Can somebody recommend a course/program for commercial investing

[Jay Ben]

Hey BP family, Can somebody recommend a good course or program for commercial investing?

[Chris Seveney]

@Jay Ben

I would recommend going to work for a commercial developer or getting an advanced degree in real estate finance. The $25k you spend for the degree will be more valuable than paying any so called guru the same amount

[Ronald Rohde]

Quote from @Chris Seveney:

@Jay Ben

I would recommend going to work for a commercial developer or getting an advanced degree in real estate finance. The $25k you spend for the degree will be more valuable than paying any so called guru the same amount

Chris, I love your posts and generally align with your opinions, but I'll disagree on this!
For most working professionals, they can't take a job with someone else for a lower salary, just to start over in a new industry that they may or may not love. MSRED is also too niche and costly/long period for a specific skillset that still doesn't give confidence to "pull the trigger."

That said, I think the best way to learn (YouTube, podcasts, forums) is to find a partner or mentor to do the first deal. It can be a GP or JV, but that way you can see the entire process full cycle from the inside on a live deal. You should make some money, but thats not the primary motive.

My thoughts.

[Eliott Elias]

https://www.youtube.com/c/Teif...

[John McKee]

I would go with a mentor in your specific area of interest, then i would follow up with you tube or podcasts to take information in quicker.  Most of the books I read are basic in nature and the info can be googled.  What is missing in this industry are the questions, not the answers.  In other words what are the questions I should be asking when evaluating a deal?

[Chris Seveney]

@Ronald Rohde

It’s ok to disagree with me :).

I don’t disagree with what you said

My 2 cents are commercial is not for everyone. Residential and commercial are apples and oranges and I like to compare them to being a pilot vs a commercial pilot. If commercial real estate was easy and could be done after one deal then everyone would do it. Reality is it’s not and it takes years to understand all the complexities in commercial real estate.

The best way to learn commercial is by working for a company. If you can’t do that then start in residential, get passive income flowing then eventually move over or team up with someone then. But if you have zero real estate experience there is no course you can take (which is probably a weekend or week long that someone will charge you $10k for+ that can even come close to understanding entitlements, zoning, building a proforma, property management, marketing, asset management, accounting etc.

[Henry Clark]

@Jay Ben  What aspect or approach to Commercial Investing are you looking at?  Says investing above.  Restaurants, parking lots, office buildings, etc.  Narrow down the discussion.  Also, what is your background and stage of Real Estate investing.  

[Jay Ben]

Quote from @Henry Clark:

@Jay Ben  What aspect or approach to Commercial Investing are you looking at?  Says investing above.  Restaurants, parking lots, office buildings, etc.  Narrow down the discussion.  Also, what is your background and stage of Real Estate investing.  

 I would like to learn more about apartment complexes over five units and strip malls. I have not done a deal yet. 

[Jay Ben]

Quote from @Ronald Rohde:

Quote from @Chris Seveney:

@Jay Ben

I would recommend going to work for a commercial developer or getting an advanced degree in real estate finance. The $25k you spend for the degree will be more valuable than paying any so called guru the same amount

Chris, I love your posts and generally align with your opinions, but I'll disagree on this!
For most working professionals, they can't take a job with someone else for a lower salary, just to start over in a new industry that they may or may not love. MSRED is also too niche and costly/long period for a specific skillset that still doesn't give confidence to "pull the trigger."

That said, I think the best way to learn (YouTube, podcasts, forums) is to find a partner or mentor to do the first deal. It can be a GP or JV, but that way you can see the entire process full cycle from the inside on a live deal. You should make some money, but thats not the primary motive.

My thoughts.

Can you suggest good ways to find a good mentor. That’s what I really need. 

[John McKee]

Go to a local networking event and meet up with like minded people or go work for someone in your field.   

[Account Closed]

CCIM offers useful courses. Their mission is to educate experienced commercial agents, developers, etc. 

[Henry Clark]

@Jay Ben

Need more personal info on you, to make a useful recommendation.

1.  How old are you?

2.  What have you done in Real Estate?

3.  What is your day job?

4.  How much money do you have or Collateral value at 65%?

5.  What finance mechanism will you use?  What is their collateral %- 5/10/25/40% etc.

Example: Let's say you are 25 years old. Just have a regular day job ($45,000/year) not associated with REI. Have $25,000 you can access. Would use a conventional loan requiring 40% down, especially since you have no experience.

I would then recommend the following.

a. Switch your job to REI, become an Apartment complex manager. Or as mentioned above a Construction Project manager, will probably take a degree.

b.  Do 5 business analysis on a couple of properties.  Go out to Loopnet or any realtors website and find properties that are about your size.  Do 5 different analysis on these properties.  Post on here and ask people to critique.

c.  House hack a duplex.

d.  Then house hack a larger MFH.  Work your way up.

e.  If you can't afford the above, house hack a trailer.  Don't worry about which one will make the most money, it's about you learning.

As mentioned above, join groups, read posts, watch podcasts, etc.  You should do all of these on your own initiative.  A mentor would not want to take you on if you don't bring some "invested" knowledge or research to the table. 

Dive in.

[Ronald Rohde]

Quote from @Chris Seveney:

@Ronald Rohde

It’s ok to disagree with me :).

I don’t disagree with what you said

My 2 cents are commercial is not for everyone. Residential and commercial are apples and oranges and I like to compare them to being a pilot vs a commercial pilot. If commercial real estate was easy and could be done after one deal then everyone would do it. Reality is it’s not and it takes years to understand all the complexities in commercial real estate.

The best way to learn commercial is by working for a company. If you can’t do that then start in residential, get passive income flowing then eventually move over or team up with someone then. But if you have zero real estate experience there is no course you can take (which is probably a weekend or week long that someone will charge you $10k for+ that can even come close to understanding entitlements, zoning, building a proforma, property management, marketing, asset management, accounting etc.

 No worries, I just err on the side of caution whether in email or online--there is no tone!

[Ronald Rohde]

Quote from @Jay Ben:

Quote from @Ronald Rohde:

Quote from @Chris Seveney:

@Jay Ben

I would recommend going to work for a commercial developer or getting an advanced degree in real estate finance. The $25k you spend for the degree will be more valuable than paying any so called guru the same amount

Chris, I love your posts and generally align with your opinions, but I'll disagree on this!
For most working professionals, they can't take a job with someone else for a lower salary, just to start over in a new industry that they may or may not love. MSRED is also too niche and costly/long period for a specific skillset that still doesn't give confidence to "pull the trigger."

That said, I think the best way to learn (YouTube, podcasts, forums) is to find a partner or mentor to do the first deal. It can be a GP or JV, but that way you can see the entire process full cycle from the inside on a live deal. You should make some money, but thats not the primary motive.

My thoughts.

Can you suggest good ways to find a good mentor. That’s what I really need. 

 Who is buying the assets that you like right now? Plenty of people post about it. Local FB groups, see who is selling the properties you like, etc.

[Henry Clark]

@Jay Ben

Thanks for the PM.  As I mentioned at your stage, you need to work your way up to these size and types of deals.  Recommend you keep building up you're funding.  Join some local MFH groups as mentioned above. Stay away from Strip Malls for now, higher risk and higher dollar entry costs; especially in this economic stage.  Start doing some cost models and business analysis and post here for critiques.  And you need to read and watch a ton.  You have to do most of the leg work to move forward.  If you're like me, even if someone told me what to do, it wouldn't sink in for me.  I have to do hands on and absorb at my pace.

[Barry Ruby]

@Jay Ben Jay send me a DM and I'll send you an Excel workbook and a few videos that will teach you how to use it along with CRE nomenclature and metrics.