
10 May 2024 | 7 replies
Here are the key points:Reasons to participate in the capital call:It may allow the property time to stabilize and potentially sell within 24 months at a better price, avoiding a significant loss of LP-invested equity if forced to sell now in an inopportune market1.The additional capital can cover costs like rate caps and allow renovations to resume, which could help increase revenue and better position the property1.The operating agreement likely outlines the terms of the capital call that LPs agreed to2.Reasons to be cautious about participating:Capital calls can indicate the investment is not as sound as originally thought and is potentially at risk2.There is uncertainty around whether the additional capital will be enough to turn things around, especially if interest rates remain high and the market stays challenging for longer than expected4.LPs need to carefully consider if they would invest in the deal now based on the current facts, rather than just trying to avoid a loss on their initial investment4.Other important points:LPs should review the operating agreement, seek professional advice from their attorney, and ask the general partners detailed questions about the capital call2.If an LP is unable to contribute to a mandatory capital call, they may be considered in default and only entitled to the return of their remaining capital account balance, with no further distributions5.In summary, whether an LP should participate in a capital call depends on their individual assessment of the risks versus potential upside after carefully reviewing the deal specifics and getting advice from professionals.

10 May 2024 | 5 replies
I strongly believe in the potential of the real estate market to create promising opportunities for all.

10 May 2024 | 3 replies
I have a new rental property and the tenants have complained about packages potentially being stolen if theyre not home.

10 May 2024 | 2 replies
I have been reaching out to potential sellers for the past few weeks in my local market.

10 May 2024 | 23 replies
I'm willing to bet 99.9% of them have never been involved in excavating for a foundation, preparing the forms, footings, ensuring the underground plumbing is set up correctly, and pouring a brand new foundation into the Earth.Good luck!

10 May 2024 | 6 replies
By making extra payments or paying more than the required amount, the borrower can accelerate the repayment schedule and potentially save on interest costs over the life of the loan.

11 May 2024 | 10 replies
I know in the sense that you’re referring to this being your personal house with your personal belongings, but even potential renters are disrespectful of other peoples houses.If it’s muddy outside, don’t be shocked if they don’t walk around the outside first before going on the inside without taking off their shoes at the door.

10 May 2024 | 13 replies
Would it be too expensive to formulate potential future plan for entire parcel, then determine if that small part of it where house is now can be built now, potentially making the whole thing more valuable if/when time comes to sell, partner with someone or develop yourself?

9 May 2024 | 2 replies
If you are getting significantly lower on the ARM option - probably a good bet
10 May 2024 | 4 replies
My primary focus lies in commercial and multi-family properties, as they offer great potential for investment.