All Forum Posts by: Theo Hicks

Do you have the ability to extend the bridge loan? And (I may have missed this in your post) what is the projected hold period?

Attend local multifamily meetups (assuming you live in Dallas) and search for, DM, and check out the websites or syndicators and sponsors in Dallas on BP. There are also many BP forums with lists of syndicators.

Congrats! If you don't mind me asking a few questions: 

• What is the name of the deal and what part of Tampa is it located in? 
• Is it off-market or through a broker (if through a broker, which one)? 
• Who is the management company? 
• What sort of debt did you secure?

1) I think investing in a syndication is the way to go for his situation, but I don't have experience with hard money lending and don't know the risks or how much upfront work there is to get started

2) I have nothing to add to the recommendations already given, accept that I would start attending local meetup groups that focus on multifamily to meet syndicators and to learn and network

Lots of great responses on this thread. I was (and kind of still am) in your situation. I graduated college and bought my first deal just a little over a year after I graduated (Feb. 2014). I took a break and then purchased three more properties in August 2016. The first purchase was a duplex and the three properties were all quads. Now, I am in the process of looking for my first large multifamily, which I will syndicate.

That said, I was in discussions with a commercial mortgage broker in 2016 about securing a commercial loan. I didn't qualify based on my net worth, so I didn't pursue that further. That said, looking back, since I was attending local meetups, I would have presented the opportunity as a potential JV. They sign on the loan and I'd do everything else.

Since you said you don't want to do that, I would start smaller. Buy a duplex or a quadplex and place them under professional management.

I would start reaching out to mortgage brokers in the area and explain what you are trying to do. They will tell you the best option and either offer the loan program themselves or refer you to someone else.

I like your idea of buying the fourplexes first. Will help you qualify for financing, help you with your education, and increase your credibility in the eyes of partners and investors.

Don't worry about doing it fast, focus on doing it right.

Depending on what criteria you are using, you can pull lists for free on government websites like the local auditor/appraisal site. Or, partnering with a realtor and asking them pull a list of properties from the MLS.

For all of the value-add opportunities you plan on implementing (RUBS, W/D, storage, etc.), determine if they are demanded in your market by looking at comps. If they are demanded, you can use the comps as a guide to determine how much extra rent you can charge. If you cannot find a comp that charges for storage, you may not be able to charge a fee, for example.

For RUBS, I would determine the ROI, because it doesn't make financial sense on all sized deals in all markets.

Start attending the commercial meetup groups in your market. Travel a few hours if you have to.