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Solo /Business / Aug 27, 2021 · 25 min

Special Guest Josh Adamek PT2

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PART 2! Josh Adamek is today’s guest on The Grind Cast! Tune In he has a great story and business!

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Count money, man.

Money, man.

That grits us.

I'm trying to told him I'm a beast.

What's up, gang?

We're getting to the grind.

I'm going to stop an area here.

Get ready.

It's a new day.

New day.

So, you know, what would you say are some of the mistakes people make real estate investing

or just investing in general?

Yeah.

So, I could probably talk on this one all day.

I mean, go ahead.

Yeah.

We're going to help people with this.

So, being involved with Acre, the real estate investors club, you see a lot of new people

coming, a lot of people coming and going and then just being involved with that whole

side of the business.

I mean, you see a lot of stuff that's out there.

People tend to get caught up again in shiny object syndrome.

They see the quote-unquote guru on the internet selling a course with the big ass cars,

the big house, the big cars, you know, all that stuff.

And do this, come do that.

You know, that and then, you know, HGTV, people watch their shows, flip this house, whatever

that is.

You know, they think they can do it.

So, you know, people go, how are they going to be?

They do it in 30 minutes, right?

So, they go buy, they go buy, I'm going to flip a house.

Well, if you know nothing about real estate, if you know nothing about market cycles, if

you know nothing about, you know, the different areas that you're investing in, you can overpay

for a property, buy in the wrong area.

And then the big thing is construction.

I mean, if you don't know anything about construction, you have no business flipping a house.

You know, we're blessed, we got good relationships with contractors again, you know, good friends

of ours.

But if you're just out of the blue, I'm going to flip a house, I'm going to go hire a contractor.

Contractors are tough, man.

I mean, they're tough to deal with.

You know, you end up, you see people underestimating repairs or over-improving the house.

You know, oh, I saw this on TV.

I'm going to put this, you know, $30,000 kitchen in this house.

Well, you're going to sell the house for $150, you don't need a $30,000 kitchen, right?

Right.

So, over-improving the house, no, not underestimating repairs, buying in the wrong areas.

You know, and then market cycles.

You got to understand market cycles.

So when you're buying a house to flip, if it doesn't make sense as a rental, and you

can't afford to keep it long-term, you shouldn't be flipping that house.

Because you could get stuck with it, like a potato.

You need multiple exit strategies.

So, you know, when you get into the iron homes, builds, new builds and flips and stuff

like that, I mean, if you're-

That's the shiny thing that, you know, you got to really know what you're talking about.

So people say, well, I'm going to buy this for $500,000.

Right.

I'll put $100,000 into it, and I'm going to sell it for a million.

Yeah.

And I'm going to just screw your model.

I'm going to get-

I'm going to make $300,000 on my shit now, you know, versus-

This is what you're talking about is, you know, sounds good.

Yeah.

Everything looks good on a spreadsheet.

Right.

So, yeah, I mean, you know, with those higher-end homes, I mean, they're more expansive.

And then a lot of people will be borrowing money to do those short-term, high-interest money.

You got cost of the money, you got property taxes, you get into a half million plus dollar

home, I mean, you're a thousand bucks a month just in property taxes.

So that your cost of money, I mean, your holding cost could be $45,000, $6,000 a month

on that house.

So let's say-

Tell it flips.

Yeah.

So let's say it takes an extra 10 months to sell, well, there's 50, 60 grand you didn't account

for.

You know, so-

And then when you get into bigger houses, stuff costs more.

So if you have a rehab budget of $100,000 or something, you start $150,000, you start

opening up walls or doing stuff or, you know, you find things that you got to deal with.

I mean, big houses are big money.

So, you know, unforeseen can be a big cost.

And then, you know, when the market cycles, you know, there's people think about, well,

the market crash, the real estate crash, you know, all of that stuff that we've seen happen

in the past.

You know, those are the houses that I've learned are a little bit more susceptible to those

crashes, right?

If you're owning a half a million dollar property or a million dollar property, if the market

goes wild, you know, those are the homes that are first, you know, going to fill that

hit versus the middle, you know, regular houses, regular neighborhood.

Yeah.

Can you give us a little insight on that?

Yeah.

So, the market cycles typically every 12 to 14 years.

Last crash was in 2008, so do the math.

I mean, we're-

We're right in the 12 to 14 years.

We're coming, we're coming to do for a correction.

I mean, we all thought we all thought COVID was going to be the correction, but, you know,

when it hit, it was all this on the own.

But, you know, to everybody's surprise, we came out strong.

I mean, the market's crazy right now.

But regardless, I mean, there's things that you can't control.

I mean, when these hackers, hackers are like, you know, hacking into whatever these software

things and, you know, asking for $70, $80 million in ransom.

I mean, what if they get into the banking industry or something?

I mean, banking could shut down.

I mean, guess what?

Home sale stop because everybody finances everything.

And then when markets correct, the A neighborhoods are typically the first to go.

We invest, you know, our portfolios are in B-class neighborhoods because across the board in

Pittsburgh, a regular house is regular neighborhoods.

There's always a need for that housing regardless of market cycles.

It's just a matter of, you know, when we're in a good market, our residents may be more inclined

to cash out and purchase the home because financing is available.

If we're in a down market, a market correction, you know, the folks that are losing their homes

that didn't belong in the A neighborhoods, they're coming back to the B's where they belong.

So there's always, there'll be a greater demand for residents.

It's a little bit less risk, you know, with that.

Tell us something that that maybe somebody wouldn't know about you.

Yeah, it was something that somebody doesn't know about me is like, nobody knows anybody.

Like, what is the dumb?

That's a tough one.

And I mean, I'm a commercial media.

Everybody knows everything about it.

Yeah, right.

But there's got to be something that you didn't say.

Yeah, got to be something you ain't saying on social media.

Yeah, I don't know.

I mean, you know, I might not be known but I like, I mean, I like extreme sports.

So, yeah, I like extreme sports and fast cars and, you know, louder.

What do you mean by extreme sports?

Like, yeah, what type of extreme?

Anything, I mean, you know, if we can jump in it off it or...

So you like to jump out, like, out of an airplane?

Yeah, I haven't got...

Would you do that?

Yeah, I don't know.

Really?

Yeah.

Oh, man.

Yeah.

There are 10-year anniversary for being cancer-free.

She, she...

Congratulations.

She jumped out of a plane.

Yeah, yeah, yeah.

So she jumped out of a plane before I did.

But, I don't know, just anything.

I mean, you know, we like skiing downhill mountain biking, motorcycles, fast cars.

I don't ride motorcycles anymore.

I got two kids.

I stopped doing that too.

Yeah, I love bikes.

Anything, anything.

I mean, you know, we...

I'll try anything once for the most part.

You know, like I said, I, you know, I have two kids now.

So I tend to think things through a little bit more.

Tell us, give us some things that, you know, maybe some tips, you know, how...

What do you remember about how you got through that period with Christine getting cancer and beating cancer?

Yeah.

Yeah, so that was back in 2010.

On her 27th birthday, she was diagnosed with triple negative breast cancer.

Very rare form of breast cancer.

And she got the diagnosis and everything kind of stopped.

So it was all the question marks, all the unknowns that come along with that.

You know, she's...

We're newly married.

You know, plan to start a family, stuff like that.

And she's hit with that.

And then she...

She, you know, trying to work through that.

That's one I quit my job.

Not because I was ready financially, but I thought I knew enough about real estate.

That, you know, I'm working 50, 60 hours a week in my job.

And then I'm working on the real estate all weekend.

And...

What was your job?

Working in a body shop.

That's a fixing car.

You were nice.

You were fixing cars.

You were a body man.

That's my type of guy right there.

I cut him in half and put it back together.

Did you?

Yeah.

I was like, I'm not sure.

I'm just trying to start to finish.

So, yeah, I'm working full time trying to do the real estate full time.

And then my wife's diagnosed with breast cancer and trying to be there.

Trying to be there.

Trying to be there for doctors or boyfriends and stuff like that.

I mean, don't get me wrong.

Nobody will...

Nobody will understand, you know, what...

Right.

What you're going through.

That details.

I don't understand what you went through.

I mean, I was there.

I was there for her, but, you know, that's...

It's a lot.

It's a lot to go through.

So, I quit my job.

I figured I knew enough about the real estate that I could make it work.

And I could have a little bit of flexibility in my schedule so that I could try to be there.

A little bit more.

And, you know, just got through that.

Had a good response to the chemotherapy.

There was some setbacks.

I mean, she ended up in ICU a couple of times with some infections, stuff like that.

The chemo, she had a good response, had a good response to the radiation.

And now she's been in the clear for 10 years.

Come on.

Amazing.

Come on.

Congratulations.

Tips on how you guys together or individually, how would you suggest like somebody going...

Like getting through something like that.

That's going through something like that.

Yeah, that's it.

It's tough.

Yeah, it really is tough.

I mean, you don't know what it's like and trying to go through it.

So, you know, and like I said, I was there.

I was trying to be there as much as I could.

So as a spouse.

Yeah.

You know, even though it wasn't you, but it is.

It was your family, it's your wife.

As a spouse, you know, there's a lot of listeners right now.

I guarantee somebody out there has had to go on through it or go on through it right now.

Oh, yeah.

As a spouse, what tips would you have or that you remember is like,

all right, these were good things or here's some dos and don'ts.

Oh, right, right.

If you're going through that, here's what helped us get through that moment.

Right, right.

Or here's what got me through that moment.

Anything you could think of.

You just got to be there.

You got to be there.

I mean, I wasn't there enough.

I mean, I tried to be there.

I probably wasn't there and supportive as I could have entered.

So you were building a business.

You quit your job.

You're building a business at the same time.

Yeah.

This is going on.

Yeah.

And still going to work.

Yeah.

I mean, you have to.

You have to.

So, you know, advice.

I mean, you know, you got it's not it's not so much about like,

you know, what, what could I have done to support her?

You know, but, but they have to be, you know, when somebody's going through that, they, they, they need to connect with,

with people that are going through the same thing.

Like, like with anything.

So, you know, and that's part of, you know, why she started the 412 thrive.

The, the charity that she runs now.

So it's a, it's a nonprofit, 100% give back.

Basically, what they did, there, there's another group who I think you're aware of, Glimmer, I hope,

who's, who's big in Pittsburgh.

They're more so on the fundraising side to, you know, ultimately, hopefully, hopefully find a cure for cancer.

They support, you know, a lot of the medical associations and stuff like that.

But my wife's group, 412 thrive.

They're there, they're just a support group.

So they, they do get together with people that are, you know, have gone through it, that are going through treatments and stuff like that.

They do month to get together.

They do, they do calls, they do outings.

They do, when people are going through treatments, they do care packages.

Different like misectomy bags and stuff like that.

They do, like meal trains.

They're connecting with people that are going through it from people that already gone through it in their encouraging them.

They're connecting and they can connect.

I mean, because they've been, they've been there, they've been through it.

You know, we were, we were fortunate.

We were lucky enough to have kids.

I mean, that was like, that's what we had to deal with.

But imagine like, going through something like that and you got two, three kids running around the house.

No doubt.

And like, mom can't be there, you know, mom sick, mom's not feeling good.

You know, my wife, she's a beast with the kids.

So, so she, she runs a tight ship at home and, and she does really well.

She's a great mother and I couldn't imagine her going through something like that now with those two maniacs running around the house.

Yeah, that's her.

Like speaking to something that, that somebody wouldn't know about you.

Yeah.

Quick question.

Yeah.

Take a guess.

Give you two, two different ones.

One, I think you probably know.

Do you know, Pirm's real first name?

Pirm's real first.

I thought it was Pirm.

Pirm's real first name here.

Pirm's real first.

That's him.

You got it, man.

You got it.

How'd you get with it, man?

You're good.

No one got it, but you got it.

Take a guess.

First name?

Him guessing your first name.

I did know this, but I know this.

Three guesses.

I know him as Pirm.

Come on.

Can I look it up real quick?

Can I find a friend?

Nope.

Can I phone a friend?

Nope.

That makes it funny.

That makes it fun.

What's his first name?

Pirm's first name.

You got me, though.

Come on.

I believe in you.

You worked on cars.

You got this.

I'm going to go with Jose.

You got it.

First name.

All right.

Now that was the warm up.

Go ahead.

That was the warm up.

Okay.

Now what's my middle name?

If you can, now this you get what?

Three?

Three guesses.

So we're doing this all the time on pocket.

Three guesses.

Who can get it?

So we, this is three questions to see if you can know what my middle name is.

I have no idea.

If it gets it, I'm donating to a charity of his choice.

Can't be insured.

Come on.

Nobody gets it.

But three guesses.

Three guesses.

He's on it.

Go ahead.

Pirm's middle name.

I'm going to lose here, man.

I got a whole lot of it.

You have to get three guesses.

Jose.

E.C.

That's E.C.

One puppy.

This one's hard.

I don't even know a name that would do it.

Put a mask with that.

Right?

That's the same thing.

Yeah.

I'm going to assume it's not Simon.

Nope.

That's the one.

Is that one guess?

No, no.

Two guesses.

Probably not Cuervo.

Oh, Cuervo.

Jose Cuervo.

I think.

No, I don't think that's the first one.

That's the one.

I think.

No, no, no, I don't think that's the first one.

Go with Poppy.

That'd be a big one.

I'm Poppy.

You don't got it.

But it's a good thing.

Pirm Poppy.

This one we never exposed.

So stay tuned on that one.

Stay tuned on that one.

Now tell me.

Excuse me.

Why don't you talk a little bit about in your perspective of it?

I told my perspective how we got connected.

But inspiring minds, inspiring minds, Pittsburgh.

You know, what made you want to get involved?

How did you get involved?

get involved and what are your thoughts and overall feeling right now for where we're

at?

Yeah.

So inspiring minds, Pittsburgh, how we got involved was, you know, again, it goes back to

when the kids and when they were born and stuff.

I mean, I, you know, we're big on setting a good example for the children.

So, you know, back when the kids were born, I think I told you this a couple of times, I

even sent it to you a few times Simon, but, you know, when the kids were born, you

were in, everybody was in the ICU.

You know, my wife was in the ICU with heart and lung failure.

The kids were in the NICU, seven weeks premature and I was at Jimmy John's and Eaton dinner.

He didn't get in some day.

It was like midnight, two in the morning, something like that.

And I look up, I see a sign on the wall and it says, it says success is not measured by

wealth, cars or possessions, success is measured by what your kids say about you when they're

talking to your friends.

So I read that, I took a picture of it and I look at it all the time and, you know, it's

all about setting a good example for the kids and, you know, just being there for them

and, you know, trying to be a good father.

But part of that is like showing them not, it's not what we have.

It's like what we're doing.

So we're big on supporting, you know, people that need help and the big thing that we do

that we support is, you know, my wife runs for one to thrive.

The other big thing right now that we're working on is inspiring minds.

So, you know, we're, again, we're blessed with our circle of friends.

So we've been killing it over the last year or so, getting the program going.

We got a great support system with our board of directors.

I mean, you know, I've been involved with other board of directors and you have two and

Perm, you have two and you know, it's like, you know, there's a lot of idea people on boards.

It's like, oh, we should do this.

It's like, all right, we'll go ahead and do it.

Who wants to do the work?

No action.

Nobody wants to do it.

But, you know, when, when our board, inspiring minds, Pittsburgh, like, hey, I'm like,

everybody's all in.

So, you call anybody, anybody and say, hey, can you do this?

Can you do that?

You know, somebody calls you, calls me, whatever, you need to do this?

It gets done.

There's no follow-up needed.

So we're blessed in that capacity that it allows us to grow the organization and, you know,

how we got involved with it was, you know, like you said, I saw what you were doing with

Youngstown and it's amazing.

I mean, give them back to your hometown.

You guys grew up in Youngstown.

You know, you worked hard, got to where you're at and you're just like giving back to

your hometown and the youth.

And that's where it all starts is with the kids.

And, you know, we can't save them all, but, you know, if we save a handful of kids or

redirect a handful of kids.

No doubt.

You know, fortunately, you know, you had some redirection in your youth and I think that

was playing ball when you went off to college.

But, you know, had you not had that redirection, you'd probably still be a business owner.

Just, just, just a different business owner.

Different kind of business.

You impertly.

Yeah, yeah.

But, but, but, you know, and you see that, like you see the impact that you guys were making

in Youngstown and Ohio and it's like, you know, kids need that everywhere.

And a lot of people don't realize that a lot of people that haven't been in that area,

they don't realize like these kids go home hungry at the end of the day.

It's not that these kids want an Xbox or they want a new pair of Jordans or they want this

or they want that, like they're hungry.

They want to eat.

They want food.

They want somebody to love them.

They want somebody to guide them.

You know, a lot of those kids, they're growing up with little to no guidance.

I mean, parents aren't around or parents just don't give a shit.

You know, parents don't care if they go to school, parents don't care if they eat.

You know, so we're there, we're there to expose them.

I mean, the first day we went out with, with our kids from inspiring minds, we went to

all of our businesses.

We brought them here.

They saw the, the grind cast room.

We went to Emory's Overdormina Stone, went up, saw some construction projects.

Ryan took them down to Heinsfield.

We showed them around.

Real eye opener that day was these kids are from McKee's Rocks.

We took them to Grandview Avenue, which is about a mile from their house.

Overlooks the city, you know, there's a million visitors a year.

I think there was five kids in my truck.

Three out of five kids have never been to Grandview Avenue.

Never been there.

It's free.

I mean, you get up there, they were amazed.

You get up there, you see the city, you see the rivers, you see the boats, you see

all this stuff.

I mean, you see, you look close enough, you can almost see China.

I mean, but, but from, from Pittsburgh, three out of five, never been, never been to Grand

view Avenue.

So, to even see that view.

So, so I mean, just, just exposing.

That's everything.

It takes everything in me not to bring up what, what one of the kids said.

I, that you remember that one.

Oh, D.

Yeah.

He's my man.

Yeah.

Over at the Heins history center.

Yeah.

Okay.

Yeah.

When we could cut off maybe, Giovanni, we could believe it out.

No, don't say.

Giovanni said, don't say, I don't really wanna say.

All the side of my time, I'm just illaried.

I wrap, wrapping up to close out.

Can you give us just overall tips on success, business, entrepreneurship success.

You know, you're down.

Planned a lot, I don't think people would even understand how well that you actually do

with your, with your business, businesses.

What tips would you give to somebody in your 20 year journey of building something as a business owner?

What tips could people gather no matter what industry?

There.

Regardless of the industry, as you said, I'm 20 years in.

So process.

Yeah, it's process and you can't give up.

I mean, you got to be relentless.

You got to do this.

You got to do this shit that you don't want to do.

How do you do this shit?

You don't want to do.

You got to be relentless.

I mean, it's got to get done.

If you're not going to do it, if the business owner is not going to do it, nobody's going

to do it for you.

So you got to make sure shit's, stuff's getting done.

You got to be relentless.

You got to stay focused.

I mean, again, I see so many people come and go.

It's like they get started.

And you see this all the time, I'm sure.

You have somebody come in.

They start making some calls and setting some appointments.

Then maybe they're not closed as many deals as they want.

They get to pay check or two and all of a sudden, they're not making mid-six figures

a year and driving exotic cars and they're out.

So it's a process.

I wanted what you got.

Yeah, it's out.

Right now.

I want what you got, but I don't want to do what you did.

So it's a process.

You got to put the work in.

You got to stay focused.

You got to just focus action repeat.

You just got to do it over and over and over again.

My business, it's, it get in same with your business, I'm sure.

It's a, it can be a boring process, but you're, you got to do the process to get the reward.

You got to put the work in and.

So you know, matter what, that's what people don't understand.

Like, you're in real estate.

Special Guest Josh Adamek PT2

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