What is a syndication deal???

Question

Good evening BP!

I am 29 years old and I have 200k to invest. I’m looking to buy a property that can pay for my mortgage ($2400) per month in cash flow. I’ve read on a few pages and see that people mention syndicate deals. Can someone elaborate on syndicate deals and if that would benefit someone like me?

Steve S. · Answer

I know a deal where you can get 15% on your 200k right now. DM me your email address.

Todd Dexheimer · Answer

A syndication is pooling people money to buy an asset. It is a great way for someone getting started to learn and get an insider's scoop on larger assets. It's also great for those just wanting to be passive and not deal with all of the hassle of owning their own property that they have to manage. You get an ownership share of the building and share in the tax benefits, cash flow and equity. Here are a few articles:

https://www.biggerpockets.com/...

Rick Novotny · Answer

Hi Jr,

Real estate syndication is a group of investors that pool their money together to buy, typically, very large deals.

Most of the time syndicators are going to require you to be an accredited investor, meaning you have a net worth of over $1M or have a very high income. In the U.S., the term accredited investor is used by the Securities and Exchange Commission (SEC) under Regulation D to refer to investors who are financially sophisticated and have a reduced need for the protection provided by regulatory disclosure filings. Accredited investors include natural high net worth individuals (HNWI), banks, insurance companies, brokers, and trusts.

There should be plenty of blogs and videos out there with more detail. I'm not a syndicator so I don't have all of the information, but I am happy to help answer any questions you might have!