--- title: How Economic Downturns Affect Rental Property Investing description: "As we get involved in the real estate world, we start tasting the sweet taste of it: we discover the benefits and rewards it has to hack our income and we get amazed on how fast it can transform our environment, our perspective, and our network skills. Our today’s guest is Adam Adams, and he is here to share with us the uniqueness he sees in real estate, and how he manages to fix & flip on a much larger scale. " image: https://www.theinvestorsedge.com/hubfs/Blog%20Media/EconomicDownturn.jpg --- [Skip to content](https://www.theinvestorsedge.com/incomehacker/how-economic-downturns-affect-rental-property-investing#main-content) [ Close ](https://www.theinvestorsedge.com/incomehacker/how-economic-downturns-affect-rental-property-investing#) - Courses - House Flipping - [Find Fund Flip System For Houses](https://www.theinvestorsedge.com/find-fund-flip-system) - Land Flipping - [Find Fund Flip System For Land](https://www.theinvestorsedge.com/land-flipping) - Software - Tools & Automation - [The Investor's Edge Software](https://www.theinvestorsedge.com/real-estate-investment-software/investors-edge/) - [Proof of Funds](https://www.theinvestorsedge.com/real-estate-investment-software/proof-of-funds) - [Next Property Roadmap](https://www.theinvestorsedge.com/real-estate-investment-software/next-property-roadmap) - 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[ARV Calculator & Property Value Analysis](https://www.theinvestorsedge.com/real-estate-investing-calculators/arv-calculator) - [Mortgage Calculator](https://www.theinvestorsedge.com/mortgage-calculator) - [Early Mortgage Payoff Calculator](https://www.theinvestorsedge.com/early-mortgage-payoff-calculator) - [Amortization Calculator](https://www.theinvestorsedge.com/amortization-calculator) - Funding - Funding with The Investor's Edge - [Funding Your Next Flip](https://www.theinvestorsedge.com/funding) - [Our Funding Process](https://www.theinvestorsedge.com/our-funding-process) - [Where We Lend](https://www.theinvestorsedge.com/where-we-lend) - [Why Off-Market Properties](https://www.theinvestorsedge.com/off-market-properties) - Financing Options - [Hard Money Loans](https://www.theinvestorsedge.com/hard-money-loans) - [Gap Financing Ideas](https://www.theinvestorsedge.com/hard-money-loans/gap-financing) - About Us - About The Investor's Edge - [About Us](https://www.theinvestorsedge.com/about-us) - 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Wholesale Properties - [Find Cash Buyers](https://www.theinvestorsedge.com/sell-properties/find-cash-buyers) - Investing Strategies - [Fixing & Flipping Houses](https://www.theinvestorsedge.com/fixing-and-flipping-houses) - [Wholesale Real Estate](https://www.theinvestorsedge.com/wholesale-real-estate) - [BRRR Method](https://www.theinvestorsedge.com/brrr-method) - [Blog](https://www.theinvestorsedge.com/blog) - [Podcast](https://www.theinvestorsedge.com/incomehacker) CALL US: [(801) 396-9772](tel:+18013969772) Search Suggestions ![How Economic Downturns Affect Rental Property Investing](https://www.theinvestorsedge.com/hs-fs/hubfs/Blog%20Media/EconomicDownturn.jpg?width=300&name=EconomicDownturn.jpg) Dec 9, 2019 3:10:00 PM # How Economic Downturns Affect Rental Property Investing [Previous ](https://www.theinvestorsedge.com/incomehacker/real-estate-and-airbnb-hack-your-income-renting-rooms) [Next ](https://www.theinvestorsedge.com/incomehacker/how-to-achieve-financial-freedom-starting-with-100-usd) - [Tweet](https://twitter.com/share) ## Listen to Episode 40: As we get involved in the real estate world, we start tasting the sweet taste of it: we discover the benefits and rewards it has to hack our income and we get amazed on how fast it can transform our environment, our perspective, and our network skills. Our today’s guest is Adam Adams, and he is here to share with us the uniqueness he sees in real estate, and how he manages to fix & flip on a much larger scale.  Adam started investing in real estate almost 15 years ago: After repositioning his first apartment community back in 2007 duplicating its value in only 12 months, he bought the first apartment building, leading him to walk the path he is walking today. For that moment on, he knew everyone has the big chance to scale up in real estate (even using someone else’s money) and discovered the uniqueness and power this asset class can bring. Above all, Adams has educated thousands of investors through real estate conferences, radio and podcast interviews including the *Best Ever Show*, *Investor Army* and the *Investability Podcast.* In this episode, our guest shares with us property classes from A to D and the differences among them, what can happen to rents if a downturn occurs and where you want to be investing time and money if this occurs. We learn from Adam how to get involved in multifamily investing and the secrets to shopping the right properties. He’ll show us what a midterm engagement is and how to achieve the ultimate goal: selling that property. Learn to manage modeling occupancies and vacant units on the same building in this episode of Income Hacker. *“In real estate, you have the opportunity to scale up, even with others’ money. Being able to get into something with nothing down, I’ve never seen that with other asset classes besides real estate.”* - Adam Adams **Podcast summary:** 02:24 - The uniqueness of real estate and how Adam bought his first triplex with none of his money.  05:16 - The market crash and why Adam opted for the multifamily way. 08:41 - The boom before the bust: how a downturn affects rent prices and vacancies. 12:40 - Property classes: the A, B, C, and D is for drugs.  16:29 - How to raise 5 million USD like it’s no big deal while fix & flipping 200 units at a time. 22:00 - How Adam manages remodeling, occupancies and vacant units on the same building. 24:00 - On comparables, the importance of management teams, and how Adam always feels confident to fill a 22% vacancy. 27:00 - Secret shopping: how Adam does his research and obtains relevant data from other properties. 29:12 - A midterm engagement and the ultimate goal: selling the property. 31:25 - The eight roles and how you can get involved in multifamily investing with or without capital. 41:19 - Why Adam would start a podcast to keep adding value to others but still wouldn’t change a thing. **Connect with Adam** [Check out Real BlueSpruce’s Website](https://realbluespruce.com/) [Follow Real BueSpruce’s Facebook Page](https://www.facebook.com/BlueSpruceHoldings) [Contact Adam through his Email](mailto:Adam@RealBlueSpruce.com) [Real Blue Spruce’s contact info](https://realbluespruce.com/wp-content/uploads/2018/04/BlueSpruce-Investment-Criteria.pdf) **Episode Resources** [Rich Dad Poor Dad](https://www.amazon.com.mx/Rich-Dad-Poor-Teach-Middle/dp/1612680194/ref=sr_1_1?adgrpid=59334232538&gclid=Cj0KCQiA2vjuBRCqARIsAJL5a-IOFNKPBNfLtSUx-w4nCmlKa2p_v1iEwsQhL9m1Bbj1FTHeTIj5wVEaAh2HEALw_wcB&hvadid=286734687508&hvdev=c&hvlocphy=9047093&hvnetw=g&hvpos=1t1&hvqmt=e&hvrand=8182457167277659637&hvtargid=kwd-27597396&hydadcr=26980_9990375&keywords=rich+dad+poor+dad&qid=1574899215&sr=8-1) by Robert T. Kiyosaki   Want to learn more? Join Ryan on our next webinar to learn how you can start real estate investing with The Investor's Edge. [![Learn More - Attend Our Next Webinar](https://no-cache.hubspot.com/cta/default/23711988/17584397-0a87-4eac-9f6e-804ef02c9b6b.png)](https://cta-redirect.hubspot.com/cta/redirect/23711988/17584397-0a87-4eac-9f6e-804ef02c9b6b) ![avatar](https://23711988.fs1.hubspotusercontent-na1.net/hub/23711988/hubfs/RyanGWright-Headshot.jpg?width=290&name=RyanGWright-Headshot.jpg) [Ryan G. Wright ](https://www.theinvestorsedge.com/incomehacker/author/ryan-g-wright)Ryan became a multimillionaire before the age of 30 through a combination of real estate investing and a passion for personal finance. He hates Wall Street, loves personal margin, and advocates for everyone to take control of their finances themselves - all of which he talks about on the Income Hacker podcast. COMMENTS ## RELATED ARTICLES USEFUL LINKS: --- - [FAQs](https://www.theinvestorsedge.com/faq) - [Areas Served](https://www.theinvestorsedge.com/areas-served) - [Terms of Use](https://www.theinvestorsedge.com/terms-of-use) - [Privacy Policy](https://www.theinvestorsedge.com/terms-of-use/privacy-policy) - [AI Info](https://www.theinvestorsedge.com/ai-info-page) OTHER RESOURCES --- - [Referral Program](https://www.theinvestorsedge.com/referrals) - [Become A Hard Money Lender](https://www.theinvestorsedge.com/become-a-hard-money-lender) - [Careers](https://www.theinvestorsedge.com/careers) - [Member Login](https://app.theinvestorsedge.com/authentication/login) - [Contact Us](https://www.theinvestorsedge.com/contact) [![New-InvestorsEdgeLogo-ForDark-257x100](https://23711988.fs1.hubspotusercontent-na1.net/hub/23711988/hubfs/A%20-%20Logos/New%20Logo/New-InvestorsEdgeLogo-ForDark-257x100.png?width=150&name=New-InvestorsEdgeLogo-ForDark-257x100.png)](https://www.theinvestorsedge.com) Keep the conversation going. Connect with us on Social Media: Copyright © 2025 TheInvestorsEdge.com All Rights Reserved ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "abstract" : "As we get involved in the real estate world, we start tasting the sweet taste of it: we discover the benefits and rewards it has to hack our income and we get amazed on how fast it can transform our environment, our perspective, and our network skills. Our today’s guest is Adam Adams, and he is here to share with us the uniqueness he sees in real estate, and how he manages to fix & flip on a much larger scale.", "author" : { "@type" : "Person", "name" : "Ryan G. Wright" }, "dateModified" : "", "datePublished" : "", "headline" : "How Economic Downturns Affect Rental Property Investing", "image" : "https://23711988.fs1.hubspotusercontent-na1.net/hubfs/23711988/Blog%20Media/EconomicDownturn.jpg", "inLanguage" : "en", "keywords" : "[Income Hacker - Podcast Episodes, Financial, Relationships, Family]", "mainEntityOfPage" : { "@type" : "WebPage" }, "name" : "How Economic Downturns Affect Rental Property Investing", "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://23711988.fs1.hubspotusercontent-na1.net/hubfs/23711988/Logos/New%20Logo/New-TheInvestorsEdgeLogo-ForLight-257x100-1.png" }, "name" : "The Investor's Edge" }, "text" : "Listen to Episode 40: As we get involved in the real estate world, we start tasting the sweet taste of it: we discover the benefits and rewards it has to hack our income and we get amazed on how fast it can transform our environment, our perspective, and our network skills. Our today’s guest is Adam Adams, and he is here to share with us the uniqueness he sees in real estate, and how he manages to fix & flip on a much larger scale. Adam started investing in real estate almost 15 years ago: After repositioning his first apartment community back in 2007 duplicating its value in only 12 months, he bought the first apartment building, leading him to walk the path he is walking today. For that moment on, he knew everyone has the big chance to scale up in real estate (even using someone else’s money) and discovered the uniqueness and power this asset class can bring. Above all, Adams has educated thousands of investors through real estate conferences, radio and podcast interviews including the Best Ever Show, Investor Army and the Investability Podcast. In this episode, our guest shares with us property classes from A to D and the differences among them, what can happen to rents if a downturn occurs and where you want to be investing time and money if this occurs. We learn from Adam how to get involved in multifamily investing and the secrets to shopping the right properties. He’ll show us what a midterm engagement is and how to achieve the ultimate goal: selling that property. Learn to manage modeling occupancies and vacant units on the same building in this episode of Income Hacker. “In real estate, you have the opportunity to scale up, even with others’ money. Being able to get into something with nothing down, I’ve never seen that with other asset classes besides real estate.” - Adam Adams Podcast summary: 02:24 - The uniqueness of real estate and how Adam bought his first triplex with none of his money. 05:16 - The market crash and why Adam opted for the multifamily way. 08:41 - The boom before the bust: how a downturn affects rent prices and vacancies. 12:40 - Property classes: the A, B, C, and D is for drugs. 16:29 - How to raise 5 million USD like it’s no big deal while fix & flipping 200 units at a time. 22:00 - How Adam manages remodeling, occupancies and vacant units on the same building. 24:00 - On comparables, the importance of management teams, and how Adam always feels confident to fill a 22% vacancy. 27:00 - Secret shopping: how Adam does his research and obtains relevant data from other properties. 29:12 - A midterm engagement and the ultimate goal: selling the property. 31:25 - The eight roles and how you can get involved in multifamily investing with or without capital. 41:19 - Why Adam would start a podcast to keep adding value to others but still wouldn’t change a thing. Connect with Adam Check out Real BlueSpruce’s Website Follow Real BueSpruce’s Facebook Page Contact Adam through his Email Real Blue Spruce’s contact info Episode Resources Rich Dad Poor Dad by Robert T. Kiyosaki Want to learn more? Join Ryan on our next webinar to learn how you can start real estate investing with The Investor's Edge.", "url" : "https://www.theinvestorsedge.com/incomehacker/how-economic-downturns-affect-rental-property-investing", "wordCount" : "1512" } ``` ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Ryan G. 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