Skip to content
×
Pro Members Get
Full Access!
Get off the sidelines and take action in real estate investing with BiggerPockets Pro. Our comprehensive suite of tools and resources minimize mistakes, support informed decisions, and propel you to success.
Advanced networking features
Market and Deal Finder tools
Property analysis calculators
Landlord Command Center
ANNUAL Save 54%
$32.50 /mo
$390 billed annualy
MONTHLY
$69 /mo
billed monthly
7 day free trial. Cancel anytime
×
Take Your Forum Experience
to the Next Level
Create a free account and join over 3 million investors sharing
their journeys and helping each other succeed.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
Already a member?  Login here
Multi-Family and Apartment Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated almost 4 years ago on . Most recent reply

User Stats

46
Posts
11
Votes
Mona B.
  • Real Estate Agent
  • Orlando, FL
11
Votes |
46
Posts

"No Money Down" - True or False?

Mona B.
  • Real Estate Agent
  • Orlando, FL
Posted

As a rookie investor, I'm finally at the point where I'm confidently analyzing multifamily leads where I live in FL. In listening to the stories of how investors like @Brandon Turner or Sterling White started, I'm interested to learn from the experience of other investors - is it true that partners do fund the whole down payment for a deal &/or help to qualify for the loan, or is there an expectancy for the general partner/principal to contribute at least 5% - 10% of the down payment in multifamily investing? I'm connecting with people for potential partnerships who are not family members or friends.

Also, what is a typical split on a multifamily deal with partners after the debt is serviced: 70%-30%, 80%-20%, 90% -10%?? Is it possible for such a partner to contribute to the full down payment for the multifamily deal & still agree to a split?

I would love to get your feedback - thanks for sharing in advance!

Most Popular Reply

User Stats

5,037
Posts
4,678
Votes
Taylor L.
  • Rental Property Investor
  • RVA
4,678
Votes |
5,037
Posts
Taylor L.
  • Rental Property Investor
  • RVA
Replied

It's going to be very difficult to have *no* money down. You'll probably need to put some up at some point. Whether it's emd, legal, lending, or otherwise, you'll probably need something. In the syndication space 80-20 is very common. Oftentimes that split is tailored to produce attractive returns for the investors while making it worth your time. There are folks out there like @Ari S. doing midsize multifamily deals using the JV strategy, where he and a few other active participants put deals together and pool their money. Look into and learn about how JVs work!

Loading replies...