Syndication Deal with Hands on Education!

[Karl Denton]

Investment Info:

Large multi-family (5+ units) private money loan investment.

Purchase price: $262,000
Cash invested: $50,000

Syndication deal with 50k invested, 12% APY return. 6 Month project, rehab 105k, ARV ~ 540k
Did this deal with a local investor I met at a networking meetup, I'm going to be hands on with this project and learn how they are doing this deal all the way up to Commercial refinancing with this deal.

What made you interested in investing in this type of deal?

Wanted to learn how syndications worked in the paperwork side of things. Also wanted to learn more about the BRRR method and commercial lending.

How did you find this deal and how did you negotiate it?

Networking through local meetups I linked up with another investor.

How did you finance this deal?

I had cash from my current property and from a refinance before rates went up.

How did you add value to the deal?

I am familiar with how these deals work and can help give my opinion on the construction rehab portion.

What was the outcome?

its a 6 month project and at the end ill have more knowledge, capital, and a lump sum payout.

Lessons learned? Challenges?

So far learned there's a lot of paperwork into a deal like this to lessen the amount of risk. Luckily working with my real estate lawyer has been great.