I’m on vacation in upstate New York, and I’ve been ignoring Facebook for a week. I logged in today to approve new members into my free Multifamily group, and immediately got this question: “I found a great deal. How do I get the 20% down to close it?”
The honest reply? “You won’t.”
See, if the first time you ever ask yourself the question, “How do I get the money to close?” is after you found a deal, you’re like the guy who waited until he was dying of thirst to start digging his well.
He will drop dead of thirst long before he hits water.
Most people will give up at this point, or they will try this useless strategy: going to real estate meetups and conferences — the very place where investors are surrounded by newbies in the industry — looking for the money.
Only one Hail Mary play can work for a newbie in this situation… You have to find an experienced syndicator who already has a list of investors, and bring the property to them, in return for a piece of the deal.
This will only work in one of two ways:
- If it’s a publicly marketed broker deal, you must control the deal under contract.
- It must be a true off-market deal that the syndicator had no way of knowing about. If the deal was on a broker list or Loopnet (the place bad deals go to die), the syndicator will not be interested.
The chances of a newbie, full of vinegar after attending some guru’s free seminar, finding a true off-market deal are only slightly better than an ice sculpture’s day of surviving an August day in Texas.
Better for you to slow down, partner, and learn you some fundamentals like…
- How to speak like an investor, so brokers, lenders, and experienced investors will pay attention to you
- How to analyze deals so you’ll actually know a deal is a good one
- How to dig your investor well long before you need investors, so you can actually fund your deal
- How much money you’ll actually need to get in soft commitments — and get over the finish line when you actually have a deal
- The things you need to know after the deal — the heart and soul of multifamily real estate investment, and how to ensure your good deals don’t turn into money-sucking despair pits
- All the work you need to do that the gurus won’t talk about; they live off aspirations and lofty ideals, but here we do the work to make things happen
Has this blog post piqued your interest? Are you ready to get this information into your hands and change your life?
Along with my free Facebook group here you can learn all this for real when you join my Multifamily Launchpad program… Here’s the waitlist if you want to get in and catch all the details before it opens again next month: www.mflwaitlist.com