All Forum Posts by: G. Brian Davis

 We typically aim to meet Mon-Wed. in the early to mid-afternoon EST. But it depends on the operator's availability. We record all deal discussions for any members who can't attend. 

As for the next meeting, we haven't scheduled it yet. It won't be this week, but we'll probably aim to meet the following week. 

 Hey Lan, I know you want to hear from our members (and I hope you do). But here are a few quick answers:

Performance: Check out the performance of all past deals here: https://sparkrental.mykajabi.com/club-deals

K1 Headaches: We're at the mercy of the operators for when these come in. Some come in on time, others don't. I just assume I'll have to file an extension.

Club Members: 327

 Hey Alyssa, SparkRental's co-investing club. For full disclosure I'm one of the organizers of the investment club. Feel free to message me if you have any questions about how it works. Short version: we meet every month to vet a new deal together, any member who wants to participate can do so with $5K or more.

There's too much uncertainty around tariffs and global trade to say. I feel much less confident than I did just three months ago. Are Trump's tariffs just a negotiating tactic? Are we actually looking at permanent massive tariffs and trade isolation? Who knows. 

I continue to practice dollar cost averaging with both my stock and real estate investments. I invest $5K each month in a new passive real estate deal, through the co-investing club. On the stock side, I invest every week through my robo-advisor.

It's too hard to try to predict the future. Just playing the long game of slow and steady investing.

Very exciting Chris! Many sponsors are happy to co-sponsor deals with inexperienced syndicators - in exchange for a cut of course. But if you find the right partner, their expertise (and capital raising) will make a huge difference in the success of the deal. 

I'd post here on the BP forums to ask for experienced syndicators open to co-sponsoring a deal with you. Worst case scenario, you get to network with some other sponsors. Which, like Deni Supplee said, is hugely important in this industry. 

Best of luck!

Hi Sean, a couple quick points: 

1. I wasn't differentiating liquid vs. non-liquid assets. 

2. Every investor has to decide how they want to break down their own asset allocation. Some people don't mind putting 100% of their investment funds in real estate. I personally aim for around 50/50 stocks and real estate, and before I get to know an operator, I prefer to only invest around $5K with them. As I develop trust and confidence in them, I invest more, and I've come to have a significant portion of my net worth invested with some operators. 

When you're first getting started, you may not have the luxury of limiting your exposure in any one real estate investment to 1% of your total net worth. That's especially true if you're buying properties directly, or investing by yourself in a private equity real estate investment. But it's even true if you invest with $5K as a member of our Co-Investing Club. As you build your net worth, you get more granular control of the percentage of it that you can put into any one investment. 

Just to clarify, there's no minimum net worth for investors to join our Co-Investing Club. Anyway hope all that helped!

Hey Jay, we handle it by being a subscription-based investment club. We charge a flat membership fee, rather than taking a cut of any of the money invested. Quite the opposite - I invest my personal money as just one more member, in each investment we end up doing as a club. 

So we're not selling securities. Think of it like a stock investing club that meets monthly to discuss, vet, and invest in stocks, except it's passive real estate investments. 

My company SparkRental organizes a passive real estate investment club, called the Co-Investing Club. We meet twice a month: once to vet a passive investment together, and once to bring in an outside expert to present on their area of expertise. 

Any member can go in on any investment with $5K or more, all group investments are optional. My partner and I don't get a cut of any of the money invested, it's a flat-fee membership club. We create a new joint LLC for each investment, and each participant gets listed as an owner of the joint LLC.

We're really big on diversification. We invest in every property type, in cities across the country, with different syndicators or private partners. I don't want to try to predict the next "hot market" or "hot asset class." I've found that every time I've tried to get "clever" in my investments and pick the next hot thing, I've gotten burned. 

I look at it through the lens of dollar cost averaging my real estate investments. If I can invest $5K a pop instead of $50-100K, I can invest every single month, no matter what the "mood" of the market is. I don't have to worry about trying to time the market, which I think is a fool's errand no matter what the gurus say. 

@Don Konipol I totally agree. I actually aim for not having any one real estate investment make up more than 1% of my net worth. I do that by going in on them with other people through an investment club (I can invest $5K in each investment). 

To your point, passive real estate investment returns tend to form a bell curve, with a few underperforming, a few overperforming, and most falling in the middle of the bell curve. When you only invest in one or two, the returns could end up anywhere on that bell curve. When you invest in one a month (like we do), they form a classic bell curve over time, averaging stronger returns than the stock market. 

Do high returns always come with high risk?

No. In fact, there's a term for this in finance: "asymmetric returns."

Don't get us wrong, some passive real estate investments do come with high risk. But others deliver on their promised returns while mitigating the major risks.

So how can you spot the passive real estate investments with low risk and high potential returns?

We’re going to break down six risk factors to check in a free workshop :-)

A few topics we'll discuss:

• Tips to find investments offering asymmetrical returns
• How to quickly assess the most common risks in real estate syndications
• Risks that don't apply to syndications, that DO apply when you buy properties directly
• ...and of course your questions and comments.

Excited to chat with you in the workshop!