Raising Capital & Building Teams for Big Real Estate Growth

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Show Summary

In this episode of the Investor Fuel Podcast, host Michelle Kesil interviews Mike Corica, an experienced investor in multifamily properties and luxury home flipping. Mike shares his journey from being a teacher to becoming a successful operator in the real estate space. He discusses the importance of having a strong team, the challenges faced during the COVID-19 pandemic, and the strategies for scaling a multifamily business. The conversation also touches on the significance of education, networking, and the lessons learned throughout Mike’s investing journey.

Resources and Links from this show:

• • • Investor Fuel Real Estate Mastermind
    • Investor Machine Real Estate Lead Generation
    • Mike on Facebook
    • Mike on Instagram
    • Mike on LinkedIn
    • Mike Corica’s Website
    • Mike Corica on Instagram
    • Mike Corica’s Email: [email protected]
    • Mike Corica’s Phone No: (760) 578-3989

  Listen to the Audio Version of this Episode

  Investor Fuel Show Transcript:

  Mike Corica (00:00)
  just, just start, just do it, you know, get it, you know, just, ⁓

  you know, take your local market or identify a market that works for you and either start wholesaling or flipping if you think you can ⁓ raise the money and get the loans. But there’s so many resources out there ⁓ that the money’s always out there. It’s more building the team and, know, obviously buying something, you know, that actually will make you money. So just jump in and go for it. ⁓ You know, that’s kind of been our business model.

  as we jump off the cliff and build it on the way down, build the airplane wing on the way down. So that’s how you got to do it.

  Michelle Kesil (02:15)
  Hey everybody, welcome to the Investor Fuel Podcast. I’m your host, Michelle Kesil and today I’m joined by someone that I’m looking forward to chatting with, Mike Corica, who’s been making serious moves in the investing space with multifamily, as well as flipping luxury homes. So excited to have you here today, Mike.

  Mike Corica (02:37)
  Thanks for having me.

  Michelle Kesil (02:39)
  Absolutely. I think our listeners are really going to take something away from how you’re approaching your investing business and yeah, becoming a great operator in your field. So let’s dive in.

  Mike Corica (02:54)
  All right.

  Michelle Kesil (02:54)
  So first off, for those that are not familiar with you and your world yet, you can give this short version of what your main focus is.

  Mike Corica (03:02)
  Well, our main focus is multifamily. We have about 140 doors in Ohio, Columbus, and Cleveland MSA. So that’s our, I’d say our main focus. Additionally, we have, we do flip luxury homes here in San Diego County a couple at a time. And we’re buying a winery. that’s our, kind of going a few different directions, but yeah, we have a good crew here in San Diego and good team in Ohio.

  Michelle Kesil (03:28)
  Amazing what got you started with all of this?

  Mike Corica (03:32)
  Well, my wife and I were both teachers ⁓ and I think being poor was probably a motivating factor. ⁓ My wife came home one day and said, you know, let’s flip houses. So that’s what got us started. We started flipping houses back in 2012 and really quit our jobs and never looked back. So it’s been a good ride since then.

  Michelle Kesil (03:55)
  Amazing. love that. What has been like your key to keeping this business going smoothly?

  Mike Corica (04:50)
  Smooth is a relative term. We’ve had some really good partners and lenders, so that’s really helped us in our teams. Our team here in San Diego has been with us for a long time, and so we know what our costs are gonna be entering a flip, and there’s always gonna be surprises, but not as many with our team. And then as far as multifamily goes, really good property manager.

  Michelle Kesil (04:52)
  Yeah.

  Mike Corica (05:17)
  ⁓ in that market, property managers I should say, and a good construction team there as well. I think the people really is what keeps us going.

  Michelle Kesil (05:30)
  Yeah, absolutely. So what are some of like the hurdles or pivots that you’ve had to overcome in this space and what did you learn from those situations?

  Mike Corica (05:46)
  Well, we’ve pivoted a few times when COVID hit. We pivoted to starting a wholesaling business in Florida. It started actually in February of 2020. And we did that for almost two years, did really well doing that. And then we saw that Florida was kind of weakening, so we exited that. So that was one pivot.

  And then the pivot to multifamily, think is the second was the second pivot. ⁓ We’ve had a couple of exits and it’s almost like flipping a house on a larger scale when you, you know, buy a building and you renovate it and you raise the rents and you can either burn it or sell it and make your money that way. ⁓ So it’s just been kind of an evolution, not necessarily a pivot. I would say kind of a series of linked recoveries.

  Michelle Kesil (06:36)
  Yeah, absolutely. What would you say to someone that’s looking to get started in the investing world but maybe doesn’t know like what the first steps are to take?

  Mike Corica (06:50)
  just, just start, just do it, you know, get it, you know, just, ⁓

  you know, take your local market or identify a market that works for you and either start wholesaling or flipping if you think you can ⁓ raise the money and get the loans. But there’s so many resources out there ⁓ that the money’s always out there. It’s more building the team and, know, obviously buying something, you know, that actually will make you money. So just jump in and go for it. ⁓ You know, that’s kind of been our business model.

  as we jump off the cliff and build it on the way down, build the airplane wing on the way down. So that’s how you got to do it.

  There’s no easy in the business, unfortunately.

  Michelle Kesil (07:38)
  Yeah, you mentioned that the money’s always out there and around. Can you expand on that? Maybe if someone is like, but I don’t have the money right now.

  Mike Corica (07:48)
  Yeah, I mean,

  you know, it all starts with, you know, friends and family. see what you’re doing. They want to be part of it. You know, ⁓ there’s so many private money, hard money lenders out there that will lend you the money. You got to have some skin in the game, of course, but you know, that’s where friends, family partners come in masterminds. We’ve been in several masterminds where, you know, we partnered with people and you know, there’s lenders in the mastermind. There’s

  people of like-minded, they’ll share resources and things like that. So you just gotta go for it. yeah, is out there. There’s lots of resources, money, and people willing to help you for sure.

  Michelle Kesil (08:29)
  Yeah, absolutely. That’s an important mindset and way to look at this world, to be resourceful. So let me ask you.

  Mike Corica (08:37)
  Yeah, there’s

  so many people want to help. So just you just have to go.

  Michelle Kesil (08:45)
  Yeah, absolutely. So let me ask you this. What are you most focused on solving or scaling next?

  Mike Corica (09:27)
  So we really want to scale our multifamily business. So we’re in negotiations, conversations with maybe family office, small offices that can raise the money and kind of partner with us because we’re the operators, that’s our strength. And running the crew and managing the property manager, making sure the finances are in order.

  rents are getting collected and all that. That’s kind of a full-time job. Raising money is a whole other full-time job. ⁓ When I’m talking money on a massive scale, millions. So that’s sort of our next ⁓ goal, if you will. ⁓ We’re also buying that winery, so we’ve got a lot of money raised for that.

  as well but I think for us to really really scale into the thousands of doors we’re going to need a capital partner or capital partners or a way to raise money.

  Michelle Kesil (10:28)
  Yeah, absolutely. That’s an important collective effort to get to those goals, especially when they’re big.

  Mike Corica (10:37)
  Well, flipping a house, maybe you need 100 grand. That’s easy. I can make a phone call and get that. It’s getting two or three million. That’s a whole nother conversation.

  Michelle Kesil (10:48)
  Yeah, absolutely. What are some strategies if you have any to get to that goal?

  Mike Corica (10:56)
  Like I said, we’re talking to family offices, small brokerages, ⁓ private individuals that have large amounts of capital, ⁓ and seeing if it’s a good fit. That’s really what we’re doing right now.

  Michelle Kesil (11:14)
  Yeah, amazing. I love that. So what are some things that have made the biggest difference for you when it comes to growing your business?

  Mike Corica (11:24)
  I think hiring the right people is really, you know, a difference maker. We’ve had some wrong people and so hiring, you know, when you have the wrong person because things aren’t going well and if you can hire, know, we’ve, know, my wife and I have read a lot of books and the who, not how, ⁓ never split the difference, ⁓ you know, the Jocko’s books.

  And having the right person in the right seat on the bus, if you will, is enormous. And so I think the people that we’ve hired that are still with us that are the difference makers, we don’t have to worry about details getting handled. And we’re not the greatest at hiring, but we’re very quick to fire when things are going well. ⁓

  There’s a lot of people that talk a great game and the proof’s in the pudding. You’re either getting the job done or not. So yeah, I think the people that we have are really where it’s at for us.

  Michelle Kesil (12:27)
  Yeah, absolutely. The people, the relationships and the teams really make it or break it in your business.

  Mike Corica (12:36)
  Extreme ownership, that’s Jaco’s book by the way. Great book.

  Michelle Kesil (12:39)
  Amazing. Are there any like other resources for education that have really been supportive for you on this journey?

  Mike Corica (12:47)
  We joined a flipping mastermind in 2019 that really helped out, you know, knowing that we weren’t, you know, we thought we were really special until we saw people flipping hundreds of homes a year and we were flipping 10, you know, so then we figured out, okay, how do we flip more and, and, you evolve from that. So ⁓ learned a lot in joining that mastermind. ⁓

  And the private money lenders that we’ve met along the way, the more experience you get, the more money you can get from private money. those resources really helped us, I think.

  Michelle Kesil (13:24)
  Yeah, absolutely. feel like masterminds and mentorship are really crucial when starting out and getting in those right spaces and places to learn from people. Yeah.

  Mike Corica (13:35)
  You can save a lot of time. A

  lot of time. can skip the whole line, skip the trial and error. We started with trial and error and then we joined the mastermind that really helped us.

  Michelle Kesil (13:51)
  Yeah, absolutely. That’s important. So what are some big goals that you have for where your business is heading?

  Mike Corica (13:59)
  Well, we’re buying a winery and wedding venue. So that’s first on our mind. So we’re really caught up in getting that all buttoned up and learning, you know, frankly, learning a new business. It’s not a completely new business to us because we have some background in that. And then in 2026, we’re, you know, our goal is to buy three additional buildings in and around Cleveland or

  Columbus, Ohio. So, you know, we’ll probably flip a couple houses in the mix too. So depending on the market, the market’s a little, a little wonky at the moment here. So we’ll see how that goes. So those are our goals. mean, you know, another, at least another a hundred doors and Hannah winery before the end of 2026.

  Michelle Kesil (14:39)
  the

  That’s exciting. Is there a reason that Columbus, Ohio is the place that you’re choosing?

  Mike Corica (15:35)
  we try to buy B class or better buildings, which is a better quality tenant, less drama, less headache. so Columbus fits that bill nicely in parts of, know, some of the suburbs in Cleveland as well. have a nice, ⁓ you know, a minus asset up in mentor Ohio. ⁓ so that’s the main reason and we have a really good team there. So it’s, it’s.

  If it’s not broke, don’t fix it. We’ve had assets in other markets, one-offs, and now you’ve got to get a whole other team. And you don’t know the contractors, you don’t know the lay of the land, and it’s a little bit more of a struggle. So we’re staying within what we know, essentially.

  Michelle Kesil (16:21)
  Yeah, absolutely. That’s always good to continue the growth where things are working. So, are there… Go ahead.

  Mike Corica (16:28)
  Yes,

  agreed.

  Michelle Kesil (16:33)
  Awesome. So are there any like learning big learning lessons that you’ve overcome through this investing journey?

  Mike Corica (16:43)
  Wow. I don’t think I could fit it all in one podcast here, but ⁓ never pay a contractor in advance. ⁓ Learn that pretty early. ⁓ Always underwrite extremely conservatively. The glass is not always half full. ⁓ And make sure you’re

  you’re vetting and hiring good people. are the advice I would give. But yeah, when you’re investing, you’re also investing in people, property managers, contractors, all of that. So you gotta make sure you’re surrounded by.

  people that have the same mindset and aren’t going to steal from you in the worst case scenario.

  Michelle Kesil (17:38)
  Absolutely. Yeah, mindset, I think is something that’s super crucial in this industry. Are there any sort of mindset, maybe books or, I don’t know, just strategies that you’ve implemented?

  Mike Corica (17:52)
  Well, like I said, Jaco’s book, The Obstacle is the Way is another great book. You’re going to come into so many barriers in this business, so many challenges, and you have to own it. There’s another quote, everything’s figureoutable. So you just have to mow through it and…

  you know, sometimes you’re going to lose some money and you just have to suck it up and keep plowing forward and solve the day to day stuff. It’s just the way it is. So, you know, my mindset is, you know, don’t give up and just keep on keeping on because it’s…

  You know, it’s, don’t want to say it’s a tough business. It’s very, lot of highs and a lot of lows and the highs are really high and the lows can be kind of low. So you have to, you know, just keep a positive attitude for sure.

  Michelle Kesil (18:48)
  Absolutely. So when it comes to growing your network and building new relationships, what do feel has made that biggest difference for you?

  Mike Corica (19:01)
  Well, the Mastermind definitely was good for our flipping network. There’s a lot of Rias here in San Diego that are also good. We’ve met some good folks at some of the meetups and things like that.

  I’m not necessarily all that social believe it or not and so You know you go to those things you have to sort of get outside your comfort zone and force yourself to Meet and greet and talk and all that so, you know I would say RIA groups and masterminds are really good We kind of shut down the masterminds because we got tired of traveling we were seems like we were going to an event every month and it was just like

  let’s not do that anymore because it was great at the time but now it’s more, we’re more focused on what we have going on at any given time.

  Michelle Kesil (19:53)
  Yeah, absolutely. Those relationship building processes are everything in this space. So before we wrap up here, if people want to reach out, connect, collaborate, learn more from you, where can people find you?

  Mike Corica (20:02)
  Thank

  Um, well, my email is [email protected]. Um, my phone number, I could give you that, uh, (760) 578-3989. I try to answer my phone and answer my emails promptly. So we’re, we’re busy, but you know, I try to return every call, try to answer the phone. So.

  I’ve learned a lot by answering the phone. Sometimes you get a deal just by answering the phone. So that’s why I answer. Sometimes you don’t want to talk to the person, but it is what it is.

  Michelle Kesil (20:51)
  Perfect. Well, I appreciate your time, your story, and your perspective. So thank you for being here.

  Mike Corica (20:57)
  Well, thanks for having me. I appreciate you having me on.

  Michelle Kesil (20:59)
  of course, and for the listeners that are tuning in, if you got value from this, make sure you’re subscribed. We’ve got more conversations with operators just like Mike who are building real businesses and we’ll see you on the next episode.