All Forum Posts by: Colton Hahn

If they have a 40% annual return in their PPM and offering info run for the hills. If that was the case and they delivered that return they could raise $1 trillion as who wouldn’t want a 40% return….

Also find out how much of their own $ they have invested in the deal. What is the flow of funds - who gets paid first and what are the management fees

What are the lock up period

We put together a 20 question questionnaire to ask your syndicator. Let me know if you want a question

They have 0 in the deal it’s all investors 50/50 GM/LP

investors first.
2% acquisition fee
10% asset management fee
1% capital transaction fee
10% preferred return to LPs

Year 2 refi+NOI shows 121% COC and year 7 155% on sale. In between years are 5-8%

I was very skeptical when reading your initial post and a few follow ups. After reading this last post, I now know my skepticism was highly warranted. 10% management fee? I would love to get that high of a fee. 50%/50% split? I would love to get that much as a sponsor! NO skin in the game for the sponsor? Not a good answer. The truth is, those numbers and terms are just not going to work. Proceed with extreme caution on this one or better yet, run. While it may work out, it sounds like a real long shot especially with the splits and fees as they are!

And isn’t 10% normal for someone to manage a property?

From our research industry average is around 1%. We charge maximum of 1% depending on the deal.

10% is INSANE.

1 Vote

Quote from @Damein White:

I just wanted to get different version of what peoples ideas of the best way to use 100k cash to acquire properties

Question 1: What are your goals? Do you want to actively own and manage the property or be passive in your real estate?

That will inform what you do, if you want to be active you should focus on getting units that are in high cash flowing areas with markers for appreciation (population growth, job growth, catalysts etc).

If you want to be passive, you should park your capital with an operator that has a track record of high returns and multiple exits.

Happy to chat further :)

0 Votes

Cleveland, Ohio

Quote from @John L Daly:

hello just wondering what a good ROI is on a real estate deal , what should I shoot for ?

Tough question to answer without knowing the region and class of property. Generally we shoot for 2-2.5x your capital as quickly as possible if you are looking for appreciation. If you are looking for cash flow we shoot for 10% yearly.

But again tough to say without knowing more :)

0 Votes

Quote from @Kanstas Sell:

Goodmorning. If I have 450k liquid cash what is the fastest way to grow a rental portfolio? The market where I live is around $350k ARV and rents for anywhere from $2300-2800. Thank you!

First questions is, why actively own properties when you can own properties passively and achieve similar if not better returns? Goes back to why do we own properties to begin with, which is to break ourselves free from day to day working which actively owning still forces us to do, unless you just really want to actively own them. Happy to chat more :)

0 Votes

Cape Coral, Florida

Quote from @Don Konipol:

It’s occurred to me that by listening to all the hype put forth about real estate investing by the mentors, gurus, reality TV shows, thinly researched newspaper articles, news reports etc. that everyone interested in real property investments wants to quit their jobs, sell their businesses, get off the dole or avoid any type of employment by becoming a full time “real estate investor” read “fix n flip”.

Having been in many aspects of commercial and investment real estate for 40 years, I know that just isn’t anywhere close to correct. Many investors are looking for passive income, others would like to supplement a salary from a job or business they’re quite satisfied with; still others want an inflation hedge.

So I ask, what goal(s) are you wanting to accomplish by utilizing real estate investing?

To gain passive income, and build wealth in the process to break the cycle of being a W2 drone. That is always the goal, to live my actual life.

1 Vote

Quote from @Jesse Carmack:

very interested in good syndication opportunities. Any info is appreciated

Quote from @Colton Hahn:

Quote from @Jesse Carmack:

Any suggestions or advice on building a dividend monthly producing portfolio (thru say Webull) without drip. What funds would you target to get a good monthly latter going? Any funds you would definitely suggest looking into that are dividend growth strong and stable?

There are syndications out there that have great returns that are distributed monthly. happy to chat sometime about it and how to vet out an operator

Shot you a DM

0 Votes

Quote from @Jesse Carmack:

There are syndications out there that have great returns that are distributed monthly. happy to chat sometime about it and how to vet out an operator

0 Votes

Quote from @Isaac S.:

Berkshire Hathaway Realty is pretty active realty brokerage and I am sure generates plenty of cash flow from brokering deals, so no matter how you slice it, Buffet is making money.

As for apartment investing and the greater economic conditions he mentioned in the quote, seems like solid reasoning, as he is well known for.

If Warren is putting money in something I think people should consider putting money in it too the guy isn't exactly known for losing money

1 Vote

Quote from @Alex Ramirez:

@Colton Hahn could not agree more. Apartments are a recession proof business model if you buy right. When there is a recession, people lose their homes or cannot afford to buy one and apartment demand increases even more. I love commercial mtf because you can control the value of your property. The more money your property generates, the more it is worth. Plus all the tax benefits. There is no better investment in my opinion

People always need a place to live!

0 Votes

All Forum Posts by: Colton Hahn

Colton Hahn has started 5 posts and replied 313 times.

Post: Real Estate Syndication

Post: First Syndication Deal

Post: Best way to use $100,000 cash

Post: what's a good ROI on a deal

Post: I have 450k and want to start obtaining rental properties fast!

Post: What is the End Game

Post: Passive income (dividend funds)

Post: Passive income (dividend funds)

Post: Warren Buffet doubling down on apartments, are you?

Post: Warren Buffet doubling down on apartments, are you?