Now more than ever, due diligence is a vital part of the real estate business. Greg Dickerson is an expert on the subject and has a mammoth amount of experience in the game, having started out back in the 1990s! We hear from Greg about his history in the field of real estate and how he made his way into multifamily before getting into his due diligence process and how he has refined it over the years. Greg does a great job of unpacking the important aspects and which need the most attention and he shows how he keeps his finances covered in these circumstances. He touches on how the coronavirus crisis has only increased the necessity of these precautions too. We speak about tools and systems and Greg alerts us to some of the common hurdles and potholes you may run into during the acquisition process. With a lot of experience on the construction side of things, Greg is well versed enough to keep himself safe from most of the unknown qualities in real estate and he shares about reasonable and healthy amounts of time for these processes and how long each step may take. For a brief yet comprehensive look at this important part of your business, please join us on the show today!
Key Points From This Episode:
- Greg's background in real estate development and his current work in the space.
- The process of due diligence and who is involved at various phases.
- Assessing the different areas of the property and surrounding spaces.
- Impacts of the coronavirus on the due diligence process.
- The checklist that Greg uses to make sure that standards are met.
- Tools for automation and convenience when going through the checks.
- The kinds of surprises and problems you can run into when making a purchase.
- How Greg's experience in the construction business serves him now.
- Time-periods for due diligence and why Greg works on a minimum of 60 days.
- Greg's asset management super powers; risk assessment and construction costs.
- Preparing for the unforeseen elements of due diligence and allowing time for these.
“I’ve been in the business since 1997, started as a remodeling contractor, built that to a 30 million dollar company in seven years and sold it.” — @AGregDickerson [0:01:00]
“My whole philosophy has been build businesses that generate cash flow to invest in other assets so for me, that was real estate into commercial real estate, into land development, into bigger projects.” — @AGregDickerson [0:01:10]
Links Mentioned in Today’s Episode: