No Money Down

[Steven Duck]

Hey Everyone, 

For starters, I am extremely new to this who thing, so please be patient with me if I ask stupid or inane questions!

There is an apartment complex (being a beginner, not sure why I don't focus on smaller things to get my feet wet, I guess I just like to aim high!) that I have had my eye on for some time now, the only problem is, I don't have any money to even afford the down payment on such a thing. I'm not exactly sure how to word my question, but without getting into all the details at the moment, are there investors out there who would invest and help facilitate the purchase? I would do all of the leg work (and manage) since I'm local, but maybe split (some percentage?) the rents or something until they get their share back plus interest? If they decide to sell before then, split the profits (some percentage?)? I guess my main question is, are there investors who are just looking for a long term investment for their money? My biggest concern too is, what's to stop them from going around me and just purchasing it themselves without my help?

I don't even know if any of this made sense! If it does, then I would love to hear what some of you guys have to say! I really want to get started in Real Estate, I just honestly have no clue how or where. 

Thanks for your time! Looking forward to hearing from you soon! 

[Don Konipol]

After reading these posts, its time for a reality check.  If you bring no capital to a deal, you need to bring a record of accomplishment, extensive experience and knowledge.  Expecting to raise equity capital and to receive an ownership interest without experience and expertise to offer is just not realistic

With the advent of crowdfunding capital raises, on line offerings, and set fee legal, the cost of safe harbor Reg D offerings have dropped, considerably.  The result is that whereas 5 years ago passive investors expected little more than an investment summary, investors now expect (and demand) a private placement memorandum, subscription agreement, attorneys opinion, tax opinion, and full compliance with the securities regulatory environment, even on smaller deals. 

Even when putting together an "informal" capital raise, the question of compliance is raised.  It's very easy to step over the line into securities law violations, and the investors attorney is sure to bring that up in court should the deal go south and the investors decide to sue you, the person who sold them the investment

Active investors in a deal rarely sue each other, passive investors sue much more frequently should losses occur.  There legal basis is greatly reduced through proper disclosures contained in a properly drawn PPM.