All Forum Posts by: Matthew Baltzell

Top Questions to Ask a CRE Broker

from Grant Cardone

If you haven't heard of Grant Cardone, I recommend that you check him out his YouTube channel Real Estate Investing Made Simple and on iTunes at The Cardone Zone or read one of his books. He's a Real Estate Mogul and has been inspiring investors in the CRE industry. He's built up a $566 million portfolio of multi-family properties and isn't slowing down. It's safe to say that he know's a thing or two about the industry and I enjoy hearing his advice.

I’ve comprised the top questions Grant Cardone recommends you ask a Commercial Real Estate Broker. This information is very valuable and can benefit a savvy investor or a beginner.

Top Questions to Ask a CRE Broker:

1. When is the last time that this property traded (Looking for the date)? This information is public record, but it doesn't hurt to ask. It also tell’s you how much the broker knows about the property.
2. What did it trade for ($)? Who traded it (owner)?
3. What’s the upside on this deal?
4. What’s the exit (strategy)?
5. How do I get out?
6. How much money would I spend? (On Value Add, etc.)
7. Would you buy this deal yourself? Would you put your money in?
8. What’s the worse thing that can happen to me in this deal? (He recommend’s to ask this one. Most broker’s wont know how to answer it. You could reframe the question, “If you did know the worse thing, what would you say?”
9. What’s the best thing that can happen to me in the deal?
10. What do you personally like about the deal?
11. What don't you like about the deal?
12. How do you see the deal?
13. How would you underwrite the deal? (How’s the seller looking to structure the contract, Loan to Value, etc.)
14. What’s the distance to the closest Whole Food’s, Starbuck’s, Walmart? (These question’s are good to ask. Properties that are located within a one to two mile radius of Whole foods and Starbucks tend to have a higher property value and bring in a certain type of clientele. This is also true about Walmart. How close is ‘the property’ to a Walmart? There’s a certain type of demographic that shops there and the property value surrounding Walmart reflect that.
15. What’s the school rating? (Parent’s always want what is best for their child. This could be a selling point to move into your multi-family apartment.
16. How would you rate the property location from 1-10? (Come back later in the conversation and ask the same question but different - - - - >
17. If you were to rate the property from a 1-5, what you rate the location? (See if this matches up with their original answer. You might catch them trying to lie to you. Grant does this because if you catch them lying to you once, they will certainly again.)
18. What do you like most about the property?
19. What do you like the least about the property?
20. Other then the price what else would motivate the seller? (Time, Due Diligence, Cash, Assurance to close.)
21. Who is the buyer of the product?
22. How many people are you bidding against? (Grant likes to ask this question to strike and see the interest in the property.)
23. Do you have a favorite buyer at this time?
24. How do I exit this property?
25. In your mind, what is the play on this deal? (Value Add, Buy and Hold, etc.)

Use these questions to help guide you when calling a broker. They aren't the Holly Bible by any means. Like anything you can take the ones the best suite you and overtime you’ll develop your own style when speaking to a broker.

All the Best,

Matthew R. Baltzell

@Michael Bereslavsky Yes, I've been a couple of times. I was in attendance for the month's of December and January. I went one time with my girlfriend as well. 

@Michael Bereslavsky Yes, I would love to sit down and talk to you. Random question, are you in Chiang Mai Toastmasters? I saw your profile picture and you look very familiar.

@Alina Trigub That is a very good idea. I think that would really help the group. Right now, I'm seeing who all is interested and will go from there.

I appreciate your offer to help. I will definitely take you up on that:)

Hello Everyone,

I want to create a Mastermind Group for Commercial Real Estate Beginner's (Multi-Family). I recently listened to the podcast Lifetime Cash Flow Trough Real Estate Investing by Rob Khleif. On episode #219 he interviews Joe Fairless, and asked him about success and why some people aren't successful. Joe's answer, "lack of creativity."

His answer really caused me to stop and think. Lack of creativity...hmmmmmm???

I thought about myself how could I be more creative in my CRE endeavors. I've always wanted to be a part of a CRE Mastermind Group. If the opportunity presented itself, I would join. Well this thought has gone on for too long and not enough action. I've decided to have a paradigm shift from 'sit back and wait' to 'why don't you just create the group yourself?'

So that's exactly what I'm going to do. 

I'm creating a Mastermind Group for Commercial Real Estate Beginner's (Multi-Family).

Details:

• Looking for 4-6 people interested in Multi-Family CRE. **No prior experience necessary, just a strong desire to learn and begin networking**
• Meet once a month via Skype Video Conference Call. Not Location Specific. 
• 60-90 minutes.
• Help each other set Real Estate goals.
• Encourage and support one another.

Let me know if anyone is interested. I think this could be informative and very helpful to a lot of people who are out there looking to get started. I want this group to be as open and welcoming to everyone as possible. Any and all suggestions are welcome. This is just as much my group as it's yours:)

I look forward to hearing your thought's.

Cheers,

Matthew Baltzell

About me: I'm currently residing in Chiang Mai, Thailand and will be here until 2019. Upon which, I'll be coming back to Denver, CO. I've recently taken online CRE courses through UCLA extension, read lot's of books and been listening to podcast's. My prior experience in Real Estate was fixing and flipping homes with my mom until 2008. After that, I left Real Estate until recently. Now, I've discovered Multi-Family, which I seem to have the biggest draw and passion for. My ultimate Real Estate goal is to build a Children's Hospital.

Patrica,

Well done. Keep up all the good work:)