Drexel University alum Jeffery Gopshtein has worn several hats since graduating in 2017.
The first of his family to graduate from university, he was inspired by his parents’ business plans. After founding and running a food truck company in Drexel, he graduated in finance and real estate, assuming he would work on Wall Street. But Gopshtein soon realized, through cooperative experience, that he wasn’t cut out for looking at spreadsheets.
So he jumped into the traditional side of real estate, getting his license and selling houses, he said. Technically. Intrigued by the idea of becoming an investor, he finally bought his first property, a single family home. But he watched the growth of the commercial and multi-unit market and thought of a way to get in without a lot of capital.
“There was a real appeal there,” Gopshtein said, so he spent time with a development company. “I watched and learned all the implications of building urban areas.”
He felt that there was a gap missing in the real estate market for those who were interested in investing in smaller multi-unit properties. Buildings that house between two and 20 units make up the majority of apartment buildings in Philadelphia, according to Gopshtein, but many realtors and buyers have stayed away. It takes about as much time and energy to sell a property with a few units as it does with 40 units, he explained. But one of the paychecks is much bigger.
Gopshtein began working on creating an end-to-end market for apartment building buyers. The platform searches, analyzes and markets these buildings, and also hosts many tools needed to complete a real estate sale, such as title, financing and real estate management tools. The platform, Easy performance, will launch next month in Philadelphia.
The company’s revenue comes from its technology-based marketplace, and buyers and sellers save money because the company doesn’t have the overhead costs of traditional brokerage, the founder said. Instead, it charges a fixed 1.5% transaction fee. Gopshtein realizes that he is not reinventing the wheel, he said, but creating a digital tool set for an undeserved market.
“We are not inventing space, we are digitizing a $ 13 billion market,” he said.
Currently, Gopshtein runs the business with another person who works full time. The company also has a group of trusted advisors and recently raised $ 100,000 in pre-seed funds to bring them into the platform’s launch and the fundraiser later this year, Gopshtein said.
It plans to expand next year to other markets that have a similar makeup of these multi-family units, possibly in Austin or Miami. Its main goal is to let people know that if they have a real estate investment goal, it’s more accessible than they think. The company will even consider fractional ownership – where someone partially invests in a property with others – for the future.
“It’s very capital intensive, so a lot of people stay in the single family home route. There’s no really smooth way to get in there, ”the founder said of the property. “But someone who could buy a house for $ 500,000 could just as easily buy a duplex for $ 500,000.”