2nd, 3rd Generation Property Investors/Landlords, 15+ Units

Multi-Family and Apartment Investing
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2nd, 3rd Generation Property Investors/Landlords, 15+ Units

Ryan M.
West, MI · Member since 2012 · 674 posts · 182 votes

Curious how many people are atleast 2nd generation multi family investors with atleast 15 units. For myself I am 4th generation. It would be nice to get a forum on the practices that have stood the test of time, up markets, down and everything in between.

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Don KonipolBusiness Member
Investor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
14y

My family skipped a generation. My grandmother owned a 100 unit apartment complex. My father was disinherited, my uncle and aunt inherited the property, and promptly sold it and used the proceeds for living expenses.
Actually my grandmother started with a duplex, and over a 13 year period of time closed on a series of trades that resulted in the ownership of the 100 unit property.
Due to the inter family squabble I had no relationship with my grandmother. However, when I was 13 or 14 my aunt gave me a book from my grandmother that influenced my investing future, Bill Nickerson's classic.

Private Mortgage Financing Partners, LLC
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  • Don KonipolBusiness Member
    Investor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
    14y

    My family skipped a generation. My grandmother owned a 100 unit apartment complex. My father was disinherited, my uncle and aunt inherited the property, and promptly sold it and used the proceeds for living expenses.
    Actually my grandmother started with a duplex, and over a 13 year period of time closed on a series of trades that resulted in the ownership of the 100 unit property.
    Due to the inter family squabble I had no relationship with my grandmother. However, when I was 13 or 14 my aunt gave me a book from my grandmother that influenced my investing future, Bill Nickerson's classic.

    Private Mortgage Financing Partners, LLC
    WebsiteView Page
    1Reply
  • Al Williamson
    Rental Property Investor · Sacramento, CA · Member since 2011 · 2k+ posts · 1k+ votes
    14y

    Wish I could join the 15-unit, 2nd generation forum, but I'm not qualified. The whole concept does underline the important of us teaching our children what we're doing and why we're doing it.

    I talk to my daughters all the time about the real estate businesses. They know that I don't expect them to continue it if, and only if, they find an opportunity with greater returns. They also know to live on the harvest and not eat the seeds.

    0Reply
  • Brandy Y.
    Investor · Columbia, SC · Member since 2012 · 47 posts · 15 votes
    14y
    Originally posted by Ryan M.:
    For myself I am 4th generation. It would be nice to get a forum on the practices that have stood the test of time, up markets, down and everything in between.

    At least a thread containing the pearls of wisdom. would greatly benefit newbies like us with no generational/personal experience.

    0Reply
  • Brad Z.
    Investor · Member since 2009 · 132 posts · 30 votes
    14y

    I am second generation and have around 35 units right now. I learned a lot growing up and seeing how the business worked but currently deploy a completely different strategy. My father invested in land, commercial property and class A residential units. He did very well and mgmt was minimal through the years. I am a bit more hands on and invest in slightly lower income areas, probably have a little less appreciation potential but cash flow alot more per door..

    0Reply
  • Rob Simpson
    Landlord · Pensacola, FL · Member since 2012 · 34 posts · 6 votes
    14y

    This could be a great topic! I often wonder if, when I am ready to pass on a legacy, what I will pass on, how, and to who.

    0Reply
  • Rich Weese
    Real Estate Investor · the villages, FL · Member since 2008 · 5k+ posts · 3k+ votes
    14y

    Interesting question. I'm a first generation investor, to my knowledge. I did get my dad and wifeys' dad to start investing when I did. I own between 200-300 units/homes at present, but have owned thousands of both in my life. Rich

    0Reply
  • Jon Klaus
    Developer · Garland, TX · Member since 2008 · 8k+ posts · 4k+ votes
    14y
    Originally posted by Rich Weese:
    Interesting question. I'm a first generation investor, to my knowledge. I did get my dad and wifeys' dad to start investing when I did. I own between 200-300 units/homes at present, but have owned thousands of both in my life. Rich

    Any prospects among your kids to run with it in the future, Rich?

    Don, it sounds like your grandmother was a Nickerson disciple. Was she active in the early 1960's when Nickerson was in his heyday?

    I am first generation and only 4 years into REI, professionally. I have a son who is interested.

    0Reply
  • Rich Weese
    Real Estate Investor · the villages, FL · Member since 2008 · 5k+ posts · 3k+ votes
    14y

    Jon- interesting question. I have my oldest daughter who has RE company but HATES dealing with tenants/problems. She prefers giving buyers their dreams-builds new homes for them. I have dual trustees- her and a trusted bil, but he is getting old. I really haven't thought about dieing-till you just mentioned it! Now, I have more to think about while I wait for plane. I missed you in Dallas couple days ago. Next time. Rich
    p.s. Your big house status?

    0Reply
  • Ryan M.
    OP
    West, MI · Member since 2012 · 674 posts · 182 votes
    14y

    I was starting to suspect there wouldn't be many replies to this. It appears almost all rental people on this site have 1 or none rentals, after reading advice on a lot of other topics.

    0Reply
  • Account Closed
    Landlord · Seattle, WA · Member since 2010 · 3k+ posts · 1k+ votes
    14y

    I'm a first generation landlord though there are several generations in my family that have worked in some part o the construction trades.

    I have been a landlord though for over 15 years. At this point none of my children are interested in real estate but it does look like we have one grandson that might be.

    0Reply
  • Zachary Dosch
    Bismarck, ND · Member since 2011 · 142 posts · 16 votes
    14y

    Rich - Im available for adoption. Just throwing that out there. haha.

    0Reply
  • Nathan Emmert
    Investor · San Ramon, CA · Member since 2011 · 1k+ posts · 569 votes
    14y
    Originally posted by Zachary Dosch:
    Rich - Im available for adoption. Just throwing that out there. haha.

    Sorry Zach, the Viper is already spoken for :P

    Ryan M. What exactly were you implying with your post regarding 1 or none rentals based on their advice?

    0Reply
  • Jeff S.
    Specialist · Portland, OR · Member since 2010 · 3k+ posts · 1k+ votes
    14y

    Parents had a 20 unit motel then built a 24,000sf warehouse where the motel was. Does that count?

    Grandmother bought and sold many houses, improving each of them. She also had 5000 chickens. Guess they are like renters as they bring in good cash flow and use your property.

    0Reply
  • Ryan M.
    OP
    West, MI · Member since 2012 · 674 posts · 182 votes
    14y
    Originally posted by Nathan Emmert:
    Originally posted by Zachary Dosch:
    Rich - Im available for adoption. Just throwing that out there. haha.

    Sorry Zach, the Viper is already spoken for :P

    Ryan M. What exactly were you implying with your post regarding 1 or none rentals based on their advice?

    There seems to be a ton of this, how do I buy this 300 unit with no money and no experience. Or how can I squeeze the equity out if everything to do a deal.

    I tell you what, noone in my family has ever taken equity out of a property. If I have to borrow internally for a deal the longest pay back is 5 years, they wouldn't allow anything longer. If prices are coming up we unload somethings using a 1031, sort of like playing monopoly. To be in a low equity, low liquid cash postion is a dangerous postion. This is the postion we are usaully making a deal with someone to save them from going under.

    And just because prices are down doesn't mean the resident pool has gotten better. We used to rent to people starting out that would buy a home within a few years. Now it seems everyone is disability/SSI at some point not everyone can leave on the government. People are complaining about going to a property to pick rent. When there is no oversight on these rentals things get out of hand, its much easier to nip it when the problem started not find a unit destroyed and eat a couple thousand.

    I could go on and on but.....

    0Reply
  • Rich Weese
    Real Estate Investor · the villages, FL · Member since 2008 · 5k+ posts · 3k+ votes
    14y

    Zachary- As a staunch BYU fan, I'd never be able to adopt an Irish! I enjoyed both visits with BYU to ND. I enjoyed the one we won quite a bit more....Rich

    0Reply
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