How I Rebounded After Losing $1.7M: My Real Estate Journey | Fareed Abedini DSH #858

Summary

Digital Social Hour Podcast Summary
Episode: How I Rebounded After Losing $1.7M: My Real Estate Journey | Fareed Abedini DSH #858
Host: Sean Kelly
Guest: Reed Abedini

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Introduction

In this compelling episode of the Digital Social Hour, host Sean Kelly engages in an insightful conversation with Reed Abedini, a young entrepreneur who experienced a dramatic financial downfall only to rebuild his life through strategic real estate investments. Reed's story is a testament to resilience, creativity, and the power of leveraging business credit in the real estate market.

Reed Abedini's Personal Journey

Reed Abedini candidly shares his tumultuous journey from financial loss to real estate success. At just 24 years old, Reed recounts how he amassed close to $1.7 million in the stock market during the 2020 dip, only to lose it all due to a lack of experience and understanding of the market.

“I was shorting options. All that GameStop, all that crap. Made a ton of money, obviously didn't know what I was doing, so I lost it all.”
— Reed Abedini [02:47]

This devastating loss led Reed to bankruptcy two to three times, plunging him into a state of depression. However, this low point became the catalyst for his pivot into real estate, a field he had always been interested in but lacked the necessary funds to enter.

From Loss to Real Estate

Faced with financial ruin, Reed was forced to explore creative avenues to sustain himself. His foray into real estate began with wholesaling properties, which involved securing deals on properties he didn't own and reselling them to investors for a profit. This experience laid the foundation for his understanding of the real estate market and the importance of business credit.

“I always knew I wanted to get into real estate. I had no money to do so, so it forced me to be creative. That's why I freaking love real estate.”
— Reed Abedini [00:37]

Leveraging Business Credit

A pivotal strategy in Reed's real estate success was his mastery of business credit. By forming LLCs and obtaining substantial business credit lines, Reed was able to leverage other people's money to invest in properties without using his own capital. This approach not only minimized personal financial risk but also accelerated his ability to scale his investments rapidly.

“If you have an LLC, it all goes to your LLC, so it doesn't affect your personal credit. That's why I don't do anything in my personal name, bro. There's just no freaking reason to.”
— Reed Abedini [04:11]

Reed details how he secured business credit cards with up to $50,000 of credit, which he then used to fund real estate deals. His ability to manage and utilize business credit effectively has been instrumental in building his portfolio of 19 real estate properties across Texas, including Dallas, San Antonio, Houston, and Austin.

Real Estate Strategies

Reed employs several real estate strategies to maximize his investments:

1. Wholesaling: Securing and reselling properties to investors.
2. Airbnb Arbitrage: Renting properties and listing them on platforms like Airbnb to generate higher returns.
3. Fix and Flip: Purchasing, renovating, and selling properties for profit.
4. Buy and Hold: Acquiring properties to generate long-term rental income.

His latest acquisition, a $560,000 two-bedroom condo in Washington, D.C., exemplifies his strategic approach. After deciding to relocate to Dallas, Reed transferred the condo to his LLC and successfully rented it out on Airbnb with a 90% occupancy rate.

“The occupancy is like, there's ways to get your occupancy high as a shortterm rental. Airbnb is so profitable.”
— Reed Abedini [14:26]

Mentorship and Education

Reed emphasizes the importance of hands-on mentorship over traditional education methods. Unlike many real estate gurus who rely solely on online courses, Reed offers personal mentorship, partnering with his students to navigate real estate deals together. This approach ensures that his mentees receive practical, actionable guidance rather than just theoretical knowledge.

“I'm super hands on. I actually partner up with my students. So it's like a win win, right? It's not like I'm selling them a course where I'm saying, hey, here's all the education, Good luck, have fun off.”
— Reed Abedini [18:14]

Reed also highlights the prevalence of scams in the real estate mentorship space, noting that 60 to 70% of his students have previously been defrauded by unreliable coaches. His commitment to providing genuine, effective mentorship sets him apart in the industry.

Advice for Aspiring Entrepreneurs

Throughout the conversation, Reed offers several key pieces of advice for those looking to enter the real estate market:

1. Leverage Debt Wisely: Using business credit allows for greater investment opportunities without personal financial risk.
2. Be Creative: Real estate offers multiple exit strategies, allowing investors to adapt to market changes.
3. Continuous Learning: Engage in hands-on learning and seek mentorship from experienced professionals.
4. Prepare for Market Fluctuations: Reed advises being ready to invest during market downturns, asserting that economic dips create profitable opportunities for those prepared.

“If you don't take out debt, you can only go so far with your own cash. The more you're able to leverage other people's money, the faster you can scale and the faster you can build.”
— Reed Abedini [08:07]

Building and Repairing Credit

A significant barrier for many aspiring real estate investors is poor credit. Reed addresses this by offering credit repair services, helping individuals remove negative marks such as collections, late payments, and even bankruptcies from their credit reports. Additionally, Reed assists clients in establishing LLCs and securing substantial business credit lines.

“We can help those types of individuals increase and improve their credit... We can even get student loans removed.”
— Reed Abedini [25:15]

Reed’s proactive approach ensures that his clients are not only ready to invest but also capable of securing the necessary funding to do so.

Future Endeavors and Expansion

Looking ahead, Reed plans to expand into development, new construction, and multifamily properties. His focus remains on nurturing his students through Airbnb Arbitrage, enabling them to build their own real estate portfolios while he continues to invest his earnings into new ventures.

“I'm getting into development, getting into new construction, multifamily. My main focus right now is helping my students start up with Airbnb Arbitrage.”
— Reed Abedini [28:33]

Conclusion

Reed Abedini's journey from a $1.7 million loss to a thriving real estate entrepreneur offers invaluable lessons in resilience, strategic planning, and the effective use of business credit. His hands-on mentorship model provides a robust framework for aspiring entrepreneurs to navigate the complexities of the real estate market. For listeners seeking inspiration and practical advice on overcoming financial setbacks and achieving success in real estate, Reed's story is both motivating and instructive.

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Notable Quotes with Timestamps:

• Reed Abedini [02:47]:
  “I was shorting options. All that GameStop, all that crap. Made a ton of money, obviously didn't know what I was doing, so I lost it all.”

• Reed Abedini [00:37]:
  “I always knew I wanted to get into real estate. I had no money to do so, so it forced me to be creative. That's why I freaking love real estate.”

• Reed Abedini [04:11]:
  “If you have an LLC, it all goes to your LLC, so it doesn't affect your personal credit. That's why I don't do anything in my personal name, bro. There's just no freaking reason to.”

• Reed Abedini [14:26]:
  “The occupancy is like, there's ways to get your occupancy high as a shortterm rental. Airbnb is so profitable.”

• Reed Abedini [18:14]:
  “I'm super hands on. I actually partner up with my students. So it's like a win win, right? It's not like I'm selling them a course where I'm saying, hey, here's all the education, Good luck, have fun off.”

• Reed Abedini [08:07]:
  “If you don't take out debt, you can only go so far with your own cash. The more you're able to leverage other people's money, the faster you can scale and the faster you can build.”

• Reed Abedini [25:15]:
  “We can help those types of individuals increase and improve their credit... We can even get student loans removed.”

• Reed Abedini [28:33]:
  “I'm getting into development, getting into new construction, multifamily. My main focus right now is helping my students start up with Airbnb Arbitrage.”

---

For listeners interested in learning more or seeking mentorship, Reed Abedini can be found on Instagram, YouTube, and TikTok under the handle @readabedini. He actively responds to direct messages, offering personalized guidance to aspiring real estate entrepreneurs.

Transcript

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[Reed Abedini]

$45 upfront payment equivalent to $15 per month. New customers on first three month plan only. Taxes and fees. Extra speed slower above 40 gigabytes. CD tails when I lost all that money put me into a position and my back was against the wall and I was like, all right, like, what the hell do I do now? I always knew I wanted to get into real estate. I had no money to do so, so it forced me to be creative. That's why I freaking love real estate. You can be so creative when it comes to doing real estate transactions. If I throw my money into a real estate property, it's something tangible that I can touch 10, 20, 50 years from now.

[Farid Abedini]

All right, guys, we're talking real estate today. We got Farid Abedini here today. Thanks for coming out to Vegas, man.

[Reed Abedini]

Yeah, appreciate you having me, bro.

[Farid Abedini]

Yeah, we were just talking about it. You just moved to Dallas?

[Reed Abedini]

Yeah, I just moved to Dallas from D.C. so it's been a big ju. And I love moving around, bro. I moved. I was born and raised in Maryland, moved switched cities to D.C. and then from D.C. now to Dallas, starting from scratch.

[Farid Abedini]

Nice. Where I know you're. We're going to dive into Airbnb, but where are majority of your properties up in Texas? Oh, in Dallas.

[Reed Abedini]

Yeah, all over Texas. San Antonio, Houston, Dallas, Austin. Yeah, a bunch of my properties are in Texas. That's. That was like the primary choice of me moving out is because I want to stay close to all my properties. So that's why I moved to Texas, because I have a bunch of properties around that area.

[Farid Abedini]

Got it. And did you have a ton of money to start up with Airbnb?

[Reed Abedini]

No, dude. I was just another first generation kid who came from a family that doesn't even know what entrepreneurship is. My mom was a school teacher, my dad was a taxi driver, and I was just forced to Just figure it out myself. And then I hit some rough patches. I lost it all. Went, know, pretty much bankrupt like two or three times. And then now I got into real estate, and it's been amazing ever since.

[Farid Abedini]

Wow, you went bankrupt twice?

[Reed Abedini]

Yeah.

[Farid Abedini]

Holy crap. And you're young.

[Reed Abedini]

Yeah, I know. I'm 24, dude. I lost it all, bro. I made. I made close to like, $1.7 million in the stock market in 2020 when it dipped.

[Farid Abedini]

Like, were you shorting options stuff?

[Reed Abedini]

Yeah, I was shorting options. All that GameStop, all that crap.

[Farid Abedini]

Right.

[Reed Abedini]

Made a ton of money, obviously didn't know what the I was doing, so I lost it all. And then I hit, like, rock bottom depression for a very long time after that. And then I was like, gosh, like, what do I do? Got into real estate. Started wholesaling properties, pretty much just locking up deals that I didn't even own, and I was just reselling them to investors and pocketing the difference. So I did that for a while, and then I got, you know, I learned about business credit and business funding and how you can leverage the bank's money, like, literally. It's the craziest shit ever. If you're 18 years old, you live in the U.S. open up an LLC, you can get like $50,000 of business credit on a business credit card instantly. Take that, replicate it, buy real estate properties, or buy Airbnb properties with it. And now you're using other people's money, like the bank's money, to cash flow.

[Farid Abedini]

Right.

[Reed Abedini]

Started learning about that. Got into, you know, Airbnb, and it's been history ever since.

[Farid Abedini]

Dude, the business credit game is nuts.

[Reed Abedini]

It is.

[Farid Abedini]

You get more than that. Yeah, I got 200 because I had two companies, so you could get like 50 to 100 for each LLC, depending on the revenue and stuff. Yeah, 200k at 0% interest.

[Reed Abedini]

Yeah, bro, it's. It's. You can legally take out $150,000 of 0% interest business funding per Social Security.

[Farid Abedini]

Wow.

[Reed Abedini]

Right. And so if you have an llc, it all goes to your llc, so it doesn't affect your personal credit. It doesn't report to your personal credit. That's why I don't do anything in my personal name, bro. There's just no freaking reason to.

[Farid Abedini]

All right?

[Reed Abedini]

So I get the LLCs that protect me against any sort of legal financial calamity if anyone trips, falls, breaks a leg on any of my properties. Right? And then with that llc, now I can get business credit cards and get lines of credit.

[Farid Abedini]

Yeah.

[Reed Abedini]

And Use that to invest into real estate.

[Farid Abedini]

So you got that 50k and you immediately put it into properties?

[Reed Abedini]

Yeah, so the first fifty thousand dollar business credit card I got, I got like two properties from that in Maryland where I grew up. And then it started to click because I didn't have any money. I was like, how am I going to do this? And I was like, I learned about business credit. I invested, I took that entire $50,000 business credit card. I really didn't have a business plan at that point. I was just like, fuck it. I liquidated the entire credit card. I sent an invoice to myself, liquidated it and then I just used all that money to buy furniture, door, like ring cameras, chairs, desks, like everything from my Airbnb property. Started to make money and then I was like, all right, let's be a little bit more smarter about this. Created a game plan and now I'm just, you know, any, any properties I ever get, now I'm just getting loans. Never use any of my own money for it.

[Farid Abedini]

Loans like credit cards or just.

[Reed Abedini]

Yeah, credit cards. Lines of credit.

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[Reed Abedini]

Hard money loans, you know, conventional mortgages. Like, I really don't use any of my own cash for anything.

[Farid Abedini]

Damn, like nothing. So your risk is pretty low.

[Reed Abedini]

Yeah, it's pretty low. I do have a business plan for every single endeavor I get myself into. I have a financial advisor and I have, you know, a very, very good legal team. And like once you create a good structure and a good team for yourself, bro, you're pretty much like bulletproof after that. But yeah, all my own cash is just sitting in a, you know, savings account. I invest into stocks, like long, you know, long term, blue chips, cd, stuff like that. And then, yeah, I just use other people's money to invest and to create more cash flow.

[Farid Abedini]

Mm, smart. So you really can't go bankrupt then.

[Reed Abedini]

Yeah, Now, I mean, you could always go bankrupt, but now with, with the business plan and the blueprint that I've set up for myself and for all my students. Yeah. I mean, it's pretty. It's pretty bulletproof.

[Farid Abedini]

Yeah. Trump's gone bankrupt six times.

[Reed Abedini]

Yeah.

[Farid Abedini]

Which is crazy.

[Reed Abedini]

Yeah.

[Farid Abedini]

People consider him like a really good businessman.

[Reed Abedini]

Yeah. And Trump's got like 7 to 8,000 LLCs that he just. What he gets business funding for over and over again.

[Farid Abedini]

I didn't know that.

[Reed Abedini]

Yeah. Trump's got like a shit ton of LLCs, bro. And he literally, for each and every single LLC, does the same method is he replicates what I do and he takes business loans out for each company he owns. Billions of dollars to the banks.

[Farid Abedini]

Wow.

[Reed Abedini]

He's like a multi billionaire who's in debt with multi billions. Right. But I mean, that's like, if Trump's doing it and, you know, all these other bigger name real estate guys are doing it, why would I not do it? Why would you not do it?

[Farid Abedini]

Right.

[Reed Abedini]

Leveraging debt can be very, very powerful. Obviously you don't want to put yourself into bad debt, but if you know what you're doing with your money and it's creating cash flow, why not?

[Farid Abedini]

Yeah. I wonder if Grant Cardone does this too.

[Reed Abedini]

Yeah, of course. Grant Cardone has. Yeah, he's. He's a. Grant Carter is something else. He's an incredible marketer as well. And yeah, he sells a lot of stuff online, but yes, freaking owns a shit ton of buildings. And yeah, he's. He's got a lot of debt too.

[Farid Abedini]

This is an interesting take because I'm interviewing Dave Ramsey and he's like the total opposite of what you're saying, so.

[Reed Abedini]

Really?

[Farid Abedini]

Yeah, he's anti debt.

[Reed Abedini]

Really?

[Farid Abedini]

Do you know Dave Ramsey?

[Reed Abedini]

I've heard of him. Yeah.

[Farid Abedini]

Yeah, he's like totally against debt, but I think he just thinks it's too risky. But I like the way you're describing it because you're kind of mitigating the risk.

[Reed Abedini]

Yeah, I mean, my thing is like, if you don't take out debt, you can only go so far with your own cash. Right. Let's just say I have, you know, $100,000 sitting in a bank on cash. Right. How many properties can I get with $100,000 of my own money? Well, you know, maybe like five or six single family houses, a couple multifamily is like the down payments on these properties are going to run out. Eventually you're going to run out of cash. So what do you do when you run out of cash, are you just going to wait for your properties to ROI to then go reinvest? Like, no, you're just going to take out more loans. The more you're able to leverage other people's money, the faster you can scale and the faster you can build.

[Farid Abedini]

Right.

[Reed Abedini]

So I've taken that model and I've literally only ever used other people's money and I use 100 of the bank's money, lenders, private lenders, credit cards. I don't use any of my own cash to invest into anything. It's just risky. I personally wouldn't.

[Farid Abedini]

Yeah, it's definitely risky. Especially if real estate crashes.

[Reed Abedini]

Yeah.

[Farid Abedini]

Would you be totally screwed if that happened?

[Reed Abedini]

If, I mean, dude, as long as like, and everyone always asking this, like, Reed, what if we go into a great depression? What if the real estate market crashes? As long as the banks are still lending out money, I'm still going to be taking them, taking the loans and investing more.

[Farid Abedini]

Wow.

[Reed Abedini]

Right? I don't, I don't care what the market's at. If there's blood in the streets, there's fear in the streets, that that's the exact time to be investing. One, two. As long as the banks are still lending out money, I don't give a fuck. I'm just gonna like, why would I not use someone else's money to invest?

[Farid Abedini]

Yeah.

[Reed Abedini]

Right. And if the real estate market crashes, that's phenomenal. I'm just gonna get the deals at a better rate, better interest rate, better mortgage and it's gonna be a cheaper purchase price than normally at a market. All time highs that we're in right now.

[Farid Abedini]

So people have been saying it's gonna crash the past, what, three years?

[Reed Abedini]

Yeah. There's warmongers and you know, people on social media always like, you know, talking about the next crash and the next Great Depression and this, that, and they've all been talking for the last, you know, six, seven years and have. It hasn't happened yet.

[Farid Abedini]

Yeah.

[Reed Abedini]

Will the, you know, real estate market hit a dip soon? Will we go into another recession? Possibly. Yeah. I mean, that's just how the general cycle of, you know, our market, of our economic market works. But you just got to be ready for it.

[Farid Abedini]

Yeah, it probably happens four or five times in our lifetime. We just got to prepare.

[Reed Abedini]

Right.

[Farid Abedini]

It's already happened twice, I think in our lifetime so far.

[Reed Abedini]

Yeah, the last dip was in 2020 and you know.

[Farid Abedini]

Yeah, 20, 20 and 08.

[Reed Abedini]

Yeah. If you position yourself correctly, you can make a ton of money from those types of dips. I mean, I made $1.7 million trading stocks in 2020.

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[Reed Abedini]

When we went into the greatest recession in a while, I mean, granted, I lost it all, but still, you position yourself correctly, you can make a shit ton of money.

[Farid Abedini]

And you probably barely put up anything to make that one seven.

[Reed Abedini]

Yeah, I put up like 25,000.

[Farid Abedini]

That's it.

[Reed Abedini]

I have screenshots. I literally. Oh, I have screenshots of me starting with $25,000 in my bank account and scaling my stock portfolio all the way up to $1.7 million.

[Farid Abedini]

Dan, did you cash out any of it?

[Reed Abedini]

No.

[Farid Abedini]

You've risked it all.

[Reed Abedini]

I was high off money, bro. I was a kid. I was 20 years old, and I know what the fuck I was doing. And I was like, yeah, this is chill. I was on the top of the world. I was, you know, high off life. I was about to drop out of college.

[Farid Abedini]

Yeah.

[Reed Abedini]

And, you know, I'm glad for it because that adversity that I got hit by when I lost all that money put me into a position, and my back was against the wall and I was like, all right, like, what the hell do I do now? Right? And I always knew I wanted to get into real estate, and now I had no money to do so. So it forced me to be creative. And that's why I freaking love real estate, is because. Because you can be so creative when it comes to doing real estate transactions. Like, one, real estate property could give you five or six exit strategies. You could fix and flip a property. You could bur a property which is buying and renovating it. You can buy and hold a property. You can buy a property, airbnb it out. You could buy a property, completely destroy it, and then build a building on it. There's so many different strategies you can take. That's what got me into this space, is because I understood, like, okay, well, it's not just like, stocks, you know, Let me throw my money into a stock, right? And if it goes up, great. If it goes down, I'm fucked. No, like, if I throw my money into a real estate property, it's something tangible that I can touch 10, 20, 50 years from now. The address is never going anywhere. The land's worth, you know, some value, and I have multiple exit strategies on what to do with that property.

[Farid Abedini]

Absolutely. So how many properties you got now?

[Reed Abedini]

I've got 19 real estate properties. The latest acquisition I had was a $560,000 two bedroom condo that I purchased in Washington, D.C. nice. I was going to actually live in D.C. and then before I decided to move to Dallas, I was going to stay there. I bought the condo for myself under my personal name. I got a mortgage. I put down like 120. And yeah, then I decided to move to Dallas and I was like, it, I don't want to live in D.C. anymore, so. So I transferred the asset to my LLC and now I've rented it on Airbnb and it's pretty much like 90% booked out. Wow.

[Farid Abedini]

90% insane. That's almost every day.

[Reed Abedini]

Yeah. Yeah. The occupancy is like, there's. There's ways to get your occupancy high as a short term rental. And many people think Airbnb is dead, bro, but they really just don't know how to run a business. That's the thing is like, when you underwrite and you calculate the numbers on your deals before you invest into your deals, then that's how you can mitigate and reduce your risk and really just start to figure out, like, what, like what is a good deal versus a bad deal. As long as you're running your numbers correctly, bro, there's really like, you know this. Yeah. I mean, Airbnb is so profitable.

[Farid Abedini]

I'd say most people are not even running numbers when they get an Airbnb, Right?

[Reed Abedini]

Yeah, they're not.

[Farid Abedini]

They just buy it and then try to list it.

[Reed Abedini]

Yeah. In 2020, I would literally, and I was one of these people, I would literally just buy a property or sign a lease on an Airbnb and just throw it up on Airbnb and it would get like, fully booked out.

[Farid Abedini]

Wow.

[Reed Abedini]

And nowadays you can't just close your eyes and get into real estate. It's obviously gotten a little bit more difficult to. To find and source out a good deal. So just got to be aware of the. The market trends and whatnot.

[Farid Abedini]

Yeah. Was there any mentors or books that really guided you through this?

[Reed Abedini]

Yeah, I used to read a lot of books, bro. And I'll be honest, like, now I don't. Now I don't read any books. I don't watch videos. I don't do Any of that crap. Because, like, I'm a visual person. I have to learn visually me. My learning process is being here with my mentor, with someone in the actual mud and going through trial and error and going through experience. Like, I can't just open up a textbook and sit in a classroom and learn how to run a business. That's why I've never been really good at school or anything like that.

[Farid Abedini]

Yeah, I feel that. No, I'm the same way, to be honest.

[Reed Abedini]

Yeah.

[Farid Abedini]

That's why I don't film these over Zoom. It's always in person.

[Reed Abedini]

Yeah. Fuck zoom. Fuck online, everything. Yeah.

[Farid Abedini]

I sucked at school, bro. And being Asian, that was not a good mix. You know how it is, right? Yeah. I did not fit in with those Asian nerds, man. God damn, school was so boring.

[Reed Abedini]

Yeah.

[Farid Abedini]

Now I love learning, but it just shit I care about.

[Reed Abedini]

Yeah. It's like, bro, you're not, you know, it's like when you, you know, you could be in a classroom and learn how to drive a car, right? And like watch all these videos and take all these tests. Tests. But you're not going to learn how to truly operate a vehicle unless you're in the driver's seat with your foot on the gas.

[Farid Abedini]

Facts.

[Reed Abedini]

Right? And it's the same thing in business is like, you could have as much gas in the tank, you could have a mentor sitting beside you in the passenger seat with Google Maps open. But if you're not in the vehicle in the driver's seat putting your foot on the gas, brother, you're not going anywhere.

[Farid Abedini]

You're right.

[Reed Abedini]

So you, at the end of the day, you have to be the person to be able to take action and put yourself into the mud and really like roll up your sleeves and get down to it.

[Farid Abedini]

Yeah. There's a lot of real estate, Airbnb gurus on social media. Does that make it harder for you?

[Reed Abedini]

No, it actually makes it easier. I'm like. And it's really unfortunate, but 60 to 70% of my students get scammed before they actually find people like me who have them. Yeah. You know, there's some big name guys out there who've done some shady stuff which I won't name because I'm not that type of person to talk bad about everyone. But yeah, like a lot of my students have been scammed by coaches before who promised mentorship. And then when they buy the program, they just get, you know, a condensed PDF version of a frickin course. Right. And like, you know, I'm not, I'm not Talking bad about anyone who sells courses. Some people love to learn from courses. Some people are book readers. They, they love to learn. I prefer to, you know, I'm a visual, like in person that I want to learn from someone who's done it before. And that's why I offer mentorship is just, that's how I've learned and that's how I've gotten mentored.

[Farid Abedini]

Yeah, so that you're more hands on with your students.

[Reed Abedini]

I'm super hands on. I actually partner up with my students.

[Farid Abedini]

Really?

[Reed Abedini]

Yeah. So I teach my students how to go find deals, then when they acquire and find those properties, they bring them to me and then I help them and I partner up with them and I manage the properties with them.

[Farid Abedini]

Oh, wow.

[Reed Abedini]

So it's like a win win, right? It's not like I'm selling them a course where I'm saying, hey, here's all the education, Good luck, have fun off. No, it's like, hey, I'm gonna teach you how to catch the fish, brother. You come back, we eat together.

[Farid Abedini]

I like that model. Yeah, it's a win win. Yeah, because of course is. I've heard the chargeback rates on courses are nuts.

[Reed Abedini]

Nuts, bro.

[Farid Abedini]

And it's on both sides, right? Because people are lazy. So they're charging back because they never read it. And then it's also, the course sucks.

[Reed Abedini]

Well, yeah, I mean, the, you know, the person who's at fault is really the consumer because most people, whether you think it or not, most people are visual learners. But a lot of people think that they can just buy a course and it's going to make them rich overnight. So, you know, they're, they're at fault for just being naive and stupid. Like if you're online, bro, you're buying a course online from someone else. You're just. Honestly, you're stupid, bro, because you could literally just go open up a tab on YouTube, Google, and they're both free. So why would you buy a course from someone when you can go and consume content for free? The real value of a course comes when you get access to the guy himself who created the course. If you're not getting access to a mentor or coach or anyone, why the hell would you, bro, I can pull up hella manuals on how to drive a car online for free, bro. You don't need to go to an in person instructor to have him teach you how to do it.

[Farid Abedini]

Yep.

[Reed Abedini]

Right?

[Farid Abedini]

So YouTube University, baby. YouTube University. I learned way more on YouTube than college. Yeah, like not even close. Yeah, College was a waste. Did you graduate?

[Reed Abedini]

I did graduate, bro. And I regret that so much. I really don't know what to say because both my parents are Middle Eastern and I had to graduate for them. And at the time I really didn't know what I wanted to do. So I was like, all right, it. I'll get this degree to make my mom happy. That is the biggest regret I've ever had in my entire life.

[Farid Abedini]

Wow.

[Reed Abedini]

Yeah, I don't regret many things, but the fact that I went through life wanting to make my parents happy because I cared about what they thought was the biggest setback I had. And if I didn't give a. About what they thought, like I don't give a. About what anyone else thinks, I'd be, you know, worth, you know, a very, very.

[Farid Abedini]

Yeah, that's four years.

[Reed Abedini]

Yeah, bro. It was four years of my life that I wasted. And like, bro, the biggest breakthrough I had in my career as being an entrepreneur was when I stopped giving a shit about what other people thought, but also what my parents thought. Right? And that's what a lot of people are like. No, I care about my parents. I care what they think. And I love my parents, don't get me wrong. But I just do not take business and career advice from my parents because they don't have the business or career that I want to have myself.

[Farid Abedini]

Facts.

[Reed Abedini]

And that's not, you know, selfish. I'm just being a realist, right? So. And they understand that now. Back then there was a lot of backlash when I was, you know, wanting to drop out and do my own thing because both my brothers are dentists and doctors. So the bar for me was set super high. It's like, hey, you're either going to be a doctor, lawyer, engineer. And I was like all that, dude. Like, I respect you mom and dad, but I really don't give a about what you say or what you think. I'm going to block all the noise out. And the biggest breakthrough I had was when I actually moved out of my hometown and I just started my own life.

[Farid Abedini]

So you just moved out just by yourself?

[Reed Abedini]

Moved out. One day, you know, I was, I turned 21 and I was like, fuck it, I'm just move out, get my own apartment. Because it's super difficult to work on a business when you're at home and you're living at your parents house, right? And like imagine like you're locked in, like dialed in, just doing work. You got your headphones in, you're getting shit done, you're being Productive. And then your mom walks in like, yo, like, let's go out to eat or wash the dishes or dinner is ready or this and that. Like, I. For me, bro, when I'm building a business, I don't want any distractions at all.

[Farid Abedini]

Right?

[Reed Abedini]

Like, if I want to go hang out with my family, I will go out and visit them. If I want to go hang out with friends, I will go out and have lunch and dinner with my friends. But I need to have my own sacred space to come back to, to lock the in. That's why moving out of your hometown and having your own place to live is crucial. And that's what everyone needs to do. As an entrepreneur, it was one of.

[Farid Abedini]

The biggest steps for me too, dude, because I love my mom, but similar, we would fight all the time and she would try to give business advice. She tried to give like, money advice, but that's. That's not her strength. She's a 9 to 5 corporate job, which is fine, but just a different lifestyle.

[Reed Abedini]

Yeah. My thing is, like, why would you take business advice from someone who's never created a business in themselves? Right. And you hear that all the time. But it's true. Like, really think about it. Are in school, putting themselves hundreds of thousands of dollars in debt for four years straight coming out of school with no guaranteed job, no guaranteed income. Right. And they're afraid of putting themselves into four or five thousand dollars of debt for a mentorship program. But in reality, that mentorship program is going to teach them how to create income and actually come out with the business.

[Farid Abedini]

Yeah.

[Reed Abedini]

So it's like people got it like, so backwards. It's like everyone, like people are ready to take out loans to go to schools like Harvard and Yale. And just because of the name, it's all programming.

[Farid Abedini]

I mean, I remember when I was in high school, you were a loser if you didn't go to college.

[Reed Abedini]

Yeah.

[Farid Abedini]

So I was pretty much forced socially to go to college also. I'd be looked down on. But now, looking back at it, who cares? You know what I mean?

[Reed Abedini]

That's the thing, bro. It's like you're programmed to think that you need to have a degree in order to become successful. But peel the onion back and like, really start to understand that these colleges and universities are in business to make money. They don't give a shit what degree they sell you, as long as you take it alone and buy it. That's all they care.

[Farid Abedini]

Piece of paper. It's the highest margin of all time.

[Reed Abedini]

Yeah. It's the Best business model ever. If I could go out in the future and create an online school, I would. Well, the. Actually scratch that. I do have an online school. And the difference is we actually do help people and we guarantee things like business funding, helping them get their properties right, acquiring deals, partnership. Right, so that's the difference between like modern day online school and what you're going to university for?

[Farid Abedini]

Yeah. No, it has to shift, man. Colleges, especially for business, we're talking about, obviously, but it's just not the same as mentorship.

[Reed Abedini]

Yeah, like if you're a doctor and. Or if you want to become a doctor and you need to go to dental school or med school in order to do so, then I respect you, bro. Like, if you're okay with dropping a quarter mil, half a mil on a degree to get your MD or your PhD or whatever, more power to you. But respectfully, if you're not a business owner, I don't give a what you say. You're not gonna sit on a batuna projector and lecture me on how to run a business at university, bro. I'm not listening to you.

[Farid Abedini]

Yeah. Do a lot of people hit you up that have terrible credit but they want to buy a house?

[Reed Abedini]

Yeah, yeah, a lot of people. I get DMs every single day with people with, you know, horrifying credit collections, bankruptcies, negative derogatories, all that crap. Right. And what people don't understand is we can help those types of individuals increase and improve their credit. And how we do this is we have a credit repair company within our division that will come in, remove those collections, remove those late payments, even remove bankruptcies. We can even get student loans removed.

[Farid Abedini]

Damn.

[Reed Abedini]

Yeah, I got my student loans all removed, wiped out. Yeah.

[Farid Abedini]

Even if it's like 50k. Yeah.

[Reed Abedini]

I got had like $35,000 of student loans just removed.

[Farid Abedini]

Holy crap.

[Reed Abedini]

Legally, these corporations and universities are not allowed to report student loans to your credit.

[Farid Abedini]

Wow.

[Reed Abedini]

They're just not allowed to, but they do it anyways. And so you can get them removed from FACRA laws, just Fair Credit Reporting act laws. Um, and many people don't know this, but yeah, like we can help individuals not only repair their credit, but build it to a certain degree where we can go out and even get them an llc. And bro, once you have an LLC with good personal credit, you're dangerous.

[Farid Abedini]

Right.

[Reed Abedini]

You can go to the banks and get 50, 75, $100,000 of on a business credit card.

[Farid Abedini]

What's considered good credit, like 700 bare.

[Reed Abedini]

Minimum to get a $50,000 business credit card with us would be a 680 credit score, at least 4 open positive personal credit card accounts. Right. And then no late payments and at least two or three years of credit history.

[Farid Abedini]

Okay.

[Reed Abedini]

If you hit all four of those boxes, we will come in, acquire you an llc, and then we can get you a fifty thousand dollar business credit card.

[Farid Abedini]

Damn.

[Reed Abedini]

We have underwriters that we're heavily connected with that we literally take out to dinner, buy them gifts, you know, AirPods, iPhones and whatever. And we have established very, very good relationships with these banking underwriters who go out and manually submit credit card applications for us.

[Farid Abedini]

That's huge.

[Reed Abedini]

And the reason why we're able to get so much in funding is because there's a difference in automatic underwriting online. When you're just going on Chase.com and applying for a credit card versus manual underwriting through a bank manager. And when you get your application manually underwritten, that's when you can get 50, $100,000 on a. On a business credit card.

[Farid Abedini]

Yeah. Because if you apply online, you're getting 3 to 5k.

[Reed Abedini]

Yeah.

[Farid Abedini]

Per card. I know that from experience.

[Reed Abedini]

Yeah. I've done it myself. Yeah, you're not going to get in. I've had clients who have had 800 credit scores and they're like, oh, you know, fuck you. I'm not going to go through your funding program. I have an 800 credit score and, you know, I've got a perfect credit report. I'm just going to apply for a credit card myself. And I'm like, okay, go ahead. Let me know how it goes. They come back a month later like, yeah, bro, I only got $8,000. Like, the banks don't lend out money unless you don't have relationships with them.

[Farid Abedini]

Right? Yeah. 8 first 50k. I mean, no brainer.

[Reed Abedini]

Yeah.

[Farid Abedini]

You know?

[Reed Abedini]

Yeah. Well, that's something we guarantee in our program. We guarantee each and every single student $50,000 on a business credit card.

[Farid Abedini]

And that's major when you're starting out. Like 50k, like, you could. You could double that if you make the right play.

[Reed Abedini]

Yeah. A hundred percent.

[Farid Abedini]

I love that, dude. What do you got going on next?

[Reed Abedini]

I'm getting into development, getting into new construction, multifamily. My main focus right now is helping my students start up with Airbnb Arbitrage. I partner up with them on their deals to help them get started. And then the cash that I make myself from those deals, I reinvest into actually buying properties on my own. Right. Because that's my goal is equity ownership. I'm young, so that's what I want. Right. Would I suggest someone who's just starting out in real estate to start out and, you know, buy properties? No. Definitely not. Right. Get started with the arbitrage, Learn how to operate an Airbnb business, learn the sublease model, and then get into acquiring deals.

[Farid Abedini]

Love it. Where can people find you and potentially get a mentorship from you?

[Reed Abedini]

Yeah. Instagram, YouTube, tick tock, read abedini. I respond to all my DMS myself, so if you shooting me a DM, you're going to be talking to me.

[Farid Abedini]

Awesome.

[Reed Abedini]

Yeah.

[Farid Abedini]

If you're interested in Airbnb. Guys, hit this man up. We'll link a stuff below. Thanks for coming on, dude.

[Reed Abedini]

Let's go.

[Farid Abedini]

Peace.