Who Solve Bigger Problems Win Bigger|Carlos Cumber on Maryland Investing & Seller Solutions

Carlos Cumber (00:00)
So right now we’re just focused on simplifying things, really communicating with the people, solving a genuine problem. And I believe that we’re paid in proportion to the problems we solve. We solve bigger problems. ⁓ We as investors get bigger rewards.

Michelle Kesil (01:47)
Hey, everybody. Welcome to the Real Estate Pros Podcast. I’m your host, Michelle Kesil and today I’m joined by someone I’m looking forward to chatting with, Carlos Cumber, who is a real estate investor. So he is working in the Maryland market and excited to have you here today, Carlos.

Carlos Cumber (02:06)
Hey, Michelle, thank you for having me and look forward to connecting with you and your audience.

Michelle Kesil (02:10)
Awesome, let’s dive in. First off, for those who are not familiar with you and your work yet, can you share what your main focus is?

Carlos Cumber (02:19)
Yeah, I’d like to keep it simple. Usually for my audience, my main focus is helping sellers to sell the way that they want to think what differentiates me from some of the other ones. So there are agents who do on market, there are folks who do off market. But in my business, I’m able to do both and really to kind of navigate those two worlds, depending on what’s the best solution for that homeowner.

Michelle Kesil (02:43)
Awesome, and is Maryland the only market you operate in?

Carlos Cumber (02:47)
I do some work in Virginia as well, but there’s more than enough opportunity in Maryland. So I try not to stretch myself too thin geographically ⁓ on that one. But yeah, I do work in, I grew up in Williamsburg, Virginia, own property there. So I do work in that Virginia area as well and some of the Northern Virginia market.

Michelle Kesil (03:09)
Awesome. And what type of investor are you? Like what kind of investing strategies do you work with?

Carlos Cumber (03:15)
Yeah, so I like to keep it simple, right? You know, I think that the fundamentals and the basic aspects still work. So we’re cash buyers. So we’ll purchase the homes that way. You know, if my hands are really full, ⁓ you know, I may partner with other investors who are in the market to begin to wholesale those properties with them. And then, of course, when you see something you like that you say, hey, I want to keep this in my portfolio, we also convert to those rentals in that case as well.

A little bit of creative financing when the deal allows, but I think the nice part is I can also pivot. Some people really want retail numbers, although they love the certainty and efficiency that a cash offer gives, but a cash number is going to yield you very different results than a retail number, but also gives you a different type of speed and convenience as well.

Michelle Kesil (04:05)
Yeah, absolutely. And what would you say are some of the main keys that have allowed your business to be able to grow and run smoothly?

Carlos Cumber (04:16)
Yeah, I’d like to say first, you kind of focus on not what you want or need as an investor, right? You kind of focus on the needs of your client and then begin to put a menu of options in front of them and allow them to navigate the way to determine what’s best. I think a lot of times when people are thinking about real estate investors, they don’t have a favorable view of what we do or the way we do it. ⁓ But I think that doing business with a degree of character, integrity and honesty, even if it means that

that solution is not the best solution for me, but it works better for my client, then that’s what I’m committed and aligned to.

Michelle Kesil (04:54)
Yeah, absolutely. And what are you most focused on right now when it comes to solving or scaling to the next thing?

Carlos Cumber (05:51)
Yeah, so I think about scaling. When you’re solving and scaling, I think one thing we spoke about earlier was, you you’ve got to wear a lot of hats in this business. So when I was in corporate, I had a large corporate team. You could reach out, you had financial specialists, you had an operations team, you had it all. But now I’m at a stay small and keep it all type of phase. So running multiple phases of the business, leveraging tools from AI to different platforms that simplify and allow me to keep the focus on my clients.

rather than kind of behind the scenes. I know some folks love the operation, but I really like working with my clients one-on-one and just connecting with them and doing the acquisitions role of it.

Michelle Kesil (06:36)
Sure, awesome. And so can you share a little bit about what that process looks like?

Carlos Cumber (06:44)
Yeah, you know, it’s funny because when I got into this, I became an accidental investor. Initially, I had started making good money and I made decent money and I kind of go to my mom and I say, hey, mom, I want to buy a new car. I to get a new luxury car. And my mom asked me, she says, do you know why precious metals are precious? And I was a little confused about where she was going with it. But we she finally alluded to precious metals are all precious because platinum, gold, all those things, silver, they don’t rust.

So she says, baby, don’t invest in stuff that rusts, because she knew the automobile would be a depreciating asset. So I said, well, mom, what am I supposed to do with my money? And she said, why don’t you look at buying some dirt? I hear they’re not making any more of that. And she was trying to tell me to ⁓ invest in real estate. So I took the money I was going to use for that ⁓ car payment, the down payment on that car, and I bought a property.

And that became my first investment property many years ago and kind of led me to this direction.

So right now we’re just focused on simplifying things, really communicating with the people, solving a genuine problem. And I believe that we’re paid in proportion to the problems we solve. We solve bigger problems. ⁓ We as investors get bigger rewards.

Michelle Kesil (08:00)
Yeah, absolutely. And so what are some of the problems that you’ve solved or that you’re looking to solve?

Carlos Cumber (08:09)
Yeah, well, mean, there’s there’s a number of different problems right now. Housing is a pretty challenging market. Maryland’s been hit disproportionately with a lot of job losses and there folks who are also trapped in homes with with relatively low interest rates. So the problems we really solve for the clients are beginning to tap into that equity that they have to monetize it and to use the home as a vehicle to transport them from where they are to where they want to be and kind of addressing their needs.

So you you’ve heard the term house poor before. Some folks will have a nice, beautiful house with a lot of equity in it, but it’s very challenging to tap into it. So we helped to unlock some of that equity and give them a clear and transparent solution with one of their biggest purchases, if not their biggest purchase of their life.

Michelle Kesil (08:57)
Yeah, absolutely. And so what does the process look like in finding these homes?

Carlos Cumber (09:05)
Yeah, we do it a number of different ways. So I have a marketing wing that I use. So I work with a company called Homevestors and Imaginuity. So they will target some of those areas and folks that may need our help. They put the brand out there and let them know that ⁓ my company CLC Solutions is there to help and assist if they’ve got a challenge or if they’d like a cash offer or to know and understand how that process goes. We also get a lot of trust because of the brand.

but also because of the background that I bring to the table as well as the transparency we give them. So that process looks like they may reach out to us, right? Call us up directly. They may hit me online ⁓ at our website and then reach out to us. And then I simply talk with them to understand what their goals are, how we can help, and what tools we need to bring to the table in order to solve a problem for them.

Michelle Kesil (09:59)
Yeah, awesome. And so what have been some of the challenges that you’ve overcome as an investor?

Carlos Cumber (10:40)
I mean, every day as an investor, I heard somebody joke the other day said if you want to be closer to God, open up a business and become an investor because there’s a, it’s a very lumpy business. So whether it be cash flow, liquidity, or kind of making sure that you’re finding the right balance between your values as well as your profitability. I always tell clients, I’ll pay as much for your house as I can without losing the ability to do it going forward.

So what we’ve been trying to do is really address a very competitive market, but in a way that gives us, that helps us to sleep good at night, but gives us long-term structural ability to solve these problems. And not every home I’m able to purchase, and I’ll be very upfront and direct when we do have those things. We’ve also been trying to integrate AI tools, ⁓ operational processes, but still keep a human touch and allow them to connect with me so I can speak with them as much as possible.

Michelle Kesil (11:39)
Yeah, great. And so what advice would you give to someone that’s looking to get started in this world?

Carlos Cumber (11:47)
Yeah, if you’re really looking to get started, first of all, ⁓ know, people always have a plan B, right? You ever hear that? What’s your backup plan? What’s your plan B? ⁓ I think if you go into real estate investing, I think you really need to know that it’s going to be a storm. It’s going to be a rough ride until it’s smooth. Talk to another investor recently who’s doing phenomenal business. And ⁓ I asked him what his journey was like because right now he’s killing it. He says, Carlos, for the first five years, I did not make any money.

So in terms of that, you’ve got to have a commitment to see it through. Because whenever you’re thinking about your plan B, that dominates your mindset more than making plan A work for you. So I’d say, make sure you got your reserves, your capital on there. Think about who you want to be and what you want to be known for, not just how much you want to make. And then surround yourself with a network of people who kind of fill in those gaps. Told you when I was with corporate, I had all the resources. Now, some days you’re sitting alone in your own office.

So you need to build a strong network of partners and other like-minded individuals who can help you and enable your success. So a little bit of teamwork’s required. I always think winning is a team sport.

Michelle Kesil (12:57)
Definitely, and how did you find your network?

Carlos Cumber (13:02)
Wow, a number of different ways. So I think the first thing is to be aware and be open to around you, you know, go to local networking events, ask the people who are doing the type of business, the type of volume that you want to be with, where they’re hanging out and spend time with theirs. you know, local real estate, Maryland’s got a thriving real estate market. So we’ve got everything from Maryland investors network, Baltimore investors networks, and Facebook groups to a lot of local folks I work with.

And I think as you begin to do the deals, right, you’ll find the right title companies. You’ll begin to find the right lenders and financial partners who can give your business the capital at the the prices and the rates that you need with the flexibility of terms that work well for you. So I think it is a little bit of an evolution. And just when you think you’ve got something right or you’ve got the perfect contractor or great partners, you’ll find those models pivot. So you’re always looking for a new solution.

and making sure you’ve got the right partners in place for that particular stage of your business.

Michelle Kesil (14:05)
Yeah, definitely. And what are you most excited about when it comes to real estate investing or where your business is heading?

Carlos Cumber (14:16)
Wow, there’s so many things to be excited about. This is a thriving market for real estate investors who are poised and ready to solve problems. ⁓ So I think the opportunities are growing day by day ⁓ for investors. So I think that’s a great one. ⁓ The opportunities that we have. Also, think AI is beginning to change things. And when you see how AI works, it can have a whole conversation. And it’s very difficult to discern if you’re texting with a human being or an AI.

So I think beginning to use AI without you losing the human touch. So it does the things it’s good at the background work, but you still maintain that authenticity that only a human being could give. We’re also becoming very sensitive to how AI works. And you can almost, if you’re watching, you’re online or you’re on social media and you see a piece of AI created content, something in your head is almost beginning to resonate like that’s not right. I see something’s wrong. Something doesn’t feel right.

The thing is also a backlash against AI. So that’s one thing I’m excited about. Also excited about some legislation that we’re seeing on a national scale that should make home building easier as well. I know in Maryland and especially in Baltimore City, Baltimore County, also there’s some opportunities for legislators to realize that the landlords and small developers are actually there to help, not to hurt them. So.

kind of removing some of the obstacles that allow us to serve clients and to create affordable housing. So those are the things that I’m seeing on horizon. How we use AI, how we partner with legislation and our local governments to be the best and solve the problems that only small developers are willing to stick their neck out and solve.

Michelle Kesil (16:42)
Yeah, absolutely. And so are you working with developers currently?

Carlos Cumber (16:48)
Yeah, well, so sometimes you look at getting dirt, right? You know, buying dirt and building up. So I think that’s the next phase of what we’re doing. ⁓ You know, we’ve got a few parcels that we want to begin to develop and begin to build on as well, because you can make a new affordable house instead of renovating one that might have been built in the ⁓ early 1900s, late 1800s, and bringing that back to life. You know, kind of being able to build some purpose built, especially multifamily living.

We’re also seeing a strong trend towards a lot of co-living spaces where you’ll have a large property with multiple people living in the same space simply because the cost of housing has accelerated much faster than incomes have.

Michelle Kesil (17:34)
Definitely. And so as far as the asset classes that you work in, is that usually like fixing flips or single family or what do you like to invest in?

Carlos Cumber (17:48)
Right now, I just love single family. ⁓ And the reason I do that is because that’s the most common, you know, that’s the US dollar of real estate, right? So single families are very easy to move, very easy to liquidate as you get them. ⁓ And there’s just a majority of them out there. But I do look to small multifamily as well. Haven’t gotten into the big developments. ⁓ I’ve got some friends and some colleagues who are into the big multi-unit properties. But right now, we’ve been focused mostly on that single family.

You know one to four unit property that we see a lot of growth in and there’s so many of them out there that that’s a great fertile playground to be in

Michelle Kesil (18:29)
Yeah, amazing. What has been like the biggest rewarding experience of investing?

Carlos Cumber (18:41)
Yeah, think when you look at rewarding investing, it’s kind of like ⁓ you’re able to have a tangible evidence of the work you’ve built and what you’ve created, right? It’s not just on a spreadsheet. It’s not, ⁓ you know, zeros in a bank account. It’s being able to look at that property and where you had bought an ugly house in a beautiful neighborhood. You’ve been able to transform that. I’ve had neighbors come out to me and say, Carlos, thank you so much for fixing up that eyesore.

I’ve also helped homeowners who had inherited properties begin to solve that property. And they said we were overwhelmed with the family. We didn’t know what to do or where to begin or how to deal with this asset because it clearly needed work and love. And then we’re able to transform them. So I’d say the biggest rewards in the business are when a seller thanks you and you’ve solved a problem for them and taking them out of a situation where they didn’t feel like they had hope. And now they’re able to turn that house into a vehicle to transport them where they want to go.

and see that solution. So I’m still a big of a softie and I love helping people. So when I get to shake someone’s hand and they say, thank you, I truly appreciate what you did in the way that you were able to help me and my family. ⁓ Most gratifying thing I ever run into, Michelle. just, I still am a softie. Yes, we love to make money, but it’s really about people, the value we create and what we do that says we’re worthy of earning anything.

Michelle Kesil (20:08)
Yeah, absolutely. So is that more in like the distressed housing markets that you’re seeing these type of situations?

Carlos Cumber (20:18)
Absolutely, we work with distressed homeowners, inherited properties. I have been a tired landlord and I also solve problems for them too, because sometimes landlords don’t have a great exit strategy. And as the time goes on, you get tired of dealing with a burst pipe, you get tired of dealing with tenants. ⁓ In Maryland, we’re still struggling with squatters and to be able to do some of that heavy lifting for them.

and see that sign of relief in their eyes is very powerful. So those are all audiences that we work with and even homeowners who want to sell their property, but they don’t feel like going through three to six months on the retail market and a hundred showings, right? And they know that that in their case, they’re willing to lean towards that speed and that certainty and maybe a discounted rate is the right thing for them because they have tons of equity, but not tons of time or tolerance for the intrusions that it’ll bring.

Those are all folks that we work with on a daily basis and that we’re proud to solve problems for.

Michelle Kesil (21:20)
Yeah, amazing. Thank you for sharing all of that.

So before we begin to wrap up here, if someone wants to reach out, connect and learn more, where can people find you and connect with you?

Carlos Cumber (21:34)
Yeah, we have a website and my website is just cumberealestate.com. They can always reach out to me there and put in an inquiry. You know, as dangerous as it may be, they can even call me, right? So our number is 443-278-0006 and they can speak with me directly. I man those lines if I’m not able to reach out or talk with them live. I’ll get a text message back to them quickly and be able to connect.

So those are two places that we’re easily able to be found. And if you just search my name, Carlos Cumber, it’ll come up and you’ll begin to see some of the work I’ve done as a real estate agent as well as an investor. hopefully shouldn’t be hard to find ⁓ if my social media and my SEO team have done their work.

Michelle Kesil (22:20)
Perfect. Well, appreciate your time and your story. Thank you for being here.

Carlos Cumber (22:25)
Michelle, thank you for the opportunity and thank you for the work that you guys are doing to help investors like myself out as well so we can grow in scale.

Michelle Kesil (22:33)
Yeah, absolutely. And for the listeners tuning in, if you got value, make sure you’ve subscribed. We’ve got more conversations with operators like Carlos who are building real businesses and we’ll see you on our next episode.