All Forum Posts by: Steven Huynh

Never used this, but exactdata.com seems pretty good. They've got a 90% accurate guarantee of leads policy. And you can go very niche on the specific audience. 

 I noticed many operators are switching from IMS to SyndicatorPro. Likely because it's the best software. 

 Hmm. I mean, Grocapitus's numbers seem good. Looking at their portfolio, they've got 3.3k Units and about +500 AUM. Yes, I know those are quite the vanity metrics. Those numbers don't necessarily tell you how they deliver their returns for their investors, or how they treat and communicate their lenders, tenants, or investors, etc. Overall, they seem to be a decently experienced company looking at their team. 

Correct me if I'm wrong.

Awesome! I actually know an operator who has prior experience regarding investing in student housing. He says that hiring property managers for such an asset class can be very tricky.

Hi Justin.

I was talking to Kenny Wolfe of Wolfe Investments. And he said that the podcast space is definitely oversaturated, so he focuses his efforts on creating Videos on Facebook and Youtube. It's definitely an effective strategy since he's leveraging a different traffic source.

I am NOT affiliated with Kenny Wolfe or Wolfe Investments.

 I second your post, Jeffery. He also sells some courses for RE sponsors. I've talked to a (presumably) close friend of Mike, and he said that Mike is a great guy, someone who's interested in bringing success and financial independence for his students (and presumably his investors). In fact, he said that Mike even has a list of people whom he helped achieve financial independence. He definitely has a greater motive than just making tons of money. And if I was investing in him, then yes, I'd think he's a great operator just from his motive. 

 Sounds like a great idea, Mike. Let me know when this episode comes out!

Great idea. Also, mentoring with top sponsors may help improve the track record flywheel. Although mentoring with these guys typically costs a pretty penny.

Also, another idea to develop a track record is to start off with the small multifam and then go up.

Steven

Well, here's the big one:

There are a LOT more sponsors than there were 4 years previously, and more and more sponsors/ passive investors, coming to the scene as I speak. There is too much supply (too many investment opportunities offered in the marketplace), and too little demand (too little investors investing in these deals). There are certainly ways to circumvent these obstacles. One way is by creating 'more demand' or creating 'new supply'.

Here's the unfortunate truth. Most, if not all, of the (new and experienced) passive investors are (and will be) investing with the top dogs: Origin Investments, Cardone Capital, Ashcroft Capital, etc. And it makes sense: they have the best track record (maybe excluding Cardone capital due to their lawsuits), they're the most well-known (therefore most trustworthy), and multiple other reasons. For most people, it's not worth the hassle to dig and find 100's sponsors to invest with; it's just easier to invest with the big guys (for all the reasons listed above).

Note, even the top sponsors have trouble raising capital, such as Ashcroft, they have broker-dealers (was talking to one of them a while back) who try to source capital for them. If they could easily raise capital, then they wouldn't need to pay these broker-dealers. Also, note that Ashcroft, typically speaking, closes $30M+ properties, so these raises they're doing might be the stretch for them. Not 100% confident on that last claim, but hope @Evan Polaski and @Travis Watts can fact-check me.
Anyways, you obviously can't compete against these titans in a head-on game. Your company has to play asymmetrically, double down on your companies strong suits. We've seen numerous times where David vs. Goliath, where David wins. It's not often, and it's not easy, but it happens.
I'll list why (I believe) some investors would decide to invest in the small guys instead of these titans:
The sponsor:
1. Has unique investment opportunities which no other sponsor offers. Could be a unique location, asset class, investment strategy, etc. (Basically every sponsor these days are trying to invest in 100+ unit, Southeastern us/sunbelt region, class B/C, value-add. It's the most unoriginal strategy! Not saying that you won't succeed with this strategy, but you may need a unique twist to differentiate your company.)
2. Accepts non-Accredited investors,
3. Has a personal relationship with the company or principals (digital marketing can actually help with this).
Also, regarding how Vandabur assists multifamily syndicators with marketing, feel free to connect and dm me, as BP forums are a solicit-free zone.

Hopefully, my explanation made sense.

Steven

Even when it comes to writing a book, typically, new book authors write is usually trash (not always). There's this term in book writing which goes along the lines: "the first one is for the trash," I mean since you're writing words which are being printed, and therefore irreversible, I think that there should be perfection in terms of grammar, spelling, etc. But for the actual content, it's probably low quality if it's coming from a new author. This principle likely applies to all book genres. 

But yes, I agree with taking imperfect action. It's better to get started than be perfect.