How to Bounce Back from Failure with Damion Lupo, Episode 30

John Casmon

7 years ago

Damion Lupo turned a rental house purchased on a VISA card into 150 houses in 7 states in less than 5 years. Then he watched a $20,000,000 portfolio implode. After that “failure,” he bounced back and rebuilt his wealth in 24 months. That failure was the foundation to his freedom. He is the host of the Transformation Nation podcast, owner of 37 companies over 25 years and founder of his own martial art called Yokido™. Today, he shares his approach to recover from a negative situation and how to create success.

Key Market Insights

Started buying real estate with a VISA credit card
Built a $20MM portfolio and rolled it off the cliff in 2008
People tend to avoid mistakes rather than looking for ways to win
Bought all over Phoenix – 2 and 3 bedroom houses
Purchased the same type of properties over and over in Phoenix, Birmingham and other markets
In 2004, realized home prices began jumping 10% a month and started to sell
In 2006, had 7 different projects, within one year all 7 projects fell and lost around $1MM per project
Made the mistake of equating his net worth to his self-worth
One way to get out of a rut is to share your story
When screening mentors: What have you done and what have you screwed up? – You want to know someone has been through the streets in blood
When investing: Damion looks at assets in his area and gets really narrow in focus
Created investing rules of engagement to protect himself from himself
Looks at rules twice a year and evaluates the rules to see if anything needs to be changed
Cryptocurrency (Bitcoin) is pushing the decentralization of banking
Places 5-10% of net worth in speculative investments
Willing to invest in deals that will probably fail if he believes in investing in the person and the relationship
Start by looking at your own expenses, look for trends, are assets coming in as expected, are they growing or shrinking
Working on launching the digital mentoring around financing and investing