When we looked at the loans that remained which they were selling (we run a note fund) many were worthless as they were sold at tax sale or had taxes owed greater than property values.Many of the assets they acquired were in very bad and poverty stricken areas (which they have another fund called skid row…) so tells you types of assets they invest in.This sucks for someone like me because this puts a huge black eye on the rest of us

It really highlights the value of having strong partnerships, effective marketing, and a sharp eye for profitable properties.One takeaway here is the importance of leveraging connections and networks to identify similar quick-turnaround opportunities.

Which is its a low cap rate deal, you might need to put 40% down in order to meet the banks DSCR loan covenant. 

If you can arrange a visit to see how the tenant is taking care of their current place, that will open your eyes as well.

Also, keep an eye on local zoning and landlord-tenant laws—they can vary quite a bit.

Managing real estate, and doing it well, is an entirely different story.I would keep your eyes open for a book that teaches you how to manage well.

Some folks want a seat at the table and real control, while others prefer to be passive.. letting the sponsor do the heavy lifting.From what I read in The Economist, some markets (like Phoenix) are experiencing fresh pockets of growth in multifamily, so it’s definitely worth exploring if you’re eyeing future expansion.

That kind of shoot-from-the-hip approach can be fun for a minute, but it usually ends up like my old buddy Rick’s first deal.. he bought a distressed fourplex in Tucson years back without a real plan, and while he eventually turned it into a solid monthly cash flow, he spent the first six months sleeping with one eye on the tenant ledger, praying the HVAC wouldn’t bail on him after a hot desert day.

That allows me to show ROI from both a cash flow perspective as well as total ROI (cash flow + debt paydown) when compared with the estimated equity.The results were eye opening... there's a few on there that I'm likely selling off as a result of that exercise and a few others I'm going to do a cash out on.

Quote from @Jaycee Greene: @Shaylynn O'Leary well, that's at least someone with "eyes and ears" in the actual market.