26 units in 10 months and 16 more under contract...

53 Replies

Sharing our success after a highly successful first year from 0 to 26 units closed in under 10 months. 

In early 2018 my brother @Ashton Levarek and I began educating on investing in real estate through podcasts, webinars, books and meetups. Deciding to invest out of state, we selected Raleigh/Durham, North Carolina and built the team of partners to ensure our success, credit in the beginning to the @David Greene book on "Long Distance Real Estate Investing" and @Brandon Turner "The Book on Rental Property Investing". 

Developing our company "Valkere Investment Group", joined by our wives to round out the team and closing our first deal October 2018 we quickly followed up with an additional 9 units and finally closed on a 13 unit deal July 30th 2019. Taking 3 months hiatus to regroup, refocus and re-prioritize our goals, we are currently under contract for a 16 unit apartment complex with 34 more on the horizon to finish out the year.

Thank you to all those who have contributed in one way or another to our success whether our team partners, Bigger Pockets, conference connections, meetup relationships, books, podcasts and more. Looking forward to much more and my hope is this post inspires another investor to get after those goals no matter how big or small!

Congratulations that’s a very impressive first year! What are your long term goals? What’s your motivation for such explosive growth? 

@Chris Levarek

Thanks for sharing the success story—it does help. I’m just starting out and will definitely read those 2 books you mentioned. They were on the list but I’ll make them a priority. I’m in the Charlotte NC and have been looking in other states. Why did you choose to start in the Raleigh NC area?

26 units in 10 months:)

26 devided by 2= 13

From my experience when the honeymoon partnership hits turbulence you will understand. Two First Ladies will possibly bump heads. I hope you have a plan in place to slip the loot.


@Jonathan Bombaci Thank you. Long term goals are all around the motivation to have more choices, more opportunity and more life. We work towards numbers we believe will get us there and look to align with others who seek similar goals. Currently, 600 units in three years and/or $50,000 in passive income per month and two months of travel/vacation per year. Time to get after it!

@Dennis M. We did a mixture of BRRRR/Syndication with Private Lenders, Joint Ventures and LLC Equity Splits with bits of HELOCS, Lines of Credit and Personal Funds. Typically we hold the debt and raise the capital but contributed thus far about 5% per deal of personal capital. I would say around $750k in raised capital over that period of time.

@John Falco We chose Raleigh/Durham due to strong market indicators relating to population growth, tech job growth & economic diversity and great rental growth. As I am in IT, the interest by Apple and Amazon for HQ2 in Raleigh initially peaked my interest at the time however the Raleigh market is consistently listed as a top contender in the multifamily space, along with Charlotte I might add.

@Nathan Shankles  Thank you! I would say the biggest lesson is Brand and Credibility go much farther then the deal and returns when raising capital. Take the time to build your name, grow your partner/investors relationships and be honest, open and committed to upholding your deliveries. Business integrity and growing quality relationships are the way to go. 

Is there any other type of investment where one's success is measured by the number of assets acquired in a year?

@Chris Levarek

Congrats on your huge success.

Can you tell us about your very first deal? Price? How did you find it? How did you fund it? Etc

Also, what got you to take the leap?

Thanks in advance !

Hey Chris, I've acquired 5 units this year so far and I'm looking to raise capital to move into larger deals. Do you mind me asking what was the most effective selling point? It could be the rates, equity or brand to name a few.

Thanks,

Jeff

Congrats! that's a really nice first year. $50k/month passive income in 3 years!!!! that's great you have detailed and high goals.

Are you still in IT or doing real estate full time? @Chris Levarek

@Chris Levarek I have a couple questions about your thought process in market selection. Phoenix seems to be growing a lot as well, so why did you choose to go out of state? Also, since you're buying not only out of state, but on the other side of the country (long flight!) how often do you travel out there? 

I am a property manager in Oregon, and I'm researching Phoenix for multfamily (hot market, relatively easy flight), so I'm especially curious what turned you off to your home market.

Thanks for sharing your story! Sounds like you're off to an impressive start.

Very impressive, so to get to 50,000 a month in passive income how much do you have to put in yourselves.  Having syndications are nice, and jv also good, but to get to 50k a month you have to invest a few million bucks of your own, I assume you don’t have the few million at this time.  I like these stories but I would really appreciate hearing how much you have invested and what your return has been, if you are the GP then you get the usual 1% and 2% and a split at the end, GREAT but that is a long way from your set goal

Nice job sounds like you are doing very well 👍 I’m looking to invest in multifamily and looking for networking help on how to analyze properties . Look foreword to your response. Thank you keep up the good work Jim 

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