ANY ADVICE FOR A NUBIE?

Question

Hey BP family! Im a 24 year old Architect looking to get into large Multifamily Investing. Any advise for a nubie like myself? Where can I find deals? What books should I add to library? Any emerging markets I should begin researching? I’m here to hear your stories!

Zoerene A Mitchell · Answer

@Isaiah Miller, hello:  Adam is correct, knowledge is the key.  I would recommend you read "The Definitive Guide To Underwriting Multifamily Acquisitions" by Robert Beardsley, you can also find him on YouTube and on his podcast.  Blessings on your journey, as this is also a new arena for me, thanks.

Adam Lacey · Answer

@Isaiah Miller education and networking are the foundations you should focus on for 
now. Once you're knowledgeable enough about the space (and maybe you 
already are), finding and experienced investor to partner with of at 
least provide mentorship is key.

Books: Joe Fairless and Theo Hicks Best Ever Apartment Syndication Book; David Lindahl's book.

Poscast: Diary of an Apartment Investor with Brian Briscoe will give you the most value from an educational perspective.

Hit me up if you have any more specific questions.

Andrew Frowiss · Answer

Hi @Isaiah Miller great questions! Look into the Killeen TX market. Purchase prices are cheaper out there, and you can get into small multi family with around $200K to $400K. Sometimes I see duplexes come on the market there for less that $100k but it's rare. For beginner investors it can be a great places to start. It's still a good cash flowing city with decent appreciation rates. You can also get into single family houses in the area for around $100K plus or minus.

Talk to a Lender about what loan products they have for Owner occupant multi family. I have some clients that are using FHA loans to owner occupy multi family properties so in this situation your down payment could be less than %25 which a lot of people are paying right now for conventional loans. The Lender would use the rent income you would be getting to help you qualify for the loan.

Brock Mogensen · Answer

Go deep in podcasts, books, and local networking events.  Do that every day for 6 months then you'll be prepared.  Syndication is a great way to scale into larger deals quick but it's not easy to break into. Partnering with others that have more experience will be your easiest way to get into that space.

Isaiah Miller · Answer

Thanks for the advice Brock! I've been listening to the Diary of an Apartment Investor podcast, any other suggestions?

Isaiah Miller · Answer

Man these resources are great! Thank you.

Isaiah Miller · Answer

Thank you Andrew! I recently backed out of a small multifamily deal with the intention of using an FHA loan. I have decided to continue my search for a larger multi family property. With the right mentor, investors, and sponsor this can be achieved. Ironically, I have been scouring the TX market for large multi family properties. I’m beginning to recognize the opportunities in TX.

ANY ADVICE FOR A NUBIE?

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