Building Wealth through New Construction Multifamily with Dirk Van der Velde

The Cashflow Project

Join Steve and Dirk as they provide great insight into the complexities of multifamily construction and the importance of understanding the risks and rewards that come with it. Whether you're a beginner or a seasoned real estate investor, this episode of Building Wealth through New Construction Multifamily is sure to provide valuable information. There's a lot to unpack, so tune in to learn more and get the guidance you need to succeed in your investing journey!

Navigating the Real Estate Market in Times of Recession

Dirk van der Velde is a real estate investor who focuses on granite construction and currently has over 110 units under construction. He started his journey in real estate investing when he had his first son and decided to start his own business. He put out the feelers to find an off-market deal, resulting in a 3.5-acre piece of land to build 84 units. He had to account for the changing market and supply chain issues but was lucky enough to save money on the lumber package due to the decrease in prices. He leveraged the upcoming recession to get high prices from his subs and is now on track to hit his budget and project timeline.

In this episode, Dirk discusses the current state of the economy and the impact that it is having on real estate development and investment. He notes that recessionary fears have caused people to fear making investments, but the macroeconomic picture is actually quite good. He also mentions how they were able to lock in a long-term loan at a lower rate due to their relationship with a local bank and how they have hedged against the potential for rising interest rates by underwriting the project conservatively. Finally, he discusses how the US is becoming a nation of renters and how investments in multifamily housing are a great way to reduce risk and build wealth over the long term.

About Dirk van der Velde:

Dirk van der Velde, Founder of Momentasize Construction, has grown up in the Construction and Development industry. He has extensive experience in overseeing both vertical construction and residential infrastructure projects. In addition, Dirk has been involved in constructing and developing two of the most iconic master-planned communities in Oregon. He is obsessed with taking an idea, making it financially feasible, and bringing it to life through the built environment.

Outline of the episode:

0:00 Introduction to today’s show.

1:34 From Struggling Employee to Successful Entrepreneur

4:22 The Real Estate Journey

9:16 Leveraging Economies of Scale to Mitigate Risk in Real Estate Development

12:43 Navigating Uncertainty

17:38 How Multifamily Provides a Need for the Market

20:17 How to Build Generational Wealth with Commercial Real Estate

22:19 What Opportunities Will Emerge from the Economic Pain?

28:17 Think and Grow Rich by Napoleon Hill

30:53 The Working Professional's Guide to Achieving Financial Freedom

Resources:

Website: https://www.youtube.com/@momentasizeconstruction525

LinkedIn: https://www.linkedin.com/in/dirk-van-der-velde-5a12411a6/

https://www.millionairesmindsetblueprint.com/

Connect with The Cashflow Project!

• Website

• LinkedIn

• Youtube

• Facebook

• Instagram