All Forum Posts by: Chris Duffy

Thank you so much all for the input!

Hi everyone, 

I'm an investor in Tampa. I am not licensed, however my agent here recommended I get my license and just keep it in referral status to make referrals and collect commissions that way. Just some extra income while I build my portfolio. I really don't have an interest in being an active agent/broker in the future in either residential/commercial. 

I've spoken with various investors about this and get a lot of mixed opinions. Some say it's a terrible idea for an investor to get their license as other agents will not want to refer properties to me as i'm now "competition". Also that I'd be held to different standards. Others have said it helped them out tremendously in their investing game. I see tons of agents/brokers that are also investors, but of course plenty of investors who never got their license. Any input? 

Thank you in advance

@Tonya Weathers Yes, I'll PM you - thanks!

Thanks everyone! Will you PM you all separately.

Hey @Michelle Reid - thank you for the input. 

I'm still determining all of that as I am new to the market and still gathering feedback, but my plan is to keep the 'boots on the ground' service very affordable, but would depend upon property size, driving distance, how in-depth they would want the capex or comps report to be. Some investors may only need me to drive 15 minutes to snap a few photos, drive the neighborhood, and give a quick property condition report. That would not be an expensive service. On the other hand, others might need me to drive out more than 2-3 hours and tour other neighboring properties, more in-depth reports, etc. If I were to give you a hard ballpark figure, I'd say no more than the cost of the gas plus somewhere around $30-35 an hour for just boots on the ground. 

Ideally, I'd want to stay on longer in the project if it were to go under contract & close as I could provide additional assistance during due diligence, project management/value-add, & staying on top of the property manager during asset management (especially if it isn't a large property with an on-site staff) that would obviously increase the price. 

I think my 'avatar' or client would be someone OOS or just not within proximity(I drove a property in Saint Pete for a woman in Miami last week) - who doesn't have any established networks here, market knowledge, is time strapped, & obviously just can't be active to bring the asset to life and then help manage it. 

Thanks for any feedback

Hey @khaled morad, 

Thanks for the input - I probably should've been clearer in mentioning this is for commercial real estate, particularly multi-family which is going to be much more involved from an agents stance. I know a lot of agents will hunt for people out of state for single family homes and multi-family as well, but my model(or what I'm aiming for) is a little more involved and not quite just bird-dogging.

The business model is really two-fold:

What I'm aiming for is similar to your suggestion and being a bit more of a 'one stop shop' without being an actual property manager - boots on the ground being that I can help with acquisitions or market for off-market opportunities, but also do things like tour subject properties and neighboring comparable properties, get comps, give capex reports and preliminary due diligence. That would be kindof the 'boots on the ground' part, but then I'm also available to stay on after the property is under contract as due diligence and then even part of the process after close as a project manager if there's a value-add(construction background) and asset manager(managing the property manager and making sure the business plan is being executed properly.)  

I can provide things as one-off services like just initial boots on the ground (even though I'd like to be more involved) and charge significantly less than an agent. For example, let's say you've got an agent willing to do some hunting and is looking at a $1million 10-unit apt. complex for you and will only collect at closing. Let's say their commission is 3%. That's 30K to the agent just to find the deal and help you close it. Being boots on the ground, I could charge significantly less for what I mentioned.

The other side of the business is JV'ing on small multi-families between 5-25 units, (they don't have to be OOS investors as partners, but again, I think is enticing for out of state investors that live in real estate markets they don't want to invest in and want to get in on FL or other good markets) - and again taking that much more active role in the process - acquisition, due diligence, project management, & asset management.

Thanks for the feedback, would love to attend the meet up this week!

Hello all, 

I was hoping to get some feedback on my business plan/value propositions for a business I recently started. 

I've been getting mentored by a CCIM instructor who has syndicated, JV'd, etc. but is a big proponent of 'strategic partnering' in that he essentially comes in on multi-family deals and assists sponsors/syndicators with things such as market analysis, boots on the ground, asset management, etc. He doesn't take a cut of the GP, just collects a fee and either re-invests it into their deal or takes it and can go buy his own assets with it.

My plan is similar - I'm well located in quick range of some of America's best real estate markets - Tampa/St.Pete, Jacksonville, Orlando, Ocala, Naples, etc. I'm a former construction manager who owns a few rental units here in Tampa and manage them myself. My plan is to provide long-distance or out of state investors/sponsors/syndicators active boots on the ground, due diligence & acquisition assistance, and project & asset management. I've been networking with out of state individuals who see value in this proposition and am aiming to partner with them to help them close more deals. 

In your honest opinion, do you see value in this proposition and second, what would you consider reasonable compensation for something like this? Obviously, it'll range depending on how much assistance the client would need(they may only need boots on the ground and not asset management after the deal has closed, for example) but ballpark.. 

Thanks @Ben Nelson! 

Hey Nick, I'm in the heart of Tampa. Great community here. Feel free to shoot me a message and we can jump on a call. 

@Dan Nutter Thank you Dan, I like that idea. I appreciate the input

@Dwayne Poster @Alex Forest Yes I don't really want to take more money to be honest, but my concern is perhaps the verbiage in the new lease. Like, I feel like I should add some verbiage in the new lease that says the deposit is already received but will be retained if new lease is broken. Because her lease in place has a $2850 deposit and the new one would have 0. So, I would just want to make sure like she isn't entitled to the existing deposit if she breaks the new lease..