All Forum Posts by: Theo Hicks

Look into home warranties and determine how long you have to wait to file a claim. 

But regardless, factor in the costs of replacing the A/C in your financial analysis.

I would search for properties in the surrounding neighborhoods that are currently in similar condition to what your property will be in after renovations and see what they are renting for. Re-run your numbers at the new rental rates to determine whether to hold or sell.

Of course. You can technically follow the BRRRR strategy on a 100 unit apartment complex if you wanted. Make sure you get your hands on the historical financials and a current rent roll and perform a rental comparable analysis to determine accurate, post-renovation rents.

As @Luke Miller said, the economy is a complicated beast and is effectively impossible to time. Your best bet is to make sure you are looking at deals through the lens of "I will buy properties at terms such that I can maintain the investment during a down economy." Three good steps are to 1) buy for cash flow, not appreciation, 2) secure debt that is longer in term than your projected hold period, 3) have adequate upfront reserves.

The apartment syndicator may only accept accredited investors. If you don't meet the accredited investor qualifications, you should be able to find some syndicators who accept sophisticated investors. 

Best way to find a solid syndicator is through referrals. So as others have said, start networking and start to create a list of reputable syndicators thought those relationships. Or, check out the various lists of syndicators on BP.

Hi Malcolm. Welcome to BP.

With the amount of income you are bringing in each year, your RE opportunities are nearly limitless. Real estate investing generally falls into two categories: active and passive. Since you are relatively new to real estate, and assuming you want to invest in 2019, passively investing in a few apartment syndication deals is a good first step. You can start to grow your capital and learn about the multifamily process while minimizing your risk. 

In regard to active investing, once you've educated yourself enough, you can start out small by investing in a 2 to 4 unit (maybe even up to 10 units) and place the property under professional management. This is a more risky strategy starting out, but you will learn more and have 100% control of the business plan.

I have experience with both active and passive investing, so if you have any other specific questions, feel free to reply to this post or send me a direct message!

Good luck!

@LaTara G. Nice metrics on the YouTube channel. You already have previous experience growing an audience, so you definitely have a head start!

@Luke Miller Thanks for the shout out!. LaTara, if you have any more specific questions, apartment syndication or thought leadership related, feel free to send me a DM.

Speak with local multifamily operators at meetups and your property management company to get an understanding of the market operating expenses and vacancies. CapEx estimates are an art. You property management company should be able to help you get estimates for those as well.

No minimums. But depending on your background, I would start small (2 to 8 units) and scale up from there. A great strategy to find your first client is to reach out to rental listings on Craigslist, Zillow, etc. and offer to find a tenant and manage the property for them.

Hi Marc,

You best bet is to compile a list of property management companies off of Google and call each company to see if they manage the types of properties you invest in and to gain an understand of their background and track record.