All Forum Posts by: Andrew Hogan

@Tracy Tsoi Yes get another opinion but No don't pay that much. 

@Jay Hinrichs congrats! Even with today's drops in equities, I'm still almost up 50% since buying.

We are seeing deal flow pick up and low interest rates making the underwriting even more favorable for us and our partners.

Sending good vibes to anyone else who chimes in or reads this!

@Jacob George Lada sorry to hear of the unfortunate event. Glad you have the insurance matters figured out though.

Looking ahead, I would say that there is inherently so much more risk involved when you build rather than buy existing assets. 

The time it takes from the first shovel in the dirt until the first check in your hands is so much longer than finding a pre-existing deal. 

ESPECIALLY after the two weeks we have just had, I would be bullish about developing.

Partnering up with others you could spread that capital across hundreds of units to mitigate your risk.

Hope everyone is safe and well! 

Not surprisingly, we're seeing our highest net worth investors talk of allocating even more capital to our platform while a few smaller investors are sounding more fearful. 

If fear is creeping in remember the words of Warren Buffet: 

"Be greedy when the herd gets fearful (ok I paraphrased a little...)!"

Good question @Naomi Hanson.

1031 sets a tight window to find a quality property, and Opportunity Zones lock your cash up for 10 yrs... many times those who invest in large MF that conducts a cost segregation study to greatly reduce or in some cases eliminate their tax exposure without those constraints.

If you are accredited, there is no reason why you would want to put all your capital into one door rather than spreading the same amount across hundreds or even 1,000+ and mitigating your risk.

As mentioned, it is extremely difficult to successfully manage AND make a profit. 

IF you can do it right, it's worth it.. Before syndicating larger assets, BAM starting out as a management company first. 

Today everything is managed in-house which allows for about a 15% margin, immediate cost reduction when acquiring an asset, and the ability to execute the plan with more certainty. 

Congrats on your successes.

That market does not fit our criteria, but we do have a beautiful 220+ unit asset in Champaign that is crushing it.

There are plenty of small, AND large. The only trick is finding a DEAL!

@Michael Daharsh ... Re-read the comment by @Trevor Ewen. 

He hit the nail on the head! Opportunity Costs.