Apartments

4 Replies

Hey bp, do I have been very curious to learn a little bit about the apartment buying process. What kind of experience would one need to have to purchase a complex between 20-50 units? Obviously experience is a bonus, but would an investor without experience be able to get financing? And I have also heard of teams that get together and buy these kinds of investments, REIT and other groups. How do you find these groups? And also, what kind of down payment is usually required to finance? I've heard of gurus doing no money down however I feel it to be very much an exception to the many rules of REI. would love some insight from the community! Thanks guys.

Hi Jordan-

What kind of experience would one need to have to purchase a complex between 20-50 units? YOU don't necessarily need to have experience.  You will need to partner with someone who does.  Typically, this can be what is called a sponsor and you would leave most of the "meat on the bone" for the sponsor/investor partner for bringing the cash and/or the experience to the table for you.

Obviously experience is a bonus, but would an investor without experience be able to get financing? Yes.  See above.

And I have also heard of teams that get together and buy these kinds of investments, REIT and other groups. How do you find these groups? This awesome website, real estate investing bootcamps, mastermind events, chamber of commerce, rotary clubs, your local REIA, LinkedIn, Any place where you think people with cash hang-out.

Many times, it's just regular people that partner-up, pool their resources and get it done!

And also, what kind of down payment is usually required to finance? It varies from market to market and each deal is unique... but typically 25% is a good ballpark figure.  No worries though... This does not need to come out of your pocket- you will again, partner with investors.  Which brings us to the next question...

I've heard of gurus doing no money down however I feel it to be very much an exception to the many rules of REI. See above.  It is no $ down... None of YOUR $ down!

Hope this helps!

Medium sig  3 Chris Tracy, Synergetic Investment Group, LLC | [email protected] | 860‑966‑9887 | http://howtobuyalargemultifamily.com/tips-resources/ | CT Agent # RES.0794525

check this website.  they have a training for the multifamily investing.

https://realestateguysradio.com/events/brad-sumrok...

Originally posted by @Jordan Freeman :

Hey bp, do I have been very curious to learn a little bit about the apartment buying process. What kind of experience would one need to have to purchase a complex between 20-50 units? Obviously experience is a bonus, but would an investor without experience be able to get financing? And I have also heard of teams that get together and buy these kinds of investments, REIT and other groups. How do you find these groups? And also, what kind of down payment is usually required to finance? I've heard of gurus doing no money down however I feel it to be very much an exception to the many rules of REI. would love some insight from the community! Thanks guys.

Gurus are great, but everything you need is right here in front of you. My company is looking at buying one 100 unit apartment this year. We are focusing on secondary markets in and around Charlotte. I would make sure I started to learn on have to evaluate and look at the numbers.

Financing , bit tougher but keep in mind it is more about your financial picture.

No money down, just not the way to focus getting started.

just my two cents

Alex

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