All Forum Posts by: David Lilley

@Lorenzo Lopez speaking from experience, there is no reason why you can't do it, but you will likely not get 30k a month in cash flow in 5 years of syndicating. You could definitely make that amount or more annually, but in this business, the real money is made when you buy or sell. 

Put 10 years in and you probably could retire. If you start your own firm, I would plan on 60-70 hour weeks for the first 5 years or so. 

@Lisa Burns if you don't know that you want it now, then don't do it. Real estate is not as easy as some may make it seem. 

We buy MF in Dallas. Avg. 40% IRR since inception.

 100%. Cap rates are relevant to the disposition only. The only thing I would disagree with is going in cap rates are a sensitive subject for equity right now, so it must be taken into account.

My firm beats the returns of all these groups. 40% Avg. IRR. Give us a look. ReapCap dot com.

@Ran-D Baldwin pick a MF sponsor that you can invest with who is open to you being slightly more active than passive. Learn as much as you can from them and add-value. Being successful in this game is all about relationships, and that will be the fastest way to meet the right people. 

@Stephen Upham you may be thinking about this the wrong way. Assuming you are the one managing this property and you are not collecting a management fee for doing so, you have to ask yourself what your time is worth. It is possible (depending on the size of the property) that they will provide enough value to offset their expense, but it is not likely. 

How many units total do you have? You have owned these for a long time; have you thought about selling and investing in an asset that is less hands on e.g. NNN properties?

@Adam Harris do what you can to provide value to the investment in your feedback. The biggest risk in an investment right now is not having enough cash to weather the storm; bashing them on social media will only make that worse. I understand you may want to warn others, but that could be detrimental to your investment. 

We are facing very severe headwinds across the board in CRE right now. You signed on the dotted line. Try to help, not hurt.

@Laramie Allen I wouldn't pay off your mortgage (it's cheap money) unless you are retirement age and peace of mind is top priority for you. Financial advisors are a waste of money. Take Warren Buffett's advice, if you don't know what to do and have no time to figure it out, put your money in an S&P 500 index fund and let it sit. You won't get eaten up by fees from a wealth manager, and over the long term it will yield about 10% a year. When he dies, this is where he has directed his estate to be invested. 

If you plan to actively invest your money, make sure you have experience in whatever venture you decide. If you don't, find someone who does to guide you. 

@Jeremy Altdorfer what returns are your SFHs producing? My most profitable deals have been the purchase of my primary residences, but I was using a VA loan and there is no way to scale that. I think smaller deals do have more potential for upside, generally (I'm talking equity multiple), but at some point, it will not be worth your time. It's not difficult to find a $10-40m deal that will 2x your equity in 5 years.