunity.
  • 00:09:13 With $506B, non-accredited investors can invest, compound wealth in real estate and other accounts tax-free.
  • 00:15:08 Decide, ask, grow real estate, scared, first deal, stocks, scared, duplex, scared, Iraq, power, mortgage, appreciation, go bigger.
  • 00:22:40 Networking is key; ask about experience, deals, and returns.
  • 00:26:07 Many investment opportunities look the same, but finding the right people to invest with takes time and experience.
  • 00:30:57 Real estate success from humble beginnings through networking and education.
  • 00:37:50 Volume of deals decreased. Lower rates. People holding onto properties. Creative financing used for loans.
  • 00:40:12 Continuing to pursue deals despite challenges, uncertain future. COVID brought fear to owners.
  • 00:47:47 Seeking a warm introduction for a loan to benefit from relationships with lenders.

Episode Table of Contents

  • Networking and Connections: The Key to Finding Good Real Estate Deals
  • Knowledge in Contracts, HVAC, and Piping
  • Proper Timing for Property Painting
  • Networking and Connections: The Traditional Path vs. Real Estate Investing
  • True Diversification in Real Estate Investments
  • The Importance of Relationships and Working with Syndicators

Networking and Connections: The Key to Finding Good Real Estate Deals

Networking and Connections: The Key to Finding Good Real Estate Deals
Photographer: Alina Grubnyak | Source: Unsplash
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Attending Industry Events Provides Valuable Insights

Vlad emphasizes attending webinars and networking events related to commercial real estate investing in order to learn from others and uncover new opportunities. He shares that even just being "a fly on the wall" in asset management calls for deals he's invested in has been hugely educational. Vlad also makes a point to sign up for webinars hosted by other syndicators announcing their deals. While he may not invest, it's a learning experience to understand their underwriting and strategy. For example, he's discovered some investors incorporate additional income streams in their business plan, allowing them to pay higher prices. Attending these webinars and networking events has been instrumental for Vlad to expand his knowledge and sourcing pipeline in commercial real estate.

Learning Why You Lost A Deal Reveals New Strategies

Vlad recounts when he was pursuing his first syndicated deal and lost to other bidders. Rather than accepting defeat, he signed up for their investment webinars to understand how they were able to pay more than his team's offer price. He discovered the winning groups had implemented creative strategies in their business plan to generate additional income from the property. This provided Vlad with new ideas that he could apply toward future opportunities. It demonstrates the value of thoroughly analyzing deals you did not win and learning from other successful investors in order to expand your repertoire of strategies.

Knowledge in Contracts, HVAC, and Piping

Knowledge in Contracts, HVAC, and Piping
Photographer: Lukáš Lehotský | Source: Unsplash

Vlad's Background Provides Relevant Knowledge

With his background flipping houses in New Jersey, Vlad Arakcheyev gained valuable knowledge and experience in various aspects of real estate investing. This includes an understanding of contracts, HVAC systems, and piping. When discussing his experience participating in asset management calls as an LP/co-GP, Vlad mentions providing suggestions related to these topics that the other syndicators found helpful.

Vlad's Expertise in House Flipping and HVAC: "If we replace, let's say, just the blower. We have to look, make sure that the pipe and the compressor all match."— Vlad Arakcheyev

Sharing a Specific HVAC Recommendation

For example, when a building's HVAC system needed work, Vlad advised just replacing the blower while ensuring the pipe and compressor still matched properly. The other syndicators acknowledged this was a good point and that Vlad's perspective added value to the discussion. His hands-on experience flipping houses gave him useful insight into HVAC components and maintenance considerations.

Proper Timing for Property Painting

Proper Timing for Property Painting
Photographer: Theme Photos | Source: Unsplash

Vlad's Thoughts on the Relevance of Painting Questions

Later in the discussion, Vlad brings up questions related to determining the right time to paint a property. He emphasizes that any question about painting timing is relevant and can help the team make better strategic decisions.

Painting as an Art: "When to do it, when is the proper time to paint, and, what company to use. I mean, any question is completely a relevant question."— Vlad Arakcheyev

Painting Impacts Property Value

With his background in real estate investing, Vlad understands that factors like painting impact the overall value and appeal of a property. The proper timing and coordination of painting can contribute significantly to success. Vlad makes the point that team members should feel comfortable asking seemingly small questions about painting, as the answers can inform better practices.

Networking and Connections: The Traditional Path vs. Real Estate Investing

Networking and Connections: The Traditional Path vs. Real Estate Investing
Photographer: Clint Adair | Source: Unsplash

Vlad's Background Following the Traditional Path

Vlad reflects on starting out on the traditional path of going to school, getting good grades, and working for a good company. He mentions the common societal expectation of climbing the corporate ladder and maximizing income by working for a company.

Lack of Company Loyalty in Modern Business

However, Vlad points out the lack of loyalty between companies and employees in modern business, where frequently switching jobs to take advantage of better opportunities is seen as common practice. Employees are not as loyal to companies, and vice versa.

The Power of Compounding Interest, Networking and Connections

He then discusses the concept of compound interest, explaining its powerful impact on growing investments over time. Vlad demonstrates how real estate offers leverage and higher compounding potential compared to other investments.

Expanding Investment Opportunities: "So the world of investing really opened up, And people have to look at the opportunities and possibilities and really compound their wealth."— Vlad Arakcheyev

Contrasting Returns on Investments

Vlad presents an example of investing $5,000 or $10,000 in the stock market and earning a 5% interest annually, resulting in a $500 return. He contrasts this with the greater compounding potential in real estate investments utilizing leverage.

True Diversification in Real Estate Investments

True Diversification in Real Estate Investments
Photographer: Aleks Marinkovic | Source: Unsplash

The Key to True Diversification in Networking and Connections

Vlad discusses the idea that investing solely in stocks and bonds does not provide true diversification. He gives an example of buying $10,000 of Amazon stock, but states that he does not see this as true diversification. Vlad suggests that in order to truly diversify, one should spread their money across various types of real estate investments. He mentions RV parks, apartments, car washes, and land development deals as examples of ways to diversify in real estate.

The Importance of True Diversification: "Investing in bonds and stocks is not diversification… But true diversification, really, just put your money with a person, operator, group that you trust, And let it grow. Let it compound, and you'll really see results. You'll really see huge results."— Vlad Arakcheyev

Rethinking Networking and Connections Beyond Stocks and Bonds

He begins by mentioning his experience of buying $10,000 worth of Amazon stock but emphasizes that he doesn't consider investing in stocks and bonds as true diversification. When explaining the concept of diversification, Vlad refers to his personal experience of purchasing $10,000 of Amazon stock. However, he emphasizes that he does not believe investing in stocks and bonds provides real diversification. Vlad stresses that while stocks and bonds are commonly viewed as ways to diversify, he does not agree with this perspective.

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The Path to True Networking and Connections in Diversification

Instead, he suggests spreading money across various types of real estate investments, such as RV parks, apartments, car washes, and land development deals, to achieve true diversification. Rather than stocks and bonds, Vlad recommends spreading money across different real estate investment types to properly diversify. He specifically suggests RV parks, apartments, car washes, and land development deals as examples of ways to diversify within real estate. Vlad argues that investing across these various real estate sectors is the path to true diversification.

Networking and Connections in Real Estate Investment

Vlad underscores the importance of trusting the person, operator, or group with whom one chooses to invest and focusing on allowing money to grow and compound over time. When discussing diversification in real estate, Vlad emphasizes the importance of trusting who you invest with. He states that one should focus on choosing a person, operator, or group that they trust to invest their money with. Additionally, Vlad highlights the need to let the money grow and compound over time once invested. By following this approach, significant results can be achieved in the world of real estate investment.

In summary, Vlad argues that by spreading money across various real estate investment types, choosing trustworthy people to invest with, and letting investments compound over time, an investor can achieve significant results. He presents this approach as the path to success in real estate investing.

The Importance of Relationships and Working with Syndicators

The Importance of Relationships and Working with Syndicators
Photographer: Memento Media | Source: Unsplash

Leveraging Networking and Connections with Syndicators

Vlad acknowledges that many people can relate to the listener's experience, emphasizing the value of working with syndicators when investing. He points out that the real estate investment world is small, and if someone attends networking events long enough, they will recognize many of the same people repeatedly. Vlad explains that most people in real estate started from humble beginnings, working their way up from residential real estate investing. As a result, veterans are very open to sharing information and helping newcomers learn the business.

Prioritize Choosing a Syndicator

Vlad recommends first picking a market, such as Texas or Florida, and then finding syndicators with a strong presence in that area. He advises building a relationship with the chosen syndicator, as this is key for successful partnerships. Vlad emphasizes betting on the operator, not just the deal, when evaluating investment opportunities.

Transparent Reporting is Vital

As a partner in a deal, an investor can ask for any financial details, Vlad explains. He provides specific examples such as requesting to see monthly or quarterly reporting. The reports should be incredibly transparent, including specifics like the number of property turns, Capital Expenditure (CapEx) projects underway, and future goals. Vlad states that a syndicator who refuses to provide this level of transparency may be trying to hide something.

Being a Partner in Real Estate Investments: "You're not just an investor. You're partner in the deal, your passive partner. So as a partner, you have a right to request any financials."— Vlad Arakcheyev

Where To Find Vlad Arakcheyev

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Darin Batchelder


Wealth creation through real estate provided me with a new passion to get the word out and let others know that they have an alternative to investing in the stock market.

If I can inspire and educate just one person to take action that results in life changing wealth creation then the work to launch and grow this podcast is well worth the effort.

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