Mastering Apartment Complex Due Diligence with Omar Ruiz

Passive Wealth Strategy Show - Real Estate for Busy Pros

Omar Ruiz is co-founder of LeRu Investments LLC, a private for-profit real estate Investment Company and LeRu Management Services, the property management division of LeRu Investments LLC. LeRu Investments LLC currently manages 92 individual units located from Orange, San Bernardino, and Los Angeles Counties, California, and Harris County, Texas. LeRu Investments LLC is a member of the AOA (Apartment Owners Association). Omar can occasionally be found in front of local audiences sharing his knowledge and expertise on topics such as apartment analysis, due diligence, market cycles, section-8, and effective property management practices.

Mr. Ruiz has been in private practice for more than 10 years and is a real estate investor, property/asset manager. A majority of business activities have been in the city of San Bernardino, where he has advised, guided, and created partnerships and provided property management services to other investors. Mr. Ruiz has a background in business marketing consulting and is a quality control engineer. He’s worked as an AS9100 quality manager in the aerospace industry working directly with companies such as Boeing, Gulfstream, and Airbus, ULA, and SpaceX. He holds his bachelor’s degree from the California State University of Long Beach in business with an emphasis on marketing. He is also a member of the American Marketing Association the “Downtown Merchants Association” in his home city of Placentia as well as a founding member of “Citizens for a Better Placentia'' and co-organizer of the Real Estate Investors Network in Long Beach, California.

[00:01 - 05:00] Opening Segment

• Get to know Omar Ruiz
• What do Omar and LeRu Investments do?
• A Business that Keeps Your Curiosity Engaged

[05:01 - 13:45] Creating a Real Estate Empire

• A Great Time to be Involved
• Why and how Omar started with property management in the great recession
• How Omar and his team started to manage a lot of stuff in the Inland Empire
• A No Brainer Deal and Doubling-Up
• How to Foster Good Relationships with Brokers

[13:46 - 36:06] Mastering Apartment Complex Due Diligence

• Performing the due diligence on properties from a distance
• How Inconsistencies Can be Your Advantage and Disadvantage
• How to Build Proper Due Diligence
• Three Levels of Due Diligence
• Omar shares a story on one of their properties
• The Power of Stubbornness: Due Diligence with a 1031 Pre-COVID
• What are COVID Reserves?
• “We’re not selling.” Did it work out for the better?

[36:07 - 46:13] Closing Segment

• Quick break for our sponsors
  • Groundfloor offers short-term, high-yield real estate debt investments to the general public. Check www.passivewealthstrategy.com/groundfloor/ to get started.
• What is the best investment you've ever made other than your education?
  • Good mentors
• Omar’s worst investment
  • 13-Unit Commercial Deal

• What is the most important lesson that you've learned in business and investing?
  • “... To be calm, and to just be a focused leader.”
• Connect with my guest. See the links below.

Resources Mentioned:

• Patton on Leadership

Tweetable Quotes:

“And that's something that's really important to do in this type of business, is to really foster good relationships with brokers.” - Omar Ruiz

“You have to be persistent and maybe, maybe stubborn.” - Omar Ruiz

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Connect with Omar Ruiz through Facebook and LinkedIn. Visit their website https://leruinvestments.com/.

Invest passively in multiple commercial real estate assets such as apartments, self storage, medical facilities, hotels and more through https://www.passivewealthstrategy.com/crowdstreet/

Participate directly in real estate investment loans on a fractional basis. Go to www.passivewealthstrategy.com/groundfloor/ and get ready to invest on your own terms.

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