Developer · Missoula MT · Member since 2016 · 232 posts · 84 votes
Hello,
I'm looking for books on Multifamily investing and development that you would recommend. I've read Multifamily Millionaire multiple times, along with a few other books. To give you a better sense of my situation, I've converted a few houses into small multifamily properties, and am closing on a five plex with a partner in five days. I am looking to expand my knowledge base about multifamily investing and development, so that I can buy more and larger multifamily properties. Any books that you found useful would be appreciated!
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
4y
The answer would be very different if you are talking 5+ units (apartments) vs 2-4 units, which you know are valued via the Comparative Market Analysis approach. I'll assume you mean apartments here.
I am currently reading the Hands Off Investor, which does an excellent job describing how to underwrite properties, and how to analyze syndication data.
Rental Property Investor · SE Michigan · Member since 2014 · 4k+ posts · 6k+ votes
4y
The answer would be very different if you are talking 5+ units (apartments) vs 2-4 units, which you know are valued via the Comparative Market Analysis approach. I'll assume you mean apartments here.
I am currently reading the Hands Off Investor, which does an excellent job describing how to underwrite properties, and how to analyze syndication data.
I'm looking for books on Multifamily investing and development that you would recommend. I've read Multifamily Millionaire multiple times, along with a few other books. To give you a better sense of my situation, I've converted a few houses into small multifamily properties, and am closing on a five plex with a partner in five days. I am looking to expand my knowledge base about multifamily investing and development, so that I can buy more and larger multifamily properties. Any books that you found useful would be appreciated!
Anything and everything real estate related by Grant Cardone. If your buying 5 units at a time, your thinking too small. I did the same for years. Go big, or go bigger. You are already using partners, why not use more to get into bigger properties? Its the same work but it costs less per unit to purchase and operate larger properties.
Developer · Missoula MT · Member since 2016 · 232 posts · 84 votes
4y
To answer the questions above, I'm focused on apartments with more than five units from now on. I'll check out Hands Off Investor, as well as Grant Cardone! I am probably thinking too small with a fiveplex, as I really would like to scale into larger multifamilies in the long. I'm just focused on building a strong foundation of knowledge and execution of rehabbing and improving multifamily properties. My partner and I have not taken outside capital yet, and want to make sure we are well prepared before we do.
To answer the questions above, I'm focused on apartments with more than five units from now on. I'll check out Hands Off Investor, as well as Grant Cardone! I am probably thinking too small with a fiveplex, as I really would like to scale into larger multifamilies in the long. I'm just focused on building a strong foundation of knowledge and execution of rehabbing and improving multifamily properties. My partner and I have not taken outside capital yet, and want to make sure we are well prepared before we do.
Look for a strong GP team to get in with. Either bring them the deal or invest in theirs. Determine what you can bring to the deal that will make you a valuable member. For instance, you can be boots on the ground or raise equity etc. Either way, I would rather own part of 200 units than part of 5 units. It also helps if you are in a mastermind group. PROXIMITY is everything because your network is your net worth. Surround yourself with like minded people.
Rental Property Investor · Coral Gables, FL · Member since 2016 · 199 posts · 266 votes
4y
@Keith Miller, be sure you are educating yourself on the financial and legal aspects of investing and development. Those may be as or more important to an investor's future wealth than how to install or fix a toilet.
In addition to the ones already mentioned, check out books by Garrett Sutton (Loopholes of Real Estate), Tom Wheelwright (Tax-Free Wealth), Clint Coons (Next Level Real Estate Asset Protection), and Toby Mathis (Tax-Wise Business Ownership, Infinity Investing), and Brian Hennessey (The How to Add Value Handbook for Commercial Real Estate). These authors have all written more than one book.
Rental Property Investor · Lehi, UT · Member since 2016 · 105 posts · 96 votes
4y
I highly recommend Joe Fairless's book "Best Ever Apartment Syndication Book", especially if you are considering getting into the syndication space. He takes you through everything from choosing a market, analyzing deals, building a brand, building a team, finding investors, communicating with investors etc. He gives so much value in the book. Another good book is "The ABC's of Real Estate Investing" by Ken McElroy. It is pretty detailed in operating apartments.
To answer the questions above, I'm focused on apartments with more than five units from now on. I'll check out Hands Off Investor, as well as Grant Cardone! I am probably thinking too small with a fiveplex, as I really would like to scale into larger multifamilies in the long. I'm just focused on building a strong foundation of knowledge and execution of rehabbing and improving multifamily properties. My partner and I have not taken outside capital yet, and want to make sure we are well prepared before we do.
Look for a strong GP team to get in with. Either bring them the deal or invest in theirs. Determine what you can bring to the deal that will make you a valuable member. For instance, you can be boots on the ground or raise equity etc. Either way, I would rather own part of 200 units than part of 5 units. It also helps if you are in a mastermind group. PROXIMITY is everything because your network is your net worth. Surround yourself with like minded people.
Rental Property Investor · Lehi, UT · Member since 2016 · 105 posts · 96 votes
4y
@Michael Di Giovanni - GP is short for General Partner. A common structure to buy apartments is to do a syndication where you have the general partners who finds, acquires, and operates the property and then you will have the limited partners who bring the majority of the money for the down payment and renovations/business plan. the GP's will own a certain portion of the deal and the LP's will own a portion and that split can vary widely depending on the asset type, how much renovations there are to do etc. Hopefully that helps answer your question.
Syndications have GP (general partners) and LP (limited partners). Limited partners are equity investors and silent partners whereas the GP team finds, manages, uses thier net worth to procure the debt, etc.
Syndications have GP (general partners) and LP (limited partners). Limited partners are equity investors and silent partners whereas the GP team finds, manages, uses thier net worth to procure the debt, etc.
Syndications have GP (general partners) and LP (limited partners). Limited partners are equity investors and silent partners whereas the GP team finds, manages, uses thier net worth to procure the debt, etc.
Commercial Real Estate Fund Manager · Lynchburg, VA · Member since 2015 · 1k+ posts · 1k+ votes
4y
Hi @Keith Miller! Great question and you got some great responses above. I would also check out @Brandon Turner's on multifamily investing.
I wrote a 2016 book called The Perfect Investment which I spoke about on the BP Podcast in the summer of 2018. Let me know if you would like a free PDF copy. Good luck and happy investing!