Ever wondered what it takes to leave a stable corporate job and go all-in on real estate? Gabe Petersen did just that. After years at Microsoft, he took the leap into real estate investing, building a portfolio of mobile home parks, self-storage facilities, and RV parks. In this episode, Gabe shares his journey—starting with a disastrous first flip, finding his niche, and scaling a real estate business that gave him true financial freedom. We also dive deep into creative financing, building a remote investing team, and the systems that keep his business running smoothly. Whether you’re looking to scale or make your first deal, this episode is packed with strategies you can use right away!
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Hey everyone, I’m Adrienne Green, and today I’m here with Gabe Peterson. Get ready for insights to help you scale, systemize, and create more freedom. Let’s jump in! Gabe, I’d love for you to tell me a little bit about your real estate investing journey—how you got started and how you got to where you are today.
Yeah, Adrienne, thank you for having me on the show. Super excited to jump into this. Hopefully, I can drop some wisdom for someone just getting started in real estate. I got started in real estate back in 2014 with my first flip with a friend. Pretty much everything that could go wrong did go wrong. It was a triplex in Tacoma. One tenant had a grow house in their unit, which sent the energy bill skyrocketing. Another tenant stopped paying rent as soon as we bought it, and when we gave him an eviction notice, he flooded the unit before leaving. The third tenant was good, but we were left with a completely destroyed unit.
Despite the challenges, we were lucky—we bought in 2014, right as the market was climbing, and still made $86,000 on that first flip. It was the biggest check I had ever seen, and I realized the effort and struggle were worth it. At the time, I was still working a corporate job at Microsoft and hesitant to take the leap into full-time real estate. I knew I wanted to do something entrepreneurial, but making that first leap was scary.
Between 2014 and when I finally quit my job in 2020, I dabbled in everything—wholesaling, flipping, e-commerce, digital marketing. I tried multiple side businesses, but I was too afraid to make the leap until 2019 or 2020. That’s when I bought my first commercial property, a mobile home park in George, Washington, and committed fully to real estate.
One of the biggest challenges with balancing a W2 job and real estate is that you can’t be fully dedicated to both. Some people say you can build a business on the side, but I don’t believe that. If you want real success, you have to be all in. That said, having a W2 job does have benefits—mainly, easier access to loans. I wish I had known earlier that I could have used my W2 status to buy and refinance single-family properties instead of flipping them. Once you quit, banks make it much harder to get traditional loans.
As I explored different business ventures, I realized that shiny object syndrome is real. In my 20s, I jumped between e-commerce, digital marketing, and real estate, not knowing what I truly wanted. Eventually, I realized real estate was the best fit for me. It had the stability and scalability that other ventures lacked.
The pivotal moment in my journey was quitting my job. At the time, I had a duplex and enough savings to get by, but I wasn’t where I wanted to be financially. I just knew I couldn’t stay in my corporate job any longer, so I took the leap. Looking back, it was the best decision I made.
I buy mobile home parks, self-storage facilities, and RV parks. Originally, I was looking at multifamily, but I met someone in the mobile home park space, and that connection led me down this path. A lot of times, your niche is determined by the people you meet along the way.
When evaluating investment opportunities, I look for mismanaged assets with upside potential. In self-storage, for example, I used to target properties without websites because they were easy to modernize and increase revenue. Today, those are harder to find, so I focus on markets with positive net migration and properties with room for operational improvements.
I primarily invest in Texas, particularly the Texas Triangle—San Antonio, Houston, Austin, and Dallas—because I’ve built a strong team there. Having a local team is key. Early on, I looked for deals everywhere, but focusing on one market allowed me to scale more efficiently.
Managing a remote team is all about structure. I have boots-on-the-ground employees for each property, and for self-storage, I use third-party management. Some properties are remotely managed with periodic check-ins, while larger ones justify having a full-time manager on-site. Bigger facilities allow for additional income streams like U-Haul rentals, which help boost profitability.
I also test new strategies carefully. Whether it’s marketing approaches or revenue streams, I roll out changes one property at a time before applying them more broadly. What works in one metro doesn’t always work in another, so it’s important to adapt.
One of my favorite investment strategies is creative financing, especially seller financing. It’s a win-win because sellers can get their asking price, and I can negotiate better terms. I’ve done multiple deals where I structured interest-only loans with low down payments, allowing me to cash flow the property effectively.
For example, I bought a self-storage facility in Indiana from a seller who wanted too much for the property. Instead of walking away, I negotiated a 5% interest-only seller-financed loan, giving him the price he wanted while making the deal work for me. Another example is an RV park in Texas where the financials didn’t support traditional bank financing. The seller wanted out, so we structured seller financing to close the deal.
When structuring these deals, I typically negotiate 10-20% down, a 5% interest rate, and a 10-year balloon. The key is explaining to the seller how these terms benefit both parties. Seller financing can also provide tax advantages by spreading capital gains over time.
One of the biggest lessons I’ve learned is the importance of communication. Having recurring meetings with property managers and investors keeps everyone aligned. Even when things are running smoothly, regular check-ins prevent issues from slipping through the cracks.
For managing operations, I use tools like Monday.com for acquisitions and Rent Manager for property management. I’ve tested several property management platforms—Buildium, Appfolio, and Rent Manager all work, but I’m still looking for the best self-storage management software. If anyone has recommendations, let me know!
A book that’s been transformational for me is Meditations by Marcus Aurelius. It’s a great book to read in short bursts and offers timeless wisdom. If you haven’t read it, I highly recommend it.
If you want to connect, check out my podcast, The Real Estate Investing Club, or email me at Gabe@therealestateinvestingclub.com.
Thanks for tuning in! If you got value from this conversation, subscribe, leave a review, and share it with a fellow investor. See you next time!