New Member in North Dallas - MF question

[Justin Rostant]

Hello BP community,

I have been on the sidelines for a while reading and learning as much as i can from all the excellent posts and decided that it is time to get in the game. I am currently a SF investor.

My goals are to enter into the realm of Multi-family investing.

I would love to hear opinions from the BP community the pros and cons to the different approaches i am considering. Should I start with a small MF and learn the ropes through trial and error and ofcourse support via the BP community, or partner with a lead investor and learn from their experiences? I do have a full time job and RE investing is a side project for me.

Very excited to be a part of this great community.

[John Chapman]

Welcome to BP, Justin. My thought is that partnering is probably the best way to go for the first time. I did the lone ranger thing on my first couple and would have been well-served having someone with more knowledge guiding me. (You are going to pay for your education one way or the other.)

In terms of MF investing, I've become convinced smaller MF's really aren't worth it. Sure you can get conventional financing on them (and that's worth something), but you really don't achieve the benefits of scale to any significant degree. The real cost savings come when you have professional, full-time, onsite management and maintenance, which requires a large number of units (somewhere between 50-100, is my guess) Just my two cents.