All Forum Posts by: Matthew Nicklin

It is a 506(c). 

Thank you all for your input and feedback. I guess I just didn't realize that there maybe multiple capital raisers in the deal. I have never participated in a syndication deal, so I am still in the learning phase. 

@Zach Quick So after going back to the first sydicators email and reading over it, I dont think either one of the sydicates is an operator. I think they are both just capital raisers with some other firm, Boardwalk Wealth, possibly being the operator. Is this common to have more than one sydicate raising capital for a deal? 

If that is the case how does that typically work? The capital raiser gets the acquisition fee and the operator get the assets management fee? 

@Scott Mac No it is the same property for sure. Same city which is a smaller sub market of Atlanta etc. The 2nd syndicator didnt send out an much detail as the first but the numbers appear to be the same. Just seems odd as the first syndicator is saying they have already received commitments to fund the deal. 

So I have been reading up a lot on syndication lately and getting familiar with the process. I have done a lot of reading and learning and I feel pretty comfortable with the overall structure and the way these deals are setup. 

I have joined a few syndicators investor lists and attending their presentations, reading over their offering memorandums, and PPMs. As I have joined a few lists I have seen a few deals and the way they are presented. I received an email for a deal earlier this week then a follow up later that day stating they have raised all the required capital. Then today I received an email from a completely different syndicator with the same apartment complex name etc stating they are going to have a webex next week to present the deal. 

Is this common? This seems odd to me as neither one of the syndicators mentions working with the other. Is it possible that they both think they have a contract on the property? Anyway for me to vet this further? 

I have a few investment condos in Marietta. As you mentioned the HOA is the critical piece when investing in Condos/Townhomes. Not only do you have to read the bylaws, declarations, covenants etc and verify they do not have rental restrictions you must also verify the HOA is run well. It is absolutely critical that you review the HOA financials and make sure they are in good standing and they are properly reserved. If the HOA is mismanaged or lacks the proper reserves the HOA dues are going to increase or they are going to call for a special assessment.

I bought a FLIR One Camera that will provide infrared read out information. It hooks up to your smart phone and you can see all the info live. You can also rent the more advanced infrared camera from tool rental places around town. I went all around my house seeing where I needed additional insulation or leak seal. Also make sure all of your lights have been converted to LEDs. All of your water fixtures converted to low flow fixtures. Check the SEER rating on your AC, you may want to consider replacing it with a more energy efficient system.

You can pay an energy consultant but they are more than likely just going to sell you additional insulation for your attic. Which you could probably have someone else install for less. Doesnt hurt to ask around though, just sharing some insight. Just keep in mind the pay off timeframe before spending any money on big ticket items. Windows are one of those items that always take longer to pay back then the salesman implies. 

I have purchased from the Cobb foreclosure sale before. I have also attended tax sales etc. In my opinion properties at the foreclosure are bidding for a premium right now compared to where they were trading a few years ago. Not saying you still cant get a deal, as you have to be there in person to bid. You just have to consider that you can't view the inside of the property, so condition is unknown. The last one I purchased I got a great deal on and estimated worst case scenario on a rehab and it still made sense, so I went for it. To date it is one of my best deals.

@Robert Collins Every investor has a different risk tolerance. We manage some units in not so great school districts but for my personal investments I try to buy in better school districts for long term buy and holds. 

A little bit more difficult than previous years, but still possible. I just did a BRRRR on a property I purchased in March. Pretty much have to find solid off market deals to make it work.

A lot of property management companies require that as it is a part of their standard fees and another income source for them. As with all commissions though they are negotiable. If you find a smaller company you may have some better luck. I sent you a PM to find out some additional information.