Sample Deal Package--Beneficial or Waste of Time?

[Snehann Kapnadak]

Hi All,

Hope everyone's the long weekend! I've been a big fan of @Michael Blank and have been consuming his podcasts, syndicated deal analyzer, and most recently, his new book. He speaks a lot about creating a Sample Deal Package, in which you underwrite a potential deal and use that to speak with prospective investors and lenders. The goal here is to get a lot of the big questions and inhibitions about investing with the Syndicator out of the way without any time crunch so that when there's a real deal on the table, the Syndicator would ideally be able to tap into these investors and get them on board relatively quickly. More info here: https://www.biggerpockets.com/renewsblog/2013/12/23/raising-money-to-invest-in-apartment-buildings/

My question is for all the experienced MFH syndicators & investors--does this sample deal actually work? Does it actually help show credibility to a prospective lender or investor? Or does it sound like you're being too sales-y or talking out of your @$$? As a new investor to MFH, I'm conscious of not coming across as genuine and I certainly don't want to waste anyone's time. I just finished my sample deal--I have a presentation & a written doc--both that outline my buying criteria, planned scope of work, projected financials, management team, and more. But now I'm wondering what to do with it and if it's worth using when speaking to potential investors, lenders, brokers, etc.

Hope this makes sense. I'd appreciate any honest thoughts and advice. Thanks in advance!