Cardone Capital Investing
Financial Advisor · Myrtle Beach, SC · Member since 2018 · 16 posts · 57 votes
Cardone Capital Investing
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Brian BurkePro Member
Investor · Santa Rosa, CA · Member since 2012 · 2k+ posts · 7k+ votesThere are two kinds of people in the real estate fundraising/syndication business. Good operators, and good marketers. They aren't often found together, most of the time they are one or the other.
If you are fundraising, and you are a good marketer, you are going to make your offering sound amazing.
If you are a good operator, you are going to talk about risk and assumptions and markets and variables...stuff that doesn't sound amazing at all but shows that you are prudently acknowledging those elements of the business and, if you are a really good operator, have a plan to address them.
I guess that's why I suck at marketing...
90 Replies
- Austin, TX · Member since 2017 · 79 posts · 59 votes7y
I haven't watched/read anything about it but just from a logical standpoint, if he's making money on it why wouldn't he make it sound incredible.
- Real Estate Agent · Phoenix, AZ · Member since 2016 · 69 posts · 83 votes7y
@Reid Mathews Are you looking to buy MF as a manager or are you looking to invest in MF as a passive investor?
Recently was at a family office event. Was 5 feet from Grant Cardone as he was talking about his company and his plans for the future. I personally have heard better returns from many other people. You would be investing in his name and the "cool" factor. In my personal opinion.
Sorry if this isnt the answer you wanted. Was really cool to see Grant. Was surprised at how short he is! LOL
- 7yBjorn AhlbladPro MemberInvestor · Shelton, WA · Member since 2017 · 6k+ posts · 6k+ votes
@Reid Mathews Wait a minute! You are a financial advosor and asking us?
- Financial Advisor · Myrtle Beach, SC · Member since 2018 · 16 posts · 57 votes7y
I’m a financial advisor that specializes in insurance products! (Life insurance, annuities, long term care) haha
As someone who studies financial decisions every day, I 100% believe real estate belongs in most people’s portfolios.
I do not know near as much as most people about real estate investing which is why I love getting yalls opinions on this site for guidance and education and I appreciate the help and the friendship!
- 7yBrian BurkePro MemberInvestor · Santa Rosa, CA · Member since 2012 · 2k+ posts · 7k+ votes
There are two kinds of people in the real estate fundraising/syndication business. Good operators, and good marketers. They aren't often found together, most of the time they are one or the other.
If you are fundraising, and you are a good marketer, you are going to make your offering sound amazing.
If you are a good operator, you are going to talk about risk and assumptions and markets and variables...stuff that doesn't sound amazing at all but shows that you are prudently acknowledging those elements of the business and, if you are a really good operator, have a plan to address them.
I guess that's why I suck at marketing...
- 7yDon KonipolBusiness MemberInvestor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
@Brian Burke
Interesting reply Brian, and in general I found it to be true. But, let’s not let the OPs title as ‘financial advisor’ fool anyone. He’s an insurance salesman. About 15 years ago the insurance industry decided that their salespeople would become financial advisors. Their association even set up a couple of designations as such with courses to obtain that status, in an attempt to legitimize the change of status. So now instead of just pitching you their insurance products, the insurance industry ‘financial advisor’ will analyze your personal and financial situation. “Surprisingly” the solution to your financial health is always an additional insurance product.
- 7yJay HinrichsBusiness MemberReal Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
Originally posted by @Dennis M.:
i think I read grant offers around 6% return with his company .. your basically helping him buy more properties and getting a mediocre return to be in the cool club
there Is a company in Oregon that offers 6% and its the bottom of the capital stack.. about as safe as one could be without risking being at the butt end of the capital stack for the same amount of money.. and it has a liquidity clause you can call funds in 90 day notice.. I think many would do better with this fund than trying to buy low end rentals half way across the country ..
PS I don't work for them or get anything LOL>. just an observation of their particular fund.
- Rental Property Investor · Michigan City, IN · Member since 2015 · 530 posts · 741 votes7y
@Reid Mathews Have to agree with @Marjeanne Fields that Grant can get the cool factor going pretty strong. Love having his daily dose of hustle.
With that said there are tons of groups that you can invest with. I would recommend listing to the Syndication Show with Whitney Sewell, and other guys like Michael Blank, Jake and Gino and a long list of other great podcasts. They all have opportunities and long lists of guests that have opportunities. Take some time to network and learn about what they have to offer.
- Rental Property Investor · Glen Rock, NJ · Member since 2015 · 3k+ posts · 2k+ votes7y
As @Marjeanne Fields stated, you have to decide for yourself whether your bandwidth allows you to be an active or passive investor. The difference in time commitment is significant! Once you decide on that, and still prefer to take the passive investor route, then I suggest you check out the syndicators on BP. I'd actually compare Cardone Capital with other offerings to see the difference. I think I already know what you will find (it's like buying a Prada bag versus Coach. So you're basically paying for the brand name.) If you want to start with strong syndicators on BP, then go with @Brian Burke first and then add others to the list.
Here's a post to guide you on the questions to syndicators: https://www.biggerpockets.com/blogs/10850/76728-qu...
Best of luck!
- Lender · CA · Member since 2015 · 9k+ posts · 10k+ votes7y
Originally posted by @Don Konipol:
@Brian Burke
Interesting reply Brian, and in general I found it to be true. But, let’s not let the OPs title as ‘financial advisor’ fool anyone. He’s an insurance salesman. About 15 years ago the insurance industry decided that their salespeople would become financial advisors. Their association even set up a couple of designations as such with courses to obtain that status, in an attempt to legitimize the change of status. So now instead of just pitching you their insurance products, the insurance industry ‘financial advisor’ will analyze your personal and financial situation. “Surprisingly” the solution to your financial health is always an additional insurance product.
I thought it was stock brokers that renamed themselves "financial adviser"? Or is it both?
- Milwaukee, WI · Member since 2018 · 4 posts · 4 votes7y
Grant Cardone would run over his own grandmother for $100, careful with that one.
- Financial Advisor · Myrtle Beach, SC · Member since 2018 · 16 posts · 57 votes7y
@Chris Mason @Don Konipol
There are many people that call themselves “financial advisors”. I chose that one based on what BiggerPockets allowed me to choose; however, that is what I consider myself. I have my life and health license and my series 65 license. I have passed my RICP (Retirement Income Certified Professional) and my CLTC (Certified Long Term Care) designations. Yes, I specialize in the insurance products so you could definitely call me an insurance salesman if you want, but we could do managed money, too. Financial advisors get paid by either commissions or fees, but regardless we’re all selling something. I personally prefer to sell the safe money insurance products because I don’t know what the stock market is going to do!
***regardless though this post was asking about Grant Cardone’s company offering passive real estate investments. I’m definitely not advertising my services here because this is a real estate site and I do not sell real estate and have absolutely zero ways to profit from it except investing my personal money in it, and I do not know near enough about it to make a solid investment which is why I love this site and the education it provides!
- 7yDon KonipolBusiness MemberInvestor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
Originally posted by @Reid Mathews:
@Chris Mason @Don Konipol
There are many people that call themselves “financial advisors”. I chose that one based on what BiggerPockets allowed me to choose; however, that is what I consider myself. I have my life and health license and my series 65 license. I have passed my RICP (Retirement Income Certified Professional) and my CLTC (Certified Long Term Care) designations. Yes, I specialize in the insurance products so you could definitely call me an insurance salesman if you want, but we could do managed money, too. Financial advisors get paid by either commissions or fees, but regardless we’re all selling something. I personally prefer to sell the safe money insurance products because I don’t know what the stock market is going to do!
***regardless though this post was asking about Grant Cardone’s company offering passive real estate investments. I’m definitely not advertising my services here because this is a real estate site and I do not sell real estate and have absolutely zero ways to profit from it except investing my personal money in it, and I do not know near enough about it to make a solid investment which is why I love this site and the education it provides!
Actually, real financial advisors don’t earn commissions from selling investment products; they either charge hourly fees or % of assets under management fees for dispensing financial advice. I’m only too aware that stockbrokers, mutual fund salesman, sellers of limited partnerships, as well as insurance salesman have all (mis)appropriated the title financial advisor. To properly advise someone on issues relating to their financial well being, an ADVISOR should not be biased toward any particular ‘product’, therefore the advisor’s compensation should not be tied to selling that product. That’s why a person working for Merril Lynch is a stockbroker even if he calls himself a financial advisor; that why a person working for Fidelity Funds is a funds representative even if he calls himself a financial advisor; and that why you are an insurance salesman even if your industry has determined that you will have more success if you mislead clients with a false title, and even if BiggerPockets allows you to place the title of financial advisor under your name.
- Financial Advisor · Myrtle Beach, SC · Member since 2018 · 16 posts · 57 votes7y
Originally posted by @Don Konipol:
Originally posted by @Reid Mathews:
@Chris Mason @Don Konipol
There are many people that call themselves “financial advisors”. I chose that one based on what BiggerPockets allowed me to choose; however, that is what I consider myself. I have my life and health license and my series 65 license. I have passed my RICP (Retirement Income Certified Professional) and my CLTC (Certified Long Term Care) designations. Yes, I specialize in the insurance products so you could definitely call me an insurance salesman if you want, but we could do managed money, too. Financial advisors get paid by either commissions or fees, but regardless we’re all selling something. I personally prefer to sell the safe money insurance products because I don’t know what the stock market is going to do!
***regardless though this post was asking about Grant Cardone’s company offering passive real estate investments. I’m definitely not advertising my services here because this is a real estate site and I do not sell real estate and have absolutely zero ways to profit from it except investing my personal money in it, and I do not know near enough about it to make a solid investment which is why I love this site and the education it provides!
Actually, real financial advisors don’t earn commissions from selling investment products; they either charge hourly fees or % of assets under management fees for dispensing financial advice. I’m only too aware that stockbrokers, mutual fund salesman, sellers of limited partnerships, as well as insurance salesman have all (mis)appropriated the title financial advisor. To properly advise someone on issues relating to their financial well being, an ADVISOR should not be biased toward any particular ‘product’, therefore the advisor’s compensation should not be tied to selling that product. That’s why a person working for Merril Lynch is a stockbroker even if he calls himself a financial advisor; that why a person working for Fidelity Funds is a funds representative even if he calls himself a financial advisor; and that why you are an insurance salesman even if your industry has determined that you will have more success if you mislead clients with a false title, and even if BiggerPockets allows you to place the title of financial advisor under your name.
***with all due respect sir, I’m not sure why you’re trying to attack my character on this? I have my series 65 license which means by law I have to be a fiduciary (acting in the best interest of my clients and not myself). That license allows me to charge a fee for my time or charge a fee for Assets Under Management, just like you are mentioning. I specialize in the insurance products because I don’t want to lose my clients money. If they aren’t healthy enough for insurance or if their portfolio doesn’t make sense for them to do anything with me, I refer people out to advisors who want to take the time to do AUM and securities products. I am absolutely not biased at all towards products. Every single financial tool including real estate could be a great decision for one person and a terrible one for another. I try to serve people the best I can and become educated on all types of investments. I apologize that it offends you because that is not my intent at all.
- Investor/Agent/CPA · Columbus, OH · Member since 2015 · 249 posts · 207 votes7y@Don Konipol Don, I am going with Reid on this. I am not sure why you are attacking his profession or what he does. His initial post had nothing to do with insurance. He was was asking about Grant Cardone stuff. No need to be negative on people. Thanks
- Rental Property Investor · RVA · Member since 2016 · 5k+ posts · 4k+ votes7y
@Reid Mathews I think it depends on your values, strategy, and goals. I both actively do syndicated deals and invest passively. For my passive investments, I prefer to evaluate each property individually, and choose to invest based on my own understanding of the team, market, property, upside, etc.
Upsides: Grant has made it very easy to invest, with his $10k min. Deals I do and see typically have a $50k min or more. Grant does have a good amount of experience in the space. He's a smart guy who works really hard and has a track record of success.
Downsides: You're in a fund, and you don't get to consider each property individually. Most of the investors in the deals don't seem super sophisticated, which is concerning. I also don't like the fact that he's suggesting people leverage themselves into the investment. That's straight up irresponsible.
With the downturn already here, my concern is how his fund will deal with rising interest rates and (possibly) falling occupancy & rent in his A class assets. I'm staying out to do my own deals.
- Medford, OR · Member since 2018 · 22 posts · 1 vote7y
@Jay Hinrichs what place is that called? I’m located in oregon
- Rental Property Investor · Anaheim, CA · Member since 2016 · 19 posts · 14 votes7y
@Reid Mathews WHO’S GOT MY MONEY? 🙂
- Rental Property Investor · Anaheim, CA · Member since 2016 · 19 posts · 14 votes7y
@Reid Mathews
In regards to Don’s uncalled for attacks, take the words straight from Uncle G himself: “I love everyone, especially my HATERS!” 😎
- Realtor · McLean, VA · Member since 2009 · 184 posts · 80 votes7y
I love Grant Cardone and am attending his 10X Growth Conference in February. I also read his book which was really pitch for his fund. Grant is a master at sales and marketing and if I were a passive investor I would go with someone who focuses solely on deals that are aligned with my goals. His minimum is now $5K. If you invest 10K or even 100K with GC you'll get a small piece of a very large pie since his deals are typically around $50M.
- Sherman Oaks, CA · Member since 2013 · 3k+ posts · 2k+ votes7y
Grant has identified his competition as SFR and plex buyers in that he is going after that investor market with some disinformation about it and in essence to solve a problem that does not really exist but he will do his best to sell you on this fallacy. The deals he has now he does not have any of his money in and have balloon payments attached so if the econ turns south and if those loans run into trouble he probably loses nothing ( gains on fees still) but the investors might lose. That might not be the best arrangement IMO. GC is obviously a great marketer. Good luck!
- Short Term Rental: Realtor, Investor, Manager · Atlanta, GA · Member since 2017 · 138 posts · 85 votes7y
I couldn't help but chime in on this as it overlaps in many verticals in my world.
#1 @Taylor L. you addressed the most important point as it relates to the initial post. Grant has opened up a 10K minimum for less sophisticated investors (non-accredited) which opens the discussion of, let's say the 10K minimum has made it attractive for you @Reid Mathews to invest in, I think the question that I have is - what kind of returns are you getting on such a small investment as a limited partner and is it worth your 10K or is it better for you to put it to use individually in a deal of your own and or value add per say? As we know, the more you put down i.e. 50K min for most - the greater your returns are, the question might be is it worth it to invest your 10K and will it give you the best ROI? Just trying to look at it from a different perspective, I've contemplated on the same idea as I have to wear my hat as an investor vs. the fan that I am for Grant.
Something tells me it might depend on how much you put down - figuring out your opportunity cost so to speak. Additionally one thing I'm definitely looking for is to be as actively involved in the syndication as much as it would allow me (here’s my plug). I'd like to be able to pick up the phone and call and ask questions and closely be involved with the sponsor to get educated to one day run my own. My assumptions are that going with Grant may or may not give you that kind of access. Again huge fan of Grant and I have invested in a lot of his material, that goes without saying he is definitely funding his deals with your money and it all depends what YOUR end goal is…the return, versus the credibility with your clients and maybe future partners that you may get by investing with Grant vs. the initial leverage you'd like to use with the money you’re putting in.
#2 @Mark Welp Good for you for being just - I agree, I did some work as an IT consultant / lead business analyst for Financial Advisors about 2 years ago for the Broker Dealer at Voya where I learned a lot about the industry while building their system. Although I am not sure that this is still the case (i am no politician I believe about 2 years ago the Department of Labor initiative forced all advisors to be fiduciary in their trade, now just like any other sales job in the world, whether that holds true ground or not is up to the individual just like a phamarcist prescribing meds or personal trainer selling you his products or real estate agent selling you on a home, loan officers, etc. there are people that have good intentions and some bad in every industry. @Don Konipol let’s give the man a break, and the benefit of the doubt that he does his business with good intentions for his clients and his family - it’s good to see people from different industries looking to educate themselves and investing time to learn and invest in our real estate world.
Any other syndicators worth looking into with greater returns? I’m in Georgia, I'd love to get familiar with the quality players out there, get a deal in exchange for equity. Seems like there are better returns out in our communities minus the clout. Still love Grant though and I guess I’ll see some of you guys at Growth Con this year ;)
- Rental Property Investor · Houston, TX · Member since 2018 · 18 posts · 10 votes7y
@Reid Mathews Do you have any annuities where I can make >150% ROI on capital gains? Just learn this business. You'll feel dirty about pushing weak financial products on the middle class. You're inclined to be the leach on someone's investments bc that's what you know (financial products) Hahah. Just find your own deals and get some money working.
- Investor/Agent/CPA · Columbus, OH · Member since 2015 · 249 posts · 207 votes7y@Kurt Defenbaugh Kurt, go read Becoming Your Own Banker by Nelson Nash and your perception on Dividend Paying Whole Life Insurance will change. Very powerful when structured correctly, especially when combined wIth real estate. Thanks,
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