All Forum Posts by: Ivan Barratt

@Brett Richardson I pay over 6 figures per year in self development. No lie! :)

I have a personal coach, biz coach, personal trainer, spiritual group for men and one for my wife and I together. I'm currently in 3 masterminds. Of all this only one mastermind is mfam related and it's the least expensive one.  The rest are focused on personal growth and development as well as scaling a true B quadrant (see RDPD cash flow quadrant) business.

Could I "do it" without all this? Sure. However; the tools above get me there faster. Wisdom is learning from others' experiences/mistakes.

Real estate education is relatively simple. Mindset, daily discipline, refusal to give up, and having the life (healthy marriage, kids and self) you want is much more difficult in practice and often requires a teachers. :)

Joe Fairless, Rod Khleif, Michael Blank (in no particular order). Look NO further for apt education. Before taking the dive though listen to a great apartment course/video/cd (if they still have those) 10 times. please don't skip this step! You may find your investment in education would be better spent on other areas where you need accountability for improvement. :)

All the best on your journey!

Ivan

Nice @Todd Kruger! Multi-family tends to be more different than single family than I at least realized when jumping from small mfam up to 30 and 60 units. If your expenses are already 50 to 60% of gross and you have a superb asset management team overseeing the employees on site I'd say your good sell some units for cash.

Qualified CPA (perhaps a firm) + Sec Attorney should be able to help you set up the units transfer properly.

All the best! Scaling big is a team sport! Outside equity capital is a necessary ingredient. Steward it wisely, transparently (when things don't go according to plan) and honestly and many issues take care of themselves. :)

@Todd Kruger bringing in an equity partner is probably a good idea vs full blown syndication. Another approach would be to run this thing for a year and see if what you got is really what you think you've got...

First deal right? How long have you owned it?

@Evan Loader 100% agree with @Brian Burkeand the others. Missing 3/15 is a big no no for syndicators wishing to build a strong, long term platform full of repeat investors.  I see it happen a lot out there with new, sloppy, under staffed/capitalized teams who haven't taken the necessary steps to hire top tier accounting firms.  Syndication is a business in every measure. Businesses can't afford to miss tax deadlines. That error would be costlier than mere money!

Great question that doesn't often get asked by LP's but should be!

Any investment takes education! Stocks, Bonds, Private Equity, Real Estate, Gold are all BAD investments IF you don't know what you are doing.  A fool and his money are soon parted.

My advice: evaluate 100 apartment deals before buying one on your own. Do this and you'll know what a good deal looks like.

Couldn't agree more with @John Corey but beware of "asset protection" attorneys trying to sell you overly complex and costly solutions.

For me and my wife we have a holding co that invests however it's more for accounting than anything else. High levels of liability insurance with an umbrella policy on top is, imho better asset protection. :)

@Markus Jackson a couple deals later I syndicated a 60 unit project with several investors. ppm, while perhaps not 100% necessary; became mission critical from my perspective.

When I bought my first 35 unit deal (seems so long ago!lol) I was able to use my sec attorney to simply form a SPE for my $ partners and me. Pre-existing relationship + small deal made it comfortable enough to not go the PPM route. Used PPM once I graduated to big deals and lots of investors.  *Speak with an attorney on this!*

Be careful in Indy brother! Super hyper-local for good duplex deals. 4 plexes are few and far between.  If you can't fly out here and literally drive the blocks I wouldn't take the risk!

Happy Hunting!

The best deals I've done were the ones I passed on vs overpaying! :)

2nd Best: 2.5x net to investors in 3 years on a cash out refi.