All Forum Posts by: Account Closed

@Tim Greenfield I met a representative from a Builder / Hard Money lender here in Austin and it seems more attractive. Of course, the upside may not be as high as flipping a house but it certainly is much more passive. Also, their lending standards are strict so if they end up with the property, they complete the rehab and flip it and we share in the upside. Only concern I really have is the impact being stuck in a property if there is a downturn. 

"It's a whole new business by Gene Trowbridge" is great. It's a bit more of a technical read but serves as an excellent road map for syndicating Apartments.

I met a local Hard Money lender that syndicates 6-12 month Hard Money loans recently. The interest earned, typically 9% to 12%, is paid out to the members and the syndicator keeps the up front points and handles all the paperwork. My concern is, how will this be treated tax wise? Will my SDIRA investment be subject to UBIT or UDFI?

@Christy Wright  With Fannie Mae, you may be able to get a 10-15 yr fixed rate loan with 30 year AMOR schedule and 5 years interest only.

@Jestin Sorenson I'd ask for a T12 to verify all actual costs. If anything smells fishy, I'd walk away.

Also, C properties are HIGH risk so you should be buying at near 6 or 7 cap rates AT THE LEAST. At $18k NOI, you're buying a 4.5 cap which is WELL below the CBRE cap rates for stabilized C class properties in most all cities.

@John Casmon I wouldn't bother. At most, maybe a USB charging capable outlet here or there but nothing more. Think about it, would your target demographic likely buy smart thermostats and/or switches?

@Sree Kollu Do you listen to Grant Cardone by chance? If not, check out his podcasts. He insists you only buy something that already cash flows. Sure, there is value in all aspects of MFH but buying an existing property will provide you with immediate income but only when bought right. 

@Jason Hirko I went to an Investor Underground meeting two months ago and was kind of disappointed. First, it was supposed to start at 630 but it didn't start until 715. It ended at nine and the majority of the time was used by speakers so there wasn't any time dedicated to networking. I'll have to go to another one to give it a second chance. The topic was very interesting and helpfull though. 

@Parker Smith I attended the ATX Dealblender meetup yesterday. It ran from 6:30pm to 9pm and was near the Domain so probably more convenient for you since you are near Georgetown. There were about 30-35 ppl there and everyone was great. A lot of SFH investors, flippers, and brokers/lenders .

@Davit Gharibyan Three things you will want just to begin:

1. An Investment Summary of the property in question

2. A business plan for the property in question

3. Copy of the Operating Agreement for the syndicate

First largest concern is can you trust the syndicator? Second largest concern is how risky is the investment. Third largest concerns is can you be pushed out of the syndicate during cash calls. This should be apparent in the operating agreement language. You may want a lawyer to review it.