All Forum Posts by: Hunter Kahn

Hunter, with no experience and asking the questions you're asking, a start in larger multi-family may be a leap you're not quite ready for. I suggest you find someone already doing what you want to do and see how you can add value to their team. Learn from them while doing deals with them. It's a learn while you earn model. Take a small role and dig in. In 2-3 years you could be up and running on your own. There are a lot of moving parts in multifamily.

I appreciate the advice Josh! It may be out of my scope and believe me I don't want to be the arrogant new-guy who gets smoked right out the gate. The reason I started aiming my efforts at multifamily is twofold. The first reason is exactly what you said, I've been working on the side with a gentleman who is doing exactly that for the exact same reasons I'm looking to start building my RE portfolio. Secondly, with my W-2 I have almost about a third of the year off. So my hope was that I can use that time to really dig deep into it. But again, I really don't want to fall victim to arrogance. Do you think, with what I've stated above, that such a strategy is too risky? Is it feasible? I'm having trouble determining this on my own.

My opinion is that this would be a miracle if it worked out well for you to jump into large multi with no experience. But if your going to go for it, I hope you surprise us all.
I think if you want to be serious about a large multi family deal, you need to consider a partner with experience. The gentlemen you work with on the side may be a good connection for this.
Having an experienced partner will help you avoid learning a few things the hard way and it will make getting the financing easier. Getting financing on something like what I am imagining you are aiming for generally requires that you prove some past success to qualify.
Doing what was suggested, underwrite everything remotely interesting, will help you find a truly good deal. When you find that deal, you run the numbers by the potential partner and get their take. Bringing a good deal to the table is a significant contribution and someone with experience should see it that way as well.

Thanks Rob! That insight is great and exactly what I need to hear right now.

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Quote from @Account Closed:

Quote from @Hunter Kahn:

Hi All!

I'm brand new to all of this and I'm hoping some of you could help me figure out how to find deals and get practice in with underwriting. I've been doing my homework as far as books, articles, videos, and podcasts go. But I just don't think I'll start feeling confident until I get some practice in.

Where I'm at now; my strategy is to start big with commercial multifamily in Kansas City, MO, and the surrounding area. This is out of state for me so house-hacking is out of the question. I know one realtor and I've reached out to a broker in the area who has begun to send me deals on a weekly basis but I'm not sure how to get other information like the T-12 or rent roll after seeing the initial information available on what I'm seeing, or what the next steps are receiving these documents.

Any resources or information you may be able to provide is greatly appreciated and I thank you in advance!

There are a couple of multifamily guys that sell their underwriting spreadsheets. You might want to check around. A couple of things to know: most large multifamily are syndications. To set up a syndication is around $15,000 in legal fees. That's before you find investors and usually before you find a property. Almost all large multifamily are sold through brokers. So, get to know commercial brokers.

Most brokers of a real multifamily opportunities won't send you actual information if they think you can't close. To convince them you can close, you have to prove you have investors behind you. One of the investors for the syndication needs to have a net worth equal to the loan amount.

It usually makes sense to invest first in someone else's deal to begin to understand how it works and to make contacts.

That's exceptionally helpful Ken. Thank you so much for that!

1 Vote

Quote from @Julien Jeannot:

@Hunter Kahn

I'd start underwriting everything that peaks your interest. The more your practice underwritten, the more you'll start to figure out where the deals are.

Hey Julien, I appreciate the advise! Any advice on how to check my work after I've underwritten a property? Sounds like popular consensus is to ask people you know to check on it. I have a mentor and a realtor friend who I think would be willing to check my work. I also just reached out to another broker about this. I'm wondering if having a lender in the boat as well would provide good additional insight? Let me know your thoughts! Thanks!

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Quote from @Joshua Christensen:

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Quote from @Nicholas L.:

Why not house hack where you live then

A lot of the information and conversations I've had on the market here in Denver have led me to be pretty pessimistic about the idea of it. Though, if you feel differently, I'd be happy to hear out why.

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Hi All!

Any resources or information you may be able to provide is greatly appreciated and I thank you in advance!

3 Votes

All Forum Posts by: Hunter Kahn

Hunter Kahn has started 4 posts and replied 16 times.

Post: Advice for a Newbie?... Deal finding & Underwriting

Post: Advice for a Newbie?... Deal finding & Underwriting

Post: Advice for a Newbie?... Deal finding & Underwriting

Post: Advice for a Newbie?... Deal finding & Underwriting

Post: Advice for a Newbie?... Deal finding & Underwriting

Post: Advice for a Newbie?... Deal finding & Underwriting