In the latest episode of Beyond Bitewings, Ash sits down with Paul Montelongo, founder of Montelongo Capital, to explore investment strategies tailored to dental professionals and business owners. With more than 11 years of experience in multi-family real estate, Paul shares how cash-flowing assets like apartments, self-storage facilities, and even oil and gas ventures can provide equity growth and tax advantages.

What Makes Real Estate Investments Ideal?

Paul highlights the three pillars of his investment philosophy:

1. Cash Flow: His firm prioritizes assets that generate consistent monthly income exceeding operating costs, ensuring stable returns for investors.
2. Equity Growth: By strategically improving properties, they appreciate and maximize value over the asset’s life cycle.
3. Tax Benefits: Real estate investments can offset tax liabilities, a major advantage for high-earning professionals like dentists and physicians.

Montelongo Capital acts as an owner-operator, handling daily management tasks, so investors—many of whom are busy professionals—can participate passively and focus on their own businesses.

Multifamily Syndicates: A Gateway to Passive Income

Multifamily syndicates, where investors can participate as limited partners or even general partners, enjoy passive income with minimal involvement, while investors gain additional tax advantages. Most properties operate on a five-year plan, but some can sell as quickly as 33 months.

Why Invest Now?

As the market adjusts, potential investors have a unique opportunity in 2024. Montelongo Capital is acquiring properties 20-25% below market value, presenting strong potential for equity growth. For example, their current project in Corpus Christi, Texas, projects a 20% annual return, combining a 7% preferred rate of return with additional profits from property appreciation.

A ‘Done-for-You’ Investment Model

The ‘done-for-you’ model is where an outside team manages everything from acquisition and operations to quarterly distributions, making it easy for investors to grow their wealth without the day-to-day burden. This can be particularly appealing to dentists and other busy professionals who want to invest in real estate yet don’t have time to manage the process. 

For dental professionals and business owners considering diversifying their investments, this episode of Beyond Bitewings offers valuable insights into the benefits of real estate intestment. To learn more, visit Montelongo Capital and explore how strategic investments can secure your financial future.