All Forum Posts by: AJ Shepard

@Jonathan Stone

Check out WIN Westside Investors Network. They hold a monthly live meeting via zoom currently but as allowed will get back to in person meetups.

Any wholesalers that have deals on the west side in portland feel free to send them my way as well, always looking to buy. Great to see so many people still wanting to invest in Portland.

@Bjorn Ahlblad

There are a lot of ways to make sure that this doesn’t happen to you or to anyone investing in syndications. The premise is to know what you are investing in and make sure that the operator is proven and established.

@Brian Burke wrote the “hands off investor” which goes into detail about how to vet both the deal and the syndicator.

If you are planning on investing in any syndication I would recommend you read that book before placing any money.

@Parth Sehgal

Small multifamily and find an incredibly good property manager will be one of your highest returns. Especially if you can find one that is under market for rents and needs work (this is where your 10-15 extra hours come in). The Brrrr method requires that you add some value to the property in some capacity. This generally means increasing rents either by management practices or by construction.

If you are looking for 15% IRR, look at syndications. They are way more passive and I'm pretty sure you can find ones out there that hit your target.

@John Quan

I’ll be interested to find out what you learn. Where one person can bring value there should be fair compensation for it, just a matter of how much.

If we were to think about it, say there is an acquisition fee, asset management fee and then profit sharing.

It would seem that the asset management fee is to cover the ongoing management of the project. Raising money may not be applicable.

Acquisition fee should compensate putting the deal together. Is that 1/2 raising the money and 1/2 finding the deal? Maybe it’s 2/3 finding the deal and 1/3 raising the money. For instance, if the deal is presumably the best deal on earth it may not be hard to raise money. But then on the other side of the coin, maybe the deal doesn’t have the best numbers and is a harder sell.

Then the upside. There would be no upside without investors. So what upside in the deal is there? Seems like there should be some room for negotiation with this. But then you’re certainly at the hands of the operator, so hopefully you are placing money with and operator that not only is going to do great for the investors, but also for the GP. Only drawback is that it’s a while out before you see significant returns.

Not sure if this helps or not and also curious to hear what you learn. Best of luck in your investing future!

@D Donis

Joe fairless is a good start, but there are a ton of syndicators out there that have educational content. Soak it all up, read a lot and build your network.

My piece of advice that I really think is the first step is to mock up a deal as though you were offering it. Have it down to an operating agreement, a webinar and all the necessary documents but a property under contract and ready to go. This may cost some money and certainly some time to get to, but if you’re serious about it it will allow for you to talk intelligently with examples to investors and once you do have one under contract will go a lot smoother.

Other things to check out:

@Brian Burke book the hands off investor

Jake and Geno wheel barrel profits

The Michael blank apartment show

Westside investors network

Whitney Sewells podcast

Passive wealth strategies

@Bennet Sebastian

We use appfolio investment manager, syncs with property management software which is very nice.

Seems very reasonable and they are a public company that is invested in making sure they are competitive both in price and in value.

@Esteban Jimenez

If I count the podcasts as being on BP Im on average 20-30 minutes a day! I’m a education junkie for sure, and podcasts are incredible while working out, while driving to and from jobs, just great education at an incredible value.

I know there will be a lot more people reading this than posting on it, but if you read this, get out there and take the next step. Even if that’s posting instead of just reading, or buying instead of analyzing.

BP is a great place to get your knowledge and networking, but make sure you get out and meet people and take action.

@Duke Giordano

We operate in a higher value market and are purchasing units from 130-160k. Median house price is 440k for comparison.

I agree with Taylor, having a majority of 2 bedrooms is what we normally target. They are typically vacant less and the price per unit is not that much more.

@Felix Stone

First house was in 2007. Shortly after the crash started and saw an opportunity to buy more. My brother moved to town and joined me. We bought our first together in 2009, added a bathroom to it, refinanced and pulled all our money out. We have been utilizing that method for the last 12 years. We only wish we had been the ones to coin the BRRRR acronym....

I think there was an interesting inflection point during the journey, after I left my W-2 job and being self employed we went through a couple years of not being able to be financed by the regular institutions which made it a little difficult. But about after we had owned each property for about 6-8 years, we could refinance and pull more cash out to buy more property which had been kind of a snowball effect.

@Rebecca Silva

We run an event but are not meeting in person right now because of COVID, all virtual. WIN westside investors network.

Usually meet 1x per month and have someone speak on a specific topic. Right now being virtual it’s hard to get connected, but when we get back to in person usually 30+ people at a meeting.