How hard is it to get a CRE deal? How hard to find a GP?

Question

I’m curious how hard it is to make a deal with no experience. I see these courses for sale where the owner bought a 75 door apartment complex with little to no money down and is guaranteeing a deal in 90 days or they buy you a property. I forget which one said this but it caught my attention. I just want to know how hard this actually is with some real numbers or real comparisons.

Mohamed Youssef · Answer

John, I’d look closely at what “little to no money down” means. Did the buyer contribute very little personally, while investors supplied the down payment, closing costs, and reserves? That’s a different picture from the deal requiring very little capital.

Finding an experienced GP is also about what you bring to the partnership. A well-vetted deal, local relationships, or operating experience gives them a reason to work with you.

For that course, I’d ask to see a completed deal’s full funding breakdown and the written terms of the 90-day guarantee. Closing on a property is one milestone. Having enough cash and the right team to operate it is another.

Chris Seveney · Answer

Most of those people are selling courses because they failed at real estate and are now pretending to be an expert in trying to teach people the easy way to get into real estate (which typically does not end well for people at all).

The way I compare real estate is to compare it to flying, would you buy a questionable airplane with no money to maintain it and little experience in maintaining it and flying it on a daily basis? That is the equivalent of getting into real estate with no experience and no money in the deal.

Ronald Rohde · Answer

You can close a deal in 90 days, but no guarantees its a profitable deal!

Denise Supplee · Answer

You don't necessarily have to buy a 75-unit property yourself to get into multifamily. There are ways to invest alongside people who have the experience and are already doing the work.

I would be very careful with anyone promising that a new investor will have a property in 90 days, though. Finding the right deal takes time, and you never want a deadline to push you into something that isn't right.

For someone just getting started, I'd spend some time learning how these deals work and looking at different ways to invest. You don't have to do everything yourself to build a real estate portfolio.

Matthew Morrow · Answer

@John Adair Those course pitches usually skip the hard part: who actually put up the capital, who signed the guarantees, and who runs the asset after closing. "Little money down" usually means other people's money, not a free deal. Getting into a GP seat without a track record means bringing something real, like a vetted deal, capital relationships, or operating ability. What asset class are you trying to get into first?

How hard is it to get a CRE deal? How hard to find a GP?

How hard is it to get a CRE deal? How hard to find a GP?

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