Multi family Syndication

[Jeffrey Donis]

My brothers and I have been wholesaling for 1 year however we want passive income. We have made the decision to go into multi family syndication with the money and experiment we gained after a successful first year. We have been self educating and know the roles we will play in the syndication process and what the steps of doing so are- does anyone have any advice

[Spencer Gray]

Hi @Jeffrey Donis . Are you looking to invest in a syndication or syndicate your own deals? 

If you are looking to syndicate your own projects I would keep building a track record and start gaining experience with buy and holds, or investing in another syndication to gain experience that way (to see how it works). 

Wholesaling and MF syndication are pretty different in terms of strategy and operations and it might be a stretch to say to an investor "we've been wholesaling for a year, that makes us qualified to run an apartment community and run a syndication" they're just two completely separate businesses. 

That being said, I would start to build your team: Transaction RE attorney, CPA w/ cost seg capabilities, SEC attorney, lenders, insurance, property management, and brokers.

If you have the team, your focus should be on two things: raising capital and finding deals. 

For raising capital consider what kind of investor platform you will develop, what kind of marketing and content to produce, develop an investor onboarding process, and what investment portal you will use. It can often take 32 leads for one to convert into an investor. If you are using ads, it can easily cost $1,000+ per investor. 

Hope this helps!