POPULARITY
5 episodes with 506c
3 episodes with 506c
3 episodes with 506c
2 episodes with 506c
2 episodes with 506c
2 episodes with 506c
2 episodes with 506c
2 episodes with 506c
2 episodes with 506c
In this episode, we explore the evolving landscape of capital raising in the commercial real estate industry. Is traditional syndication still a viable method, or are investors gravitating toward new strategies? Join our expert panel as they discuss emerging trends, innovative funding approaches, and the role of technology in reshaping how deals are structured. Whether you're a seasoned investor or just curious about the state of real estate financing, this episode offers valuable insights and actionable takeaways. SummaryIn this episode of the RAISE Capital Legally podcast, hosts Krisha Young and attorney Kim Lisa Taylor interviewed Adrian Fajardo from Cashflow Portal to discuss the evolving landscape of capital raising in commercial real estate. Adrian, a senior account executive at Cashflow Portal, shared insights about the changing methods of capital raising, particularly in relation to syndication. He noted that while syndication is not dead, it has become more competitive, leading investors to explore alternative methods such as blind pool funds and series LLCs. Introduction to the Podcast and Guests (00:00:02)Krisha Young introduced the Raise Capital Legally podcast, co-hosting with attorney Kim Lisa Taylor. They welcomed Adrian Fajardo from Cashflow Portal to discuss capital raising trends in commercial real estate.Overview of Cashflow Portal and Adrian's Role (00:03:47)Adrian Fajardo introduced himself as the senior account executive for Cashflow Portal, managing $10 billion of equity across multiple asset classes. He explained his role in sales, marketing, and client support, emphasizing the platform's evolution and commitment to continuous improvement.Discussion on Syndication and Capital Raising Methods (00:06:42)Adrian discussed the changing landscape of syndication, explaining that while the method is still used, competition has increased. He emphasized that syndication is just one tool among many, with emerging alternatives like blind pool funds and customizable series LLCs gaining popularity.Technology's Role in Capital Raising (00:17:10)Adrian explained how technology platforms like Cashflow Portal enhance the investment process, providing security and efficiency. He emphasized the importance of creating a secure, user-friendly experience for both investors and operators.Emerging Trends in Asset Classes (00:21:44)The discussion covered various asset classes gaining popularity, including development projects, flex-use buildings, assisted living, and alternative investments like oil and gas. Adrian noted significant growth in oil and gas investments, particularly at industry events.Legal Considerations and Compliance (00:45:43)Kim Lisa Taylor provided insights on securities law compliance, discussing 506B and 506C offerings. She emphasized the importance of establishing pre-existing relationships with investors and maintaining proper documentation. Get one of our #1 Amazon best-selling books on capital Raising shipped to your house – totally free! Click this link to claim: https://syndicationattorneys.com/free-book/ Book a free 30 minute consultation with one of our business development team: https://syndicationattorneys.com/consultation
203: In this episode, I sit down with Hunter Thompson, a capital-raising expert who has raised over $100M in private equity. As the founder of RaisingCapital.com and the creator of RaiseFest, Hunter shares his proven strategies for attracting top-tier investors, leveraging systems, and scaling in the real estate world.(Show Notes: REtipster.com/203)We cover:Why capital raising is the ultimate superpower in real estate.The difference between 506B and 506C offerings.The art of using LinkedIn to find high-net-worth investors.How to manage stress and investor expectations when stakes are high.The risks and rewards of fund-of-funds investing.If you've ever wondered how to succeed at raising capital or wanted actionable tips for scaling your business, this episode is for you.
How can you transform a vacant big-box retail store into a profitable self-storage facility? Join us as we chat with Clint Harris, a general partner at Nomad Capital, who has mastered the art of converting underutilized spaces like old Kmarts and grocery stores into climate-controlled self-storage units. Clint shares his journey from traditional real estate ventures to this innovative niche, explaining the cost-effectiveness and efficiency of these conversions compared to new construction. You'll gain firsthand insights on revitalizing vacant properties and perhaps discover a new avenue for expanding your own real estate portfolio.We also dissect the world of real estate investing for retirement, exploring the critical differences between accredited and non-accredited investors. Even if you don't meet the SEC's financial criteria, there are still lucrative opportunities available through self-directed retirement accounts. We share personal stories of transitioning from traditional careers to full-time real estate investment, demonstrating how leveraging retirement funds into multifamily properties and Airbnbs can yield substantial returns. Along the way, we emphasize the importance of financial literacy and provide historical context on retirement savings plans like the 401k, debunking myths about the wealth required for these investments.In our deep dive into real estate syndication strategies, Clint elaborates on the nuances of 506B and 506C syndications, focusing on building trust and relationships with both accredited and non-accredited investors. We discuss the financial strategies involved, the tax advantages of accelerated depreciation, and the societal trends driving the adaptive reuse of retail spaces. Wrapping up on a personal note, Clint shares his family values, daily routines, and long-term real estate goals, emphasizing the importance of hard work, empathy, and gratitude. Tune in to learn how you can turn vacant spaces into valuable assets while instilling crucial life lessons in future generations. Thanks again for listening. Don't forget to subscribe, share, and leave a FIVE-STAR review.Head to Dwanderful right now to claim your free real estate investing kit. And follow:http://www.Dwanderful.comhttp://www.facebook.com/Dwanderfulhttp://www.Instagram.com/Dwanderful http://www.youtube.com/DwanderfulRealEstateInvestingChannelMake it a Dwanderful Day!
Ever wondered how the young guns are revolutionizing the real estate landscape? Craig McGrouther from Lone Star Capital, at just 29, is here to shake up your perceptions of multifamily real estate syndication and equity. Join me in a vibrant discussion where we clink glasses to Craig's shift from the cutthroat world of capital markets to the community-driven approach of raising equity for substantial investments. Discover how accessibility in investment opportunities is changing the game for investors big and small, and why a people-before-profits mindset isn't just nice—it's crucial.Hold on to your hats—real estate syndication just got a whole lot more interesting and less of a labyrinth to navigate. If you're a landlord tired of the property management grind or a Wall Street skeptic looking for steadier waters, this episode is your lighthouse. We'll reveal the mighty benefits of syndication, from fractional ownership to professional management that frees you up to live your life. Hear my own tale of transitioning from a hands-on investor to someone who leads a team that plays to my passions in the industry, ensuring that every day is as much about joy as it is about profits.Finally, we're turning up the volume on education in real estate investing and syndication. As we examine the roller coaster of historical interest rates and the inflation beat, learn about the strategies that could shield your investments from economic turmoil. From music to million-dollar ambitions, we're tying in the essence of lifestyle, discussing how alternative rock, Thai food, and morning workouts might just be the secret ingredients to achieving that billion-dollar asset management goal. So, whether you're pondering your next investment move or just love a good mix of business acumen and life's finer things, this episode promises to be as refreshing as a Blood Orange track on a summer playlist. Thanks again for listening. Don't forget to subscribe, share, and leave a FIVE-STAR review.Head to Dwanderful right now to claim your free real estate investing kit. And follow:http://www.Dwanderful.comhttp://www.facebook.com/Dwanderfulhttp://www.Instagram.com/Dwanderful http://www.youtube.com/DwanderfulRealEstateInvestingChannelMake it a Dwanderful Day!
Check out this episode wherever you like to listen or watch podcasts! Episode Page: https://vinneychopra.com/podcast/ Youtube: https://youtu.be/ih3Ueq100CA Spotify: https://spoti.fi/423B4fz iTunes: https://apple.co/3tQ9Tsf — To learn more about how Vinney can help you, click here - https://linktr.ee/VinneySmileChopra Smile Always and Be Happy! — FREEBIE: https://vinneychopra.com/freebenefits/ JOIN MY FREE WEBINAR: https://bit.ly/golden-opportunities-webinar-vinney-chopra -----
Send us a Text Message.Ready to transform your real estate game? Today, we're joined by Daniel Brown, a British entrepreneur who left behind a successful chain of jewelry stores in the UK to make his mark as a real estate developer in the US. Gain valuable insights as Daniel recounts his transition from rental properties and house flipping to new construction, sharing the rewards and pitfalls of each investment type. Learn about the tax implications specific to these ventures and the importance of maintaining liquidity and a robust tax strategy to ensure long-term success.Continuous learning is crucial in evolving industries, and we dive into the importance of investing in educational opportunities and effective networking. Hear about the transformational impact of joining networks like the Genius Network, which led to a 10x return on investment. We cover practical techniques for applying acquired knowledge efficiently—avoiding the traps of intellectual overstimulation—and leveraging tools like ChatGPT for summarizing key points. Discover the benefits of team book clubs and revisiting impactful books for ongoing growth.Finally, we tackle the complexities of real estate investment funding strategies and efficient inventory tracking. Daniel shares how he leveraged capital from his previous business and attracted private investors, emphasizing the balance between sufficient working capital and avoiding idle money. We discuss the role of modern tools like QuickBooks for streamlined bookkeeping and highlight a special investment opportunity with Brownstone Capital Investments' 506C fund. Offering a diversified and agile approach to real estate investment, this fund aims for promising returns while spreading risk. Tune in for a practical, insightful, and actionable episode that could significantly boost your real estate ventures!
Nizan Mosery, a real estate investor, shares his journey and offers tips for both new and experienced investors. He emphasizes the importance of knowing your exit strategy before buying any property. Mosery's background and upbringing instilled in him the value of owning land and generating income from it. He started his real estate journey by flipping houses and gradually moved into multifamily and student housing. Mosery now offers a coaching and mentoring program to help new investors get started and experienced investors level up. In this conversation, Nizan Mosery discusses the different ways to raise capital for real estate investments, specifically focusing on the 506B and 506C offerings. He explains that the 506B offering requires a pre-existing relationship with investors, limiting the number of sophisticated investors to 35. On the other hand, the 506C offering allows for unlimited accredited investors and the ability to advertise the offering. He also discusses the importance of investing in class A properties, as they offer better value and higher resale value compared to older properties. He emphasizes the need to focus on the numbers and not get emotionally attached to a property. Mosery also highlights the importance of building a team with the right personalities rather than just focusing on skill sets. He concludes by sharing his coaching program and how it helps individuals break free and live life on their own terms. Takeaways • Know your exit strategy before buying any property. • Owning land free and clear is a valuable asset that can generate income. • Start with smaller real estate deals and gradually move up to larger ones. • Building a team and networking are crucial for success in real estate. • Coaching and mentoring programs can provide guidance and support for new investors • There are different types of investors, including sophisticated and accredited investors There are two main ways to raise capital for real estate investments: the 506B offering, which requires a pre-existing relationship with investors, and the 506C offering, which allows for unlimited accredited investors and the ability to advertise the offering. • Investing in class A properties can offer better value and higher resale value compared to older properties. • It is important to focus on the numbers and not get emotionally attached to a property. If the numbers don't work, it's best to walk away from the deal. • When building a team, it is important to consider the personalities of the individuals rather than just their skill sets. • Nizan Mosery offers a coaching program to help individuals break free and live life on their own terms. Sound Bites • Before buying any type of property, you need to know your exit strategy first. • Anyone who owns a piece of land free and clear is the richest person on the planet. • Having kids gave me a why, a motivation to succeed in real estate. • If I put a property on the contract today, or let's say I'm just setting out a letter of intent, and Kenner, and I just met you today, and you're either a sophisticated or accredited investor, and I'm doing a 506B, I can present the offering to you, but you cannot invest because we don't have a pre-existing relationship prior to this asset, right? • The 506C, you can have unlimited amounts of accredited investors and you can literally take your offering and put it on a billboard on the highway and advertise it. However, you can only accept accredited investors. • Now with the bigger projects, we're doing more on the 506Cs because we want to bring in those institutional equity groups that we just create relationships with now. If you have any questions in general you can reach our office at: VastSolutionsGroup.com Phone: 415-854-6512 Email: info@vastsolutionsgroup.com Monday-Thursday 8:00 AM – 5:00 PM (Pacific) Thank you for listening!
Embark on a picturesque journey through the heart of Tennessee with me, Dwan Bent-Twyford, and my esteemed guest, Matt Fore of Next Level Income, as we intertwine the allure of the Volunteer State with the intricate world of real estate investing. This episode is a treasure trove of insider knowledge, from unearthing the potential of self-directed retirement funds in real estate syndication to sharing the vibrant life lessons learned from investing in a small town during a global crisis. As you revel in our shared experiences, you'll find Matt's expertise in syndication and my insights on the importance of educational transparency both enlightening and actionable.Get ready to be moved by the power of aspirations and the importance of community, both in real estate and beyond. Beyond the financial discussions, we indulge in heartwarming tales, like the story of my first concert and ambitious endeavors, such as running seven marathons across seven continents. This narrative is about more than investment strategies; it's about the passion that drives us and the dreams that propel us forward. We celebrate the entrepreneurial spirit that can transform a locality, as my husband and I did in Clinton, Iowa, taking advantage of an Opportunity Zone during uncertain times and igniting a business boom that reshaped a community.Concluding with a reflective note, we dive into the art of curiosity and the unexpected insights that arise from asking for just one word from our peers. As we ponder the value of time and extend our gratitude to you, our listeners, for sharing yours with us, we invite you to engage with us further and stay tuned for revelations and truths in episodes to come. This conversation isn't just about real estate—it's a mosaic of life experiences, a testament to the entrepreneurial journey, and an inspiration for anyone looking to leave their mark on the world, one investment or marathon at a time. Thanks again for listening. Don't forget to subscribe, share, and leave a FIVE-STAR review.Head to Dwanderful right now to claim your free real estate investing kit. And follow:http://www.Dwanderful.comhttp://www.facebook.com/Dwanderfulhttp://www.Instagram.com/Dwanderful http://www.youtube.com/DwanderfulRealEstateInvestingChannelMake it a Dwanderful Day!
Welcome back to the Lone Star Capital podcast! Join me and Craig McGrouther as we unpack the latest in commercial real estate. Learn about our newest deal, Grand Riviera, which is now live, offering a prime 506C opportunity for accredited investors only. Mark your calendars for our flagship conference at One World Trade Center this September. With a condensed format and a lineup of industry luminaries, this event promises unparalleled insights and networking opportunities.Throughout the episode, we explore cap rates and the complexities of loan assumptions, while also dissecting recent industry moves, including Blackstone's significant multifamily acquisition. Drawing from our own experience with the Cortland Copperleaf acquisition, we shed light on the challenges posed by REIT structures, the value of streamlining transactions and more! Don't miss out on valuable insights—tune in now! Learn more at www.lscre.com To apply to attend LSC Summit 2024: www.lscsummit.comFollow Rob Beardsley:YouTubeFacebookLinkedInRead Rob's articles:https://www.lscre.com/blog
In this episode, we'll kick things off with a roundup of recent events, including announcements about an upcoming 506C deal in Dallas and our can't-miss LSC summit event on September 15th and 16th. From there, we'll take a trip down memory lane as we recap the whirlwind of conferences and networking events that defined Q1, sharing key takeaways from industry gatherings like NMHC in San Diego and the Best Ever Conference.We'll also explore the broader market landscape, discussing Treasury rate volatility, potential rate cuts, and their implications for deal underwriting. Plus, we'll dive into the concept of rate parity and its impact on floating rate loans.Tune in now to get the inside scoop on Lone Star Capital's latest deal activity, from successfully closing the Aspire Apartments deal to exploring innovative deal structures and more!Learn more at www.lscre.com To apply to attend LSC Summit 2024: www.lscsummit.comFollow Rob Beardsley:YouTubeFacebookLinkedInRead Rob's articles:https://www.lscre.com/blog
Decoding Investment Strategies for Non-Accredited and Accredited InvestorsThis detailed dialogue covers a broad range of investment topics, focusing on the transition from non-accredited to accredited investor status. It discusses inflation rates, Fed's targets, real estate investments, market corrections, investment opportunities in various sectors like retail, and strategies for both seasoned and new investors. It addresses the challenges and misconceptions around investing in syndicated deals, highlighting the differences between 506B and 506C offerings and how non-accredited investors can navigate these opportunities. Additionally, it touches on the significance of building a strong investor network, proper asset diversification, the impact of mental health on financial decisions, and the potential of venture capital investments for higher net worth individuals. Key advice includes the importance of patience in wealth building and strategic moves for investors at different stages of their financial journey.07:04 Diving Into Infinite Banking: Loans and Taxes12:16 Navigating Capital Gains on Inherited Property 17:09 Maximizing Tax Benefits from Your Principal Residence27:48 Analyzing Property Tax Implications and Investment Decisions41:52 Commercial Real Estate: Opportunities Amidst Challenges48:09 Venture Capital: A New Frontier for Investors51:26 Investment Strategies Across Different Life Stages57:47 Understanding Legal Entities and Tax Considerations in Investments Hosted on Acast. See acast.com/privacy for more information.
EPISODE SUMMARY: Join Dr. Jason Ballara and Rachel McFarlane, our investor relations guru, on a special live event episode, where they join forces to demystify the complex world of real estate syndication. They don't just skim the surface; they drill down into the pivotal roles of general and limited partners and unveil the legal scaffolding that underpins these investments. If you're ready to scale the heights of multifamily real estate or simply looking to understand what sets it apart from personal property management, this episode holds the blueprint to your ambitions. Navigating the rapids of residential versus commercial multifamily lending, we cast a line into the murky waters of financing. While discussing how a few units can shift a property's classification, we float the benefits of owner-occupied loans and weigh anchor on the financial resilience of real estate. Whether you're considering dipping your toes into larger multifamily properties or just want to anchor down your knowledge of interest rates and self-directed IRAs, our candid conversation sets sail to chart these territories for you. Steering through the regulatory currents, we reflect on the buoyancy of real estate investments amidst market fluctuations and explore the harbors of opportunity zones. With a keen eye on the lighthouse of SEC compliance, we guide you through the legal landscape of Regulation A offerings and the intricacies of 506B and 506C exemptions. While at the helm, Dr. Ballara also signals a course towards the newly unveiled LarkCapital.com and the rich repository of resources it offers to navigate your investment journey. Join us, as we share the collective 'why' that propels us and our esteemed guests forward in the dynamic seas of real estate investing. Special Mention to Song Saney, executive assistant of Dr.Jason Ballara. EPISODE CHAPTERS: (0:00:00) - Understanding Syndication in Real Estate Investing Real estate syndication structure, roles of active and passive partners, accessibility of commercial properties, and dispelling misconceptions for investors. (0:10:35) - Residential vs Commercial Multifamily Lending Multifamily real estate includes properties with 5+ units, with different financing options and benefits for larger properties. (0:26:00) - Real Estate Investments & SEC Regulations Real estate resilience, interest rates, self-directed IRAs, opportunity zones, SEC regulations, Private Placement Memorandum, and government incentives. (0:37:59) - Real Estate Investing Regulations and Interactions Regulation A offerings, 506B and 506C exemptions, accredited investor qualifications, marketing restrictions, and real estate accessibility. (0:53:36) - Updated Website and Podcast With Dr. Ballara Revamped LarkCapital.com offers blog, podcast, deal room, social media connections, and inspiring interviews on Know Your Why podcast. If you want to know more about Dr. Jason Balara and the Know your Why Podcast: https://linktr.ee/jasonbalara Audio Track: Back To The Wood by Audionautix is licensed under a Creative Commons Attribution 4.0 license. https://creativecommons.org/licenses/by/4.0/ Artist: http://audionautix.com/
This is a special edition of REady2Scale, featuring Ellie's presentation from her recent speaking engagement at FinCon2023. Discover the art of shifting focus from busyness to productivity. From delegating tasks to training others, this episode reveals the keys to freeing up time and energy for high-impact endeavors that will allow you to scale your business effectively and efficiently. Gain insights into creating a game-changing document – the "Continue, Stop, and Start" guide. It's a revolutionary tool that helps identify tasks that truly move the needle. By optimizing time and effort, you pave the way for exponential growth. Scaling isn't just a haphazard journey; it's a strategic process. Listen in to understand the significance of having a clear vision, reverse-engineering goals, and communicating this vision effectively to the team. Tune in as Ellie shares her personal experiences, from overcoming obstacles to attracting investors, emphasizing the importance of connections and unique selling propositions. It's not just about numbers; it's about people and innovation! Key Takeaways: Combat Burnout: Founders often succumb to 'busyness.' Learn to delegate, focus on impactful tasks, and skip excessive work that doesn't move the needle. Clarify Your Purpose: Defining your 'why' is vital. It fuels motivation and prevents burnout during challenging times. Strategic Planning: Detailed planning is crucial. Reverse-engineer your goals, conduct market research, and create a comprehensive business plan for investor appeal. Forge Authentic Connections: Investors invest in people. Building authentic connections and sharing your story are more impactful than just presenting numbers. Evaluate Investment Models: Understand the differences between various investment models (506B vs. 506C) and choose the best fit for your business's long-term growth. Calculated Risk-Taking: Scaling requires calculated risks. Assess risks, plan strategically, and choose the path that aligns best with your vision. Join us as we delve deep, challenge the status quo, and unveil the changing mindset of real estate investors. Whether you're a seasoned pro or just starting out, this episode promises a treasure trove of insights, strategies, and opportunities waiting to be unlocked. Are you REady2Scale Your Multifamily Investments? Learn more about growing your wealth, strengthening your portfolio, and scaling to the next level at www.bluelake-capital.com. To reach Ellie & her team, email them at info@bluelake-capital.com or complete our investor form at www.bluelake-capital.com/new-investor-form and they'll connect with you. #BusinessGrowth #ScaleSmart #EntrepreneurshipInsights #PodcastWisdom #StrategicPlanning #EffectiveScaling#ScalingStrategies #EntrepreneurialTips #BlueLakeCapital #BusinessScaling #EntrepreneurMindset #StartupStrategy #ProductivityHacks #LeadershipInsights #FounderAdvice #BusinessPlanning #GrowthStrategies #ScaleUpSuccess #SmallBusinessTips #BusinessVision #SuccessMindset #LeadershipDevelopment #EntrepreneurialJourney #BusinessGrowthHacks Learn more about your ad choices. Visit megaphone.fm/adchoices
Join me and my guest Robert Preston, co-founder and CEO of Climb Capital, as we explore the exciting world of RV park investments. Discover the ins and outs of investing in RV parks with Robert, as he shares his insights on why he believes RV parks are recession-resistant investments.Robert Preston is a successful real estate entrepreneur who transitioned from a military career to become the co-founder and CEO of Climb Capital. He shares his compelling journey and recounts a harrowing incident in the military that pushed him to look for alternative ways to earn a living.As licensed foster parents, Robert and his wife embody the importance of giving back to the community. They believe that success is not just about wealth but also about making a positive impact on others' lives.During our conversation, Robert reveals how he managed to invest in a mobile home park without any upfront capital. He also shares his expertise in raising capital through the syndication process, providing valuable insights for aspiring investors.We discuss the resilience of RV park investments, particularly during economic downturns. Robert explains why he believes RV parks are recession-resistant and highlights the benefits of this niche market.We also delve into the challenges that Robert's business faces in the current landscape and the key metrics he monitors. He emphasizes the importance of having mentors and continuous education in achieving success in the real estate industry.Additionally, we touch on Robert's philanthropic endeavors, including his 506C fund, the Campfire Fund. We learn about his family's love for travel and how they enjoy exploring the country in their RV.If you're interested in real estate, specifically RV park investments, this episode is a must-listen. Tune in to gain valuable insights and be inspired by Robert Preston's experience and expertise.Ready to dive into the world of RV park investments? Visit Robert Preston's website at http://www.climbcapital.com to learn more and start your own journey towards financial success in real estate. Don't miss out on this opportunity to gain valuable insights and guidance from an industry expert. Take the first step and visit the website today!VISIT OUR WEBSITEhttps://lifebridgecapital.com/Here are ways you can work with us here at Life Bridge Capital:⚡️START INVESTING TODAY: If you think that real estate syndication may be right for you, contact us today to learn more about our current investment opportunities: https://lifebridgecapital.com/investwithlbc⚡️Watch on YouTube: https://www.youtube.com/@TheRealEstateSyndicationShow
In this highlight episode, Kenneth Kastner shares his expertise in offshore US real estate investment. He covers potential challenges and technicalities that international investors face. Important topics include the need for ITIN and LLC, risk of dual taxation, and complexities of obtaining a bank account.Understanding tax implications when partnering with foreign investors is crucial. Kenneth explains the need to withhold taxes, the FERPTA legislation, and how to calculate the quarterly withholding estimate for the IRS. The takeaway? It's vital to have a tax professional on your team.Brian Martinez, another real estate expert, joins us. He discusses tax consequences of investing with an IRA and distinguishes between 506C and 506B. He also highlights prohibited transactions in IRA investments, focusing on disqualified parties and non-permissible investments.The episode concludes with a look at tax-free retirement strategies and wealth accumulation through retirement accounts. Ready to dive into the world of real estate? Don't miss the full episodes. Click the links below to tune in. Your future self will thank you!917https://lifebridgecapital.com/2021/04/25/ws917-ideal-strategy-for-tax-free-wealth-with-brian-martinez/921https://lifebridgecapital.com/2021/04/29/ws921-navigating-the-us-tax-world-for-foreign-investors-with-kenneth-kastner/VISIT OUR WEBSITEhttps://lifebridgecapital.com/Here are ways you can work with us here at Life Bridge Capital:⚡️START INVESTING TODAY: If you think that real estate syndication may be right for you, contact us today to learn more about our current investment opportunities: https://lifebridgecapital.com/investwithlbc⚡️Watch on YouTube: https://www.youtube.com/@TheRealEstateSyndicationShow
Curious about the impact of 506B and 506C exemptions on your real estate syndication? Join us as we delve into an enlightening conversation with Mauricio Rauld, a real estate expert. He offers essential insights into the recent changes in these exemptions and how to harness them for your benefit. Explore the transition process from 506B to 506C with Mauricio , a move that opens up new avenues for advertising your offerings - a game-changer for operators.Our discussion deepens as we explore the critical role of decision-making around 506B and 506C exemptions. Mauricio underscores the importance of third-party verification for accredited investors, cautioning against the pitfalls of unreliable CPA letters. Transparency takes center stage in our chat, highlighting its significance in investor information disclosure. We also demystify the complexities of structuring two distinct funds linked through varied classes.In the concluding part of our talk, Mauricio shares his wisdom, advising on treating separate offerings as entirely independent to avoid fund co-mingling. His mantra for success? Begin early and maintain discipline. As a bonus, Mauricio invites you to his weekly live sessions, a platform where he disseminates knowledge to the real estate community. Harness the power of the Real Estate Syndication Show to boost your real estate wealth. Embark on this exciting journey with us at LiveBridgeCapital.com!Click the links below to listen to full episodes and gain invaluable insights from industry experts. Don't miss out on the opportunity to boost your knowledge and elevate your real estate journey. Start listening now!https://lifebridgecapital.com/2022/04/15/ws1272-the-current-legal-landscape-for-re-syndicators-pt-1/https://lifebridgecapital.com/2022/04/18/ws1275-the-current-legal-landscape-for-re-syndicators-pt-2/VISIT OUR WEBSITEhttps://lifebridgecapital.com/Here are ways you can work with us here at Life Bridge Capital:⚡️START INVESTING TODAY: If you think that real estate syndication may be right for you, contact us today to learn more about our current investment opportunities: https://lifebridgecapital.com/investwithlbc⚡️Watch on YouTube: https://www.youtube.com/@TheRealEstateSyndicationShow
What if you could unlock the hidden potentials of real estate syndication? Picture yourself delving deep into the intricacies of SEC 506B and 506C syndications, learning the criteria for becoming an accredited investor, and exploring vineyards, emergency clinics, private practice medical offices, and more as possible investment opportunities. This is the journey we embark on with real estate guru, Kishan Golla, who graces us with his wealth of experience from over 25 deals, and more than 4,000 doors in the commercial real estate market.As we navigate the world of real estate investment, we also confront its inherent challenges and risks. Kishan generously shares the realities of evolving interest rates, fluctuating insurance costs, labor and payroll changes due to the pandemic and their implications for your return on investment. We tackle the nitty-gritty, from the importance of investing in landlord-friendly communities to the potential returns an investor can expect and the average life cycle of a syndication.We conclude our insightful journey with Kishan by discussing diverse investment options and considerations: single-family homes, self-storage, and medical syndications. He reveals critical tax implications in retirement investments, and how to structure a deal to avoid UBIT and UDFI taxes associated with self-directed IRA investments. As we wrap up, one thing resonates: the paramount importance of honesty in syndication. Join us on this exploration and let Kishan's expertise guide you through the rewarding landscape of real estate syndication.RECN Facebook page https://www.facebook.com/groups/5670625079733713Kishan Golla Email kishan@vetexequity.comPhone (620)-704-1690
Today on Passive Income Pilots is Tait & Ryan's one-on-one episode.Tait and Ryan break down SEC rules and the distinctions between 506B and 506C offerings. They lay out the qualifications needed to be an accredited investor and delve into the impact of the JOBS Act in 2012. They share the process of investor accreditation, from proving your accredited status to the operator to leveraging a third-party verification company, and the role professionals like attorneys, CPAs, or financial advisors play in validating it. Enjoy the show!Show notes:[2:46] History of the regulation[4:20] The JOBS Act[5:22] Accredited investor[9:15] Proving your accreditation[12:47] What needs to be done if you're not accredited[19:21] Your information is kept confidential[21:01] OutroJoin the Facebook group: https://www.facebook.com/groups/passivepilots Legal DisclaimerThe content of this podcast is provided solely for educational and informational purposes. The views and opinions expressed are those of the hosts, Tait Duryea and Ryan Gibson, and do not reflect those of any organization they are associated with, including Turbine Capital or Spartan Investment Group.The opinions of our guests are their own and should not be construed as financial advice. This podcast does not offer tax, legal, or investment advice. Listeners are advised to consult with their own legal or financial counsel and to conduct their own due diligence before making any financial decisions.The hosts, Tait Duryea and Ryan Gibson, do not necessarily endorse the views of the guests featured on the podcast, nor have the guests been comprehensively vetted by the hosts.Under no circumstances should any material presented in this podcast be used or considered as an offer to sell, or a solicitation of any offer to buy, an interest in any investment. Any potential offer or solicitation will be made exclusively through a Confidential Private Offering Memorandum related to the specific investment. Access to detailed information about the investments discussed is restricted to individuals who qualify as accredited investors under the Securities Act of 1933, as amended.Listeners are responsible for their own investment decisions and are encouraged to seek professional advice before investing....
We have a brand new investment offering at GoodGood Investing that we are SO excited to share with you!! We are syndicating a triple-net lease – which is the lucrative "triple threat" of the investing world. We are buying a commercial building ALL CASH and leasing it to an early education center in affluent Southlake Texas. Our triple-net lease with this corporately owned and operated business states that the tenant will be responsible for all taxes, maintenance, and insurance on the building that we own. It is sizing up to be a home run deal. We are so incredibly excited to dive into what the business plan and compensation structure looks like. Tune in to find out more! This is a 506C offering, available to accredited investors only. You might be accredited and not know it! Get in touch if you are unsure of your accreditation status! Ready to reserve your investment? Click here: https://www.cashflowportal.com/offering/a569538db4594494bda85559b1d52e69 Watch the webinar replay: https://www.youtube.com/watch?v=V-I__T1Eadg&t=2s&ab_channel=GoodGoodInvesting –– Explore our brand new 3-in-1 Net Worth Assessment tool at: www.goodgoodinvesting.com Join our meetup group! https://www.meetup.com/the-passive-investors-network-with-goodgood-investing/ –– **Under no circumstances should any material at this site be used or considered as an offer to sell or a solicitation of any offer to buy an interest in any investment. Any such offer or solicitation will be made only by means of the Confidential Private Offering Memorandum relating to the particular investment. Access to information about the investments are limited to investors who either qualify as accredited investors within the meaning of the Securities Act of 1933, as amended, or those investors who generally are sophisticated in financial matters, such that they are capable of evaluating the merits and risks of prospective investments. You should always consult certified professionals before making decisions regarding your individual financial situation. Rachel Grunn and Andrea Cwik are not financial professionals, and GoodGood Investing is not a brokerage, dealer, or SEC-registered investment advisory firm**
William Holland is the CEO and founder of Bigger Picture Holdings LLC, a real estate investment company in Dallas, Texas, specializing in value-add multifamily properties. He has extensive experience in construction planning and management, having previously worked for Balfour Beatty and Infinity MEP Consultants. William is an active member of TREC, a significant real estate organization in Texas, and RaiseMasters, a mastermind group for capital raisers. He collaborates with experienced multi-family operators to achieve long-term success. With a degree in mechanical engineering from Texas A&M University, William enjoys basketball, cycling, camping, and serving at church. He considers his relationship with Jesus as the most critical aspect of his life and strives to glorify God in all his endeavors. Are you interested in raising capital for your real estate ventures? Join us on Real Estate Investing Rocks as we explore the world of real estate investing and the challenges and regulations surrounding raising capital from non-accredited investors. Discover the difference between accredited and non-accredited investors and the strategies for raising capital, including the 506B offering. We'll also discuss potential issues when transitioning from a 506B to a 506C offering and the importance of building relationships with investors. Don't miss out on this insightful conversation on raising capital in real estate! [00:01 - 12:04] Navigating the World of Accredited and Non-Accredited Investors Sophisticated investors need education on investments before investing Legal strategy of starting with 506(b) and switching to 506(c) to raise more capital Backfilling is a common practice in raising capital for deals [12:05 - 18:01] Navigating Investment Scenarios in 506 Offerings Potential timing issue for investors with a large amount of money in the summer Ability to transition from 506(b) to 506(c) at any time Importance of creating scarcity and urgency in capital raises [18:02 - 23:25] Closing Segment Flexibility in minimum investment amounts and building relationships with investors Listeners can visit biggerpictureholdings.com and themoneytreerealestateinvestorpodcast.buzzsprout.com to learn more about William and his work Tweetable Quotes: “That is one risk of investing in real estate syndications, is that your money is illiquid for a specified period of time.” – William Holland “I wanna only promote and sell things that I know can be beneficial to other people.” – William Holland You can connect with William Holland through his: Email: biggerpictureholdings@gmail.com Social Media: LinkedIn LEAVE A REVIEW + help someone who wants to explode their business growth by sharing this episode. Are you confused about where to start? Join our community and learn more about real estate investing. Head over to our Facebook Page, Youtube Channel, or website https://www.theacademypresents.com/jointhesummit36848306. Connect with Lorren Capital, LLC. for syndicated multifamily investments, https://lorrencapital.com/. To learn more about me, visit my LinkedIn profile, and connect with me.
Brian 'Twist' Orr is known to be a person with a wide array of talents. Some of those, being musical talents, have granted him the opportunity to travel around the world as a professional DJ. Brian's performance motto, “Some dance to remember, some dance to forget" illustrates a common thread he's held throughout his life, the passion to help others by meeting them where they are. After graduating university, Mr. Orr worked as a securities broker on a wealth advisor team in New York. He also spent many years as a youth sports coach. When 9/11 happened, left feeling helpless, he immediately left his financial profession, signed up and joined the FDNY, to make sure he was available to help next time it was needed. In 2014, Mr. Orr discovered the opportunity to invest in real estate as a way to help his family. He immediately fell in love with this industry and discovered it to be his next calling, as well as a chance to help many others who didn't have the capacity or resources to be successful real estate investors. Today, with a 7 figure portfolio under management, far removed from his first flip project and with a nod to his DJ career, Mr. Orr has founded Remix Capital. The mission is to expand his capacity to help people beyond his friends and family. With the launch of his first 506C fund in 2023, we are just beginning to witness how far this venture may go. Get in touch with Brian: www.remixinvesting.com www.remixcapitalgroup.com www.instagram.com/djtwist If you want to know more about Dr. Jason Balara and the Know your Why Podcast: https://linktr.ee/jasonbalara Audio Track: Back To The Wood by Audionautix is licensed under a Creative Commons Attribution 4.0 license. https://creativecommons.org/licenses/by/4.0/ Artist: http://audionautix.com/
ABOUT GENE TROWBRIDGEAs a Founding Partner of Trowbridge Law Group LLP, Gene's law practice concentrates on the syndication of commercial and investment real estate, through both debt and equity. Gene has represented over 625 clients in this area of practice. The median offering size is $3,000,000 but he has done individual offerings of over $6 Billion. His practice writes offerings under Rule 506b and 506(c) of Regulation D.As a former Syndicator, who for ten years raised investor capital through the broker-dealer community, he is able to communicate with his clients on both the technical and the practical aspects of state and federal securities laws. As a long-time CCIM and CCIM Senior Instructor, Gene has won numerous awards for his teaching ability. His book “It's a Whole New Business!” is really a “how-to manual” on real estate syndication. THIS TOPIC IN A NUTSHELL: Gene's career background Getting into law school Learning about Syndication laws and how they evolvedDeals they've doneWhat to do if the Sponsor/Manager dies?Syndication definedDifference between 506B vs 506C regulation Joint venture vs SyndicationRequirements to change Joint venture into securityGeneral requirements that syndicators should deliver to passive investorsLenders' role in the SyndicationAre we required to give the investors an executed operating agreement?What is required for Syndicators? Documents that we need to send to investorsWhat is a springing member? PPM that will not qualify for the 1031 exchangeTenant in commonRaising capital and audit of General PartnersFund-to-fund model for raising capitalWhat is a Blind pool Investment?Limited partnership and General partnershipBest practices for Fundraising Advice to his 25-year-old selfHis First Entrepreneurial endeavorFormal and Informal training that shaped his journeyHis biggest mistake and what he learned from it Connect with Gene KEY QUOTE:“The Manager is not supposed to commit fraud. Intentional fraud is a misrepresentation. Telling investors that everything is ok when it's not, that's really the requirement for Syndicators. “ SUMMARY OF BUSINESS:Trowbridge Law Group - We are a team of experienced attorneys and dedicated support staff focused on ensuring our clients' compliance with SEC and States securities laws.We are committed to enabling our clients to raise funds for their investment opportunities and syndications with confidence. We take pride that our documents are custom crafted for our client's needs, ensuring the highest level of quality and compliance. Collectively, we are one of the most experienced syndications law team in the country. ABOUT THE WESTSIDE INVESTORS NETWORK The Westside Investors Network is your community for investing knowledge for growth. For real estate professionals by real estate professionals. This show is focused on the next step in your career... investing, for those starting with nothing to multifamily syndication. The Westside Investors Network strives to bring knowledge and education to real estate professional that is seeking to gain more freedom in their life. The host AJ and Chris Shepard, are committed to sharing the wealth of knowledge that they have gained throughout the years to allow others the opportunity to learn and grow in their investing. They own Uptown Properties, a successful Property Management, and Brokerage Company. If you are interested in Property Management in the Portland Metro or Bend Metro Areas, please visit www.uptownpm.com. If you are interested in investing in multifamily syndication, please visit www.uptownsyndication.com. #realestateinvesting #passiveincome #REinvesting #cashflow #SyndicationAttorneys #Sponsors #Operators #Syndicators #SecurityLaws #GeneralPartners #LimitedPartners #OperatingAgreement#LLC #506B #PrivatePlacementMemorandum #PPM #SubscriptionAgreement #FundRaising #RaisingCapital #506C #SpringingMember #TenantInCommon #BlindPoolInvestments #JointVenture #Syndication #newepisode #podcasting #RoadToFinancialFreedom #WIN #JointheWINpod #WestsideInvestorsNetwork CONNECT WITH GENE TROWBRIDGE: Phone: 949-855-8399 Website: https://trowbridgelawgroup.com/LinkedIn: https://www.linkedin.com/company/trowbridge-law-group-llp/Facebook: https://www.facebook.com/trowbridgelawgroupYouTube: https://www.youtube.com/trowbridgelawInstagram: https://www.instagram.com/trowbridgelawgroup/ CONNECT WITH US For more information about investing with AJ and Chris: · Uptown Syndication | https://www.uptownsyndication.com/ · LinkedIn | https://www.linkedin.com/company/71673294/admin/ For information on Portland Property Management: · Uptown Properties | http://www.uptownpm.com · Youtube | @UptownProperties Westside Investors Network · Website | https://www.westsideinvestorsnetwork.com/ · Twitter | https://twitter.com/WIN_pdx · Instagram | @westsideinvestorsnetwork · LinkedIn | https://www.linkedin.com/groups/13949165/ · Facebook | @WestsideInvestorsNetwork · Youtube | @WestsideInvestorsNetwork
ABOUT NOAH ROSENFARBNoah Rosenfarb is a 3rd generation CPA that built Freedom Family Office to help entrepreneurs produce predictable income, create their ideal life and build their legacy. He has written four books, took a company he founded public, sold eight companies, and completed over 45 real estate investments. Noah lives in Parkland, Florida with his wife, Amanda, and their two kids. He's passionate about travel and is fortunate to have visited 70 countries on 5 continents. As a lifelong learner, Noah is an active member of EO South Florida, YPO Global One, Strategic Coach, and Long Angle. THIS TOPIC IN A NUTSHELL:Noah's career background and business Private equity fundBusiness built and he had taken into public How he got into real estate Progression to growing into larger deals What is a Family Office? Noah's definition of success Low-hanging fruit to achieve financial freedom The process and timeline for dealing with clients Funds vs. Single SyndicationPros and Cons of investing in a Fund vs SyndicationsHis experience in raising capital through fundsOnline platform used for projectWhat are 506B and 506C deals?Time spent looking at deals and Creating contentRoll Over Business Startup Tax invention and structure used in Puerto Rico Key components needed to take advantage of tax incomeFund managementTarget deals they are looking into and deal sizeAdvice to his 25-year-old selfFirst Entrepreneurial EndeavorFormal and Informal training that shaped his journeyBiggest mistake and what he learned from itConnect with Noah KEY QUOTE: “The reason why investors prefer the fund is because raising capital is time-consuming. So, if you have committed capital, you don't need to worry about raising capital when you find a deal, you have a certainty of execution, and you know that money is gonna come in. You don't have to go back every single time you find something to buy.”SUMMARY OF BUSINESS:Freedom Family Office - Our boutique Registered Investment Advisory (RIA) firm operates as a multi-family office. We advise your family as if it were our family. Our ideal client has built a successful company, accumulated an eight-figure net worth, and wanted to run their money like they run their business - with a clear sense of direction and strong control over performance. ABOUT THE WESTSIDE INVESTORS NETWORK The Westside Investors Network is your community for investing knowledge for growth. For real estate professionals by real estate professionals. This show is focused on the next step in your career... investing, for those starting with nothing to multifamily syndication. The Westside Investors Network strives to bring knowledge and education to real estate professional that is seeking to gain more freedom in their life. The host AJ and Chris Shepard, are committed to sharing the wealth of knowledge that they have gained throughout the years to allow others the opportunity to learn and grow in their investing. They own Uptown Properties, a successful Property Management, and Brokerage Company. If you are interested in Property Management in the Portland Metro or Bend Metro Areas, please visit www.uptownpm.com. If you are interested in investing in multifamily syndication, please visit www.uptownsyndication.com. #realestate #realestateinvesting #passiveincome #passiveinvesting #realestateinvestor #realestateinvestment #REinvesting #cashflow #entrepreneurs #RaisingCapital #SyndicationFunds #TaxStrategy #TaxInvention #506B #506C #rolloverbusinessstartup #syndicators #singlesyndication #401k #fundmanager #highnetworth #familyoffice #RichBeyondMoney #entrepreneurs #CPA #thirdgenerationCPA #valueadd #newepisode #podcasting #passivewealth #assetcreation #RoadToFinancialFreedom #WIN #JointheWINpod #WestsideInvestorsNetwork CONNECT WITH NOAH ROSENFARB: Website: https://freedomfamilyoffice.com/LinkedIn: https://www.linkedin.com/in/noahrosenfarb/Facebook: https://www.facebook.com/freedomfamilyofficeFREE RESOURCES:www.FreedomTaxStrategy.com – 23 over-looked tax strategies for entrepreneurs www.DecidedToSell.com – A short guide for entrepreneurs that are ready to sell their company www.TalkAboutRE.com – How My Family Generates Infinite Returns in Real Estate www.RichBeyondMoney.com – Exercises to help entrepreneurs focus on their definition of success CONNECT WITH US For more information about investing with AJ and Chris: · Uptown Syndication | https://www.uptownsyndication.com/ · LinkedIn | https://www.linkedin.com/company/71673294/admin/ For information on Portland Property Management: · Uptown Properties | http://www.uptownpm.com · Youtube | @UptownProperties Westside Investors Network · Website | https://www.westsideinvestorsnetwork.com/ · Twitter | https://twitter.com/WIN_pdx · Instagram | @westsideinvestorsnetwork · LinkedIn | https://www.linkedin.com/groups/13949165/ · Facebook | @WestsideInvestorsNetwork · Youtube | @WestsideInvestorsNetwork
506C, 506B, Reg A, Reg D – what do all these terms mean? Why can I invest in some syndications but not others? Why can some advertise on every social media platform out there but others are FORBIDDEN to advertise?Our guest today is Mauricio Rauld, founder and CEO of Premier Law Group and one of the nation's leading real estate syndication attorneys. Whether you have questions on raising money, starting a fund or want to know what questions to ASK a syndicator, Mauricio is one of the few lawyers that actually speaks English!
Ask Me How I Know: Multifamily Investor Stories of Struggle to Success
In this episode, we feature Kyle Swafford for his extensive background and expertise on the legal structure of syndication, joint ventures, securities, and the concept of 506B and 506C syndications. If you want to determine which strategy is perfect for you, hear it first from this conversation!KEY TAKEAWAYSThe importance of security in real estate syndicationWhat is a joint venture in real estate investing?506B vs. 506C SyndicationHow to create a substantial relationship with your investors?The value of choosing investment partners that you can trustRESOURCE/LINK MENTIONEDjulie@julieholly.comABOUT KYLE SWAFFORD Kyle Swafford is a native of Cleveland, Mississippi, and joins Robinson Franzman, hailing various experiences in tax law, ranging from state to international tax. He is a member of the firm's corporate and commercial real estate practice groups. He represents clients in a wide range of corporate and real estate matters, such as real estate syndication, tax implications for real estate funds and investors, joint ventures, and commercial lending. Before joining the firm, Kyle was an International Tax Consultant II for Deloitte Tax in their International Tax Division. Kyle also has several years of experience with the Georgia Department of Revenue and the Internal Revenue Service in various taxation matters. Kyle lives with his wife in West Midtown with their beautiful Blue Merle Australian Shepherd named “Sadie.”CONNECT WITH KYLELinkedIn: Kyle SwaffordEmail: kyle@rfllplaw.comOffice Number: (404) 255-2503To find out more about partnering or investing in a multifamily deal, schedule a call here: https://calendly.com/threekeysinvestments/get-acquainted-callVisit ThreeKeysInvestments.com to download a free e-book “Why Invest in Apartments”!Looking to reduce your taxes so you can build wealth? Mode Wealth is a boutique financial firm helping real estate professionals, investors and entrepreneurs ethically and morally optimize their tax strategy to reduce their tax liability. Learn more and schedule a FREE consultation today! https://modewealth.com/Looking for an affordable healthcare solution? Check out Christian Healthcare Ministries by visiting https://bit.ly/3JTRm1IPlease RSS: Review, Subscribe, Share!Support the show (and my reading addiction)!https://www.buymeacoffee.com/AskMeHowIKnow
Docs Outside The Box - Ordinary Doctors Doing Extraordinary Things
Nii brings back Dr. Ronnie Shalev to share her story of how she transitioned from a burned-out ER physician to a financially free real estate syndication investor. In this episode Dr. Shalev covers the gamut of real estate investment opportunities available to busy professionals, highlighting the benefits of syndication investment.Things to expect in this episode:Vetting a sponsorBest metrics to determine the best syndication dealsShould sponsors have money in the investment?506B (relational) and 506C (accredited investor) dealsReturn on investment timelines and liabilitiesFREE WEBINAR ON SYNDICATIONS!!! - CLICK HEREGuest Contact Information:Website: www.shalwinproperties.comEmail: ronnie@shalwinproperties.comInstagramFacebookFILL OUT THE DOCS OUTSIDE THE BOX PODCAST SURVEY (in partnership w INCROWD)WATCH THIS EPISODE ON YOUTUBE!Join our communityText word PODCAST to 833-230-2860 Twitter: @drniidarkoInstagram: @drniidarkoEmail: team@drniidarko.comPodcasting Course: www.docswhopodcast.comMerch: https://docs-outside-the-box.creator-spring.comThis episode is edited by: Your Podcast PalThis episode is sponsored by Set For Life Insurance. What the Darkos use for great disability insurance at a low cost!! Check them out at www.setforlifeinsurance.comProvider Solutions & Development. Experts in holistic career coaching – check them out HERETwitter: @PSDConnectsFacebook: @PSDConnectsLinkedIN: Provider Solutions & Development
Tony and Dakota talk about the state of the real estate market. They talk about interest rates, housing inventory, and the impending recession. Tony and Dakota talk about how they are adjusting their business, and how they are protecting their business going forward. They give advice to other investors and talk about strategies, sales, and marketing. Tony and Dakota talk about hiring tax and legal professionals and lessons they have learned about who they take advice from. They also talk about the 506C fund they started and how to invest with them for a targeted return of 6% APR. Check out this podcast! _____________________________________________________________________________________ PLEASE SUBSCRIBE https://www.youtube.com/tonyanddakota?sub_confirmation=1 LINKTREE TO ALL LINKS: https://www.linktr.ee/tonyanddakota INVEST with US! http://tiny.cc/investwithltd Buy our Course on Flipping Houses! http://tiny.cc/tonyanddakotaflipcourse The BEST Real Estate CRM: http://www.resimpli.com/tonyanddakota Join the Same Mastermind We Are In and Accelerate Your Success! https://share.hsforms.com/1emqK_6pIRcKayQS6pFzczAcr733 Get Up To $250,000 @ 0% APR Business Credit for $3,995 https://www.fundandgrow.com/ltdpgmanagement/ Lists of Books and Products We Recommend: https://www.amazon.com/shop/ltdpropertygroup Have a House YOU Need to Sell? http://www.ltd-propertygroup.com GET Our FREE Monthly Newsletter http://tiny.cc/LTDnews Be a Guest on Our Podcast: http://tiny.cc/tonyanddakotapodcast
Michelle Kimbro is a nursing executive turned investment entrepreneur here to teach us how to reduce your taxable income by investing in carbon capture and storage technology using accelerated depreciation. Michelle literally drills down into cash-on-cash ways of doing this, using innovative new offshore drilling and carbon capture technology that incentivizes tax breaks through accelerated depreciation. Michelle's patented mobile carbon capture technology contracts with Exxon and their technology sits atop the pipeline and simultaneously absorbs and cleans the CO2 emissions to EPA standards. That is then re-injected back into the same well site for what is called ‘enhanced oil recovery'. This saves Exxon a lot of money to sequester the CO2 (as they'd ordinarily have to haul it off to a processing plant and then sell to a secondary market). This closed service is far more lucrative. Michelle's company raises capital for the equipment and revenue shares with Exxon on the additional barrels of oil that come out of the well site. The kicker is that they can leverage a portion of the tax code favorable to oil and gas – and leverage bonus depreciation in year one for their investors. This is the last year where bonus depreciation is set at 100% (next year, it goes to 80%, with a 20% reduction until it's phased out). A $100K investment, for example, would yield a 2X return ($200K), factoring in bonus depreciation. If you're paying 40% on tax, you can reduce your taxable income by $80K. This is huge for someone living in a high-income state. Plus, it cash flows. If you average the annual rate of return over seven years, it's between 25 - 26%. As Jim says, “Wow, where else are you going to get that?” This investment is for someone looking for a tax play to reduce their taxable income – as well as being something that cash flows. And, with an additional 80 000 IRS agents looking into the real estate market, this investment seems even more appealing. This offering is a 506C offering for accredited investors only. - Connect with Jim Oliver: Facebook: CreateTailwind & Jim Oliver Website: https://createtailwind.com/ YouTube: CreateTailwind LinkedIn: Jim Oliver Join the Community: https://community.createtailwind.com/ RSVP for the next community Q&A HERE: https://community.createtailwind.com/events Connect with Michelle Kimbro: Email: michelle@gopolarisinvestments.com Website: emprinvestor.com
CHANGING THE GAME Through TAX DEED Podcast ep: 33#taxdeed #taxdeedwolf #realestateinvestingFEATURING: Joseph Griffin ( tax deed wolf)website: https://beacons.ai/taxdeedwolfinstagram: https://www.instagram.com/taxdeedwolf/?hl=enYOUTUBE: https://www.youtube.com/channel/UCVXXL1caJQMdyhzonp7fwJQHOST: Tyler Wynnwebsite: https://linktr.ee/Wynningteam757instagram: https://www.instagram.com/wynningteam757/?hl=enCHANGING THE GAME PODCASTSPOTIFY: https://www.instagram.com/wynningteam757/?hl=enAPPLE PODCAST: https://podcasts.apple.com/us/podcast/changing-the-game-podcast/id1574057279YOUTUBE: https://www.youtube.com/channel/UCVXXL1caJQMdyhzonp7fwJQ*****DISCLAIMER****I AM NOT A CPA, ATTORNEY, INSURANCE, CONTRACTOR, LENDER, OR FINANCIAL ADVISOR. THE CONTENT IN THESE VIDEOS SHALL NOT BE CONSTRUED AS TAX, LEGAL,INSURANCE, CONSTRUCTION, ENGINEERING, HEALTH OR SAFETY, ELECTRICAL, FINANCIAL ADVICE, OR OTHER AND MAY BE OUTDATED OR INACCURATE; IT IS YOUR RESPONSIBILITY TO VERIFY ALL INFORMATION YOURSELF. THIS IS A PODCAST AND YOUTUBE VIDEO FOR ENTERTAINMENT PURPOSES ONLY
Today I chatted with John Casmon, from Casmon Capital Group.John Casmon launched Casmon Capital Group to help busy professionals invest in real estate without taking on a second job. He has helped families invest close to $90M in multifamily apartments to create passive income, reduce their tax obligation, and foster generational wealth. John hosts the Multifamily Insights podcast. In addition, he is the co-founder of the Midwest Real Estate Networking Summit. As a former marketing executive, John oversaw marketing campaigns for General Motors, PepsiCo, and MillerCoors. Episode Spotlights- John shares about hosting Multifamily Insights Podcast- Purchasing 506B & 506C deals worth $20M in 100 days- Dealing with risks associated with purchasing different kinds of assets in a short period of time- Do everything you can to engage your investor database- Determining the best business plan and loan product specific to the deal- Discussing current market trends Book Recommendations- Who Not How Connect with John:Linkedin: https://www.linkedin.com/in/multifamily-apartments-john-casmon/Website: https://www.casmoncapital.com/sampledealPodcast: Multifamily InsightsGrab your freebie - Tips for Multifamily Investing at www.ushacapital.comFound this episode insightful? Show us some love by spreading the word on social media or rating and reviewing the show here - https://podcasts.apple.com/us/podcast/multifamily-ap360/id1522097213Follow Rama on socials!LinkedIn | Meta | Twitter | InstagramConnect to Rama KrishnaE-mail: info@ushacapital.comWebsite: www.ushacapital.com
Looking to retire on passive income? Just a few years ago, this was not in the cards for Emma Powell. But when her husband suddenly got laid off from his tech job, Emma made the jump to real estate and started her own business. Now, she's working on building her passive income portfolio and is well on her way to financial freedom. She's here to share her story of being a stay-at-home-mom-photographer turned real estate investor and her unique perspective on raising capital and finding deals. [00:01 - 06:52] Bouncing Back and Getting into Real Estate After her husband was laid off, they moved to Salt Lake City, Utah She went to real estate just to have a new source of income and to have a hedge for unemployment Emma soon realized the bigger possibilities with real estate [06:53 - 13:41] Transitioning from Active to Passive Investor Here's where Emma is getting ideas and inspiration from Shortening their timeline She breaks down the 4% and 8% rule Diversification is key [13:42 - 18:24] Creating An Investment Club Emma was struggling to find limited partners Learn how she overcame this challenge She explains the investment club model More than raising capital, it's become a place of resource and mentorship [18:25 - 19:55] Closing Segment Reach out to Emma! Links Below Final Words Tweetable Quotes “You can retire on passive income, just from being a passive investor. You don't ever actually have to own your own real estate.” - Emma Powell “Just being well-diversified, sticking to your lane, and letting other people do what they do best but trusting them with some of your money so that your money can be working for you as well as you're working for yourself.” - Emma Powell ----------------------------------------------------------------------------- Connect with Emma for passive commercial real estate investment opportunities! Visit the Highrise Group website now. Connect with me: I love helping others place money outside of traditional investments that both diversify a strategy and provide solid predictable returns. Facebook LinkedIn Like, subscribe, and leave us a review on Apple Podcasts, Spotify, Google Podcasts, or whatever platform you listen on. Thank you for tuning in! Email me → sam@brickeninvestmentgroup.com Want to read the full show notes of the episode? Check it out below: Emma Powell 00:00 It doesn't matter what you're doing. You could be doing anything to make money. It doesn't have to be real estate-related. For me, I chose real estate because it was a high-earning type of job that I could do without having to go get a professional degree like a medical degree. And also because I just like real estate. I mean, I was a real estate photographer. I like houses. I like buildings. I like architecture. I like business. For me. I actually like it. Some people in this business don't really like real estate. And I feel like do what you like they can make money and then anything that you make, you invest. You can retire on passive income, just from being a passive investor. You don't ever actually have to own your own real estate. Intro 00:33 Welcome to the How to Scale Commercial Real Estate Show. Whether you are an active or passive investor, we'll teach you how to scale your real estate investing business into something big. Sam Wilson 00:45 Emma Powell is a stay-at-home mom of four, photographer, and a multifamily syndicator and capital raiser working on financial independence. Emma, welcome to the show. Emma Powell 00:54 Hey, thanks for having me on. Sam Wilson 00:56 Pleasure is mine. Same three questions I ask every guest who comes on the show: in 90 seconds or less, can you tell me where did you start? Where are you now? And how did you get there? Emma Powell 01:04 Well, the stay-at-home mom-photographer describes it pretty well. You know, always running like a little cottage business, got a degree online when I was 40, Bachelor's Degree in Entrepreneurial Management. And my husband is in the tech industry he got laid off. So we sold everything in Texas, moved to Salt Lake City and super short notice. And when I got up here, I didn't want to restart my photography business, it was a lot of hustle and grind. And I'm just getting to the point where I wanted to spend less time working, more time with my family. But I still needed something that could make a really good income. And so real estate and business, you know, you want to build wealth, you want a business or you invest in real estate and running a real estate business puts those two things together. And so I decided that I wanted to get enough passive income to retire my husband is my new endeavor after we moved. And so I started a real estate business in order to be able to do that. And so I'm mostly retired now, I am still wanting to do deals, obviously, as a passive investor, as a limited partner, but not completely step away from the business, just to be able to boost my earnings a little bit from what I would be doing as a limited partner. So we started a club recently where we just pool our money and do deals together. So allows me to be still involved in the GP, in an advisory or capacity, watching over things without completely stepping away. And it also gives me a chance to do a little bit less work per deal, as well as bring other people enter the deal so they can finally get their first deal done. Or if they're like me, and they want to just take a step down for being an active sponsor. It's a good middle ground for a lot of different people. Sam Wilson 02:34 When did you move to Salt Lake City? Emma Powell 02:36 It was in like the last week of January and 2018. And we got from this beautiful Austin, Texas weather. I think it was 25 degrees that day, we drove out. And when we got into Salt Lake, it was like 25 degrees. And I was an angry, angry person for about three weeks. And then we got our first blizzard. And I thought I love it here. So it's been actually a really good move for us. Sam Wilson 02:57 So if I'm understanding this right, stay-at-home mom-photographer, you said, Hey, I'm going to step away from this entirely. So from 2018 to now you've done enough deals to basically retire yourself. Emma Powell 03:08 Mm hmm. Yeah, definitely, I make a lot more money now than I did as a photographer, like I make more money than my husband. But he is not comfortable quitting his job for two reasons. One, he works 100% remote, and he can work remote anywhere in the United States. The other thing is, he has a lot of time freedom, even during his job, they have something called flexible time off. And so it's not like PTO where you have to save up days and all that they just come in and come out. As long as their work is done. He can work early in the morning late at night, he can take lunches off he can go places with us so it's not a part time job, he does work full time, but he can schedule it like a part-time person would be able to. So the other thing that he wants is a lot more security and our income stream. And so selling a deal or doing a deal that's active, that's my job. And he doesn't want to just have to replace, if he quits replace his job with my job. He wants it to be completely passive have a foundation of passive income that comes in at somewhat regular intervals. That W2 type of security, so monthly or quarterly distributions is what would be making him feel more comfortable. So between those two things, and you know, also just really liking his company and feeling like they're working on something really important, unusual, and they have a great company culture. So he's like, you know, let's just wait until we can really feel like we have that kind of a constant income security that you're not having to work for, it is truly passive. And then if we want to work after that happens, that's our choice is being financially free, not necessarily retired. Sam Wilson 04:35 Right. That's really awesome. Did you expect in four years time to be able to step away yourself? Emma Powell 04:42 I don't think I realized that the first six to 12 months. I really thought that it was a way for me to bring in another stream of income that would protect us from another layoff because in the tech industry, it's not if it's when and he was lucky with his first layoff because at the time he was contracting or working for California company and they had to give him 60 days notice like a plenty of time to go find a new job. But when that new job was a Texas when they laid him off, it was like he came home in the middle of the day 10:30. And he's like, Hey, can we talk and I mean, every wife knows, with a husband in tech knows what that means. It's just such a common trope almost. So for me, I just felt like I wanted to protect us from that my photography was definitely not going to be able to do that. And that was one of the reasons I didn't want to restart the business when we got to Salt Lake. But it didn't take very long for me to realize that this income earning potential wasn't just a hedge for unemployment, or layoffs, it could not only replace my need to work full time, or even part-time, and completely replace his income many times over. And I think that what we've done is the same thing with syndication kind of blows the lid off of what you can earn, with a W2 job, as we're looking more into fund creation, fund management and capital raising, that again, blows the lid off your income potential that you would have as a syndicator as an operator. So that's kind of what we're looking at next. It is a lot of work. So I'm a little work adverse right now. I'm definitely anxious and ready for retirement. So it's hard for me to plan a lot farther, I know that I'm gonna have to take a gap year and take some time off and reevaluate. But thinking about maximizing your income for the time that you're spending is something that you have to do if you claim you want passive income and to spend more time with your family, which everybody does. But then when they say that the next thing you do is go out and start a syndication business. Sam Wilson 06:27 Right. He's guilty, guilty as charged. Yeah, you don't want to, you know, have more time, freedom. Yeah. Okay. Out of the gate, that's not exactly how it goes. Emma Powell 06:38 No. So I transitioned pretty quickly, from active operations to more passive and consulting, because I just realized that I wasn't being true to my own goals by saying, I want passive income to spend more time with a family, and then just build this huge business that takes me away from my family. Sam Wilson 06:53 Yeah. How did you because, there's a tipping point there but there's also that like, where you have to chase one and not the other at some point? How did you navigate that? And then talk to us a little bit about that, that question even make sense. Emma Powell 07:06 Hanging out with people who are doing what you want to be doing and seeing them doing it successfully, you have to determine who those people are. And so I came across a couple of people who were basically full-time passive investors, you know, Jeremy Roll, Travis watts, people in that category, and just watching what they did. I mean, they don't really know who I am, but I know who they are. And they're my imaginary mentors, if you will. And so just watching those types of people, there are few other I talked to who are running syndication businesses, or capital raising funds, but they had previously retired on their passive income. So even though they are working now, they don't have to. And so knowing that about them, I can ask them questions and see how they did it. So just kind of following them around and replicating what they were doing helped me figure out really quickly that to retire on passive income, you don't have to be running a real estate business, you can do it from a job. And I remember my son when he got his first job when he was 16 at Sonic, and I was driving him to work one day, and I said, you know, if you just work hard, save up your money and start purchasing investments really young, like 16-18 years old, you could if you wanted to work at Sonic the rest of your life and be very, very wealthy, because you hold a lot of cash flowing assets. And he looked at me and he said, I don't have to work at Sonic the rest of my life, do I? No, but it doesn't matter what you're doing. You could be doing anything to make money. It doesn't have to be real estate-related. For me, I chose real estate because it was a high-earning type of job that I could do without having to go get a professional degree like a medical degree. And also because I just like real estate. I just really, I mean, I was a real estate photographer. I like houses. I like buildings. I like architecture. I like business. For me, I actually like it. Some people in this business don't really like real estate. And I feel like do what you like they can make money. And then anything that you make, you invest. You can retire on passive income, just from being a passive investor, you don't ever actually have to own your own real estate. Sam Wilson 08:58 Right? That's a valid point. You know, was there a number that you had to have as a nest egg and you said, Hey, this is my investable assets. Emma Powell 09:07 Yes, if we go off of the 4% rule, which means that you're drawing down your portfolio at 4% per year of the total value, we needed something a little over 2 million, almost $3 million. Before going on to 8% roll which I also see is becoming more commonly accepted because your portfolio is going to continue to grow. You're going to be taking out less as time goes by. So if you go with the 8%, we were somewhere in the million and a half to 2 million range. What if we were going off of the average annual return of 10% to make 120k a year which is $10,000 a month, we needed about a million dollars invested in cash flowing assets. And so I set the base one as that million dollars in play. When we sold our little ranch in Texas we had just under half of that between our retirement fund, our emergency fund, the equity that we got out of that house, it was both cash we put in an equity that we forced from renovations and also just live in it for a couple of years. So we took and piled all of that together and went out and started our business. And like I said, I had about half of that million that I needed from those savings and activities. And I knew that I could double that by the year, by the rule of 72. At 10%, a year would take 7.2 years to double that. And to me, 7.2 years was too long, my husband was starting this brand new job, we didn't know if he was going to like it, we didn't know if he was going to like the company and 7.2 years seemed like an eternity me, plus, I had no job. And so I thought I would be a good candidate to be an active investor, because I want to shorten this timeline down to three, four or five years, not 7.2 to double that. And I need some to do. I mean, when we first moved to Utah, I was literally watching cat videos on YouTube, I was so bored. And so I spent a couple of months just figuring out, what I wanted to do. My house was spotless, it was just ridiculous. I thought my kids just don't need me at the level that they needed me when they were younger. And so I went out and basically started in a real estate business. For all of those reasons. I like doing one thing that checks a lot of boxes. And for me that checked a ton of boxes. Sam Wilson 11:07 I love that. And that makes a lot of sense. Thanks for breaking down the four and 8% rule that you know, because even if you're at 8%, and you're you're checking off at 10%. Theoretically, it's growing still every year, you're never touching principle because a lot of deals, especially right now finding something that throws off 10% cash on cash is kind of challenging. A lot of this stuff is baked in IRR with a 6% cash-on-cash return. Are you just being hyper selective? Or how are you finding the opportunities that meet your criteria? Emma Powell 11:37 It's been really difficult, because to find something that throws up the yield that you need to have a high cash on cash return like that, it's really challenging with cap rates compressing, and you're seeing total returns go down and you're definitely seeing cash on cash return go down. It used to be 10% was the minimum that people needed to do a deal at all. And now if you can find 10%, you're doing well. And I'm not talking about 10% from like things that you're doing yourself, like you can get that off of AirBnBs, you can get that off of a lot of things. But if you're going in as a passive investor, where you're just investing for cash flow, it's a difficult thing to find in commercial real estate right now. So I think the advantage of putting money into a deal and not as much time like I still like putting my time into multifamily, because that's my niche. And that's what I know. And that's why I like to do what I understand. But being able to diversify your cash into other things that you maybe don't understand as well, because you don't have to run it. I'm never saying that you should invest in something that you don't understand. But you don't have to understand it to the deep level that you would if you were actively managing that actual deal or that portfolio. So looking into assets outside of real estate and talking to other real estate investors because they're not 100%, real estate maxis, we have to be in other things, it would be... Just like we tell all the crypto people don't go 100% into crypto, you shouldn't be 100% in real estate either. And so being able to diversify into things that really specialize in high cash flow like ATM funds, oil and gas. Those are the notorious ones for high cash flow. There's no upside, but you do enjoy some depreciation. I do like the upside to get off of commercial real estate. So I think a 70 to 80% of your portfolio and asset class you really understand well, and then you've got some percentage in some diversified things for hedge also, but just because it does something different, in this case, high cash flow. And then you have a little bit leftover for some more speculative investments, like tech startups, crypto, things like that. So just being well-diversified, sticking to your lane, and letting other people do what they do best but trusting them with some of your money so that your money can be working for you as well as you're working for yourself. Sam Wilson 13:37 Absolutely. That's brilliant. I couldn't have said that better if I had tried. So plug your mindset behind that. With the last few minutes we have here. I want to talk about your investing club and your group mentorship. How did you build a following around that in order to get that launched? Emma Powell 13:51 It was actually the plan B. Plan A was to build a network of limited partners who would want to passively invest in deals and I thought, oh, I want to be a limited partner. I know how to speak to limited partners. But really the only people I was speaking to and reaching who were reaching out to me were other entrepreneurs like how can I do a deal with you? How can I Co-GP? I've got $100,000, I've got $200,000. How do I do a Co-GP and at 200,000, it's really just difficult to get a large multifamily or large commercial operator to even talk to you about Co-GP. You need to start from three, four, or 500,000 before you can even have that conversation, especially if you don't have any experience. I'm a little bit different position because I have some experience and I can help out on a GP in various ways. But it just was not going anywhere. And I felt like, where are all my LPs? I went to go do a raise for a large deal. And I raised almost nothing. It was just almost a complete and utter failure. And I just realized I do better raising money for joint ventures. But as the deals got bigger, the joint venture partners have to have more and more cash and I just, I didn't know anybody or not enough people in the 500 to a million-dollar space to put in one single deal. I know people with 200 who needed to diversify that $50,000 at a time because that was the only 200,000 we had. And so as I was, as that deal kind of went down the tubes, we weren't able to get the money raised for it, I had a partner on another deal joint venture, you know, who was a securities attorney, and have a lot of experience in the private equity fund space for real estate syndications. And he suggested the investment club model, which is basically you pool capital with up to 99 other investors, including yourself makes 100. And as long as you stay under that and follow certain rules, it's not an SEC, you're not basically dealing with the SEC, because you're not dealing in securities, we buy securities, but we're not offering them, we're not giving any financial advice, I don't charge any fees to join the club. If I did, then that puts me in a registered investment advisor territory. And so I don't charge any fees weekly, for free, we look at deals we decide do we want to pool our capital into this deal. And we do negotiate our way into the GP to protect that investment, namely, but also because a lot of us in the club do have experience and can offer valid and legitimate skills into a general partnership. Sam Wilson 16:04 That is really, really interesting. So you're gonna rely on the operator, then go find the deal, and they bring it to you, they bring it to your club, as you as a club? Are you guys going in as a fund to funds plus getting a cut of the GP? Or are you going in just strictly as a GP member and bringing all the capital? Emma Powell 16:21 We go in as individual limited partners, we cannot create an investing company for the purpose of investing in securities, that's illegal. It's also a way that people would try to do that's like the clever idea they get, well, if I was in your company, even though I'm not accredited, I could still invest in 506C deals, absolutely not, you still need to be accredited. If it's an accredited entity, every person in the entity must be accredited, or the entity has to have $5 million worth of value. And we're never going to do that because we create a new entity for every deal that we go into. So you have you're basically dealing with all of us individually as limited partners, we all sign a PPM we all make our own decisions. That's one of the rules. And then we create an entity that then negotiated into the GP, again, to protect that investment, keep an eye on it. And also to be able to contribute our skills as necessary. I would say it's a non-managing member, typically more of a board position. Sam Wilson 17:13 Got it. That's awesome. I love that. How, what has been, you know, you said you built it really from out of necessity, because you were trying money from limited partners and found that all your limited partners wanted to be general partners, not limited partners. You built that out of necessity. What has been, in my small mind, I don't understand this model that well, it would, you know, most of these people wouldn't need a group mentorship, weekly meeting, talking about, you know, the mechanics of deals, but it sounds like that's still an information gap you're able to fill. Emma Powell 17:43 Yeah, definitely, I think because it's free, there's a lot of value there. And we have fund managers, we have experienced operators, we have people who've been in the space for several years learning and taking courses that maybe they've never done a deal. So they're looking for their first deal, they definitely want to build a syndication business, or some sort of capital raising fund. But then we have people in there as well who just want to get into this, but they don't want to build a big business. It's just not something, it's like me, it's just not something that's in our long-term plan. And so people can get into the club, and really turn it into exactly what they need. If it's just education, if it's just networking, if it's deals, it doesn't really matter. Again, it's one of those things that I had a lot of different little problems that I was trying to solve. And this one thing check all those boxes. Sam Wilson 18:25 Absolutely love it. Emma, thank you making the time to come on today and really break down your business, your kind of story, how you've achieved retirement really, you know, in just a few short years. So I think that's absolutely awesome and love the investing club model. Emma Powell 18:38 Thank you. Sam Wilson 18:39 If our listeners want to get in touch with you, or learn more about you what is the best way to do that Emma Powell 18:42 My website, actually here, www.highrise.group. And if you go to /contact, I have links to all my socials there. I have my phone number, my email, you can also book a time in my calendar to talk whether you want to be a limited partner or a Co-GP Club member, we can kind of put you in whichever bucket more appeals to you. I definitely still am raising money from limited partner capital, I always will be doing that. And then if you go to highrise.group/podcast, it has all my interviews that I linked there if you want to go through and has tons of, you'll hear the backstory like 100 times. But anyway, that's the best way to get in touch with me. And then you can choose the platform that works best for you, texting, social platforms, whatever, because it's all listed there on that contact page. Sam Wilson 19:24 Fabulous. Emma, thank you so much for your time. I do appreciate it. Emma Powell 19:27 Hey, appreciate it. Thank you for having me on. This is great. Sam Wilson 19:30 Hey, thanks for listening to the How to Scale Commercial Real Estate Podcast. If you can do me a favor and subscribe and leave us a review on Apple Podcasts, Spotify, Google Podcasts, whatever platform it is you use to listen, if you can do that for us, that would be a fantastic help to the show. It helps us both attract new listeners as well as rank higher on those directories so appreciate you listening. Thanks so much and hope to catch you on the next episode.
On today's podcast I had Bridger Pennington on. Bridger is the fund expert! This guy has trained students all over the country on how to start funds. We talked about all the differences of the various funds, wether it's private equity, hedge funds, real estate funds, 506B, and 506C. If you've ever wondered what all these terms mean, we go in-depth on it in this podcast! We also talk about conspiracy theories of how Blackstone and BlackRock operate, and why the fed is actually buying equities, like Google and houses. Why are they doing those things? We also talk about where interest rates are going, inflation, and other different topics you will be interested in! Then we go into crypto, NFT's, what it's going to look like in the Metaverse as finds gain notoriety and as people raise funds to do things! It is a really good podcast and is one of my favorites that I've done!Follow Bridger on social media! Youtube - @Bridger Pennington Instagram - @bridger_penningtonBridger's Free Course - https://www.investmentfundsecrets.comJoin the Wealthy Way today and get access to my free course, planner, and discord community! https://wealthyway.com______________________________________________________Here's how my businesses can help you:For a free consultation with my team go to https://RyanPineda.comWant to be coached by me on real estate investing? Apply at https://futureflipper.comLet my company make you passive income through E-commerce Automation! Watch the case study at http://lunarecom.comJoin my free coaching program for real estate agents! https://wealthyagent.io/Need Tax and Accounting help? Contact my CPA Firm! https://TrueBooksCPA.com/You can invest in my real estate deals! Go to https://pinedacapital.com______________________________________________________My other social media channels:Subscribe to my main channel "Ryan Pineda" https://www.youtube.com/c/ryanpinedaSubscribe to my real estate only channel "Future Flipper" https://www.youtube.com/c/futureflipper1Follow me on Social Media: https://www.instagram.com/ryanpinedashowhttps://www.tiktok.com/@ryanpinedahttps://www.twitter.com/ryanpinedashow______________________________________________________Bridger Pennington grew up in Utah in an average household and was very ambitious. He started SIX different businesses his freshman year of college! He started a Chinese tutoring company, built websites for companies, and wholesaled houses. His dad set him up with a mentor to help guide him to his career in funds. His dad and the mentor were business partners in funds. Bridger was taught all about funds by his dad. He and his dad started creating a fund when he was only 22 years old! Bridger was tasked to gather investors and started by recruiting his dad! While his dad believed in the project, he did not end up investing in the fund. He wanted to teach Bridger how he needed to be able to get investors by himself without the crutch of his dad. With their first fund, they gave their investors a 64% return! Currently Bridger is launching a crypto fund. Bridger Pennington explains the difference between 506B and 506C funds. Funds don't file for exemptions like public companies. Regulations for funds are under Regulation D. In section 506, there are two additional categories - B and C. Most private money in raised through section 506B. This section is so popular because unlimited amounts of money can be raised through 35 non-accredited investors at a time, and an unlimited amount of accredited investors. A caveat of this section is that it cannot be publicly advertised! Section 506C is similar, but can be advertised and only accepts accredited investors.
On today's podcast I had Bridger Pennington on. Bridger is the fund expert! This guy has trained students all over the country on how to start funds. We talked about all the differences of the various funds, wether it's private equity, hedge funds, real estate funds, 506B, and 506C. If you've ever wondered what all these terms mean, we go in-depth on it in this podcast! We also talk about conspiracy theories of how Blackstone and BlackRock operate, and why the fed is actually buying equities, like Google and houses. Why are they doing those things? We also talk about where interest rates are going, inflation, and other different topics you will be interested in! Then we go into crypto, NFT's, what it's going to look like in the Metaverse as finds gain notoriety and as people raise funds to do things! It is a really good podcast and is one of my favorites that I've done!Follow Bridger on social media! Youtube - @Bridger Pennington Instagram - @bridger_penningtonBridger's Free Course - https://www.investmentfundsecrets.comJoin the Wealthy Way today and get access to my free course, planner, and discord community! https://wealthyway.com______________________________________________________Here's how my businesses can help you:For a free consultation with my team go to https://RyanPineda.comWant to be coached by me on real estate investing? Apply at https://futureflipper.comLet my company make you passive income through E-commerce Automation! Watch the case study at http://lunarecom.comJoin my free coaching program for real estate agents! https://wealthyagent.io/Need Tax and Accounting help? Contact my CPA Firm! https://TrueBooksCPA.com/You can invest in my real estate deals! Go to https://pinedacapital.com______________________________________________________My other social media channels:Subscribe to my main channel "Ryan Pineda" https://www.youtube.com/c/ryanpinedaSubscribe to my real estate only channel "Future Flipper" https://www.youtube.com/c/futureflipper1Follow me on Social Media: https://www.instagram.com/ryanpinedashowhttps://www.tiktok.com/@ryanpinedahttps://www.twitter.com/ryanpinedashow______________________________________________________Creating a fund can be a lengthy and intimidating process, so Bridger and I aim to make them seem a lot better through this podcast episode!Bridger Pennington grew up in Utah in an average household and was very ambitious. He started SIX different businesses his freshman year of college! He started a Chinese tutoring company, built websites for companies, and wholesaled houses. His dad set him up with a mentor to help guide him to his career in funds. His dad and the mentor were business partners in funds. Bridger was taught all about funds by his dad. He and his dad started creating a fund when he was only 22 years old! Bridger was tasked to gather investors and started by recruiting his dad!Bridger Pennington explains the difference between 506B and 506C funds. Funds don't file for exemptions like public companies. Regulations for funds are under Regulation D. In section 506, there are two additional categories - B and C. Most private money in raised through section 506B. This section is so popular because unlimited amounts of money can be raised through 35 non-accredited investors at a time, and an unlimited amount of accredited investors. A caveat of this section is that it cannot be publicly advertised! Section 506C is similar, but can be advertised and only accepts accredited investors.
A big question for capital raisers is, "how can I raise capital legally?" In this episode, I share how to avoid taking your company public by taking advance of the Regulation D exception. As always, I am not a securities attorney. I recommend double-checking with your own council for your own state's law. This is NOT investment advice. Please consult with your own investment, tax, and/or legal professionals.
Flip & Dani talk about what is an accredited Investor and how to become one.Download your Free Private Lending Report here: www.freedomcapitalinvestments.com/lendingDownload your Freedom # worksheet here: www.freedomcapitalinvestments.com/worksheetClick on the Social Media links below and listen in on our Private Group Conversations about how to achieve Financial Freedom through a consistent pipeline of passive income investments: https://www.facebook.com/groups/freedomthroughpassiveincome https://www.linkedin.com/groups/14048250/————————————————————————————Today we talk about what is an accredited Investor and how to become one.Flip discusses the breakdown on how to be an accredited investor.1) You, as an individual, you make $200,000 a year and have for the last 2 years and you expect to the same next year. Or, if you are married as a couple, you make $300,000 a year and have for the last 2 years and you expect to the same next year.2) To have $1,000,000 in Net Worth, minus your personal residence.These are either / or, you don't have to have both to be an accredited investor.Dani explains why this is so important to be an accredited investor. Dani talks about the Amendment from August 26th, 2020. The SEC amended what the definition of Accredited Investor were, so that more people could have the potential to be an accredited investor.1) You can have a Series 7, 65 and 82 financial licenses. If you have these 3 licenses then you qualify to be an accredited investor.2) You can be a knowledgeable employee of a private fund and you are accredited for that fund.3) Spousal equivalents - very similar to common law connection between 2 people where you can combine their resources to qualify to be an accredited investor.4) You can have an LLC or a Family Office that has $5,000,000 in assets. If you have that then you qualify to be an accredited investor.If any of these sound like you might qualify for, then do a google search for “august 26th 2020 amendment to SEC accredited status”Lastly, how do you know if its an investment that requires only accredited investors. Just ask!If you see a disclaimer that says it is a 506C then it is for accredited investors only. If you see it being advertised then it is for accredited investors only.Join our groups on facebook and linkedin.www.FreedomCapitalInvestments.comInvest Smart. Live Happy.————————————————————————————Connect with us here:FB personal pages https://www.facebook.com/Flipster https://www.facebook.com/dani.lynn.robisonLinkedin personal pages https://www.linkedin.com/in/fliprobison/ https://www.linkedin.com/in/danilynnrobison/Instagram personal pages https://www.instagram.com/fliprobison/ https://www.instagram.com/danilynn23/TikTok personal pageshttps://www.tiktok.com/@danilynnrobisonhttps://www.tiktok.com/@fliprobison
Lee got his start in real estate in 2012 building a property management department of a residential brokerage from 20 doors to 220 doors in 4 years. After being inspired by his clients' successes, he decided to start investing in 2016. Relocating to St. Louis in order to pursue investing in 2017, Lee began with a duplex and continued to purchase smaller properties until he found “The Power Of Partnerships” by partnering with an ex-nfl player from CA and with their combined efforts, were able to close a 38 unit apartment complex Joint Venture in Lee's' backyard of St. Louis, MO in October of 2019. After seeing the results of the 38 unit and garnering experience in larger properties, Lee continued to build momentum in investing/dealmaking while building a ROCKSTAR TEAM to pursue EVEN LARGER DEALS through syndication. That team closed its first 506B Syndication of a 76 Unit Apartment Complex in St. Louis in October of 2020 (right in the middle of COVID), then a JV 70 Unit in August of 2021 and a 7 unit in November 2021 for a total of 203 doors. Now Lee's team is under contract on a 272 unit 506C syndication set to close by the end of 2021 which will more than double the portfolio. Actively building a sizable portfolio of LARGER MULTIFAMILY PROPERTIES throughout the greater St. Louis MSA and expanding to additional markets throughout the Midwest and Southeast, focusing on Value-Add Opportunities is the main focus of the continental growth in his investing journey through expansion with the development of Green Forest Capital - Real Estate Investing With A Conscience. The Green Forest Capitals' mission is to provide Safe, Clean, and Modern Affordable Housing to 1,000's of workforce families throughout the Midwest and Southeast, providing an above average Return On Investment to our investor/partners, while supporting and promoting the reforestation of our National Parks affected by Forest Fires by donating 1% of all distributed funds to One Tree Planted ($1 = 1 Tree planted). Lee has almost a decade of experience as a Property Manager, Realtor, Commercial Leasing Agent, Asset Manager, and Commercial Property Broker. A true believer and practitioner of the words of Zig Ziglar - “You can have everything in life you want, if you will just help other people get what they want.” If you like what you hear be sure to like, share, subscribe! Podcast- Mindful Multi-Family show Instagram- Chris_Salerno_ Youtube Channel- Chris Salerno Facebook- The Mindful Multifamily Network Website- www.qccapitalgroup.com
Kartheek Mulpuri is the Managing Partner of Sixth Sense Equity. Sixth Sense Equity is a General Partner in two multifamily properties totaling 74 units in Hampton, VA and Columbia, TN & four mobile home parks across the Southeast totaling 528 lots. The firm also holds Limited Partner stakes in an institutional multifamily asset in the Dallas MSA and an industrial asset focused on the cannabis space in Michigan. The firm's core focus is value add class B and class C properties in Virginia and the Carolinas. Over his career, Kartheek has worked on 25+ M&A and capital raising transactions totaling nearly $2B in aggregate deal volume.For today's episode we will cover: [00:00 - 4:23] Opening Segment.Getting to know Kartheek Mulpuri.[4:23 - 11:05] syndication vs institutional space in raising capital.Similarities & differences between venture capital and commercial real estate. Getting in the mindset of the investorWhy you should bet on the jockey and not on the horse.[11:05 - 20:31] Finding the deal and building the team.How Kartheek met his business partner.Finding the first deal.Advantage of deep knowledge on different asset classes.[20:31 - 27:16] Understanding the current market.Seeing the current trends and possible future trends.How to position yourself strongly in the market [27:16 - 37:28] The negotiation to get the deal and closing it.Knowing when to be confident about a deal.Using data for renegotiations to sway things to your favor.Knowing the risks and how to move forward.Finding the middle ground.[37:28 - 43:21] Raising the equity and the syndication structure.The ways to get the equity that you need.Knowing the type of transaction at the beginning. Equity split between the LP and GP.Putting the investor's interest first when structuring a deal.Being the deal expert when talking to investors.The challenges during raising the equity.[43:21 - 49:43] The priorities after taking over.The first thing to do after taking over a property. The checklist that you have to look at.Why the first year is crucial for a long term gain.Navigating through uncharted waters to make good operators in great ones.How to get people to stay in your property.Assessing your risk tolerance. [49:43 - 55:03] Closing segmentThe various ways to become a better investor.Knowing your strengths and weaknesses.Final words from everyoneSUBSCRIBE & LEAVE A 5-START REVIEW as we create a lifetime of wealth and financial independence through multifamily investing! Invest with us! Check out Blue Oak Investments Cody on LinkedIn, Facebook, and Instagram Brian on LinkedIn and Facebook
This week on the show host, Michael Holman breaks down how to understand the basics as well as the nuance parts of real estate syndication investments. Listen as he goes into detail of the differences of 506B and 506C syndications and what the pros and cons are on each one. He cautions on taking information about each syndication at face value and encourages and also educates listeners on how to do their own research on investments syndications. As always Michael gives his executive tip of the week, and you won't want to miss this one!
Adam Carswell brings on special guests Byron Elliot & Marc Cesar, real estate entrepreneurs, where Adam and Marc have a $650-valued discussion with Byron for his securities attorney knowledge. In this episode, Byron and Marc talk about:The different rules for capital raising for real estate fundsSEC regulations on sponsors, issuers and broker-dealers for capital raising How to structure a Fund-to-FundInvestor options for Fund-to-FundsThe difference between 506B and 506C OfferingsThe responsibilities of a Fund-to-Fund's General Partners and investment team Adam would like to give a huge thanks to Byron and Marc for coming on the Dream Chasers platform and sharing their knowledge and experience about capital raising and Fund-to-Fund models. Episode Resources: Adam J. Carswell Facebook Group | https://www.3pillarslaw.com/ | https://reikeyholder.com/ Timestamped Shownotes:02:26 – Host Adam Carswell introduces Byron Elliot & Marc Cesar, Real Estate Entrepreneurs04:20 – How did Marc find his way into the real estate space?05:25 – What experience does Byron have with capital raising for real estate?06:51 – Are there different rules for a Fund-to-Fund based on the state you are in?09:20 – Do you need specific certifications to become a capital raiser?11:27 – Can people be compensated for introducing issuers and sponsors?13:53 – What structure needs to be put in place to form a Fund-to-Fund?17:37 – Can investors cash-out early in a Fund-to-Fund?19:44 – Is there a minimum amount needed to be invested for a Fund-to-Fund?22:45 – How can crowdfunds collect smaller investments from people?24:14 – What is the right thing to do if the GP shares change after a PPM? 26:33 – When should you choose a 506B offering versus 506C offering?29:08 – Can you raise capital for a 506B offering without being part of the General Partners (GPs)?31:45 – How crucial is it for the GPs to know everyone's responsibilities?34:04 – What kind of communication and content should and should not be used for a 506B offering?39:35 – What is the benefit of establishing a Fund-to-Fund? 41:20 – How is a Fund-to-Fund structured and how does compensation distribution work? Sponsored by: RaiseMasters, the #1 Mastermind for Elite Capital Raisers - Join our FREE Training now!Support the show (https://www.patreon.com/dreamchasers_ix)
Target Market Insights: Multifamily Real Estate Marketing Tips
Today's guest is Nic McGrue. Nic is an attorney at polymath legal PC, where he handles transactional matters in the areas of syndication real estate business and entertainment. He received his undergraduate degree from the University of Washington. At Washington, Nic was a student radio talk show host, the vice-president of his fraternity, an officer in the Business Club, and the pre-law club founder. Let's dig in to learn more about finding the right funds for your deals and working with passive investors. [00:01 – 06:19] Opening Segment Let's welcome Nic McGrue to today's episode. Nic shares more about his background and his career journey. I talk about how we met. The Security and exemption of working with passive investors in real estate. Nic talks about the most common exemption and funds that he is working on. [06:20 – 16:45] Breaking Down 506c, 506b, Reg A, and Crowdfunding The difference and how to choose between 506C and 506B What allows you to get the most of it. Establishing pre-existing relationships with investors. The changing of Crowdfund regulations. The timing issue on the regulations. Advantages of Reg-CF. SEC max limits If you are interested in multifamily and want to review a sample deal, check out our special download of a sample deal package on casmoncapital.com/sampledeal, and join our mailing list to get tips on exclusive investment opportunities. [16:46 – 27:04] Crowdfunding Approach The difference between crowdfunding vs. Traditional syndication model. How to connect with Nic? See links below. Why are funds becoming increasingly popular amongst operators? Nic answers the common question on how the fund works. The minimum investment amounts for crowdfunding. Nic talks about how much work are involved after you get the capital The administration work and maintaining the relationship with investors. [27:05 – 33:03] The Bull's Eye round Apparent Failure: Being graduated in 2009 and not getting a job straight away forced him to make certain decisions that set him up better. Digital Resource: To-do list Zapier integration App Most Recommended Book: Limitless;Upgrade Your Brain, Learn Anything Faster, and Unlock Your Exceptional Life by Jim Kwik Daily Habit: Mindfulness session. Current Curiosity: The blockchain and NFTs I Wish I Knew When I Was Starting. Things take time. Best Place to Grab a Bite in Inglewood CA Stuff I Eat Final words from me How to connect with Nic See links below. Tweetable Quotes: “When choosing between 506C and 506B, you want to think about what allows you to get the most of it.” - Nicholas McGrue. “The fear of not having an income will make you do a lot of things and motivate you to do the thing you really want to do.” - Nicholas McGrue. “Once you get the capital funds, the game is not over yet; you still got a lot more to do.” - Nicholas McGrue. You can connect with Nic on LinkedIn and email to nmcgrue@polymathlegal.com. You can also check out his website at https://polymathlegal.com. Thank you for joining us for another great episode! If you're enjoying the show, please LEAVE A FIVE START RATING AND REVIEW, and be sure to hit that subscribe button, so you do not miss an episode. To enhance your multifamily knowledge and achieve greater success in your business, you can connect with me on LinkedIn and Facebook or check out my website www.casmoncapital.com/.
Target Market Insights: Multifamily Real Estate Marketing Tips
Financial freedom is the goal of many investors. However, money isn’t the only freedom we should be pursuing. In fact, there are four other freedoms that can help you lead a rich and fulfilling life. Understanding the 5 freedoms has put Vikram Raya on a path of enlightenment to help others with wealth and health. As a cardiologist, Vikram began investing in multifamily apartments and launched Viking Capital to help others join him on his mission. They own over 3,000 apartment units and continue to grow their holdings. He shares how he made the transition from a cardiologist to a multifamily investor. Vikram resides in Fairfax, Virginia, and has strong ties to Atlanta, Georgia. In his role as a cardiologist, he recognized that there was a lack of focus on holistic solutions that drive vitality so he opened the Vitalogy Institute. As an investor, he’s working to help others achieve financial freedom through the passive income and tax benefits of commercial real estate. Our conversation covers the markets he’s investing in today, how he raised $10 million in one week, how he managed his business through COVID, how he bounced back from a scam, and how to stand out with commercial brokers. Partner: Get A Free Digital Marketing Consultation from Rentsync Insights on Health, Wealth and the 5 Freedoms From cardiologist to multifamily investors with 3000 doors and counting Transitioning from cardiologist to real estate investing as well as starting the Vitalogy Institute Radical self-care leads to exponential growth in life. The connection between health and wealth Understanding the 5 Freedoms Financial Freedom Time Freedom Geographic Freedom Vitality Freedom Mindset Freedom Vikram shares investing lessons he learned when making your first multifamily deal Getting scammed when trying to raise capital I like making a lot of small mistakes, so I can make huge wins. How to manage a full-time W2 job while incorporating a real estate side-hustle How Vikram went from scattered real estate markets to focusing on B+ properties in top sub-markets in Atlanta Raising $10MM in capital in a week Understanding the difference between 506B vs. 506C Comfort kills growth and progress, and progress equals happiness. Understanding the Atlanta market Strong growth markets, Dallas, Orlando, Jacksonville, Tampa, Charlotte, and Phoenix How to rise above the others and stand out with brokers Partner: Get A Free Digital Marketing Consultation from Rentsync Bullseye Round: Apparent Failure:COVID stalled my real estate company, stressed me out and I thought it was the end, but it was actually the beginning, for it pressed me to align my businesses. Digital Resource: Asana (project management tool) Most Recommended Book: The Almanack of Naval Ravikant: A Guide to Wealth and Happiness (Eric Jorgenson) Wish I Knew When I Was Starting Out: Implement traction EOS into my business Daily Habit: Workout, New Calm meditation Current Curiosity: How I push myself and my companies farther and make an impact on the world Best Place to Grab a Bite in Fairfax, VA True Food Kitchen Get in Touch with Vikram Viking Capital Vikram Raya
What fees can you expect to be charged if you invest in a real estate syndication? We'll go over some common ones in this episode.
Who can invest in a real estate syndication? What do the returns presented to you in an investment package mean and how are they calculated? Let's talk about Cash on Cash (CoC), Average Annual Return (AAR), and Internal Rate of Return (IRR).
Most new investors in real estate start with the traditional method-but is this the only way to create real wealth? Investing in mortgage notes is an alternative class with many benefits plus opportunities! In this episode, Jim Maffuccio, dives into what it means to invest in mortgage notes. Topics on Today’s Episode: What is debt? Toxic Assets: Buying Distressed Debt How Aspen Funds started? Create win-win situation: Keep the homeowners in their home with an adjusted payment structure often time reducing the principal How to transform a non-performing asset to a performing asset Rehabbing the paper instead of the property: Create reperforming loans and sell them at a discount Rules In Raising Money: What 506B and 506C What are serial funds? Stages of a serial fund Raise period Deployment period Harvesting period Benefits of a 506C Cash on Cash Return: Cash Flow on your investments Different ways to unlock more capital using 506C Get off of the roller coaster: Investors need us more than you need them. Due Diligence: Check your operators, track records and history and make sure they know what they are doing The importance of Mentorship Links and Resources Mentioned: Website: AspenFunds.us What is HELOCs What is a First-lien Mortgage Note and Second-lien Mortgage What is 506B and 506C Kahuna HQ Kahuna Investments Multifamily Legacy Podcast on YouTube Multifamily Legacy Podcast on Facebook Quotes: "Not only our banks is too big to fail, even the little ones don't"- Jim Maffuccio "Investment world is cash flow hungry right now" -Jim Maffuccio "We are coming through the next cycle of stuff and I think the market is gonna open up to everybody, even for you. "- Corey Peterson "They're looking for us, they are looking for guys like you and I that are committed to running a business model and doing it well"- Jim Maffuccio "Money raising Capitals momentum: In the beginning it's like you're in the middle of the ocean and you don't even see the beach. You feel like you need to do all the work paddling that thing, but eventually you ride in the wave"- Corey Peterson Don’t forget to download my Free Workshop Quick Start Video Series, and if you like what you have heard please leave a review on iTunes. Text the word MONEY to 408-500-1127 to get my free private money program and credibility kit for single family.
This week I bring you some good news! The SEC has expanded their current definition of an accredited investor. Why does this matter? Broadening the scope of who is and who is not considered accredited can exponentially increase the amount of opportunity available to investors, as many deals can be exclusive only to those that are. Listen along today to learn what these expanded guidelines are and if you fall into the new parameters. It's no longer just about your net worth, which is good, as this allows "the little guys" into the action that real estate investing can do in transforming lives. Speaking of investing, if you're looking for your next opportunity view my newest offer, Element 41*, here: https://bit.ly/32bRmob *Disclaimers: THIS OPPORTUNITY IS OPEN TO ACCREDITED INVESTORS ONLY. This is a 506C opportunity. This is not an offer to sell securities. Investing involves substantial risks. I do not have any licenses to advise you about investing, suitability for your portfolio, or your personal situation. Always consult your own attorney, CPA, FA, and advisors to assess the suitability of this investment for your portfolio.
Today's guest is Nick Simpson, a thriving entrepreneur who started understanding the power of building out your own success at the young age of just 12. Nick focuses on a blended strategy in real estate investing, with 25% on development of student housing, and 75% of investing in existing assets. Listen along today to learn how the process of development works from start to finish, what interesting impacts COVID has made on student housing, and why it's Nick's preferred niche. Asset: Student housing is a unique asset class. Listen along to learn what differentiates this from traditional multifamily, and why it may be advantageous to your portfolio. Process: How does development work, particularly when related to student housing? Nick shares a birds eye view with us of the entire process from start to close, and explains how to ensure timelines are met when working with larger projects and teams. Strategy: How are developments profitable, and what's the ultimate exit strategy for maximum returns? Listen along to learn which strategies are most common within the student housing industry, and how to build advantages into place early on to ensure your success. Are you looking for your next investment opportunity? Our current new deal, Element 41*, is nearly full! View the Deal Overview and details here: https://www.ellieperlman.com/active-deals Nick's Bio: Nick is the founder and CEO of Simpson Building Enterprises. Since graduating from Salisbury University's Perdue School of Business with a bachelor’s degree in Business Management, Nick has built an intimate understanding of the local real estate market and at one time held the largest real estate investment portfolio in Downtown Salisbury. In recent years, Nick developed the concept for The Ross and profitably sold numerous smaller investments to acquire the site and finalize zoning. Having focused on commercial and student housing developments worth over $50M on the Delmarva Peninsula, Nick is well connected and appropriately positioned to oversee the development of The Ross. Previously, Nick began his entrepreneurial career at age twelve with a lawn care business, selling it prior to starting his undergraduate degree. With the proceeds of the sale, he fully funded his college education, graduated in three years and started investing in rental properties while in college with a focus on student housing. Nick won the Bernstein Entrepreneurship competition in 2014 and was the highest grossing salesperson in the U.S. during his 2013 summer internship with Aflac. How to Contact Nick: Website: www.simpsonbuilding.com Phone: 410-627-4592 *Disclaimer: This opportunity is open to ACCREDITED INVESTORS ONLY. This is a 506C opportunity. This is not an offer to sell securities. Investing involves substantial risks. I do not have any licenses to advise you about investing, suitability for your portfolio, or your personal situation. Always consult your own attorney, CPA, FA, and advisors to assess the suitability of this investment for your portfolio.
When it comes to asset management, one key component is of course, the tenants. The reality is no property is profitable without a good tenant base, and when you want to win at the game of investing, managing tenant relationships has to be a priority in your business. This special episode I'm going to share with you 3 creative strategies in managing non-paying tenants. In this episode you'll learn how being flexible and engaged with your tenants can help improve cash flow, push income, and keep business thriving. Sometimes, you just have to think out of the box! Are you looking for your next investment opportunity? Our current new deal, Element 41*, is nearly full! View the Deal Overview and details here: https://www.ellieperlman.com/active-deals. *Disclaimer: This opportunity is open to ACCREDITED INVESTORS ONLY. This is a 506C opportunity. This is not an offer to sell securities. Investing involves substantial risks. I do not have any licenses to advise you about investing, suitability for your portfolio, or your personal situation. Always consult your own attorney, CPA, FA, and advisors to assess the suitability of this investment for your portfolio.
Politics aside, this week I am taking a candid look into Trump's recent Executive Orders, and what type of direct impact these bring to multifamily investments. There is some good news, but also some areas of gray that should be noted. Listen along to learn what was actually an order, versus memorandums, and why that matters. Which components will help renters, and ideally, therefore your investments? Where are there "words", but no clear and definite actions? Lastly, in this episode you will learn one of the most important factors to consider, which is where do we go from here? Interested in Our Current New Investment Opportunity?* If you're interested in learning more details about Element 41, you can view the OM here: https://bit.ly/3gcm85x. If you'd like to contact me, I can be reached at Ellie@bluelake-capital.com. Hungry to learn more? Grow Your Knowledge Here: https://www.ellieperlman.com/training *Disclaimers: THIS OPPORTUNITY IS OPEN TO ACCREDITED INVESTORS ONLY. This is a 506C opportunity. This is not an offer to sell securities. Investing involves substantial risks. I do not have any licenses to advise you about investing, suitability for your portfolio, or your personal situation. Always consult your own attorney, CPA, FA, and advisors to assess the suitability of this investment for your portfolio.
In this podcast, you'll learn: What is a VA Loan? How to do a No down payment and no PMI for a VA Loan? How To Connect To People: Think about the other person as a real person Listen for cues Turn a cold call into a warm call Find out what are they looking for? How can you help? Think about other people always Never judge a book by its cover Pay attention If you learn as much as you can, network, add value to others and take consistent actions success with hunt you down What is the difference between a 506C or 506B? What is a Sample Deal Package? To connect with Eric, please visit: Facebook: (https://www.facebook.com/eric.upchurch.7) Instagram: (https://www.instagram.com/realericupchurch/) Sponsor: FREE GIVEAWAY: Learn how you can implement the Fix & List strategy by watching Eric Young's free video lesson at (https://www.fixandlistsecrets.com) *And please go to iTunes to leave us a rating and write a review. Each review helps us reach a larger audience with your episode (https://podcasts.apple.com/us/podcast/creative-real-estate-podcast/id1285094279)
There’s often great uncertainty around raising money for deals, but breaching the associated laws has serious ramifications, which is why it is important to have an in-depth understanding of them. Today's guest, Jillian Sidoti, is her to clarify some of the misconceptions around raising capital with a focus on 506(c) deals. Jillian is one of the country’s leading Regulation A experts. Since 2008, she has submitted many Regulation A offering circulars to the SEC for approval, which makes her one of the few attorneys familiar with the law before the changes under the Jobs Act. Since then, Jillian has helped multiple companies and entrepreneurs fulfill their fundraising goals through crowdfunding 506(c) and Regulation A. In this episode we learn more about how the 2008 crash led Jillian down the path of crowdfunding and why she has chosen to help clients in this way. She also sheds light on the 506(c) parameters and stipulations for accredited investors. While this ‘open’ way of raising capital might seem simple, it is important to build a trustworthy brand to secure investors. Jillian shares some tips on how to do this, along with effective communication advice and much more. Be sure to tune in today!Key Points From This Episode:Learn about Jillian’s background and how she’s merged her real estate and legal skills.Why Jillian has chosen to remain a passive investor rather than an active one.An explanation of 506(c) offerings and what it means to be an accredited investor.What investors need to know when opting in on a 506(c) deal.The importance of building a trustworthy brand to get investors for a deal.Why it could be a problem to do a 506(b) offering very soon after a 506(c) one.Jillian’s tips on how to get investors for a 506(c) and the best way to communicate with them.Find out why asking for money over the internet before building trust is ineffective.The importance of staying in the law when raising capital and what happens if you don’t.Final five questions with Jillian: Advice for women, tools she can’t go without, and more!Tweetables:“Under 506(c), we can advertise, but all of our investors have to be those accredited investors.” — Jillian Sidoti [0:05:13]“Money that knows you is always better than money that doesn't know you.” — Jillian Sidoti [0:06:44]“Don’t wait until you have a deal to start getting people to understand who you are and what your brand is.” — Jillian Sidoti [0:12:28]Links Mentioned in Today’s Episode:Jillian SidotiJillian Sidoti on LinkedInThe Crowdfunding MythCrowdfunding LawyersCrowdfunding Lawyers on FacebookSECGrant CardoneLeapfunderWefunderRich UnclesAsset Protection Attorney Wayne PattonWayne Patton’s phone numberPassive Income through Multifamily Real Estate group on FacebookLalita Mitchell on FacebookKyle Mitchell on FacebookLimitless Estates
Contact:Facebook Group: https://bit.ly/2HizjmCYouTube: texasrealestateradionet.comFacebook: https://www.facebook.com/TXRealEstateRadio/Instagram: @texasrealestateradionetworkTwitter: @TexasRealEstat2Show Notes[00:01:12] Dr Greg Reid's Three Feet from Gold: Turn Your Obstacles into Opportunities! - https://amzn.to/3cnSB8a[00:05:16] Robert shares his background[00:08:46] Jason Bible shares when he changed the business operation[00:09:59] Robert Orfino shares the story of how they met[00:13:03] Jason sold his business and immediately jumped into buying long term rentals.[00:13:56] Jason's business model[00:14:45] You need good construction crew, capital to take down a building and good property managers.[00:18:08] How Robert and Jason find the funding and deals[00:23:50] Flooded properties[00:28:57] How to get in to their 506C fund.[00:32:42] What you need to get started.[00:43:37] Robert shares info about his mastermind. You can text 281-401-9008 for more info.[00:57:12] Books that Robert shares:- Rocket Fuel: https://amzn.to/2PHqvuG- The Tao of Pooh: https://amzn.to/2TeSELNSupport this show http://supporter.acast.com/the-real-estate-lab. Our GDPR privacy policy was updated on August 8, 2022. Visit acast.com/privacy for more information.
Kim Lisa Lisa Taylor, Esq., is the founder of Syndication Attorneys PLLC, a boutique corporate securities law firm that helps clients nationwide with their federal real estate securities offerings. Kim Lisa and the other members of the Syndication Attorneys team focus on helping small business owners/developers structure and convey their investment opportunities in a way that will attract private investors, both domestic and foreign. They teach their clients how to use securities laws effectively and provide them the tools and resources they need to achieve their business goals legally. In addition to her work with the firm’s clients, Kim Lisa is a nationally recognized expert in the securities industry and a highly sought-after speaker, instructor and author. Kim Lisa has been responsible as a securities attorney for over 3,300 securities. She is also the author of the best selling book “How to Legally Raise Private Money: The Definitive Guide to Raising Money for Real Estate and Small Business.” What you’ll learn in this episode: *Kim Lisa says that that the key to raising private money is building strong relationships with people who might be willing to either loan you money or invest in a company alongside you. Unlike with a bank, raising money from private investors is less dependent on one’s credit history than the details of the deal and their ability to trust you. “The better they know you, the more times they’ve seen you consistently show up somewhere where they are, the more likely they are to invest with you.” *One approach with potential investors is asking them what they’re making money on right now. If they’re loaning their money to someone else and getting 12%, they’re probably going to want that. But if their only other investments are in the market or their money is in a bank account, they’ll be happy with 6-7%. Depending on their experience, you would pay anywhere from 6-12%. *Still, Kim Lisa says, the best place to get your money is from the banks, because they’ll want less than what your investors will want. She advises starting with banks and filling the gap with investor funds. By getting the lower interest rate on the bulk of the purchase price, that will raise the amount you can pay investors on the smaller amount you need to raise from them. *She says you really shouldn’t talk to people about money until you get to know them. The way to do this is, find out what they do and what they invest in and what they look for in their investments. Then you casually say, I periodically have openings for investors. If you open witih that, it may raise suspicions. Your first meeting should just be about exchanging information. Then you can follow up with opportunities. *Before you talk specifics about small apartments and offering a 12% return or whatever, you should have a pre-qualification conversation to determine what their financial situation is, what they’re looking for and if what you have to offer might be a good fit. Kim Lisa calls this a “suitability conversation.” Another important question to ask is, “Are you accredited?” Be cautious about allowing investments from people who can’t afford to lose the money. *Kim Lisa explains an example of investment progression. A lot of people start out at local real estate investment associations with smaller deals – maybe single-family projects or fourplexes. They’re probably borrowing from investors or hard money lenders. Those lenders have to be compliant with the law. Then you might graduate on to talking to family and friends and others about loaning your self-directed IRA money. *At the point where your business depends on repeatedly borrowing money from individual investors that are not hard money lenders – or when you’re starting to put people into passive investment opportunities where you will form an LLC – that’s when you start thinking about securities laws. In between those scenarios are joint ventures, where all of the members are actively involved in generating their own profits. *When you have created a company you’re going to run and people are passively investing with you and relying on you to generate profit for them, that’s when you are selling securities – and the sale of securities is regulated. *Kim Lisa discusses what it means to sell securities. You either have to register your offering, which means getting pre-approval from a regulator before you start selling the interest to private investors. The shorter and cheaper alternative is to qualify for an exemption from registration. There are many exemptions. In addition to the SEC, every state has its own securities agency and securities laws. If you’re in Florida and doing all your business there, you can qualify for the Florida intrastate exemption. There are certain federal exemptions that pre-empt these individual state laws. In general, securities laws protect the investors in their jurisdiction. *The most common Federal exemption is Regulation D, Rule 506. Rule 506B allows you to raise an unlimited amount of money from an unlimited number of accredited investors and up to 35 non-accredited investors. This rule says you have to have a pre-existing substantive relationship before you can offer securities under regulation. The other option under 506 is Rule 506C, which allows you to freely advertise your offering but you can only accept investments from verified accredited investors. It allows you to sell to anybody as long as they can verify that they’re accredited – and you can advertise to anybody as well. So Rule 506B is the one most people start with. *You can go on Legal Zoom and download your own will or an LLC for you and your spouse. There’s nothing illegal because you’re writing legal documents for yourself and don’t have the potential to harm anyone else. But when you get into the business of writing legal docs that describe the rights and duties of other people, that is illegal practice – and not the industry standard. When you do your own syndication documents there are horrific tax ramifications for setting them up wrong. THE BOTTOM LINE IS, GET YOURSELF A GOOD ATTORNEY! And if you step up securities, get a securities attorney! *The questions Kim Lisa asks a client who wants to set up a 506B include: What are you buying? Where is it? Where do you live? Where are your investors coming from? What kind of qualifications do you think your investors might have? Do you think all of them are accredited or might some be non-accredited? What kind of experience do you have? (If you don’t have a lot of experience, you won’t be able to attract average investors through advertising). She says, “When we know the answers to those questions, then we’re asking questions that help steer you into the appropriate exemption for the way you’re going to be able to raise the money.” *If you don’t have experience with one kind of asset class, team with someone who does – because you can leverage your deals in many ways. You can leverage your bank financing, but you can also leverage of other people’s experience. If you team with the right people, it elevates you in the eye of the investor. *Kim Lisa reminds listeners that when you’re talking to investors, you’re not only looking for passive investors, but people who can help guarantee a loan – and/or that might know where some deals are and be able to find that. You’re looking for people who know others with money that you might want to bring into your management team. You want people on your team with skill sets you don’t have. *Kim Lisa discusses the concept of crowdfunding. She says, “It’s really just a means to advertise on the internet, but it’s still a means of advertising a legal securities offering, so subject to the same rules. The questions that need to be addressed are: Are we going to register the offering? Are we going to qualify for an exemption? Which exemption are we going to use? We’ve got to pick an exemption that allows us to advertise. *In addition to the 506C exemption, there is one called regulation crowdfunding that allows you to raise up to a million dollars in a 12-month period. You have to do it through a crowdfunding portal that is registered with the SEC or with FINRA. There is also something called Regulation A Plus. It’s a public offering, a streamlined process that allows you to raise up to $50 million in a 12-month period. Once it’s pre-approved by regulators, you can sell that to anybody. *Kim Lisa adds, “Once we write the offering documents, we notify the regulators that you’re selling securities in their jurisdiction. There’s no further reporting that has to occur, as long as you finish your raise within one year. With regulation crowdfunding, you have have some ongoing reporting requirements. There may be some auditing requirements with the regulation A-plus. Depending on what variation you’ve chosen, you may actually have to do some annual audits.” *There is a document on www.syndicationattorneys.com you can download to set up a hard money lending fund. When you raise money for a securities offering, you can raise it for a specific property; that’s called a “specified offering.” You can do a specified offering to buy three properties at one time. There other kind of offering is a “blind pool,” where you don’t have anything under contract, but you’ve got a business plan that says these are the kinds of properties we look for. When you’re doing hard money lending, you’re looking at the blind pool model because you’re not investing in a specific property at that time. *An investment summary describes what kind of criteria borrowers have to meet, and the criteria that those properties have to meet before you make those loans. Once you do that, you can make those loans to anyone. You become responsible for overseeing the loan, the vetting of the property, vetting off the borrowers and servicing of the loan. *Kim Lisa says there are a ton of free resources on her company’s website, including a library of 30 “bite size” articles on all different aspects of syndication. Every month, she and her partners do free monthly tele seminars about a specific topic related to syndication, including some with guest speakers. Everything starts with the educational process. They have a low-cost entry program where people can hire them for $1000 for three hours of one on one legal advice. They also get invited to their Facebook Live group, where they do additional live training on developing an investor marketing plan and executing on that plan. They have a sister website called Investor Marketing Materials.com that allows people to access these investment summaries and business plans. *Parting advice from Kim Lisa: “Raising money from private investors is all about a mindset you have to get past. It’s uncomfortable asking people about money because you’re not asking them for a favor. They just don’t know people like you that they can invest with. Then all of a sudden here you are. You could be an answer to their prayers because they’re not happy having all their money tied up in the stock market or in a bank account. You’re offering the opportunity they need. Think of it as a relationship game – a long game that allows you to build yourself up as a solid business pillar of the community and someone they can trust.” Resources: www.syndicationattorneys.com www.investormarketingmaterials.com http://www.LanceSchool.com Grab a FREE Copy of Lance’s Best Selling Book “How to Make Big Money in Small Apartments” Here.
Theo will get into some creative ways that people will raise money with 506c offerings. It’s always a good idea to hear as many different ways to raise money as possible, you never know when you’ll need another way to get capital. If you enjoyed today’s episode remember to subscribe in iTunes and leave us a review! Best Ever Tweet: “People tend to like investing locally” Evicting a tenant can be painful, costing as much as $10,000 in court costs and legal fees, and take as long as four weeks to complete. TransUnion SmartMove’s online tenant screening solution can help you quickly understand if you’re getting a reliable tenant, which can help you avoid potential problems such as non-payment and evictions. For a limited time, listeners of this podcast are invited to try SmartMove tenant screening for 25% off. Go to and enter code FAIRLESS for 25% off your next screening.
Achieve Wealth Through Value Add Real Estate Investing Podcast
James: Hey audience, welcome to Achieve Wealth Podcast, where we focus on value add, real estate investing across all commercial real estate. Today we have Paul More from Valence Capital. Paul also has a podcast called How to Lose Money and also a frequent contributor to BiggerPockets. He produces live video blog content on a weekly basis, he's also the author of The Perfect Investment book, 'Perfect Investment creates entering wealth from historic shift to multi-family housing'. And has a forthcoming book on self-storage investing. Hey, Paul, welcome to the show. Paul: Hey, it's great to be here, James. Thanks for having me on. James: Well, really really happy to have you here. So you have been an inspiration to me because I've read a lot of your articles on Bigger Pockets. So I want to go into some of the articles in BiggerPockets which is like, for example, recently you wrote about real estate tsunami, right? And the other article such as, 'Why do some people will continue to overpay for multifamily?' Can you explain what's your thought process behind these articles? Paul: Yeah, you know a lot of what I'm trying to do is warn people that there is a market cycle, you know, and a lot of people who are successfully investing the last decade since the crash, don't realize that it's going to come down, it's going to change. It may not drop drastically like the last bubble that burst in 2008. But here's the thing, I just read a book called Mastering the Market Cycles by Howard Marks and I think you and I might have talked about that book before and you know, there's always people saying it's different this time. And the truth is I want to tell people, especially newer people on BiggerPockets, no, it's not different this time. There are things that change every cycle and yes, we may be hovering around a different mean of the cap rate, you know might not return to an average of eight and a half like it did historically, maybe it'll return to an average of seven or six and a half, I don't know but I do know that it's not different. It's always--there's a book out there that I think it's called 'It's Different This Time: eight centuries of financial Folly.' And it explains going all the way back to I believe the 1200s, how everybody always thinks it's different this time, but it's not. And we need to be very, very careful to not overpay for multifamily or any asset class. James: Got it. So don't you think with the tenants, the renter's base of millennial who just moved more into becoming renters, don't you think we're going to have a continuation of multifamily boom in general? Paul: Yeah, I absolutely do and I actually believe that if I was going to invest a million dollars and it had to stay locked up for a hundred years if I had to pick one asset to put it in, it would be multifamily. Because I truly believe that the multifamily, you know, the nicer ones at least they're being built around Austin or around me here in Virginia, I believe they're still going to be lived in as apartments, a hundred years from now. I'm not sure that Self Storage will still be popular in a hundred years and I don't know where mobile home parks will be, I think they'll be around but multifamily is certainly on the way up. The problem is, there's a thing called supply and demand and there could be a situation where people are overpaying for assets in the wrong location. I mean, there's some overbuilding going on, like there is, in any cycle in any asset class. I'm just trying to warn people don't be taken in, be really, really careful. I was at a conference in December, James and a very famous multifamily syndicator got on stage. He wasn't scheduled to be there, I guess they invited him up when they saw him there and he said, hey, go ahead and overpay for multifamily. It's okay to overpay. Just get in the game you need to get in. And I thought he was kidding and I thought that there was going to be a punch line to the joke, but there was none, he was not joking. And his quote actually turned out, I wasn't sure I heard him right, I was shaking my head kind of bewildered and his quote actually went out all over the Internet later. So I was correct, I heard him right and I just don't agree with that. And I tell you, Warren Buffett, Charlie Munger, Howard Marks, a lot of great investors, you know would not agree with this. And so, I'm trying to side with the more conservative great investors on this one. James: Got it. Got it. And what triggered you to write that book? I mean, there must be something that triggered you to write 'The Historic Shift to Multi-family Housing' and you also mentioned, "The Perfect Investment', what are the components of multifamily do you think that has that perfect perfectness? Paul: There's a lot of books out there about how to get into single-family and the BRRRR Strategy on BiggerPockets and wholesaling, flipping, building a portfolio. There are lots of books on apartments, but I didn't see one that was specifically geared to people to help them to realize how they could make the jump up from a few duplexes to being part of a large scale commercial multifamily project. And so, I wanted to write that for those people and it really struck a chord. I have a storytelling fashion manner and in the book, I tell a lot of stories and it really struck a chord with a lot of people. I mean people are telling me that it's the most pivotal multifamily book that they've read and I still believe everything I wrote in it, even though I wrote it three years ago. Some of the statistics, you ask what makes multifamily so great. A couple of the things are; number one, the government. Now, the government tinkered in the housing world in 1995 or so. They said everybody that can fog a mirror should be able to buy a home and they pass laws that motivated, let's say, to put it lightly, motivated Mortgage Companies to give mortgages to anybody even if they couldn't prove they had good credit or even if they didn't even bother to prove their income. I had a guy I know who was making about 40,000 a year, James and he bought a $600,000 mansion as his second home and I think it was to impress his family back in his hometown. Well, he didn't impress them much when the notice went out in the newspaper about four months later that he was in default and it was foreclosed on but anyway, that's what happened. Well, in 2005 that bubble began to burst and from 2005 to 2015 well, first of all, from '95 to '05, homeownership rose to from 64% up to 69.2%. From 2005 to 15, it dropped back to a historical level of about 63%. Every one point drop means 1 million new renters into the renter pool and of course during the recession and then the aftermath of the recession, there was a lot of building going on so there became a supply and demand imbalance. That's number one. Now number two. There are four demographic factors. Number one and that is Baby Boomers. They're the smallest group of renter's but they're the fastest-growing group. And the statistics say that when a baby boomer 50 60 70-year-old rents, they never buy again and that's happening more and more. And part of the reason, James, is we learned during the recession that our home, our single-family home wasn't what our grandparents told us, it wasn't our greatest investment. A lot of people, you know, were leveraged to the hilt and they lost their homes. And so, another group that saw this were the Millennials, that's the second demographic group. And they realized single-family homes is not my greatest investment and why should I be tied down to a, seemingly, overpriced home with a 30-year contract in this part of town when I might have new friends or new adventures or a new job opportunity on that other side of town or that side of the country next year? And so, Millennials also have record amounts of student' in credit card debt, and they don't want to get tied down and they don't have a huge propensity to save. So Millennials rent far more than buy. Now, that's changed some, a few years since the book but, you know, Millennial still have a propensity to rent more than buy. A third group is immigrants. Immigrants, on average, rent more often and for longer than folks who had their descendant, you know that was born in America. The fourth group that I didn't cover in the book is Gen Z and I was really surprised. As far as I know, the Gen Z group is the only group that came right on the tail of another large demographic group and they're actually about the same size, about 78 to 82 million strong. And so, this group we can only guess will be renting more than buying. So those are some of the factors. I will tell you that because of all this, multifamily, large-scale multifamily has almost a zero default rate Nationwide. In fact, from what I understand, well, I mean I can tell you during the Great Recession, multifamily was only at, I think, point eight percent default rate, I think it was point four percent default rate, in fact, with Freddie Mac specifically. And Freddie Mac, on the average for single-family homes, was a four percent default rate. So it was only 10% of the default of single-family and now it's virtually zero. It's about 98 or 99% less than single-family homes. So the default rate is very low. Again, the risk compared to the return is very favorable for multifamily. James: That's a very long but it's a very detailed explanation for why multifamily will continue to be in high demand for a lot of people who need housing. The other thing I want to add is a lot of things are moving to the cloud. A lot of work is no more like I have to drive to somewhere to work, right? So everything is in the cloud right now. So it's easy for people to move and change jobs and go live somewhere else and everything is in the cloud, right? So with the technology changing, you know, you just make more sense to rent. Do you think we are becoming a renters Nation? Paul: You know, Germany has about 60--let's see, we have 63 or so, maybe 64 percent home ownership right now. Germany has about 42 and Dallas, Texas near you is below 50. I imagine Austin might be below 50. We're older cities, you know, more mature cities that don't have a huge amount of migration coming in right now. Like Detroit is over 70% homeownership. And so I think if you look at the trends, I think we're becoming more and more a renter nation and it remains to be seen how it will shake out in the coming decades though. James: Yeah. Yeah. Yeah. I'm going to be posting a chart which shows all the cities in the US and it shows the homeownership difference from 2010 to 2018 and you will see some of the Cities there, it has like almost thousand over basis point change in the home prices well, and how are people going to afford it in the cities. So, you know some cities are going to be more renters city, faster than everybody else. So that's very interesting. I mean, what are the things that all multi-family investors need to be careful of at this stage of the Market cycle? Paul: I think just you know, the Euphoria of potentially overpaying or potentially buying a C-Class property and treating it like it must be a like a B class. Yesterday on our podcast, we had Monique Calm and Monique is really large, really big in the female commercial real estate space. And she said her biggest mistake was buying a D-class property in the euphoria of 2016 and treating it as if it was a B-class property. And, of course, those are very different things and she got out by the skin of her teeth after losing a lot of sleep and through a lot of pain and I think that's a really big risk. I think the risk, anytime you're at this hype part of a market cycle the risk is, you know, believing that it'll never change. As I said, things are different this time. Well, no, things are probably not different this time. It's going to burst. Now, it may not drop like a rock as it did in the fall of 2008, I don't think it will but that's a risk and we got to be really careful not to overpay. James: Okay got it. Got it. But do you think the information about multifamily is also very widely known right now? It's no more hidden investment asset class ready. So do you think that can cause the whole Market to shift as well? Maybe our circle is whoever we know in multifamily. I may be wrong by saying everybody knows about multifamily because I still find a lot of investors who don't know about multifamily yet. Do you think because of the knowledge that has been disseminated by social media and lot of clubs and lot of groups and just there's so much of information out there about multi-family, do you think that would impact what's the next recession or the crash that's coming? Paul: So let me ask you, James, do you mean because there's so much information out there that there are so many more investors coming in at might keep the market, keep the price up a little bit? James: Yeah. So many less sophisticated investors are coming in so, for example, mobile home parks, like five years ago, nobody wanted to touch it. But now there are so many people who want to do mobile home parks. Self-storage was not known, the same thing with multifamily 2010; nobody wanted to touch it because it's considered expensive. It has always been considered expensive for me. But do you think just because of the information and the knowledge that people have right now about how to run asset management of multifamily, you know that could change the landscape? Paul: It's possible. I'm not sure. I think that amateur, I shouldn't say amateur, most investors tend to buy high and sell low and even experienced investors do that. We discussed this on my 'How to lose money podcast often and so you know whenever there's a motion involved, it's very, very hard to predict the timing and the future. I can tell you the higher things go the lower they will go later because the same people who were the most euphoric to buy at the top are the same people who think they've never ever buy again at the bottom. And, of course, Warren Buffett and others us, you know, you need to buy when things are the opposite of what they seem and we know that. James: Correct.So what do you think we should be doing as multi-family investors who know how to run, how to do asset management, how to buy deals? I mean, we already have the knowledge, right? So a lot of people who already have the knowledge but what should they be doing like at thisMarket cycle? Paul: I think being very, very careful. I keep beating the same drum actually, James and that is just really really being wise. Having a default of know; why not have a default to say, hey, I'm looking at this multifamily deal. I'm going to start out by saying, I'm not going to do it. Then letting the numbers, letting the demographics, letting everything else convince you that you should do. You know, it's as entrepreneurs and investors we're naturally an optimistic bunch, we naturally want to do things, we want to say yes. And then, once we are way down the road with it, you know, then everything looks good. And even the things that look negative, we somehow in our minds twist into something positive. Well, what if we started out with a no and let that be our default and then we let the numbers and everything talked us into it? I think that would be a good way to go for any kind of investment. James: Yeah, that's absolutely, really good advice. So let's move on to your recent adventures, right?So you have been looking more into self-storage. I mean, investing with self-storage, even though you said you're investing with another operator, right? So is that right, self-storage only? Are you do also mobile home parks as well? Paul: Yeah. About a year and a half ago, we were beating our head against the wall, trying to find multifamily that made sense and we finally decided, hey, let's expand outside of multifamily. So we started researching self-storage and mobile home parks and we found out the formula to do it. We found out how to do it, what made sense, what were the best steps and we were pretty much on paper or in a book, we were able to understand what to do; what the steps were to do a very, very profitable deal. Well, that didn't mean we had done it and I had to look at my team and say, guys, you know, we know how to do this, but we're late and the market cycle prices are high in all these asset classes. Maybe we should invest with some experts who already have a team, who've already been doing this for decades. And so we decided, as a company, to pool our resources and our investors' resources together and invest with operators. And so we spent a long time, last year vetting great operators, and we're still doing that now. Trying to find great operators to invest with and then, investing with them in their best projects. And by doing that, we're getting the benefit of all their years of experience, their acquisition pipeline. A lot of them have great off-market deals that I don't have access to and the expertise to drive the highest income and the highest value and the highest return on equity for the investor. And so that's what we're doing. In fact, Wellings Capital has put together two funds recently to allow people to invest in these other experts, these best-in-class operators deals. James: So do you get similar loan terms like in self-storage as well? Like is it a non-recourse type of loan or do you get like government loans like Fannie and Freddie? So my government loan I would say. Paul: Yeah, Fannie, and Freddie love self-storage and mobile home parks. In fact, the interest rates for mobile home parks, surprisingly, are lower than multifamily, quite a bit lower and Freddie and Fannie allow at least Freddie Mac allows syndicators to refinance and to take basically additional equity out of the property twice in the first five years. And those two refinances are at the same interest rate as they went in at, guaranteed upfront and there's no penalty. So it's a great opportunity to you know, get in below to sometimes below 4 percent interest and then pull out safe Equity to hand back to the investors which we love to do. Because if we can hand them all their money back in the first five years, well, they can go out and reinvest that and then the money left in our deal is really essentially zero, so they're effectively getting what is called an infinite return on their investment at that point. James: Yeah, I remember Fannie Mae entered mobile home parks like two years ago. I mean, that's where I was looking at mobile home parks. And that's the time like Fannie Mae came in and I was surprised even when they started itself they already told everybody about, hey, you can do a multiple refis on the same project, which was very interesting because it's hard to do on a multi-family. There is prepayment penalty, you have the fees and you know, it's just so hard to increase the value so much and you know, we had to do double refire within a short time. And so that's interesting. Is that the same thing in Self Storage as well? Does Fannie and Freddie loan non-recourse loans in self-storage? Paul: I'm not as familiar with Fannie and Freddie's take on self-storage specifically because a lot of the operators we worked with either use, one bank, in particular, is called Live Oak Bank, and they're very aggressive in Self Storage, especially the smaller deals. And then there are some REITs. In fact, the REIT that owns U-Haul and I'm struggling to remember the name of the REIT, actually does a whole lot of the debt in Self Storage. There's other Regional Banks like BB&T and others that provide loans as well for self storage. Those seem to be the most popular with the operators, we've been working with at least. James: So what about challenges in self-storage? Because self-storage is pretty easy to be built, right? Anybody can build something because it's cheap and if you find land. So aren't you worried about that kind of coming into self-storage? Paul: I am worried about it. In fact, I thought about doing a self-storage project myself, 20 years ago this year, in 1999. And my concern was, well, I built it on the edge of town here and there are all kinds of farmland just outside of City Limits. Well, as the town keeps expanding what if another nicer self-storage facility comes in and a year later, I'm in trouble? And you know, there's truth in that so there are very important things you have to look at when you invest in a self-storage deal. For example, we just invested in a Minnesota deal, it's near Minneapolis and it's in a town. It's in a suburb that has already changed the zoning and said no self-storage is allowed in the city limits unless they're in an industrial part. Well, that bodes really well for this self-storage project because it's right in the middle of a bunch of Townhomes, single-family developments, multifamily some retail. It's right there on the main Boulevard in town and it's a perfect location. And now that the competition is relegated to industrial parks, it made it a really good opportunity. There are other factors we look for in evaluating self-storage. And for example, we want to see less than an average amount of square feet of Self Storage in a say a three or four-mile radius around this one. So here's how you look at it. You look at the total square feet of Self Storage in it, let's say a 4-mile radius, and then the total people in that radius and you're looking for the national average might be around seven square feet per person. Well, if you're in a market like our Minneapolis one, where the average square feet per person was only two and a half square feet, then you can basically say that that market is undersupplied. And so, it's undersupplied because you know, it's much less than the national average. And then places like Florida, Texas, California, the average square feet per person is likely much higher because they don't have basements typically and they're rarely using their attic because it's so hot. And so those have even higher demand than the national average. But those are the kind of things we look for as we evaluate these things. Another one that my friend invested in was in a basically a sleepy town called Marietta, Georgia. It was sleepy years ago. Now, it's a booming suburb outside of Atlanta and this, you know, 1978 facility was looking pretty tired. Well, he bought it and he is making into a gleaming beautiful facility right on the main boulevard in town. James: Awesome. That's very interesting on how Self Storage has changed throughout the years. But I think if you look at like the last 15 years, I mean, I did a lot of analysis on asset class and Self Storage is one thing that has never dropped in demand since past 15 years. Pauk: Yeah. It really hasn't. James: Yeah, there's no data that shows that it has dropped a lot. So that's a really good asset class. So right now, you are like investing with some operators, right? So, how did you choose your operator? What was your criteria? What did you look for in them that you feel comfortable about them and you know placing you and your funds money? Paul: Yeah, so we're looking for you know things like high character, high ethics, high integrity, you know, can we really believe what they say? We're looking for competence a second see, you know, we're looking for people who have a phenomenal track record, happy investors, professional, you know bookkeeping and operations. We're looking for people who have weathered the storm and we'd like to know how they weathered the storm, what they did during the recession, what they learned from it and what they're doing now to protect themselves against the next downturn? We're looking for conservative, people who are not taking on way too high of Leverage. We're looking for operators who might be better operators than they are many razors and they might need some money to you know, fund some equity, to fund their deals. We're looking for operators who are willing to give us a better deal than a retail investor. And what that means to me, is that as a fund we might get a better ROI than an investor coming off the street to them. Which means that we can offer when our fees are factored in, for running the fund, keeping the lights on. We're giving our investors still a better or about equal deal to what they would get if they went directly to them. We're not vetting operators. A lot of people ask me this one; are you vetting them based on geography? And I would say if I was an operator myself, I would absolutely be looking for the right geography, but we're actually trying to merge; we're trying to bet on the jockey and let them pick the horse. Let them pick the geography. So for example, I'm talking to a guy in the Pacific Northwest, which I know very, very little about. I'm heading out there June. We don't know that area really well, but he does and we trust him to make the right decisions to invest in those areas like, Washington, Idaho and, Oregon. James: Got it. So is this like 506C offerings? Is that what they do? Paul: Yeah, so we are a 506C which gives us the maximum flexibility to invest in a 506C or a 506B syndication. James: Got it. Got it. So I want to take one of the points that you mentioned in terms of, you know, selecting the operator, right? So how do you know they have a good track record? Paul: Well, I mean, if they're making this offering if they're reporting their track record and they're going back and showing line-by-line the different deals they bought you know, they're going to have to tell the truth on there or they can get in trouble. But another thing we do is we talked to some of their references, we talk to investors that invested with them. Sometimes we'll try to find an investor or two that they didn't know that we asked you know that we happen to run into. We really look to people who have gone before us in this business. A lot of people know and maybe you know, Jeremy Role for example. He's in LA and Jeremy has a phenomenal track record of investing and he's very very conservative our first conversation, years ago I was trying to pitch him to invest with me. He said, well, I'm probably not going to invest in your deals. I'm probably a lot more conservative than you are. So he started that's what I said a while ago. He started with the default of no and by saying no first, I had to try to convince him that it would be a yes. But anyway, Jeremy is super conservative and when he really likes an operator that gives me a reason to believe that we're going to like them too. James: Yeah. I know Jeremy and his investment criteria, which is really conservative and I interviewed him on the fourth or fifth podcast. Once I launch people can listen to that podcast as well. And let me see. Is there anything that you want to share in this podcast that you have never shared in any other podcasts or your own podcast? Paul: Oh that's gonna be really hard to think of. I talk a lot so I can't think of anything that would be completely unique. I will Circle back and tell you briefly that one of the reasons Self Storage demand has never gone down at least, you know to this point--now, by the way, that doesn't mean there couldn't be a market that's oversupplied. I heard of a self-storage facility last year that was foreclosed on because it was in an oversupplied Market you got to be smart. But think about it, James, in a good Market, people are filling up their Amazon carts or their Walmart cards and they're buying more stuff and they need a place to put it. In a bad Market, people are often downsizing from a let's say 4,000 square foot home to 2,000 or 2,000 to an apartment. They need a place to put their stuff and for a relatively small cost, they can put their stuff in self-storage. And think about this if I was charging $1000 a month for your apartment in Austin and I raised, may be low and I raise the rent by 6%, you might move rather than pay me $720 in the next year. But if I was charging you a $100 for a storage unit and I raised it 6%, you're probably not going to move, spend a Saturday, get a U-Haul, get your friends to pack up your junk, I mean, your treasures and move them down the street to save $6 a month. Tenants are very very sticky in self-storage. It's very similar to mobile home parks. If you raise the rent 10% you know, are they really going to move down the street, spend $5,000 to move their trailer down the street to save $30 a month on lot rent? Probably not. James: Yeah, and also the leases are monthly right? So that makes changes in rent much more quicker and rapid right? Paul: Right. Yeah, a lot of self storage operators raise the rent twice a year. James: Got it. Got it. That's very, very good to know. So throughout your real estate life, is there any proud moment that you think make yourself proud even until now that you think you really had a huge contribution to someone or can you describe that moment? Paul: Yeah, I mean there's probably a few I think I can tell you about my worst deal and my best deal. I'll try to do it quickly. My worst deal was a 5-acre subdivision that I bought, excuse me; a five-acre piece of land that was Waterfront. I bought it in 2006. I was flipping Waterfront lots at this Lake and I really believe very speculatively, by the way. I really believe that the road in front of this five-acre lot was going to be made from a private into a public road and that would allow me to subdivide the land. Well, that wasn't the case. There wasn't going to be a public Road. And we were wrong and we went into the Great Recession with $860,000 in debt on that five-acre piece of land and we were paying that debt along with, we had two and a half million dollars in total debt, my family did and that was part of our business. And my partner left and that left me with all the interest in January 2008. Well, I told my friends and I told my family, we're going to start giving our way out of debt, which was kind of crazy. But I really believe my back was against the wall and I had to try something and so I really believed in, you know, the law of sowing and reaping another people call it karma that I would give and it would come back to me. So we started giving a very significant check, a very significant amount of money for us, at the time, every single week we gave it to nonprofits and to our church and we really believe that it would pay off. Well four weeks later, I had a light bulb moment, a light bulb idea to take the law that would not allow me to subdivide and sell off this land and turn it on its head and actually subdivide and sell these four, now actually 5 1 acre parcels. So we did that; we sold the land, we sold four of the five lots in the fall of 2008 and I was completely debt-free 13 months later. James: Wow. I'm a strong believer in the law of karma, right? So that's really good. Very inspiring story. Thank you for sharing that. Paul: You bet. James: Yeah. I know. Why do you do what you do? I mean, you have a lot of things that you have done for the past, you know throughout your life, right? But why do you continue doing what you're doing this? Paul: Well, you know you wrote a book on the power of commercial real estate didn't you? James: The Passive Investing in Commercial Real Estate. Paul: Yeah, exactly. Well, I mean I can show and you can show, a real estate investor how to take $100,000 in over 20 to 30 years turn that into you know, three to five million dollars. The power of commercial real estate investing is really amazing and it's more amazing when you think that the tax laws favor us so much that you know, it's possible to do what I just said. It's not guaranteed by any means, but it's possible to do that and pay very little taxes along the way. Once I discovered that you can drive, you can force appreciation in Commercial Real Estate, I was completely hooked. For example, let's say you're Chip and Joanna Gaines Jr. And you can beautifully renovate a house from, let's say, half million dollar house, what's that? Dan? James: They're in Reco, right? Paul: So yeah, right. There are a few hours away from you right now. So let's say you can renovate that house from a half-million-dollar house up to a million dollar house. But if you're in a neighborhood of $400,000 houses, you're probably not going to get your million out of it because values are derived by comparable properties. Not so with commercial as you know, the commercial value formula is the value, is the net operating income divided by the cap rate. And so if you can find a way to increase the operating income and if you can possibly find a way to compress the cap rate and there are ways to do that, then you can dramatically increase the value of that asset. And if you take leverage into account, then you can even more dramatically increase the value of the equity. And so $1 increase in income per month at a commercial property, take that $1 that's $12 a year divided by a normal cap rate of 6% or 0.06 and that $1 of $12 excuse me .06 is 200 dollar increase in value. So if you can go around and find ways to save or add a dollar to your income, every month, then you can dramatically increase the value of the property and even more so, increase the value of the equity in the investors pocket. James: Yeah, it's just so amazing the commercial real estate. The defaults appreciation play is just so powerful. Especially if you can do value add on top of it. I mean, that is the value add; cash flowing plus the force appreciation value add that's the power of it. Paul: Yeah, right, really is. James: Awesome. Awesome. Thanks for that explanation. So Paul why not you tell our listeners, I don't see any questions coming in. So we're just going to go ahead and listen. If you guys want to type in any questions in our Facebook group. Go ahead and do that. Paul, why don't you tell the listeners how to get hold of you and reach you? Paul: Okay, great. My website is wellingsCapital.com and they can reach out and fill out our contact form and reach me there. James: Awesome, Paul. Thanks for joining us today Paul, and thanks to the audience for joining us today. Hope we gave a lot of value to everybody and that's it. Thank you, and bye. Paul: Thanks, James.
Reed, (An Australian investing in the US) started his syndication journey with some small multi family in Syracuse NY then learned from a Canadian friend who had bought a 70 unit in British Columbia about raising money for deals. Reed breaks down Syndication types such as 506C, 506B and Regulation S as well as the benefits of doing a Joint Venture. Reed Goossens reedgoossens.com
Kim Lisa Taylor (a nationally recognized expert in the securities industry) is the founder of Syndication Attorneys PLLC, where she and the other members of the Syndication Attorneys team focus on helping small business owners/developers structure and convey their investment opportunities in a way that will attract private investors, both domestic and foreign. They teach their clients how to use securities laws effectively! This episode is all about navigating the waters of syndication law! Just some of the topics addressed include: What are the two types of securities that affect the real estate industry most? When does a investment deal become a security? What rules are required to be followed to sell a security? When is the time to hire a securities attorney? What determines if an investor is “accredited?” What determines if an investor is “sophisticated?” What is the difference between 506B and 506C offerings and how do they individually work? This show is a great listen for any investor but may be especially useful to those branching out into syndication like Jake & Gino! Top 10 -Real Estate Syndication -Securities Law -Passive Investors -Offering Documents -The Raise -Active Investors -Accredited Investors -Sophisticated Investors -506b offerings -And much more Book Recommendations: Miracle Morning by Cameron Herold Slicing Pie by Mike Moyer Syndication Attorneys | Kim Lisa Taylor Invest with Jake & Gino: Create an Account - Rand Partners Sign up for a complimentary strategy session with Jake & Gino: Schedule Appointment 20% DISCOUNT with code:ELITEWheelbarrow Profits Academy Email gino@jakeandgino.com a screenshot of your Itunes review of the Wheelbarrow Profits podcast and Gino will send you a FREE copy of the Wheelbarrow Profits Book! Check out the podcast for iTunes: iTunes Store - https://itunes.apple.com/us/podcast/jake-gino/id1025080737?mt=2 Check out the podcast for Android: RSS FEED - http://jakeandgino.libsyn.com/rss Thanks so much for joining us again. Have some feedback you’d like to share? Leave a note in the comment section below! If you enjoyed this episode, please share it using the social media buttons you see at the top of the post! Also, please leave an honest review for our Podcast on iTunes. Ratings and reviews are extremely important to our show and help in our rankings. Please leave a review if you find value in our show! Click here to learn more about our multifamily educational platform: Multifamily Mastery - https://jakeandgino.mykajabi.com/offers/tw3qfTWN If you have any questions, please email me at gino@jakeandgino.com If you would like to partner or invest with Jake & Gino, please fill out this form: Investor Form - https://invest.randpartnersllc.com/accounts/register/
Crowdfunding is on fire right now. It's also rapidly becoming more clear how beneficial it is for real estate investors, and those looking to financially back real estate investors without getting their hands dirty. Jason Fritton of Patch of Land joins us on the FlipNerd.com Expert Tip show to discuss where crowdfunding as been, where it's going from here, and how to get involved. Don't miss this insightful episode! Do you want to be a real estate investor but need step-by-step guidance to help get you started? The Investor Machine is a 90-day program with training, weekly tasks, bi-weekly group calls, and more! Schedule a free call to discuss your goals today!
There's a right and wrong way to raise private money for your real estate investing business, but the laws are changing rapidly. True that it's getting easier, but there are still very strict laws that you need to abide by. Jillian Sidoti, an attorney and expert in teaching others to raise money for real estate investing, joins us on this episode of the FlipNerd.com Expert Interview show to tell us about the correct way to raise money for your real estate investing business. She also shares an update on all the recent changes and clarifications in regulations. Don't miss it! Do you want to be a real estate investor but need step-by-step guidance to help get you started? The Investor Machine is a 90-day program with training, weekly tasks, bi-weekly group calls, and more! Schedule a free call to discuss your goals today!
There's a right and wrong way to raise private money for your real estate investing business, but the laws are changing rapidly. True that it's getting easier, but there are still very strict laws that you need to abide by. Jillian Sidoti, an attorney and expert in teaching others to raise money for real estate investing, joins us on this episode of the FlipNerd.com Expert Interview show to tell us about the correct way to raise money for your real estate investing business. She also shares an update on all the recent changes and clarifications in regulations. Don't miss it! Do you want to be a real estate investor but need step-by-step guidance to help get you started? The Investor Machine is a 90-day program with training, weekly tasks, bi-weekly group calls, and more! Schedule a free call to discuss your goals today!
As part of our ongoing effort to educate the investors and entrepreneurs alike that may be new to game of selling/buying equity for cash, this episode of the Compassionate Capitalist show will review the history of Direct Public Offerings. DPOs are exactly as they sound. They have been around for generations but were rarely used as a vehicle for private companies to raise capital directly from the public. Primarily because of the regulations and controls placed on Broker Dealers that would have handled such a transaction. With the advent of "Crowd Funding" and the release of the restrictions on "General Solicitation", the term "Direct Public Offering" is the new Black, so to speak. It is gaining momentum as a recycled term and it is important for you to understand the differences and nuances between Reg D 506c, Reg A, and DPO under the Reg D 504. Karen Rands will share her research into this topic and equip her listeners with the knowledge to make informed decisions regarding issuing an equity offering and participating in investing in an equity offering. Compassionate Capitalist are men and women that invest time, money, resources into helping entrepreneurs bring innovation to the market and create jobs, ultimately creating wealth for themselves, the founders and other share holders. To learn more about The National Network of Angel Investors go to http://nationalnetworkofangelinvestors.com To connect with Karen Rands, go to http://launchfn.com/contact.html
Part 3 - James M. Schmidt, author of 'Lincoln's Labels: America's Best Known Brands and the Civil War.'
Part 3 - James M. Schmidt, author of 'Lincoln's Labels: America's Best Known Brands and the Civil War.'
Part 3 - James M. Schmidt, author of 'Lincoln's Labels: America's Best Known Brands and the Civil War.'
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