How to Build Cash Flow With Co-Living Rentals | Maria Cowles

Maria Cowles (00:00)
getting them out of my own way. Sometimes when you’re the smartest person in several rooms, you only think of within your headspace. So putting together ⁓ and being a part of different groups is kind of crucial because I’ve also me putting those processes in place, I had, you know, ⁓ kind of a mentor say, hey, you need to go to a better property management software. Use this. I know you’re small, but you need one that will

grow with you. So where you may not ⁓ be there yet as far as capacity, as far as you know, thinking you’re not need them. But if you grow, you already have that process in place. So, you know, so that’s one thing a lot of times where ⁓ when you’re starting out, you’re again, you may be limited in resources and things like that, but you have to think bigger. If your plan is to expand, then you probably should put those processes in place that are right now.

Meghan Escobar (02:27)
Welcome back to Real Estate Pros Podcast. I’m your host, Meghan, and today I am joined with an incredible guest, Maria Cowles Did I say that right? ⁓

Maria Cowles (02:38)
It’s Cowles .

Cowles yes.

Meghan Escobar (02:42)
Today I am joined by Maria Cowles , who is I’m super excited to have on. She’s got some stuff going on in the industry and has quite enough experience. So I think our listeners are really gonna gain some knowledge from what Maria has to share. you know, since this is you on our podcast for the first time and our listeners have no idea who you are, talk to me a little bit about.

what you do, Maria, what ⁓ what’s your your game in the in d in the real estate industry?

Maria Cowles (03:15)
Well, thank you for asking. I am a seasoned real estate professional. I have done pretty much soup to nuts other than ⁓ real estate sales. So ⁓ I’ve underwriting, ⁓ lending, ⁓ the full gambit of compliance within real estate, and I am now a real estate investor, ⁓ specializing in ⁓ co-living and also long long-term rentals.

Meghan Escobar (03:40)
I love that. I love that. And what caught my attention with our conversation before we w got on here, I got to know Maria a little bit. And what what caught my attention is the experience that she just listed, that she’s pretty much got her hands in the soup to nuts of everything outside of being a real estate agent. And so she’s got a a quite quite a unique approach ⁓ in the

rent by room industry. So co living. ⁓ talk to me a little bit about that. When did you start that journey and you know what are you what do you foresee as far as opportunity?

Maria Cowles (04:18)
⁓ I got started a couple of years ago helping a friend who ⁓ she was renting ⁓ apartment and the landlord ⁓ didn’t tell her that but he was going through foreclosure. So one day she came home and the landlord had moved out of the building and she got a red notice on the f on the door. So she, you know, had to move out relatively quicker quick. The bank had offered her cash for keys if she can move out in a week.

So again, can’t heart can’t really find an apartment in a weekend. So she didn’t have any other resources to stay. So she was looking to rent a room. So I was that was intriguing to me. So ⁓ I helped her during that process and then also just started making observations where I had in my long term rentals, people not being able to afford the rent. And so it, you know, mirroring those two opportunities together where I decided to, you know, become

fill a need within the marketplace.

Meghan Escobar (05:14)
Mm. Mm. Incredible. ⁓ one thing that you also did mention in that conversation I wanted to touch on here is when we were talking about the strengths that you have in this industry, you said that you’ve made it through some of the tougher times ⁓ throughout recession and had to reinvent yourself. Talk to me a little bit about what that was like.

Maria Cowles (05:35)
⁓ well initially it was, you know, kind of a jarring, shocking thing. Like, what am I going to do at this point? Especially being in going through the market crash and then going to interviews and then I’m looking to left and right and I’m in the in interview with ⁓ my president of the bank. He’s in we’re interviewing for the same position. So again, and as a hiring manager, who will you hire? Someone with 10 years experience or someone who used to run the the whole you know operations.

than the mortgage banking. So I had transferable skills and ⁓ utilized those to go into compliance. So I worked for the FDIC during the bank closure crisis, evaluating the bank’s loan portfolio for their loan strength and making sure they had viable ⁓ loan structures to sustain, you know, the down, you know, the mass of delinquencies that were going on during that time. And, you know, just

again making an additional transition into compliance again with fan the mortgage one of the largest mortgage investors and proving mortgage companies and banks who want to invest and sell their loan their loan.

Meghan Escobar (06:44)
Mm. Wow. So that was quite the journey for you. What were you feeling during that time?

Maria Cowles (07:37)
⁓ it was again v initially a stressful, but then once I got into the FDIC, it it became empowering because again it was so I were worked with some wonderful people and just learned so much about, you know, loans, other loans, you know, I knew about, you know, ⁓ CNI lending, working capital loans, but you know, working for the FTIC yeah, I just

learned about so many different types of loan products, things, you know, art loans. I mean, just you name it. I just it expanded my, you know, my mindset as it as it it came into, you know, financing.

Meghan Escobar (08:15)
Is that at that period in time, is that what kind of pivoted you to get into investing? Understandable.

Maria Cowles (08:21)
⁓

yes, it was ⁓ again, I had helped many of customers, as especially as a commercial loan officer and helping people, businesses, talking with them. And, you know, I’m like, you know what? I I’ve helped them. They they’re leaning on my advice, you know, before they make an actual business decision, you know, it it clicked like, why am I not doing this for myself? I you know, it became apparent, like I said, multiple you know, there are a lot of customers.

Even to this day I’ve still maintained some relationships that, you know, that I had as a lender. ⁓ again, they were, you know, kind of what what should I do with this? And, you know, I became the, you know, kind of their consultant there as it as it relates to ⁓ structuring deals, you know, expanding, that sort of thing. And I’m like, why am I not doing this for myself?

Meghan Escobar (09:09)
It was like an aha moment for you.

Maria Cowles (09:11)
It was, right.

Meghan Escobar (09:12)
Good for you. And Maria, I know every operator that I’ve ever had the opportunity to chat with owner operator, you know, real ⁓ what am I trying to say here? ⁓ entrepreneur, if you will. They always have a moment where things got real for them in business. Maybe a deal went sideways or a time that they had to pivot really fast.

I would assume twenty five years in this industry, girl, you probably had quite a few. But would you mind sharing with our guest one of those moments that really sticks with you?

Maria Cowles (09:47)
it was a real recent moment. ⁓ I slipped on some water in my bathroom and I broke my leg and tore all my ligaments and so I was in a, you know, pretty much full body brace and I mean leg brace, but not full body, but full leg brace and could not drive and was, you know, partially, you know, bed bound. So where I was very hands on within my business, you know, ⁓

self-managing, which I still self-manage, but ⁓ I had I could not physically go to my properties and fully, you know, do some of the repairs. So I had to outsource things. I had to learn how to operate remotely. I had to learn how to ⁓ you know, put some different processes in place. And again, this I didn’t have time to do it. So, you know, this that because it wasn’t planned.

But I had to do it real time and I had to do it quickly in order to sustain and maintain my current operations. So that was the most challenging and ⁓ but yet the most rewarding and it also opened my eyes that ⁓ that I needed to have appropriate systems and processes in place, regardless of, you know, ⁓ a physical incapacity.

Meghan Escobar (11:03)
Yeah. And hey, you know, these are the things that most people don’t highlight. Most people don’t talk about, especially in the the world we live in. You know, we live in this highlight society where everything on social media looks like it’s all, you know, I sold this house. I got this custom, you know. ⁓ so thank you for opening up about that. And I I truly believe, Maria, this is what separates the folks who are here to dabble and

Maria Cowles (11:11)
Right.

Meghan Escobar (11:30)
make quick sale or, you know, make a quick commission versus the ones who are in the game long term and always looking to get creative. You talked about expansion and I I wanna touch on that, but like

What is that expansion for you? What what are you focused on scaling next, like the next big goal for Maria Cowles ?

Maria Cowles (12:25)
My next big dull goal also is kind of twofold, ⁓ adding a non-for-profit component in there. ⁓ so as well as the for profit piece. So I have started a not-for-profit ⁓ that will house initially women who are in transition. ⁓ so that would be the you know humanitarian piece of of me. ⁓ and then also with the profit piece, ⁓

what I would like to what I am planning on doing is ex of course ⁓ obtaining more doors, but also ⁓ providing some more niche and maybe ⁓ smaller homes for those that individuals that are in transition, which is, you know, small, small families.

Meghan Escobar (13:10)
Okay. Wow, that’s huge. Especially when, you know, you are already kind of niched down in the ⁓ sh co living space. So you’re really looking to expand on that and to see, you know, how can you I I know you mentioned also ⁓ make an all for women home, maybe a short term for families. So that’s incredible stuff. And for you, I mean, depending on how that next move goes, it could either help you

Compound things, Maria, to the next level.

Maria Cowles (13:41)
One thing I didn’t mention, ⁓ another thing I have added into my business as well is ⁓ I’m stepping into the rental car space. again, providing a need that’s existing. A lot of the residents that rent to me, they take public transportation, they’re taking Ubers. So ⁓ I have purchased my first vehicle and within with the mindset that I will rent to my current residents first. So if they are in need of a car, they can rent so I

Meghan Escobar (13:49)
⁓

Maria Cowles (14:11)
plan on getting one for each home that I have, but right now I’m starting out with one. ⁓ so they can rent, you know, my vehicle if they need to, ⁓ you know, whatever they may need. Cause I’ve had people say they they’re not able to take certain job opportunities because again the bus transportation is limited and and the hours are limited. So making sure that they to help them get to the next level and and expand on that. So yes.

Meghan Escobar (14:37)
huge.

That’s a that’s like super creative, right? It’s like one stop shopping. Transportation and living. So ⁓ yeah that so those two things could really take your business to the next level or maybe or maybe create some chaos depending on how it’s

Maria Cowles (14:42)
Yeah. Yeah.

Yeah, we’ll see. I’m I’m for the ride. I’m down for the ride.

Meghan Escobar (15:00)
Yeah. I love it though. I mean, I think it’s genius. Absolutely genius, right? Especially because you’re, it sounds like hearing the the challenges that your current renters are having and experiencing, and you’re like, how can I solve these problems? Amazing. And I know a lot of our listeners, Maria, are either early on in their journey or they’re at the stage of their business where they’re looking to level up. And I think

Maria Cowles (15:18)
Yes. Yes.

Meghan Escobar (15:30)
they’d benefit from hearing this when it comes to building relationships, talked a little bit about your networking experience and what that looks like and it looks like you have a a lot of local groups you’re a part of and different ⁓ networking groups.

What’s the what’s made the biggest difference for you creating these types of relationships?

Maria Cowles (15:50)
⁓ getting them out of my own way. Sometimes when you’re the smartest person in several rooms, you only think of within your headspace. So putting together ⁓ and being a part of different groups is kind of crucial because I’ve also me putting those processes in place, I had, you know, ⁓ kind of a mentor say, hey, you need to go to a better property management software. Use this. I know you’re small, but you need one that will

grow with you. So where you may not ⁓ be there yet as far as capacity, as far as you know, thinking you’re not need them. But if you grow, you already have that process in place. So, you know, so that’s one thing a lot of times where ⁓ when you’re starting out, you’re again, you may be limited in resources and things like that, but you have to think bigger. If your plan is to expand, then you probably should put those processes in place that are right now.

So when you are at that level, they’re already in in in in play. So that was one thing that w I would not have gotten from my own, you know, my mindset. So I definitely needed the network. and then also ⁓ you know, we different groups that I’m in, we bounce things off of each other. So if we’re having ⁓ a a problem and I, you know, provide the same, you know, feedback if, hey, I’m having a problem with this, you know, what do you guys think? You know.

So being having those, you know, those those connections are definitely important.

Meghan Escobar (17:18)
How crucial do you think that is to ⁓ somebody in business, whether they’re just starting out or they’ve been a vet in the game for a while?

Maria Cowles (18:08)
It I again, whether you’re just starting out, and I I think it’s to be honest with you, I think it’s even more important when even when you’re a seasoned ⁓ investor or real estate professional to have those connections and those resources. Because again, sometimes because you have so much experience, you know, again, you just, I’ve been doing it this way, but is it the best way to do it?

Meghan Escobar (18:31)
There you go.

Maria Cowles (18:32)
Is it the most efficient way? Is it, you know, is it, you know, again, so are you having those resources? I again earlier on it’s important, but I think it’s even more important, you know, as you scale and grow.

Meghan Escobar (18:44)
Yeah, I I can’t agree with you more. I mean, I’ve had my experience in a couple of different industries and businesses. And at the end of the day, what’s always been most important to me is creating those relationships and building and constantly learning. I know the best piece of advice I ever got from a mentor of mine a few years back was continue to learn no matter what.

Continue to learn no matter what. The moment you stop learning, you stop living. And I was like, my God, that hit me so much. Like you stop learning, you stop being creative.

Maria Cowles (19:15)
Okay.

Meghan Escobar (19:15)
What what would you say your best piece of advice that you’ve ever received from a mentor was that like one thing that sticks with you?

Maria Cowles (19:21)
that you gave the a great one. ⁓

Get out of your own way.

Meghan Escobar (19:25)
Mm.

That is a good one too.

Maria Cowles (19:27)
There

there are always barriers on why you shouldn’t do anything. Mm-hmm. There are always, you know, limitations that we put on ourselves. But again, and also I like to say, ⁓ like Mr. Rogers always says, find out say find out where the helpers are.

Meghan Escobar (19:47)
Mm. That’s a good one. Yeah.

Maria Cowles (19:49)
So when you’re, you know, down and you know, whatever and it it works in any scenario. If you’re going through any trouble, find out where the helpers are. Go to where the helpers are. So I I kind of live by that mantra.

Meghan Escobar (19:56)
Mm-hmm.

Yeah, that’s a great one. I think it’s really important. And it’s something you can’t fake, right? Relationships are everything in this space, in and every space. But we’re here to talk about real estate and in this space. It’s important to have those human connections and relationships. You can never replace those. So before we wrap up, I if

If someone wanted to reach out and connect with you, Maria, potentially collab or learn more about what you’re doing with the co living space here and investing in that way, what would be the best way for them to reach you?

Maria Cowles (20:35)
The best way to reach me, you can reach me on my website, which is living gracegroup.com ⁓ I’m also you can find me on Facebook. It’s Maria MA, R I A. And all social media platforms. And Living, Living and Grace also is is on all platforms as well.

Meghan Escobar (20:56)
that. So it’s MA-R-I-A.

Maria Cowles (20:59)
⁓ you know, comma, like, you know.

Meghan Escobar (21:02)
⁓ okay. ⁓ comma R I A is an okay Gotcha. Cool. All right. Perfect. Well, listen, I appreciate so much. I appreciate your time. I appreciate your story, your perspective. I I truly love that everything you do comes from the heart and you’re out here really making a difference in people’s lives.

Maria Cowles (21:06)
Mm-hmm. ⁓

Meghan Escobar (21:26)
especially with the cost of living and the way that it is right now for individuals to be able to have a safe, clean space to live. ⁓ you’re definitely making an impact out here in in your world and the investor and given investors different ways to ⁓ go about investing. So thank you again for sharing your story, your perspective, and being here. And for those of you who are tuning in, if you got any value from this, please again subscribe to our channel.

Reach out to Maria. She gave her information on how to connect with her. ⁓ Living Grace. livinggracegroup.com Maria on all socials, MA, R I A. And we need more operators and owners just like Maria, who are out here building real businesses in real time. And we’ll be having those conversations in the future. So be sure to subscribe and catch us on the next episode.