Let's say you buy a property for $100,000.

Are you looking to create equity so you can get that equity to work, or do you have equity

and you're looking to invest it to be able to create?

Cash flow will get you out of your job. Hello and welcome. My name is Gino Barbaro, one of the co-founders of Jake in Gino. And in this

how-to video, we're going to be discussing how you can create cash flow in your multi-family

deals. In this current market cycle that we're in, it appears as if a lot of your deals are not cash flowing.

Remember, there are four parts of a market cycle. There's the recession, there's the recovery,

there's the expansion, and there's the hyper supply. We're going from the buyer's market,

which is the recession and recovery

all the way to the seller's market,

which is expansion and hyper supply.

In a seller's market, prices are elevated.

Cap rates drop.

It's a lot harder to create cash flow on the buy.

What you're trying to accomplish is trying to create cash flow on the buy. What you're trying to accomplish is trying to accomplish cash flow through your pro forma, through increased operations, through adding value to the property.

Why else are you going to buy multifamily if you're not going to ultimately cash flow?

That's a good question. Maybe you shouldn't be cash

law in your multifamily. That's heresy. You can't say that, Gino. I've been taught that I need

to cash loan my deals. Yes, ultimately, that's where you want to get to. But let's say you're

just starting out and you don't have equity.

Because really, ultimately, the name of the game is to create equity. And from that equity,

you get cash flow. That doesn't make sense to me if I'm just starting out. Well, if you don't have

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