Nicholas J. Roman

The world is full of obvious things which people rarely observe

[Nicholas J. Roman @nicholasjroman]

..injustice,when on a sufficient scale, has more strength and freedom and mastery than justice..

Book I THE REPUBLIC

-Plato

[Nicholas J. Roman @nicholasjroman]

"...justice is useful when money is useless?"
"That is the inference"

Book I of THE REPUBLIC

-Plato

[Nicholas J. Roman @nicholasjroman]

Decentralization and fragmentation stabilizes systems and improves peoples connection to their labor.

~PROLOGUE, PART 2 SKIN IN THE GAME

[Nicholas J. Roman @nicholasjroman]

Universal behavior is great on paper, disastrous in practice.

-SKIN IN THE GAME

[Nicholas J. Roman @nicholasjroman]

The curse of modernity is that we are increasingly populated by a class of people who are better at explaining than understanding.

~SKIN IN THE GAME

[Nicholas J. Roman @nicholasjroman]

Bureaucracy is a construction by which a person is conveniently separated from the consequences of his or her actions.

~ SKIN IN THE GAME

[Nicholas J. Roman @nicholasjroman]

@MolecularLab_ @grok give me origination of these names?

[Nicholas J. Roman @nicholasjroman]

@elonmusk I'd like to nominate a number of exemplary and current public civil servants to bring their talents to resettlements.

[Nicholas J. Roman @nicholasjroman]

@leadlagreport Endurance - The story of Ernest Shackelton

[The Figen @TheFigen_]

Switzerland uses a mobile overpass bridge to carry out road work without stopping traffic.

[Nicholas J. Roman @nicholasjroman]

“I could end the deficit in five minutes,” Buffett said. “You just pass a law that says that any time there’s a deficit of more than three percent of GDP, all sitting members of Congress are ineligible for re-election.”

- Warren Buffet

[Nicholas J. Roman @nicholasjroman]

@elonmusk 1%er

[Elon Musk @elonmusk]

The axiomatic error undermining much of Western Civilization is “weak makes right”.

If someone accepts, explicitly or implicitly, that the oppressed are always the good guys, then the natural conclusion is that the strong are the bad guys.

[Elon Musk @elonmusk]

Absolutely disastrous

[Elon Musk @elonmusk]

It’s a real problem!

[Elon Musk @elonmusk]

Yes!

[The Real Estate God @TheRealEstateG6]

// $0 to $1MM in 5 Years //

Probably the most common question I get from younger guys is “How would you do it all again if you were my age?”

I’ll do you one better. Here’s an extremely realistic gameplan to get from ~$0 to $1MM in 5 yrs

I’m going to assume that you have a W2, are roughly 22 and have limited capital coming out of college

We’re going to get you from $0 to $1MM in just 3 deals

// Deal 1 //

You’re broke and have no skills. Everyone was here at some point. You can either whine about it or you can get moving

Reason most people think making money is hard is that they focus on how hard the end goal is (making $1MM) instead of focusing on the first step of the process – gaining the knowledge necessary to start making money

This first deal doesn’t matter at all. The only reason it matters is to “get you in the game”. Once you buy a deal you start accruing market knowledge, you start accruing relationships (lender, investor, broker, etc) – you start to become “dangerous”

You obviously want it to be a good deal but it doesn’t need to be a *great* deal. Because the purpose isn’t to make money, it’s to gain knowledge/skills/relationships so you can make real money on future deals

So what does this mean in a practical sense?

Step 1: Figure out how much equity you either have yourself or can raise

I was literally dead broke for my first deal so was only able to put $2,500 of my own money in. I reached out to my entire network and was only able to gather ~$100k. That wasn’t enough to buy a triplex all cash in my market (which is what I was targeting)

So I reached out to friends who could possibly partner up in the deal. Meant splitting the GP profits but didn’t matter to me. Was going to do whatever it took. If I needed to take on 10 more partners, I would have. It wasn’t about the profit, it was about the skillset

I finaly found a partner and using our combined networks, we were able to muster $200k, which allowed us to buy a triplex

I’m going to assume you can raise a similar amount, but if not, no problem. Whatever amount you can raise, you back into a deal of that size. If you truly can’t raise any money (this is probably a severe character flaw if no one you’ve met in 20+ years of life would be willing to give you any money – but that’s a separate point), start up a real estate social media account, share your thoughts/analysis, create a network and raise the money that way

Step 2: Finding the deal

-          The market: You’re going to go into a market where deals sell for less than $150k/unit. Additionally, deals in the market should be selling for 6% cap rates at minimum otherwise you’re going to find it too difficult
-          You’re going to search on Zillow/Redfin for duplexes, triplexes and quads (loopnet and crexi only really work for bigger properties)
-          Open up excel. Make a list of every property listed in the market. Track the price per unit it’s listed for and note the price per unit it sells for. There should be 50+ properties on this list or you’re doing it wrong. Download any and all financial information that’s included in the listing. If there’s no information in the listing, call up the broker and get it from him. By the end of this process, you should know exactly what price per unit properties sell for in the market and exactly what cap rate they trade at. You’ll be looking to buy a property below the market price per unit and above the market cap rate (stabilized yield). Simple
-          Market rents: Same thing. First use the mls/costar if you have access to it. If not, get comps from brokers (still have to vet them yourself). Worst case scenario, use Zillow/apartments.com for active comps. Put them all in excel, discard any outliers and take the average. You’ll still need to run the “market rent” for each new deal you look at as each property differs slightly, but this should get you close initially

[Nicholas J. Roman @nicholasjroman]

@GovRonDeSantis Thanks Governor Ron!

[Nicholas J. Roman @nicholasjroman]

@chutneylife Greed/Fear index is high reading comments. I remember one time when consensus on price increases was this strong.

[Nicholas J. Roman @nicholasjroman]

@NeelBParekh LOL