All Forum Posts by: Matthew Baltzell

@Owen Brown What's your investment criteria when looking for apartments? 

It's important to have this established first to help narrow your focus 

Example:

1. Purchase Price
2. Unit Count
3. Type of Investment (value add, etc)
4. Vintage

*These are just a few, but it's up to the investor to determine what's most important to them. 

As stated before Price Per Door will vary from market to market (ie Miami to Jacksonville).

@Ryan Alexander What do the comps look like in the surrounding area? 

Vintage? 

What's your investment criteria when looking for deals?

@Nicole Flakes check out Commercial Real Estate Investing 101: How Small Investors Can Get Started and Make It Big. 

This is a good place to start. 

@Zackarias Aitchison as @Theo Hicks mentioned you will want to add value to a syndicator wether that's money, etc.

Let's assume you want to go the FREE route.

As mentioned before, you'll want to target a syndicator who's actively doing deals and then add value.

Value Add Ideas:

1. Social Media- a lot of syndicators are lacking in this area. Like prior posts and leave engaging comments on all posts. Syndicators will take a notice to people who are constantly commenting on their post's. This includes blog posts on websites as well. In fact this could be a better approach because the comments are less and yours will stand out. 

Over time, reach out and then offer your services for free to the syndicator

2. Underwriting- Speak with a syndicator and ask them what their investment criteria is. Then when you come across a deal that fits, underwrite the deal and present it to them. 

3. Capital- Every syndicator is always on the hunt for capital. If you're able to bring some to the deal, you will definitely stand out.

4. Podcasts- Help book the syndicator on other real estate, entrepreneur, and business podcasts.

The point of this is to always be adding value. Then after you've added value and have developed a relationship, it might be appropriate to ask about a mentorship.

Just remember, value, value, value. Make it more about them and less about you and you should be golden. 

I have some more ideas as well. Let me know if you're interested. 

@Michael Li you don't have to be an accredited investor to invest in large multi-family deals. It all depends on how the deal is structured. 

As @Michael Dang mentioned you could be a sophisticated investor in a 506 B offer, but you would have to be an accredited investor to invest in a 506 C offering. 

Both of these are SEC registered securities.

However, if you weren't raising money and had other partners you wouldn't have to jump through the SEC regulations and could structure a deal differently which in turn would allow you to invest in larger deals without having to be an accredited investor.

@Chase Louderback thanks for the s/o. @Chris Murdien I'll take a look at it. Message me and we can talk details. 

@Kevin Giraldo that's great you want to invest out of state. You'll probably find better returns and Florida more landlord friendly than New York.

Out of curiosity, why did you pick Orland, FL? Was there a particular metric that you liked?

The reason I ask is, investing out of state requires a lot more of work. You'll really want to know the numbers and why YOU (not other investors) think it's a good investment.

What's good for one man isn't good for another. 

You'll also want to know your investment criteria to help narrow down specifics. Example: Purchase price, vintage, unit count, type of asset, etc. 

@I Duda How many units are you looking to acquire?

@Dean Attali I hear where you're coming from in theory, but I think there are a lot of factors to consider.

1. Why do you have a line of credit? Is it for a rainy day or  did you get one to invest?

2. What is the equity multiple of the syndication?

3. How often are distributions through the syndication, monthly or quarterly?

• You should take this into account. Say it's quarterly, as soon as you use that money, you'll begin accruing interest on it. When would you make payments to the credit line? Quarterly?

4. You MUST remember your money will be tied up for the entire holding period. If something were to go wrong, you could really put yourself in a bind?

5. Biggest thing to consider is what type of return are you looking for? 

With all that said, I think only you can make this decision. 

Best of luck:)

@Sean McKee use the sales comps like @Bjorik Mutize mentioned. Contact the broker to get the latest list. This will give you a better idea and will be less confusing.