Starting out with Joint Venture REI

[Aqeelah M.]

Hi, 

I am looking to invest in multifamily real estate properties. This will be my first time investing and I do not want to start with SFH or Duplex-4plex properties. I have the capital to invest in real estate but I do not have the experience to jump into investing in multifamily properties on my own. I suppose this joint venture experience would involve some mentorship too.

How can I find the right person to help me accomplish this?

Thank you for your help. 

[John Corey]

I like to use a dating analogy. Before talking about universities for the grandchildren, you start with hello. A first day is no marriage. Find ways to dip your toe in the water. Trade time and skills for exposure to projects. If the deal is set up correctly (legal restrictions for joint ventures), see if you can put in small amounts.

In the old days, before my gray hair, you could learn a lot by buying an investor breakfast. Cheapest meal of the day and investors love 'free'. You are getting 90 or so minutes of 1 to 1 time for the cost of a meal. Be prepared to take notes. Eating for you would be optional rather than an excuse not to take notes.

If there are REIA meetings in your area, go to them and listen. Think of questions. The more experienced people are pretty open to addressing questions. Be cautious about stuff being sold in the room (training, etc). You do not know what you need and some of it is expensive.

Coming back to today's world, you can do so much with things like Zoom (online conversations on camera across the world) and email you can reach out to people outside of your local area. You might be able to rustle up a group for a beginner's mastermind. 

A JV for mentorship can be a winner or it can be a nightmare. A number of times I have seen the offer of mentorship be the carrot to get access to the investor's cash and then a failure to deliver.

Happy to continue the dialog here. Paying it forward.