All Forum Posts by: Account Closed

Just got 2nd distribution from Hotel deal on CrowdStreet. $20k qtly Dividend. Not bad!  On track for around $80k dividend for year on a $200k investment. Wife's exact words this morning were "can we do more of those please".

OK so updating my "review" of ProVision. Yes, I am the one that spent $30k. In reality thats not much money for me so I am not even going to complain about that. The information they have is great, and there are some actionable items to take right away. But I think I am a bit too active for them. I often have questions as I am trying to make business deals, buy real estate, etc. It takes them a long time to get back to you and when they do it is super short one liner answers. You ask to get on the schedule for a call and you don't even get a reply. Anyway, great service when you can get it, but I'm over it. $30k was put to use and I am happy with the education and service initially, but follow on is poor, I would give them a 3/10.  Seeking new CPA now.

My guess is Tom Wheelwright got about $25k of that $30k which is why I'm basically just another customer. Not shocking a Rich Dad huckster doesn't actually have anything to do with the products he sells. haha

@Mike Hern

You lost me at the prediction of “sudden change of US President…”

🤦🏻‍♂️ 🛑

@Mike Hern perhaps not a rental but a LOC is widely used by businesses.

 Just pointing out that as of 1/1/2020 the entire state is under rent control standards. See article: California's Rent Control Law - Explained

Wells Fargo has not performed as well as its peers. This may just be that specific bank calling in unprofitable businesses to focus on other efforts. Let's see what JP Morgan / Chase do, they are the leaders in banking. Wells is playing catch up. 

@Vrushal Dongre you can invest as an entity (LLC) but I just went in as an individual. Either way you will get a K-1 issued.

For the tax issue please refer to CPA...but, my experience is that the passive losses will only offset passive gains. So if you have no other passive gains you will not be able to have a passive loss reduce your income. It will simply carryover to later years until you have passive activity gains to offset. So if you think hey I’ll put in $100k and get this huge passive write off it simply is not true. This is misunderstood by most and put out as gospel by idiots like Grant Cardone.

@Lisa Paolella everything exactly as planned so far on the multi family value add. I also recently updated in a student housing value add and a Marriot hotel in Ga. all through CrowdStreet.

Know what you are getting into. If you want cash flow make sure you invest in a project that pays dividends right away. In the case of the student housing there is no dividends until refi at year 2 then a large portion of principal is returned then divideds after that. For the Marriot hotel it’s more of a business, so the dividends are large (up to 16%) but the refi and/or sale only planned to return capital, so most of the profits come to you via monthly dividends.

My point is, look at the different plans and see what you want. If you are already receiving an income and don’t need monthly cash flow you may prefer all the appreciation at the end. If you want your money back faster look for a refi. If you want cash flow heavy look for that. They have lots of choices.

As a follow up I have received first two dividend payments. They were exactly 5% on an annual basis. Sponsor uploads financials around the 15th of the month  and a few paragraphs on what is going on with the project. 

I see a lot of posts about finding PML's but I am looking for information about becoming a PML. I would prefer to actually know or at least meet the borrower. Is that a thing? Where can I go to learn what type of returns are available? Oh and...I'm assuming this is considered Portfolio Income...anyone know for sure?