All Forum Posts by: Andrew Hogan

Great question Ki. Oddly enough, in the Indy area, C class properties are yielding the same returns as B class properties that have less risk. We’re only acquiring stabilized assets that have a strong cash flow from day 1 and don’t need a heavy value add -- it’s not the right time in the economic cycle for that.

That's a great way to get started and learn. However, I suggest if you're serious about being an LP investor in Mfam; underwrite 100 offerings (maybe 50 if you're an experienced investor as you seem to be). Do that and you'll gain "fingertip feel" of what a good deal looks like. 

Marlo, Indiana is a great market! You can find a lot of deals out here.

You can message me for any specific questions.

48k annual (4k/mo) means you'll need 480k of equity earning 10% or 685k equity earning 7%. I think your first step is to educate yourself thoroughly on different passive investments that produce consistent income. From there you'll need to learn how to evaluate managers/sponsors of those types of assets. Doing this will greatly reduce your risk of losing capital. Mitigation of that risk should be your chief aim!

Many of the strategies on bigger pockets are for people who don't have that chunk of cash. House hacking, BRRRR, flipping, wholesaling, etc. can all be done with a relatively low amount of capital.

But when you put half a million into the equation your options open up, and you also have much more to lose.

High net worth individuals know that they can't do everything themselves and figure out a way to make their capital work for them. One route to not put all your eggs in one basket is to look at different multifamily apartment syndications. After soaking in all the information and educating yourself one could put 50k into a few different sponsors to diversify and see which one they like the most. 

Larry, I would say to continue to educate yourself until you feel confident enough that you don't have to ask for advice. One great way to learn with low risk is to invest as a limited partner in a larger syndicated deal before you do your own. There are plenty of opportunities out there that only require a 50k min. investment but if you're not an accredited investor, it will have to be a 506b offering which means they can't advertise and you'll have to have a previous relationship with the sponsor.

Keep networking. Keep educating yourself, and one day you can be managing that 300k with a lot more zeros on the end of it!

statelocalgov.net

bestplaces.net

city-data.com

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James, that's great man!

A close family member just moved from Phili. Great area though.

Keep up the great work.

Daniel, great work.

Syndications will almost always be to cover the down payment, renovations, and other costs in order to increase rents and to optimize ROI. Paying in full wouldn't make sense becuase you can diversify and put that money to work elsewhere.

@Daniel Suarez

Great work Jake!