All Forum Posts by: Tj Hines

@Salome D. not sure how profitable investing in small multis out of state would be. Typically the smaller you go the closer to home you want to be. Unless you have trusted sources as boots on the ground in those markets and your familiar with those markets. The smaller multis may not even make sense to hire a PM to manage. The numbers may not work out. Im not saying this is true for every smaller multi, but usually this is the case. The further away from home base you go you typically want to go larger because you have the economies of scale working for you.

@Dave DeMink this should have been discussed and disclosed prior to closing on the investment. If it's a value add we typically don't make our first distribution until the 2nd or 3rd qtr within the fiscal yr. This alleviates any stress of figuring out how to distribute excess cash flow in the first few months if there are any to distribute. Good luck

@Tab Teehee sounds like you need to take more control of your PMs. You tell them how things are supposed to be done. Not the other way around. After all operating expenses are paid, the excess distributive cash flow should be put into the operating account every month. Then you distribute the cash flow according to how you have the deal structured with your investors whether theres a pref that needs to be paid or straight equity splits

@Trevor Aydelott, depending on the partnership an llc may not be needed. Have a RE attorney draft an operating agreement explaining the roles, responsibilities and payout structure inside of this doc. You should be good to go with that.

Go to meetup.com and search for all local real estate clubs in your area to network with other local investors to figure out what they're doing.

I also know someone who lives in San Diego, but invest out of the state. Inbox me and I will connect you guys. He's not here on BP!

I like the idea what @Greg Dickerson mentioned ..Start your own capital raising business. Filing all the necessary paperwork to do so is key. You're selling securities so you need a security license. @Mauricio Rauld @Amy Wan are on BP. They are securities attorneys

I don't know @Trey Read, this sounds like a classic case to form a good partnership as you guys already have completed successful projects together. The trust factor is there. As long as you don't take down a huge multifamily without any experience. Keep it 5 units and under for your first deal. But most importantly get book knowledge and link up with someone who is already doing what you desire to do. 

@Jordan Santiago my acq. manager is my partner who is also a principle in the company as a co-founder. So no commissions or salary. We're paid through our syndication model with fees in place for our compensation.

@John Hamilton it all depends on the timing and what a refi would like according to market conditions at that time, but definitely could be a potential exit strategy

Hi @Pankaj Sharma! Congrats on the PR and taking on the risk. Hope it all shakes out to be well for you. Take care.