All Forum Posts by: Stace Caseria

@Erik W. hit it on the head, this is about people. There are good people (who happen to have little money) and there are bad people (who again, happen to have little money). Your job is to know how to tell the difference. Dignity and respect for tenants go a long way, for sure, but make sure you respect your mission as an investor first. It's business. 

Hello @Ki Lee, I'm not sure if I misread that, but you already sold the properties and want to do a 1031, but haven't formally identified the properties? You get only 45 days after sale of existing properties to identify the acquisition property for a 1031. When did you sell the properties and is a qualified intermediary holding the funds?

Chris, I'm in the same boat as you and have wondered about the practicality of this, too. What's kept me back from adding this revenue stream is the concern about, like you said, becoming a system admin. I'm already the IT guy here at home when something goes wrong and it's not a job I like!

I'd be curious to hear from those who do offer it. What's the "critical mass" of tenants to make it worthwhile? What are the common issues? Is it something that is added in to the rent, or added on top?

I second Hennessy's Due Diligence Handbook For Commercial Real Estate. Great insights and easy to follow. It makes sense that people want to get connected with syndicators and jump in as LPs, but you'll want to sound educated when you do. Even knowing the basic terms of syndication is helpful -- Joe Fearless and Theo Hicks do a great job of listing the terms in the back of their Best Ever Apartment Syndication book. 

Like Craig said, you're thinking about this at the exact right time in your life. You'll need a couple things to be successful: experience, education and persistence. Working in the industry in some capacity, like construction, property management, realty sales, can get you some experience. You can find tons of amazing educational resources online and at your library (I still can't believe the valuable lessons people share on their podcasts, blogs, and forums like this). And persistence is something you have to build up. 

A couple books that can get you focused and show you the benefits of REI:

Rich Dad, Poor Dad

Joe Fearless' Best Ever Apartment Syndication book

5 Day Weekend (more about being focused on passive income than just real estate)

Catherine, the first thing I thought of was setbacks, front, back and sides. How much is left for a building envelope once you subtract that? If your set backs are (just making these numbers up based on past experiences), 30ft front and rear, and 15 on each side, what's left? But again, these numbers are assumptions. Your town's zoning dept likely has dimensional requirements online.

If you were to build a garage, could you turn that into monthly revenue? Any where it snows, people like to park in a covered space!

Hi Chris, your commercial tenant may have different, more immediate needs than your residential tenants -- what's their business and hours of operation? And where is the property? We got some snow here in Metrowest the past few days!