Page 9 - Venture - State of the Market 2020

Which option did you choose? Assuming property values increased 7% this year, here’s how much you
made off your investment property.

If you chose option 1, your investment property value is now $53,500 and your net gains is $3,500.
If you chose option 2, your investment property value is now $107,000 and your net gain is $7,000.

If you chose option 3, your investment property value is now $214,000 and your net gain is $14,000.

*Example provided by Mynd/Home union
Execution, It’s one thing to plan, it’s another thing to execute. In real estate, in order to execute you need to
have Market Knowledge, and in order to have market knowledge you need to have accurate market data.
I’ve learned that I only know so much. My knowledge is limited, yes I know quite a bit but it’s limited, all our
knowledge is limited. Why does Bill Gates carry around a tote of books every year? To learn. Why does
Warren Buffet read books 7 times as well as read everyday? To gain knowledge. Patterns in the market.
Real Estate Patterns. We closed on an apartment complex in West Seattle on California Ave, we did about
seven real time rental valuations and we saw a pattern that rents were trending upward and we could get
our rents for a 1 bed, that we thought we would get for a 2 bed. We were right. We are achieving 10-15%
higher rents while lowering our renovation budget. Our investors are happy. Execute effectively and get re-
sults. One of my long term advisors and friends who ran a Billion dollar company based out of Seattle said
in business we’re all measured by results period. It’s true whether we like it or not.

VENTURE | 2020 STATE OF THE MARKET 7