My first ever 44 Unit MF apartment closed in Dec. 2020

My first ever 44 Unit MF apartment closed in Dec. 2020

New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes

I’m sharing a great news! My Real Estate Journey made at night and weekend, allowed me to close my first deal!

December 2020, I officially closed my first investment real estate deal with my partners. It’s a 44 Unit Multifamily Apartment in Lawrence, KS.

I feel like I can write a book about it, but will try to keep it as simple as possible.

Little Intro of myself: Late 30’s, Full time W2 Lawyer in NYC. Father of 2 girls. Did not own any investment property prior to this 44 Unit. (Not even a single, never done any flipping)

Limiting beliefs I crushed: No way I can invest outside of my back yard, How can I trust others, You need lots of money to start, I should start small like single or duplex before going to multifamily. Education is a cost.

How I crushed these limiting beliefs: Through right education, Not listening to the naysayers. Surrounding myself with like minded people. Being connected with mentors and right partners, Relentless action taking. Griding persistently, Trying to add value to the team, Falling in love with the process.

Some of the milestones

Late 2019: I set a goal that I’ll close my first RE deal in 2020. I joined Bigger Pockets. 

Self-education through Bigger-pockets and found David Greene's Out of state investing book. Now I felt more confident about investing out of state. By listening to Michael Blank saying he was considered as a newbie when he started MF despite his single family flipping experience, now I decided to go to MF directly skipping single/duplex. By listening to Grant Cardone saying "look at a bigger deal that justifies scalability, now I decided to look at more than 10 Unit as my first deal. 

In the begginng I was little ashamed to call myself a Multifamily investor without having any, and didn’t know how to put myself out there and get connected with like minded people. - I sought advice from Bigger Pockets, and somebody encouraged me to be just transparent (Thank you John Casmon). I decided to believe in myself and to just be myself.

March 2020 - Realized Self-education is not equivalent to taking actions. I was passively absorbing the information. Joined a Mentorship Community / Mastermind Group, Started Real Education, Started self-reflection as to who I am and how I can add value, Started putting myself out there looking for partners. This is when Pandemic shut down happened. 

May 2020 - Connected with my current partners and started analyzing deals

June 2020 - After reading Joe Fairless' Syndication Book, Started co-hosting a bi-weekly Virtual Meetup in NY regarding multifamily investing, and massive virtual networking started. Covid couldn't stop me.

July 2020 - Became a Co-Host of Multifamily and More meet up - KC chapter with my partner.

August 2020 - 68 Unit Apartment LOI Accepted

September 2020 - 68 Unit under Contract / 44 Unit LOI Accepted

October 2020 - 44 Unit under Contract

December 11, 2020 - 44 Unit closed (JV). (68 Unit closing got pushed a little - Syndication)

Feb. 2021 - 68 Unit expected to be closed within this month.


A few things I learned
: Right education. This is critical. But to get the right education, you need to be guided by people who are more experienced than you are. It can be people from bigger pockets, or mentorship program. Right partnership. You need to surround yourself with highly motivated like minded people. Stay away from people who drain your energy and positivity. Make sure you work with those who's interests are aligned with yours. Those who share same work ethic and philosophy. Massive Action Taking. I can't emphasize this enough. Do it. Meet people. Underwrite deals. Talk to the brokers and lenders. Practice your pitch. Last but not least by no means. Fall in love with the process. It's a long process. So enjoy it and be persistent, and patient. You will see the result. 

Yosef 

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Rental Property Investor · Bronx, NY · Member since 2011 · 193 posts · 322 votes
5y

Yosef!!!!! The part about "self-education is not equivalent to taking action" .... Man!!!! Not enough people realize that, just take that first step bc otherwise you'll never progress and your story symbolizes just that! Great way to lead by example and I'm so proud to say I know you and am part of your extended fam! Great job and can't wait to see what the rest of this year holds for you!

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  • HVAC Tech · Fort Wayne, IN · Member since 2015 · 423 posts · 223 votes
    5y

    Congratulations, how much are rents? Wondering what c class can bring in Lawrence. 

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Cory H.:

    So rad! That's inspiring! Well done!

    Hi Cory, thank you!! I appreciate that! Yosef

  • Rental Property Investor · Brooklyn, NY · Member since 2019 · 21 posts · 9 votes
    5y

    CONGRATS... Super story and thank you for the detail...KEEP CRUSHING IT..

  • Member since 2021 · 8 posts · 4 votes
    5y

    As someone who's brand new to this I found your post inspiring, motivating, and encouraging to those who are just starting out.

    -Bill

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Michael Junior:

    @Yosef Lee

    Hey I’m in Fairfield county CT, what’s up brother!

    Question, which mastermind group did you join. And what is the group you currently host now?

    Hi Michale thank you for the comment! I joined MIH mastermind by @Marco and @Hadar, and also joined Jake & Gino. I'm currently hosting a virtual meetup group in NY and KC. If you want further info, please DM me or connect me on FB or LinkedIN @yosefyourbrosef   

    Thanks!  

  • Atlanta, GA · Member since 2014 · 19 posts · 14 votes
    5y

    @Yosef Lee

    Great job!

  • New to Real Estate · NJ · Member since 2021 · 2 posts · 2 votes
    5y

    @Yosef Lee. Congratulations! That’s an amazing first deal. Wishing you the best in your journey.

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Joseph Mckenna:

    @Yosef Lee would you mind sharing the numbers?

    1) How many properties / deals did you vet before arriving at that one? - I believe we looked at about 30 by the time we found this one. 

    2) Why did you choose that market? Which macro and micro indicators did you see as important? - KC has a constant population growth, job growth and strong rental history. Most of all, I have boots on the ground partner there in the market. 

    3) Cap rates and which class of properties?  - Walk in Cap rate over 8% and this is a C class properties with some deferred maintenance 

    4) How many partners and how many avg years of experience do they have? - We have 6 partners in total (JV). One partner has over 10 years of experience with 2000 Unit, and next one has about 900 units as GP, and the rest of us were first time multifamily players.

    Hi Joseph McKenna, Please find answers to your questions. I'll make this a part of the original post. Thank you! Yosef

  • Dallas, TX · Member since 2021 · 31 posts · 12 votes
    5y

    @Yosef Lee

    Such an inspirational story! Thank you for sharing. Good luck in all your endeavors

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Xavier Aliche:

    @Yosef Lee

    I absolutely love your story. Education + taking action.

    Well done and congratulations.

    Thank you Xavier. I appreciate that! Yosef  

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @David Shikiar:

    Hi Yosef,

    Are you willing to share the deal you made with the investment partners and what you maintain in the deal?

    I will DM you. Yosef  

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Scott MacFarland:

    @Yosef Lee congratulations, you’re story is inspiring!

     Thank you Scott! I really appreciate! Yosef

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Arta Montero:

    @Yosef Lee Wondering how did you go about finding your partners. We’re they local or remote.

    Thanks

    Hi Arta, I can share as to how I found my partners. Please connect me via FB or LinkedIn @yosefyourbrosef 

    We can have a zoom call thereafter! Yosef 

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @NaTarrio Jones:

    Congratulations @Yosef Lee Thanks for sharing your story.

    Thank you NaTarrio! I really appreciate that! Yosef 

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Gerald Pitts:

    Love the momentum you created with the right mix of education and action taking!

    Thank you Gerald! Yes we want to utilize momentum! Yosef

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Jesse Ottesen:

    @Yosef Lee

    Congratulations Yosef! Thanks for sharing. I too am a NYC resident. I have two out of town SFRs. I Looking to to move up to multi family.

    Thank you Jesse! Fellow NYer! Any questions I'm more than happy to tell you about what I did! Yosef 

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Jeff Langham:

    Congratulations Yosef!

    Thank you Jeff!! Yosef

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Thomas Willingham:

    Good stuff.  Thanks for sharing your journey.

    Thank you Thomas! I appreciate that. Yosef

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Sharron Guiro:

    @Yosef Lee thanks for posting, fantastic achievement. Congratulations!

    Thank you Sharron! I appreciate that! Yosef 

  • New to Real Estate · New York, NY · Member since 2019 · 234 posts · 264 votes
    5y
    Originally posted by @Chintal Patel:

    @Yosef Lee

    Love it! Thank you for sharing!

    Thank you Chintal! I appreciate it! Yosef

  • Member since 2021 · 11 posts · 5 votes
    5y

    @Yosef Lee Congratulations man. This is a truly inspirational story. Coming from nowhere and now going somewhere identified. I’m still in the education path and ready to take my first flight soon. 😂😂😂. Thank for sharing.

  • New York, NY · Member since 2019 · 65 posts · 15 votes
    5y

    @Yosef Lee.

    Congratulations. Very happy for you.

  • Yonah WeissPro Member
    Cost Segregation Expert and Investor · Lakewood, NJ · Member since 2017 · 1k+ posts · 1k+ votes
    5y

    @Yosef Lee Thank you so much for sharing this. I know you have put a lot of effort into your journey, and I have been inspired knowing you. Many more!!!

  • Real Estate Syndicator · Phoenix, AZ · Member since 2018 · 903 posts · 1k+ votes
    5y

    @Yosef Lee Thanks for sharing! I see we were not the only ones with delayed closings for 2020. Look forward to hearing that 68 unit come to fruition :)

  • Real Estate Agent · Indianapolis, IN · Member since 2019 · 42 posts · 24 votes
    5y

    @Yosef Lee Thank you so much for sharing this experience. I, as well as many others, love hearing success stories like this. Congratulations. I will be getting into my first property this year

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