From Watches to Real Estate, the Importance of a Diversified Portfolio with Frank Xia, Ep 81

Feb 1 2024 • 39 mins

Today's guest is Frank Xia, an ex-software engineer and data scientist, Frank is the founder of Daytona Capital. He has invested in everything from stocks and options to diverse assets like sports cards, watches, and of course, residential and commercial real estate.

In this episode, Xia discusses his transition from purchasing real estate in cities like Tampa to becoming a passive multifamily real estate investor. In addition, he talks about how he leverages technology and his strong expertise in mathematics to make money on his investments and emphasizes how crucial it is for limited partners and general partners in real estate syndications to have similar goals.

He also shares his expectations for real estate investing and offers guidance on how individuals in the United States with a green card or visa can also invest passively. Stay tuned!

Episode Topics

[01:19] Meet our guest, Frank Xia
[02:54] Investing Journey and Background
[11:09]Challenges and Lessons from Real Estate Investing
[18:16] Leveraging AI and Mathematical Rigor in Investing
[22:55] The Role of Data in AI and Real Estate
[35:15] The Reality of Real Estate Investing
[34:02] What is one red flag every investor should look out for?
[35:12] What is a myth about the real estate business?
[38:29] Connecting to Frank

Notable Quotes

"First effort didn't go great, but instead of giving up on real estate, I examined what went wrong. I pivoted to Sunbelt markets like Tampa, seizing opportunities before prices soared." -Tim Little
"I don't like the downsides of single-family or small multifamily. Multifamily is efficient, less liability, and offers a lower cost of entry. I'm all in on multifamily." -Frank Xia
"My edge is mathematical rigor, not just AI. Technology is powerful, but my careful underwriting, rooted in mathematics, minimizes mistakes in a crowded market."-Frank Xia
"Understanding your market is key to real estate success. Tampa's MSA and surrounding towns offer great opportunities for savvy investors." - Tim Little
"My advantage in real estate is my careful and rigorous underwriting, rooted in mathematical precision. This tech-driven approach minimizes mistakes and maximizes profits." - Frank Xia
"AI-driven property management boosts tenant experience, crucial for leasing and quick maintenance responses." - Tim Little
"As a limited partner, I wait for deals with a conservative 14% IRR, avoiding reliance on lower cap rates or interest rate bets." - Frank Xia

Connect with Frank Xia