All Forum Posts by: Kent Ritter

I would stay away from using a HELOC to acquire a property unless you have a very clear business plan and a short timeline. HELOCs are good as a bridge if you have a clear out to repay the money like @Bill Boudreau's example.

I agree with @Spencer Gray find a partner to fund all/part of the deal and contribute your sweat equity by finding, closing, and running the deal.

@Justin Wawrzyniak want to make sure you saw this month’s meeting. Hope to see you there. We are meeting monthly.

Join me at January Meeting - Indianapolis Multifamily Investor Meetup

http://meetu.ps/e/HwHFs/MDyR7/a

@Kent Ritter here is the link to the Meetup. It has all the info.

http://meetu.ps/e/HwHFs/MDyR7/a

@Eric Slaughter here is the link. Thanks for asking. I realized I forgot it in the original message.

Life Recovery Center Training Institute

8727 commerce park pl, suite L

Indianapolis IN 46268

Join me at January Meeting - Indianapolis Multifamily Investor Meetup

http://meetu.ps/e/HwHFs/MDyR7/a

I hope you can attend. Please RSVP so I have a count for refreshments.

Best,

Kent

@Amie Lieurance. Cash buyer in Indy - send leads to my partner. [email protected]

The Indianapolis Multifamily Investing Meeting is this Wednesday, 1/15, at 6pm. Pizza and refreshments will be provided. Come hungry and leave full of inspiration, multifamily knowledge, contacts...and oh ya, pizza!

This month we will be reviewing how to build a credibility book to get the attention of brokers and lenders. 

Then we open up the meeting to all of you.  Bring your deals and questions for the group to review. Need advice, analysis help, a second opinion, a contact -broker, lender, contract, property manager, etc.  We will help!

Hi @Andrew Bowlds, I'm interested in seeing what you are selling in Indianapolis. I am buying neglected properties in up and coming neighborhoods. Houses and small multi, <20 units.  Typically paying up to $40K per house/unit.

I'm looking forward to seeing everyone at the event.  In real estate, your network is your most powerful asset, so make sure you are taking the time to nurture it.

My goal is to develop a community of real estate investors who want to share knowledge and build a network to help everyone achieve their goals.  

Whether you are looking for knowledge, advice, deals, funding, lending, partners, etc. you can find it all at our monthly events.

Agenda

Presentation: Each meeting begins with a short presentation from an active real estate professional or attendee.

Share opportunities: Attendees have the opportunity to share deals with the group — maybe you're trying to sell a deal, find a partner, or have questions on a deal under contract.

Business updates: Each person provides a 90-second update on their business goals.

Open floor: Asking questions, networking, closing deals, sharing information and forming business partnerships.

@Ben Leybovich Thanks for asking!

First - I want to thank everyone for their thoughtful responses. I've received a ton of value from you all. @Brian Burke, @Brian Briscoe, @Alina Trigub, @Danny Randazzo, @Taylor L., @Ola Dantis, @Roni E., @Michael Ealy, @Michael Le, @John Fortes,

To sum it up, you want a sponsor who: 

1. Has a track record to know how to manage people and complex processes
2. Has the character and is incentivized to do the right thing
3. Has the financial means to not enter into bad deals just because they need the acquisition fee and to keep the deal afloat during bad times.

Track record is critical – But # of deals is only one metric, and if all of those deals have been done in the past 2 years with no exit, then that might only tell you that the sponsor can offer the highest price.

I think investors need to look at other sources of track record, such as other relevant business experience. We are, at the end of the day, buying cash-flowing businesses.

Has the sponsor successfully run another business, managed people, managed a budget, managed change, and provided positive returns?

Character – I didn’t originally include, but as @Tj Hines brought up - This is the MOST important! This is where the investor should spend time getting to know the sponsor. Do you believe the sponsor feels a moral obligation to do what is right?

What is their WHY? Does he/she have a calling beyond making the most money? Maybe ask for references.

Skin in the game – Alignment of interests is critical. People only do what they are incentivized to do. The best way to make sure the sponsor will act in your best interest is to make sure they are incentivized to do so.

Thanks All!

Kent

@Brian Burke,@Ola Dantis, and Ron Elias thanks for sharing your perspectives!