All Forum Posts by: Chris Tracy

As long as the property management company is willing to accept the job and like @Patrice Penda stated if the numbers worked- why not!  My concern would be what value add opportunity exists.  How much are you allowed to raise rents?

@Jared Carpenter- There's no debt on the property at this time- all cash sir.

@Terrence Williams - I know it seems counterintuitive to not use debt... but basically 2 reasons:

1) We bought a distressed deal and the bridge financing would have been too expensive

2) Less risk and now we don't have to worry about the debt service 

@Ryan Wilkerson - You can also call the Economic Development Committee of markets you are exploring to see what development is going on and what businesses are coming into the area.  Local property management companies can give you some good insight of an area as well. 

@Chase Gu - I have the "pink unicorn" here... lol.  My team purchased an apartment building- all cash/no financing.  Let me know if you want some help and want to know more about how syndications work, etc... would be glad to hop on a call and answer any questions you may have.

What and who should i avoid-  I would say simply avoid overpaying for deals and resist the temptation of buying mediocre deals.

Who should i know to find off market deal?- Brokers.  There's no magic bullet here... just build relationships. 

Who did you use for financing and how was your expereince with them.- The deal was a 36 unit/144 bed student housing deal, no financing, all cash- great experience

What was the criteria they looked for before they would lend to you.- We bought right and there was a significant value add opportunity. 

What will you do differnetly on your next purchase.- Go bigger!

@Kelly Gilson- My favorite strategy is going to events held by gurus.  I just came back from @Brad Sumrok's event and I met so many accredited investors and awesome people there my head was spinning.  True story

@Jake Parks - 

If you're pooling money together and providing a return for people/there is an expectation of profit for someone else and that other party is not involved in the decision making/management of the deal , then you are creating a security and the answer to your question is a resounding yes.

The big thing you have in your favor with partnering up with family and friends is that you have a relationship with these people already and that's the biggest thing that the SEC is looking for.

(Disclaimer- this is not meant to be legal advice, I'm not an attorney, jotta, jotta, jotta. lol)

Shoot me an email and we can hop on a call.

@Michael Hutchinson - let me help you get a little more dialed-in with how you can potentially help one of the gurus/mentors (anyone that buys apartments for that matter).  

Sounds like you have some good real world experience, but let me simplify things for you.  

Here's the biggest needs & what most people are looking for generally speaking:

1) Deals

2) Private $

3) Sponsors/Key principals to go on a loan

4) Help underwriting

5) Help with research, making phone calls, administrative tasks, etc.

So that said- like @Todd Dexheimer mentioned, what is your skill set?  

Are you a numbers guy or a people person?  

What I do for my group, I help bring potential investors to the table because I get energy from people.  Crunching numbers feels like bamboo shoots being shoved under my fingernails, so underwriting is not a good role for me on a team. lol

Figure this out and offer it to someone on here.  That's what I did.

You can hear more about my story on a podcast episode I did with Joe Fairless that goes more into detail.

If you really want to go the extra mile with this concept, you can evaluate yourself with a free DISC assessment by Tony Robbins or some other personality assessment tool.

Good luck... Hope that helps!