Episode 11 - Noam Shpalter + Ohad Arad

In this video we interviewed Noam Shefter and Bronze fan About the stories behind his posts as part of the "Entrepreneur of the Week" program in which he participated in the United States Real Estate Forum

In the video you can see -

Introductory post:

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2237716013169255/

 

1. Who is Noam Shpelter - where he grew up, his wife, children, how they knew each other
2. Who is a bronze fan, how he knew Noam and their connection
3. Business he founded and the story behind every business
4. Focus on financial education - what it means to be a financial education and what it means
5. What is Noam's best way to invest long term?

First post - real estate as a tool for achieving economic freedom

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239454579662065/

 

 

• How to define economic freedom

• What does it mean to be rich?

• What is the "economic freedom number" and how is it calculated?

• Noam explains the sentence - "When there is a goal - you know what the goal is and you can build a work plan to reach it."

•  Why real estate? Why not invest in the capital market as an alternative? Noam answers

 

 

Post Two - How do you get assets worth "our economic number"?

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239459916328198/

 

 

• How the hell do 7.5 million worth of assets come to value? Why this number?

• What is a work plan?

• What type of property is suitable to reach our goals - "I will invest in properties that" only "give me rent"

• What kind of transactions should you make in the early years?

• Noam gives an example of the first transaction that he entered into when purchasing an office floor - some of what were the details of the transaction, investment and profit and demonstrates thinking outside the box and the need to be creative in our transactions

 

 

Third post - What is the "target return" on the way to the goal of economic freedom number?

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239465956327594/

 

 

• What is the return we are looking for in the real estate transactions we make on the way to the destination?

• Why is Noam looking for deals that return at least 15 percent return per year with a target of 18 percent?

• Looking at the annual return depending on the risk and what types of transactions you can find such returns

• From what sources can you get cheap capital

 

Fourth Post - How to examine a transaction and quantify the risk?

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239469162993940/

 

 

• Why return is always a derivative of risk

• The parameters that Noam looks at before a transaction - Noen will explain to us the importance of each parameter:

• What is the "deal"? Is this an entrepreneurship deal? improvement? Option and resale?

• What is the amount of investment and financing capabilities?

• What amount should I invest? And what is the expected return on investment?

• What is the amount and cost of funding I need? Do I pledge more assets or financing non-recourse?

• What is "financing marking"? Can I meet the refund if something goes wrong? Can I do a refinance if I have no choice?

• Market Price Sensitivity Analysis.

• What is the current market price relative to historical prices? How much have prices fallen in the Great Depression? (In 2008 for example) in this area. How much has the price increase been in recent years in the area? Is there an upward trend or a moderation? How much does the price have to go down in order for the profit to be "reset" in the transaction?

•  Who are my partners in the deal?

• Am I an exclusive entrepreneur or have an affiliate?

• If I am the entrepreneur - do I have the knowledge, experience, connections and funding required to execute the transaction successfully?

• If there are partners - who are they? Do I know everyone personally? What is their experience? What is their reputation? What is their "name risk"? The intention is - how well their name is based on the market and in general. I mean, will they risk their name and reputation in a failed deal?

•  What is the required time frame and what are the "time risks"?

• What is the time range for a transaction and what is the time period for similar transactions in the same place and places?

• What is the "risk of time"? The intention is - what is my risk in prolonging the project? If I have funding, will they extend my repayment period? Can I meet the refunds if the period is extended?

•  What is the area and the risks in it?

• What area do I work in? Is it convenient for me to access him if I have to go to the property a lot?

• What is the risk history of the area? Are there a lot of real estate transactions or few? Are there many other entrepreneurs there? How many of them have completed similar projects?

• 7. what is the next step?

• The last thing I look at is adjusting the investment to the investors' plan and planning to use it to redeem the deal. I mean, I usually already plan what to do with the revenue of the deal, in order to fit everything into our “master plan” on the way to the goal.

 

 

Fifth Post - We Finished a Deal - What to do with Profit?

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239562536317936/

 

 

• Are you reinvesting everything? Do you enjoy the profits and only invest the initial capital? - Noam explains what to do

• What to do when we have just received the target return. What to do if we got more or less.

• Noam's opinion - "If you do not owe the money - invest again. This way you can "insure" yourself from future returns that will not achieve the goal, or alternatively you can shorten the time frame for the goal. - Noam explains

• "Investment" is stimulated as a relinquishment of resources today, in order to enjoy unnecessary resources in the future. Noam explains the sentence

 

 

Friday Post - Summary Post

 

https://www.facebook.com/groups/ForumNadlanUSA/permalink/2239564346317755/

 

 

• Money, or assets, is the means and never the goal - Noam explains the sentence

• The importance of a “work plan” is planned, with clear goals

• Why real estate - "Real estate is a very important tool in planning the investments of a person (or family) since it is an asset that yields a long-term income, and generates fixed income."