All Forum Posts by: James Nix

 BAM gets off market deals because of our reputation. Generally to get off market deals of that size you have to be an established, well known buyer in a market. Big off market deals go to the biggest players who are known for closing on big properties

@James Nix generally, a commercial real estate broker is the best source for larger assets.

However, I have bought several deals using direct mail and this process is definitely a long game. I bought a 1,000 unit deal using a combo of direct mail, emails, and calling the seller. It took me 2 years, but I was persistent as I knew there was a good deal to be had.

I sourced the asset using Yardi Matrix which has the owner's contact information. When the property is in an LLC, you have to skip trace to get to the actual owner.

@James Nix Multifamily deals - especially ones 32 units and larger - are usually sourced from brokers. These brokers control a majority of the deal flow in the commercial and multifamily space. People who want to sell larger multifamily properties typically don't want to sell 'off-market' because they can usually get more for the property by listing it with a broker. 

Contrasting this with residential off-market deals, in which you usually have a distressed seller with a distressed property who just wants to be done with the property. Maybe they inherited it and don't want to deal with it, or its a couple going through a divorce and they need to sell it quickly. It's not common to find an owner of a large commercial property who is distressed in the same way and just needs to sell quickly at a massive discount. I'm sure it happens but its just not as common as the residential space. 

Your best bet to finding larger MF deals is building broker relationships!

Good luck and keep us updated on your journey!

There are three types of multifamily
1. 1 - 4 units
2. 5 - 65 units
3. More than 65 units

Buying 1 -4 units is very similar to single family

Buying 5 - 65 units means you are likely to self-manage because usually there isn't enough left over every month to pay someone to manage the roperty

Buying over 65 units usually means you can hire someone to manage for you

With training you can be a lead in a syndication that buys 65 + unit apartments. Joining the groups that teach you how to buy multi-family runs around $30,000 to join and usually takes a couple of years to gain the knowledge and credibility amongst other investors to get enough momentum going, to buy a property. You need to meet lots of brokers because almost all of these apartment sales are controlled by brokers who specialize in large apartments and they want to see your credentials and ability to close. The paperwork to create a syndication runs $10,000 to $15,000 before you start soliciting accredited investors.

Or, you can be a "passive" which means you invest $50,000 or more into a syndication to join in the fun.

You may want to listen to Ken McElroy who started from nothing and now has tens of thousands of units with Kiyosaki. It's free to learn the basics and theory.

If you didn't catch the misspelling of "property" in line 7 you aren't ready for multi-property investing. It is detail oriented investing with a lot of paperwork and contracts you have to read and understand or you get sued.

@Charlie MacPherson :  File an insurance claim, on the small roof leak that he showed pictures of!? ... Ummmm, yeah... o - k ... That sounds like a GREAT idea! ... NOT!!!   What are you thinking (or smoking)!?  LMAO

@Jerry V.  I know you are a contractor but would you give someone an estimate and stick to that estimate if you didn't know the extent of the damage?  

Maybe filing a claim before you understand the extent of the damage is a little bit of jumping the gun. 

But the whole reason that you use insurance is to transfer the risk of having to pay for everything out of pocket.  

@James Nix you should definitely weigh your options of whether or not to file the insurance claim.  hopefully you have a good relationship with your insurance agent and can rely on their industry specific knowledge and experience for the advice you need.