All Forum Posts by: John Casmon

A SNEAK PEEK OF WHAT YOU’LL DISCOVER AT THIS CAPITAL-RAISING WORKSHOP:

• THE RIGHT MINDSET TO SCALE & RAISE CAPITAL
• HOW TO TELL INVESTORS YOUR SAGA
• MILLION-DOLLAR MEETINGS AND NEXT STEPS
• ADDRESS INVESTOR CONCERNS INSTANTLY
• THE APPROACH FOR GETTING THE COMMITMENT
• FORMULATING AN INVESTOR SUCCESS PLAN

ARE YOU ONE OF THEM?

Who’s Capital Raising concerns fall into one of three buckets

1. I DON’T HAVE THE NETWORK TO RAISE MONEY
2. I DON’T WANT TO ASK FRIENDS OR FAMILY FOR MONEY
3. I DON’T HAVE THE EDUCATION OR KNOWLEDGE TO FEEL COMFORTABLE RAISING CAPITAL

These concerns are common for new real estate investors, but here’s a little secret. You don’t have to ask friends and family for money. In fact, during this workshop, we will show you how to build your confidence and knowledge to attract money for apartment deals.

YOUR INSTRUCTOR- JOHN CASMON:

John Casmon launched Casmon Capital Group to help busy professionals invest in real estate without taking on a second job. He has helped families invest in over $100M in multifamily apartments to create passive income, reduce tax obligations, and foster generational wealth. John hosts the Multifamily Insights podcast.

The event covers a wide range of topics from residential, commercial, short-term rentals, flipping, multifamily, syndications, private lending, passive investing, and more. A few speakers include Tarl Yarber, Brandon Schlicter (Investment Joy on YouTube), Rashauna Scott, and Mike Ealy. 

 I have a number of contacts in Chicago, but looks like you got that covered. In Cleveland, I would start with some of the big firms (Marcus and Millichap, CBRE, etc) and look for advisors or associate level brokers.

@Claudia Jaeger You need to consider the tax implications for the move as well. If you've owned for less than a year, you will be taxed at the ordinary income level, and that could wipe out a significant portion of profits. With that said, if you go commercial, you could see some other benefits, especially since you are a real estate professional. 

Hey @Bill Muchow, our investors use Midland IRA and IRA Club.

No one knows, but since we're all guessing, I'll throw mine out there. 

I expect the market outcome to differ between residential and commercial housing. The lending environment has remained stringent and COVID enticed people to sell that would not have sold otherwise. I'd expect inventory to remain tight and demand to remain high, even with higher interest rates. Where else will people want to invest their money?

Residential is a different story.

If you are brand new, you need to focus on education first. I'm not sure if you have the capital for your deals or if you need partners for that, but I would suggest listening to podcasts focused on apartment investing and reading books. Also, look for local multifamily meetups. You can't learn everything in a post and even if I detailed step-by-step, you wouldn't be ready for that level of detail. It would be like drinking water out of a fire hydrant. 

The strategy works but you need to ask the next question. How do you mitigate risk when using this strategy? Here are three things to consider:

1. Buy low and ensure a healthy spread - You'll want a sizable gap from your all-in costs to your ARV
2. Have plenty of reserves - You won't have ANY cash flow coming in so you'll need plenty of cash on hand
3. Understand refi terms - how long does the lender want the property to be stabilized before they let you refinance?

Good luck!

Some great responses thus far. I'll re-iterate the importance of clarifying your criteria. Not just on the location and property, but time commitment for management and whether you want to self-manage. If you are playing the long-term game, focusing on cash-flowing properties in areas that are likely to appreciate over time is a wise-strategy. I'd also encourage you to network with other investors at local events. @John Warren hosts a group for investors in the suburbs and I host one in the city, along with @Nicole Valenzuela and RJ de Leon.   

Hey @Ricardo Louis, what markets do you invest in? Are you primarily looking for someone to advise you or do you want this person to bring more to the table? Happy to chat more.