All Forum Posts by: Brock Mogensen

@Daniel Whitmore The duplex showed me the power of real estate and caused me to think much bigger.  The 89 unit definitely required more work during the due diligence process.  However, now that we have created systems the next big deal should be less stressful. 

Welcome Isaiah!

Education (books,podcasts,programs), network (events,meetups), take action! A great way to begin is to buy a duplex and house hack it with an FHA loan.

Hi Matt.  Congrats on the first deal.  The law of the first deal is definitely a real thing!  I closed on my first duplex a year ago and now scaled it up to 91 units.  Continue to build connections and don't be afraid to think more doors.

Hi Nick!  Interested to hear more about your companies model.  I syndicate apartment deals in the Wisconsin market.

Education (books,podcasts,programs), network, take action!  You have to learn the basics, and once you feel ready don't be scared to pull the trigger. 

You don't want to do a bad deal but you can't expect a home run deal on your first one.  The law of the first deal is very true!  After buying my first deal (a duplex), 6 months later I closed on an 89 unit.  Find a deal that makes sense and pull the trigger! 

We calculate replacement reserves in terms of a per unit ratio.  Industry norm is $250/unit per year.  Depending on the condition of the property that number may fluctuate.  On our most recent deal we are setting aside $319/unit per year.  If all of the replacement reserves dollars aren't used at the time of sale you can simply keep it, or in our case, return the money to the investors.  Never hurts to have a surplus of money in case of unseen rough times!

Welcome to BP.  I also live and invest in the Milwaukee area.  We host a monthly meetup in Waukesha, I will DM you the details if you would like to attend. 

Find a new realtor!  Don't go above the threshold of where the numbers work.  You need a realtor that is willing to put an offer in for what you think it's worth.

I second @Theo Hicks recommendation for the Best Ever Apartment Syndication book.  It's literally a text book for this game.  I've completed my first syndication and have learned a lot from podcasts, books and events. Never stop the education piece!