Veena Jetti- Multi-Family Real Estate Investments

ABOUT:

Veena Jetti is a real estate investor and a founding member of Enzo Brands which focuses on multifamily. She comes from both a family and corporate real estate background. When thinking of worst case scenarios when talking to investors, she never really knew what everything coming to a halt looked like until COVID-19 closures.

To prepare, they started looking a while back at the strategies to help both paying bills as well as helping people pay their rents. Their assets were lined up early to prepare for a downturn, but overall planned for a long term view. This is not a problem that will resolve itself in the next few weeks, and we don’t know if this is a dip or something more major. Putting things in place helps to work with your tenants now will be more beneficial later. Lease loans or applying a security deposit toward payments is a good option to help. 

What’s your advice to people looking to invest right now? Some people really want to jump in and invest in real estate rather than the stock market. Others are hesitant because of the unsure outcomes. Take time to learn about the investments you are interested in and find your risk level. Find operators in your areas that can allow you to make passive investment options. 

Make sure that you are a good fit with your investment group. Enzo builds a relationship with an intake call and time to gauge your interest and make a decision from there. They actually have an overage in investors, which is a great compliment to them.

How should we vet an investment group? There are lots of great groups out there. Take a look at their projects, track record or person with experience in this particular investment. Ask if they are investing in the deal themselves. Is there aligned capital? It is typically 2-4%, but Enzo will often invest closer to 6%. You want them to have skin in the game. Also find out who is signing the loan, the KP or Key Principle. The signers have to have a net worth equal to or greater than the loan. Is anyone getting a payout as part of signing. 

THE ENTREPRENEUR BIG 3: 

What is your productivity tip? 

Find partners that are smarter than you. She has someone who is great at financials and another that is excellent at marketing. Finding a support team that is effective makes your life so much easier as well. 

Share a tool that has helped you as an Entrepreneur.

For project management, she really likes to use Slack as an easy communication tool. Adding different channels keeps things sorted and organized. 

What is your favorite business book? 

The Millionaire Next Door, old school edition. As well as Rich Dad, Poor Dad.

LEARNING FROM THE PAST:

What’s a mistake that you made that you learned a good lesson? 

I chose a partner that was not a good fit. It was very tumultuous and there was a lot of internal and external struggle that made it difficult. Learning how to work through that made her better at picking partners and learning to compromise.

What advice would you give to your younger self? In your early 20’s, what would you tell her? While I would say go straight to multifamily investing. If she had actually done that, she would have tried to acquire more and be much more aggressive. Keep in mind your experience and income level, but go big or go home.

Have you ever thought about doing something more on the educational side? You are a wealth of information. It would take a lot of time and bandwidth she doesn’t have at this time. She does want to be a resource for people, but it would be more in the vein of paying it forward. She is always willing to help evaluate a deal.