Podcast - Effective Strategic Investing Tips With John Michailidis | Prosperity Group of KW Island Life Real Estate | Venice, FL | Ice Cream With Investors Podcast
00:00:00 - 00:45:00
In this YouTube video titled "Effective Strategic Investing Tips With John Michailidis," John Michailidis shares his insights on strategic investing and building income streams that provide a comfortable lifestyle. He emphasizes the importance of defining success on one's own terms and not conforming to societal expectations. Michailidis reflects on his experience in the property management business and discusses the benefits and challenges of working with a franchise. He highlights the significance of networking and building relationships within the real estate industry and promoting collaboration among professionals. Michailidis stresses the importance of investing in assets that generate cash flow and achieving financial freedom by designing income streams that meet individual needs. He differentiates between investing and speculating, emphasizing the importance of investing in assets with intrinsic value. Michailidis also discusses the crucial aspects of estate planning and the need to consult an estate planning attorney. He concludes by sharing his favorite books, discussing his daily habits, and encouraging listeners to seek knowledge outside of mainstream news sources and think for themselves.
00:00:00 In this section, John Michailidis suggests that individuals don't have to strive to become millionaires and can design a life with income streams that provide them with a comfortable lifestyle. He emphasizes that one should not let others dictate what success should be and that success is subjective. John Michailidis is the owner of a residential property management company in Sarasota, Florida, with 33 years of experience in the real estate business. He plans to phase out of the property management business by the end of 2023 and is currently selling off the properties on behalf of his owners, as he believes the return on commissions is higher than selling the properties themselves. John Michailidis has a diverse background and has spent time in various cities such as Buffalo, Austin, and Chicago.
00:05:00 In this section, John Michailidis explains how he ended up managing properties in Sarasota. After graduating from law school and starting a real estate brokerage in Chicago, he noticed a gap in the market for smaller buildings such as four flats, six flats, and ten flats. He positioned himself as the specialist in that market, but when the 2008 crash hit, he lost everything and had to move to Sarasota with just a thousand dollars. He started flipping short sales and eventually got back on his feet. Seeing the potential in the rental market due to foreclosures, he decided to partner with a property management franchise, which turned out to be a lucrative business opportunity.
00:10:00 In this section, the speaker discusses his experience with buying a property management franchise. He explains that the process was simple, involving reading and signing a contract. The benefit of being part of a franchise was marketing support, access to discounted tools and resources, and the assurance of having a Fortune 500 company oversee the books. However, he now realizes that he could have started his own property management company without the need for a franchise. One of the challenges he faced in running and scaling the business was finding reliable vendors. He emphasizes the importance of having a strong team in property management and highlights his solution of joining a business networking organization to connect with reliable professionals.
00:15:00 In this section, the speaker discusses the importance of networking and building relationships within the real estate industry. They explain their experience with a BNI group, where members support each other by providing leads and referrals. The speaker emphasizes the value of having a reliable network of professionals such as plumbers, electricians, and handymen, which can be beneficial for property management companies. They also mention the difficulty of finding reliable contractors and emphasize the benefits of working with a property manager who has an established network. The speaker then transitions to discussing their book, "Strategic Planning and Investing for Individuals." They define an investment as an economic machine that generates cash flow. They stress the importance of investments that produce returns rather than relying on the hope of future growth in value. The speaker encourages individuals to start with smaller investments that can cover their expenses, such as car payments or cellphone bills, before moving on to larger investments. They advocate for a steady approach rather than chasing big wins in investments.
00:20:00 In this section, the speaker emphasizes the importance of investing in assets that generate cash flow. He believes that investments should automatically produce cash flow, and anything that doesn't is merely speculative. He also highlights the idea of achieving financial freedom by using investment income to cover essential expenses. The speaker suggests that individuals can design their desired lifestyle by setting up income streams that meet their specific needs. He challenges the common notion of success and emphasizes the need for personal determination in defining one's own version of success. The speaker further explains the difference between hard assets, such as real estate or commodities like gold, and derivatives, which derive their value from something else. He emphasizes the tangible nature and intrinsic value of hard assets compared to the speculative nature of derivatives.
00:25:00 In this section, the speaker discusses the difference between investing and speculating, highlighting the importance of investing in assets with intrinsic value rather than making bets on future prices. They also emphasize that not all assets are truly assets, using bank accounts as an example and explaining that the money in the account actually belongs to the bank. The speaker then goes on to discuss the concept of ownership in investments, explaining that owning a share of a stock, for example, is just a claim against the company and not actual ownership. They compare this to being a limited partner in a real estate syndication, where there is more accountability and partnership with the professionals involved. Moving on to estate planning, the speaker emphasizes the importance of planning for what happens to one's assets and dependents in the event of incapacitation or passing, highlighting the need for individuals to secure their belongings and ensure they go to the intended recipients.
00:30:00 In this section, the speaker discusses the importance of estate planning and the need to consult an estate planning attorney who specializes in the field. They emphasize that estate plans should be tailored to each individual's specific situation and that it is crucial to update and review them regularly. The speaker also highlights the significance of consulting an attorney who is well-versed in the estate planning laws of the state in which one resides.
00:35:00 In this section, John Michailidis talks about some of his favorite books, including "Atlas Shrugged" by Ayn Rand and "Human Action" by Ludwig von Mises. He also mentions John F. Kennedy Jr.'s book on the COVID-19 epidemic as an eye-opening read. When asked about his daily habits, Michailidis emphasizes the importance of starting his day with quiet time for reading, praying, thinking, and planning. He also mentions the habit of getting his daily steps in and taking care of his health. The best piece of advice Michailidis has ever received is to think for oneself and not blindly follow the agendas and narratives propagated by politicians and the media. He encourages people to seek out their own truths and surround themselves with trustworthy and knowledgeable individuals.
00:40:00 In this section, John shares his perspective on the importance of seeking knowledge outside of mainstream news sources and the value of personal growth. He emphasizes that there is a wealth of knowledge to be gained from attending conferences and meeting new people, rather than relying solely on television news. John also mentions that he takes pride in being a decent human being and making difficult but right decisions in life, even when the world promotes the pursuit of money as the ultimate goal. Lastly, he humorously expresses his admiration for Jesus Christ and Elon Musk, highlighting their extraordinary achievements and how they inspire him. John provides information about his website, wealthloop.com, where his book can be purchased, and despite not knowing why, he mentions recent book sales in Slovenia and Moldova.
00:45:00 In this section, John Michailidis mentions that his book, "International Man," has been an international bestseller. He sold 100 copies in France, although he is unsure why it gained popularity there. The interviewer mentions that the links to John's book will be included in the show notes. John concludes by expressing his gratitude for being on the show and encourages the listeners to design their own lifestyle and think for themselves, while also recommending that they continue to listen to Matt and other similar individuals for guidance.
