If you peruse a number of multifamily investment opportunities you will see that some target a sell at a particular year while others a refinance. Today we will talk about the pros and cons to each type of business plan and some of the considerations that should be made. Pros and Cons to Selling The reason that most syndicators offer business plans that do not included holding a property for lengthy periods of time is that the high returns they are targeting are typically created in the first few years of ownership through either renovations or better management. Once these improvements hav ..read more

If you take a poll of what comes to people's minds when you mention "real estate investing" you will be provided with a spectrum of answers. Some people might think of greedy landlords counting profits at the expense of their residents while others might think of a risky investment avenue that could cause high stress. Today, we will discuss how a healthy syndication business model actually creates a win-win-win scenario for investors, residents and the community. Stakeholders in the syndication business model There are numerous stakeholders involved in a typical real estate syndication and ..read more

Passive income has become a buzz word of sorts in the investing community. Many people think mistakenly think that passive income is simply putting your money blindly into an investment and then sitting on a beach. However, the reality is that no income is entirely passive and there are several considerations that the new investor must be aware of if they want to be successful. Today's article speaks to three of these points on passive investing. No income is completely passive Passive income is often defined as income that is made independent of time spent. The concept being centered aroun ..read more

We often speak in our articles about multifamily investing being a team sport. However many people are unaware of who the key players are in a multifamily syndication and where they might fit into the picture. Today, we will look at a few of these primary roles and discuss the value which they bring to a multifamily syndication. Limited Partner (LP) Most people recognize that real estate is a great place to invest their money, however many lack the experience or desire to acquire and successfully operate an actual property. If this sounds like you, then perhaps the role of limited partner or ..read more

Passive income has become a buzzword of sorts in the investing community. Many understand and desire to have income that is decoupled from their time working but are unsure of how to get started. While investing in multifamily syndications is a great passive investment option, there is some upfront legwork that must be completed before arriving at this destination. Today's article will review these steps to provide a blueprint to your first passive multifamily investment. Get Educated Investing in any type of asset should be preceded by a solid course of education into the details of how that ..read more

If you take a survey of the general population and their perception of real estate as an investment, you will likely find a couple of things consistent in their responses. First, most people recognize that real estate investing has the potential to make a solid return when done correctly and second that it has the potential to lose money when done incorrectly. While both of these statements are true, if you probe further into the reasoning behind these assumptions you will often find that there is minimal knowledge or experience upon which they are based. Rather they are the product of what t ..read more

If you have spent more than a few minutes watching the news recently, then you know that the economy has turned the corner and we are approaching an economic recession. Essentially, after printing a tremendous amount of money and injecting it into the economy, inflation has soared to record levels that haven't been seen in forty years which has caused a challenge for the average American trying to pay for a drastically increased cost of living. In response to this high inflation, the Fed has been making regular interest rate hikes The purpose of these hikes is to try and slow the inflation an ..read more

Taxes are perhaps one of the most boring and painful of all topics that one can choose to discuss. That is unless you are a real estate investor! The ability of real estate to provide artificial loses to investors allows them to save tremendously on there taxes each year. How are these loses captured and recorded? The answer to this question is a form commonly known as a K1. What is K1? In the world of taxes, each tax paying entity rather that be an individual or a business has a number which identifies them. Although collectively called a tax identification number (TIN), it is commonly broke ..read more

To the typical worker in corporate America, words like 401k or IRA are common place when discussing retirement benefits. Many people however are unaware as to how these retirement accounts work or what their options are for investing. Today we will clarify some of this discussion and show what is truly allowed with retirement accounts. 401k, IRA, Roth and Custodians Many individuals have a hard time understanding the differences between all these terms. A 401k is a type of tax advantaged retirement account that is given to the employee of a company as a benefit. The 401k is managed for the co ..read more

To the new investor who is looking to place an investment in a multifamily syndication, it can seem that the industry favors accredited investors. Offerings under 506c are easily found all across the web and one could begin to wonder how a non-accredited investor can participate in this amazing investment vehicle. Today we will look at a few points of how the non-accredited investor can find and vet multifamily syndications. 506c vs 506c The Securities Exchange Commission (SEC) is the organization that governs the sale of securities in the Unites States. Normally, an individual cannot sell se ..read more