In a fund model the investor makes his money over time and the economics to the managers are in large part directly tied to the return we achieve for our investorsReduced management time / ability to be hands off – we would suggest that for most accredited investors, the amount of time it takes to properly understand and optimize the performance of the business, even if it can be achieved at all from a long distance and without becoming a specialist, is probably better spent on other activitiesBenefit from greater economies of scale than one can achieve with individual purchases – everything from materials purchasing, rehab crews, property management etc.Advantages on debt – specifically: Funds’ debt is non-recourse to investors whereas individuals’ debt is typically fully recourse to their other assets in a worst case scenarioFor many foreign investors debt leverage is not available at all or not on competitive terms, so this is a particular improvement for foreign investorsEnhanced exit scenarios, specifically becoming attractive as an institutional roll-up, with the better potential exit valuation that may drive vs. a one-by-one sale scenarioWe have bought and managed 2000+ homes in a range of markets for institutional investors in the past few years and so definitely bring best-in-class management experience to the venture.

That could be a pain and will require a complex management system.For the investor looking to continually scale up and buy larger and larger commercial properties, he gets to take advantage of scale with each purchase, and the economics of having a larger investment in one, easier to manage location.The big commercial investor, however, might see disadvantage in that if he continues to scale, each purchase is of a larger and new type.

., you are correct, if I want to be able to scale my impact, I need to find a way to bring money in at some point.

But even without a full-scale repeal, weakening Dodd-Frank won’t be as simple as signing a piece of paper.

But there is no uniformity of rules and regs across cities to allow scaling like that.

Think of risk as a scale- very safe on one end and very risky on the other.

Scaling my current business is my main priority right now, so I don't need the stress of maintaining the RE license at this time.

No way to scale your investments and use each buy as a springboard for the next one.But, if you have no time out there on the west coast, perhaps you're not really interested?

Many people "graduate" from SFH to MFH just based on economy of scale as you ramp up, but I know MM (multi-millionaires) working just fine off the SFH model.

Wheelbarrow Profits Podcast - While they have a variety of different guests, Jame and Gino have several interviews with individuals who have scaled quickly and achieved success in the multi-family arena.