Why we like the Texas market
With COVID-19 cases continuing to fall and vaccination rates rising, things are beginning to feel a bit more normal. The economy is growing, and the outlook remains positive as the health crisis abates. Here’s a quick look at current conditions and our latest projections for business activity in Texas.
Texas has recovered more than one million of the nearly 1.5 million jobs lost in March and April of last year due to the pandemic. The state added 13,000 jobs in April (on a seasonally-adjusted basis) as strong gains in a few industry groups, such as leisure and hospitality and professional and business services, were partly offset by losses in construction, manufacturing, mining and logging—which in Texas is essentially oil and gas activity—and several others. The state’s unemployment rate has improved significantly, but is still above the national level. The bottom line is that while we’re moving in the right direction overall, there are still a few bumps in the road.
One issue is worker shortages, which were already a significant problem before the pandemic. Competition for knowledge workers and other skilled occupations is intense, industries such as restaurants and hospitality are having difficulty coaxing employees back, and school and childcare challenges restrain the entry of many (particularly females). Supply chain challenges also remain. The pandemic disrupted the entire global manufacturing and distribution complex, and it is quite a process to restore the relatively smooth functioning that typically supports production processes. This situation results in both cost escalation and bottlenecks that inhibit or even interrupt activity.
Our most recent forecast indicates an estimated 1.6 million net new jobs are projected to be added to the Texas economy by 2025, representing a 2.39% annual rate of growth over the period. This expansion is somewhat front loaded, as the state continues to regain the activity lost during the downturn and returns to long-term patterns. Services industries will drive job gains, with wholesale and retail trade businesses also forecast to see notable hiring. Real gross project is projected to gain $424.4 billion over the next five years, and output in all major industry groups is forecast to expand, with the mining and services segments leading the way. In particular, the energy sector is expected to continue its strong comeback.
I expect Texas to reach pre-pandemic employment levels in the next year or two. The state’s combination of natural resources, a large and growing population, and expansion in emerging industries position it well for expansion. While there are challenges ahead, such as providing the requisite education and training for future jobs and assuring the provision of essential infrastructure, Texas has the potential to remain a growth leader for the foreseeable future. Stay safe.
If you would like to learn more about Multifamily Real Estate and how to invest, please email me directly at James@jcoreinvestments.com
Faith, Visualization and Belief in Attaining your Desire
We had discussed previously that DESIRE is the starting point of all achievement, but we must believe that our desire can lead us to something great! Napoleon Hill wrote that FAITH is the head chemist of the mind, stating FAITH can be induced or created through affirmation or repeated instructions to the subconscious mind. Think about Olympic athletes and their constant visualization. You can watch a ski racer, bobsledder or track star physically visualize attacking the course in front of them. This is a discipline most of them developed over time through coaching and training. Have you ever used this technique in your professional or even personal life to attain the desire that was within you?
The actor Jim Carey wrote himself a personal check in 1985 for $10 million which was dated 10 years in the future. He actually received a role in the movie “Dumb and Dumber “in 1995 for a sum of $10 million dollars. This is just another example showing that “FAITH Visualization and Belief in Attaining your desire” fits with anyone no matter what their field of interest is.
Below are some practical steps to take to Attain your Desire!
- Be specific with what you want to achieve! Do you want $25,000 a month in passive income a month? Do you want to have 1000 rental units? Be specific!
- Decide what you’re willing to give in order to achieve your DESIRE!
- Give yourself an achievement date! WRITE IT DOWN SOMEWHERE AND MAKE IT VISIBLE.
- Write out a plan and begin moving forward immediately.
- Read your plan to yourself at least twice a day and share it with someone you know that can help keeping you accountable!
Know that so many people have used Faith Visualization and Belief in Attaining your Desire before they ever reached the goals they set before them. Develop your mindset and charge after your goals!
If you would like to learn more about Multifamily Real Estate and how to invest, please email me directly at James@jcoreinvestments.com
Be Specific - JCORE's Nuggets of Wisdom
We know that desire is the starting point of all achievements! What’s next?
You are sitting in your office wherever you are in the world and you have a desire to get involved and make money with real estate. You know you have the desire to take action but you’re not sure what steps you should take.
STEP 1: Be honest with yourself!
- Do you have the desire to own a rental property?
- Do you desire to be active as a landlord while renting out your owned properties?
- Do you desire to own a property and receive income passively?
STEP 2: Be specific with your available time to commit.
- Are you looking to spend extra time working with your individually owned properties?
- Are you looking to invest with a team as a limited partner (LP) through a syndication?
Let’s be honest, most people want to increase their wealth with as little effort possible. PASSIVE INCOME! Passive income can be accomplished through investing in stocks, bonds, mutual funds and more. If you’re specific with your goals and want to earn passive income, our favorite process is investing in multi-family housing as a limited partner through the process of syndication.
Think of multi-family housing as your mutual funds of real estate. A single-family home is like an investment stock. It can earn you a decent return but when it is not performing well, you are not earning any cash flow and you’re certainly not building any wealth.
A multi-family home is similar to a mutual fund as you have several tenants within one property. They collectively pay their rent and in turn, your property’s mortgage is paid. You’re then able to earn cashflow through this investment and the property gains value through forced appreciation over time as you make improvements to the property. Ultimately, building your long-term wealth!
So, what is your specific goal?
- What amount of effort are you willing to commit?
- What amount of time can you commit?
- Do you want to actively work on growing your assets?
- Do you want to grow your wealth passively while others are working to grow your assets?
If you are interested in learning more about Multifamily investing, please email me directly at James@jcoreinvestments.com. Also you can join our JCORE Investor Club to find out about active deals we have.
NUGGETS OF WISDOM
Napoleon Hill was an American author; 1883-1970 who developed a relationship with Andrew Carnegie. Obviously, Andrew Carnegie needs no introduction but in case you forgot, Carnegie revolutionized the American steel industry and became one of the greatest philanthropists in the United States as well as the British Empire.
Andrew Carnegie made an incredible impression on Napoleon Hill because Carnegie revealed the secrets to his success. Hill performed 20 years of research in order to find the biggest secret to achieve success, all done at the request of Carnegie. Hill analyzed hundreds of well know men and women who admitted to achieving great success with the help of Andrew Carnegie’s secret.
These people included John D. Rockefeller, Thomas Edison, Henry Ford, Alexander Graham Bell, Charles Schwab, and even Theodore Roosevelt. Each of these men utilized the “secret” with great excitement. There are many tools that an individual can use and recognize while utilizing the “secret”. The first tool or step an individual needs to recognize is his or her desire. Desire is the foundation for any achievement in life. How can we excel or be good at anything unless we have a desire to improve and become better? If there is no desire, then we should not expect to accomplish much of anything in our lives. Also, no one should sit back and wait for the perfect time to act on the desire they have within their heart and mind. Desire in the basis for any action you take in life. Desire is not a fleeting hope or wish, but it’s something that repeatedly rises up within us, and this can be your motivation to take action.
What is your desire? What is the repeated theme in your mind that tells you what you are truly passionate about? True desire is the thing that will push you through and obstacles you face in life. Who do you keep company with? Who’s within your inner circle? Who have you shared your desire with? Who can help keep you accountable? Answer these questions for yourself and you’ll begin to understand how desire can be a tool you use while utilizing the “secret” in any venture you have.
Since when did we decide good enough is good enough?
While growing up, I had the biggest dreams and ambition to become a famous actor. I left home at 18 years old and moved to New York City in order to chase after my dream of becoming an actor. My ambition and dream chasing took a big hit when I found out I was mentally unprepared to fight and grind in order to fulfill my dreams. Simply put, I left New York City to return to what was comfortable and predictable. This is when I decided; although not realizing what I was doing, that I was comfortable with life being good enough. There I stayed, living everyday for a few years and being just good enough.
I eventually served in the Navy for 26 years and began to learn day by day that good enough IS NOT good enough. Understanding that it’s very easy to be average, and knowing the world is full of people who do very well at being average, there is a great opportunity to not be satisfied with Good Enough!
I eventually met with Jeff, another sailor in my command, and Mike who was a former Naval Officer. They both had a similar mindset of chasing after their dream of doing tremendously well with something other than their typical “bill paying job”. At this time, I realized that I am fully capable of running after a dream and being successful while doing it.
I had surrounded myself with likeminded people. I understood that most people would continue to run through life with a “good enough attitude”, meanwhile dreaming of being able to do more with their lives. I also realized that these are not the people I need to have in my inner circle of influence if I desired to chase a dream and excel.
This all brings me to now. Through investing time and money into education, mentorship and beneficial relationship building, I have been able to capture some of my dreams of being an apartment complex owner. It took building the right team, finding out how I could bring value to others and to do it all with integrity, while having an attitude of putting others before myself. This life-changing mindset continues to motivate and prepare me mentally in preparation for whatever comes my way.
Good enough should never be good enough for any of us anymore. If you want to do more and you’re not quite sure how to get started? Reach out to us and we can help.
If you are reading this, it’s never too late to chase after your dreams and be great at whatever you want to do!
What in the world is Clubhouse?
If you have heard of the new App called Clubhouse and were wondering what the heck this thing is, you’re not alone. Clubhouse is an application that was launched solely for iPhone users in April of 2020. Since then, Android users have been able to download Clubhouse to see what this thing is all about.
Let’s keep it simple here. Clubhouse is an app that creates live chat rooms for any subject you could possibly imagine. If you want to learn about and discuss real estate, there are rooms for that. If you want to talk about God, sports, weed farms, or even politics, there are rooms you can hop into. No matter what your interests are, you can join a room that has people from all over the world.
Clubhouse is still in the Beta stage so you can only join by being invited. Here is why it was created.
What is Clubhouse? Think of a live interactive podcast
Paul Davison, the co-founder of Clubhouse believes that the significance of Clubhouse is to share and discuss topics with each other through voice. I have to say WOW, WHAT A CONCEPT! Being able to hear tone and people for real outside of mute social posting is so awesome!
How Clubhouse works?
- Download the app from the App Store (it’s free).
- Be invited in by an existing user. Our entire team are users so we can get you in!
- Use the search icon to find people or topics you are interested in following.
- You can build your profile if you want. I would suggest this if you’re interested in connecting with people or groups. You can also add your Instagram and Twitter for connecting outside of Clubhouse.
- You can join a room just by tapping on the room banner and listen in. You don’t have to say anything unless you want to, and you can come and go as you please.
- There is no tracking of people unless you want to be known.
- NO, it is not a service to message each other! You can add your email in your profile if you want.
Why JCORE uses Clubhouse?
We have a room that brings in successful real estate investors, lenders, and developers. We share wisdom and knowledge with people who are interested in actively or passively investing in real estate. Especially multi-family real estate. The best part… It’s all free! You can join in from anywhere in the world! If you have time, a desire to do more, and you can jump on in!
Join us on Clubhouse Wednesday nights at 8 PM EST, or Monday – Friday mornings at 9 AM EST (starting May 3rd). Find our club THE JCORE PARTNERS and you’ll get notifications when we are on.
Just a bit of advice… Go under tools and turn your notifications to “Normal”. Otherwise, your phone will drive you crazy! Just a learned lesson.