Edified Equity

Edified Equity Podcast

Episode 16: Live Where You Love Invest Where it Makes Sense

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

Where oh where to invest?

A major challenge investors have is deciding on the location. I mean who hasn’t heard someone say “Location, Location, Location” when discussing real estate? It’s true, location is a crucial component of the overall investment because oftentimes it drives the returns.

While buying in your backyard may seem, and be, convenient it’s definitely not always the best of ideas. I’m not saying you can’t buy in your back yard but when you live in a market that’s not in the right cycle, yield is low, economy isn’t diverse, and cap rates are compressed it’s super difficult to find a real deal.

Keep in mind, we underwrite very conservatively – like worst-case scenario – to be safe. Again, it’s NOT impossible to buy a stone’s throw away BUT if the conditions aren’t right it’s very difficult given our conservative underwriting process. Further, I’m/we’re not willing to overpay and put our team of Operators and our Passive Co-Owner Partners at risk. We don’t gamble and do a deal just to do a deal. No, No, NO - We are Investors and we Invest! We carry a fiduciary responsibility as stewards of our partners’ equity and we take that very seriously.

Personally, I too fell into the trap of trying to buy in my backyard. I have no regrets as the experience wasn’t “all for nothing”… I learned a ton and developed quality relationships. Being in the RED HOT market that Denver is, I decided to do what most other successful syndicators were doing and living where I love while investing where it made sense. Nowadays many investors are looking for deals outside their backyard and, if you have an experienced team at the helm, there’s absolutely no reason to be geographically constrained.

So, literally, the multimillion dollar question is - where DOES it make sense?

Not that this is an all-inclusive method; BUT, a really good start would be to rate markets based on 3 criteria.

Criteria # 1: “High-Yield”

Typically you are looking for secondary markets that offer higher yields.

“High-Yield” properties have higher cash on cash returns and higher cap rates.

Criteria # 2: “Market Cycle”

If we look at the market cycle as being broken up in to 4 cycles… You want areas that are in recovery and expansion. Try to avoid hypersupply and recession (unless it’s on the tail end and on the cusps of recovery).

Criteria # 3: “Path of Progress”

You want markets that have increasing population and diverse employment opportunities aka the “Path of Progress”.

There are detailed reports that will help you find target markets, among others, we have used Marcus and Millichap’s National Apartment Report, Milken’s Best Performing Cities, and The IRR Viewpoint Report. Further, Reis, CoStar, and Yardi Matrix provide topnotch, comprehensive, commercial real estate data/intelligence that’s extremely useful for analyzing target and potential markets at a micro and macro level.

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

Edified Equity Podcast

Episode 16: Live Where You Love Invest Where it Makes Sense

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

Where oh where to invest?

A major challenge investors have is deciding on the location. I mean who hasn’t heard someone say “Location, Location, Location” when discussing real estate? It’s true, location is a crucial component of the overall investment because oftentimes it drives the returns.

While buying in your backyard may seem, and be, convenient it’s definitely not always the best of ideas. I’m not saying you can’t buy in your back yard but when you live in a market that’s not in the right cycle, yield is low, economy isn’t diverse, and cap rates are compressed it’s super difficult to find a real deal.

Keep in mind, we underwrite very conservatively – like worst-case scenario – to be safe. Again, it’s NOT impossible to buy a stone’s throw away BUT if the conditions aren’t right it’s very difficult given our conservative underwriting process. Further, I’m/we’re not willing to overpay and put our team of Operators and our Passive Co-Owner Partners at risk. We don’t gamble and do a deal just to do a deal. No, No, NO - We are Investors and we Invest! We carry a fiduciary responsibility as stewards of our partners’ equity and we take that very seriously.

Personally, I too fell into the trap of trying to buy in my backyard. I have no regrets as the experience wasn’t “all for nothing”… I learned a ton and developed quality relationships. Being in the RED HOT market that Denver is, I decided to do what most other successful syndicators were doing and living where I love while investing where it made sense. Nowadays many investors are looking for deals outside their backyard and, if you have an experienced team at the helm, there’s absolutely no reason to be geographically constrained.

So, literally, the multimillion dollar question is - where DOES it make sense?

Not that this is an all-inclusive method; BUT, a really good start would be to rate markets based on 3 criteria.

Criteria # 1: “High-Yield”

Typically you are looking for secondary markets that offer higher yields.

“High-Yield” properties have higher cash on cash returns and higher cap rates.

Criteria # 2: “Market Cycle”

If we look at the market cycle as being broken up in to 4 cycles… You want areas that are in recovery and expansion. Try to avoid hypersupply and recession (unless it’s on the tail end and on the cusps of recovery).

Criteria # 3: “Path of Progress”

You want markets that have increasing population and diverse employment opportunities aka the “Path of Progress”.

There are detailed reports that will help you find target markets, among others, we have used Marcus and Millichap’s National Apartment Report, Milken’s Best Performing Cities, and The IRR Viewpoint Report. Further, Reis, CoStar, and Yardi Matrix provide topnotch, comprehensive, commercial real estate data/intelligence that’s extremely useful for analyzing target and potential markets at a micro and macro level.

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

Edified Equity Podcast

Episode 15: Dino Pierce CEO of Edified Equity Expert Interview on Multifamily (Apartment Community) Syndication

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

I hope you found this information helpful. Whether you are here for the education, entertainment, or If you, or someone you know, has a problem finding the right place to invest their money - please help them by sharing this info.

I don’t have anything to sell BUT I AM on a mission and I will be delivering quality consultative content on a routine basis!

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

To Your Wealth,

Dino

#multifamilyinvestments #impactinvesting #trust #relationships #longgame #apartments #syndications #equity #directinvestments #cashflow #appreciation #taxshelter #solo401kinvesting #selfdirectedira #passiveincome #alternativeinvestments #highnetworthindividuals #familyoffice #generationalwealth #trusts #privatemoney #privateequity #duediligence #cashflow #realestate #realestateinvestor #realestatelife #realestateinvesting #legacy #legacyplanning #ROI #multifamily #multifamilyinvesting #investing #investor #investment #entrepreneur #entrepreneurlife #entrepreneurship #hardassets #apartments #apartmentinvesting #financialfreedom #gratitude

Edified Equity Podcast

Episode 15: Dino Pierce CEO of Edified Equity Expert Interview on Multifamily (Apartment Community) Syndication

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

I hope you found this information helpful. Whether you are here for the education, entertainment, or If you, or someone you know, has a problem finding the right place to invest their money - please help them by sharing this info.

I don’t have anything to sell BUT I AM on a mission and I will be delivering quality consultative content on a routine basis!

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

To Your Wealth,

Dino

#multifamilyinvestments #impactinvesting #trust #relationships #longgame #apartments #syndications #equity #directinvestments #cashflow #appreciation #taxshelter #solo401kinvesting #selfdirectedira #passiveincome #alternativeinvestments #highnetworthindividuals #familyoffice #generationalwealth #trusts #privatemoney #privateequity #duediligence #cashflow #realestate #realestateinvestor #realestatelife #realestateinvesting #legacy #legacyplanning #ROI #multifamily #multifamilyinvesting #investing #investor #investment #entrepreneur #entrepreneurlife #entrepreneurship #hardassets #apartments #apartmentinvesting #financialfreedom #gratitude

Edified Equity Podcast

Episode 14: The 3 Areas of Trust That are Needed for Collaboration Regarding a Direct Investment in an Multifamily (Apartment Community) Syndication

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

3 Areas of Trust That are Needed for Collaboration Regarding a Direct Investment in an Multifamily (Apartment Community) Syndication

As a General Partner with experience in offering Equity Investors’ an opportunity to collaborate on Direct Investments in Multifamily (Apartment Community) Syndications and an Equity Investor myself; I’ve found that there are 3 primary areas that have to have a significant amount of Trust in place before making a direct investment.

1) Trust in the Asset Class and Investment Space.

When an Equity Investor has trust in an asset class and investment space they will be on the lookout for Deal Flow. If someone has made their fortune in stock market, through a high earning specialty field, by taking a company public, or by owning businesses that aren’t related to the Multifamily space they may be alarmed to see the returns being offered to the Equity partners. I have run into this while seeking Equity partners for my Multifamily Investment opportunities. A Chief Financial Officer (CFO) once opened up and shared with me “returns like these scare me”. The returns were industry standard, nothing to be alarmed by, and a product of conservative underwriting. This person didn’t have experience, knowledge, or trust in the space. They had more trust in the stock market, a much more risky and volatile, yet familiar, investment vehicle. Conversely, I’ve had Equity partners look at the same opportunity and were delighted to see the returns and split structure because they had trust and familiarity in the space.

2) Trust in the General Partners/Operating Team.

As stated earlier, when an Equity Investor has trust in an asset class they will be on the lookout for Deal Flow but not from everyone under the sun. If an Equity investor doesn’t genuinely know and believe in the executives that are in charge of running and overseeing the day to day operations, they may have Trust in the Asset Class but feel uncomfortable co-investing in an opportunity. I’ve run into this myself as an Equity investor looking to put self-directed 401K funds to work. I’m disqualified from placing those types of funds in my own investments; however, I 100% trust the space. Personally, I didn’t know enough about the Operating Team and therefore didn’t feel comfortable making the investment.

3) Trust in the Deal Specific Direct Investment Opportunity.

Once someone has trust in the space and operating team they can then start to look at the Deal Specific Direct Investment Opportunities a team has to offer. At this point things like the underwriting, business plan, market cycle, debt, number of units, fee allocation, experience in the market, location, landlord/tenant laws, taxes, and returns will be the area of focus.

Being genuinely interested in educating others on B and C class Multifamily (Apartment Communities) as an Asset Class Investment as a whole; I’ve found that taking the long game approa

Edified Equity Podcast

Episode 14: The 3 Areas of Trust That are Needed for Collaboration Regarding a Direct Investment in an Multifamily (Apartment Community) Syndication

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

3 Areas of Trust That are Needed for Collaboration Regarding a Direct Investment in an Multifamily (Apartment Community) Syndication

As a General Partner with experience in offering Equity Investors’ an opportunity to collaborate on Direct Investments in Multifamily (Apartment Community) Syndications and an Equity Investor myself; I’ve found that there are 3 primary areas that have to have a significant amount of Trust in place before making a direct investment.

1) Trust in the Asset Class and Investment Space.

When an Equity Investor has trust in an asset class and investment space they will be on the lookout for Deal Flow. If someone has made their fortune in stock market, through a high earning specialty field, by taking a company public, or by owning businesses that aren’t related to the Multifamily space they may be alarmed to see the returns being offered to the Equity partners. I have run into this while seeking Equity partners for my Multifamily Investment opportunities. A Chief Financial Officer (CFO) once opened up and shared with me “returns like these scare me”. The returns were industry standard, nothing to be alarmed by, and a product of conservative underwriting. This person didn’t have experience, knowledge, or trust in the space. They had more trust in the stock market, a much more risky and volatile, yet familiar, investment vehicle. Conversely, I’ve had Equity partners look at the same opportunity and were delighted to see the returns and split structure because they had trust and familiarity in the space.

2) Trust in the General Partners/Operating Team.

As stated earlier, when an Equity Investor has trust in an asset class they will be on the lookout for Deal Flow but not from everyone under the sun. If an Equity investor doesn’t genuinely know and believe in the executives that are in charge of running and overseeing the day to day operations, they may have Trust in the Asset Class but feel uncomfortable co-investing in an opportunity. I’ve run into this myself as an Equity investor looking to put self-directed 401K funds to work. I’m disqualified from placing those types of funds in my own investments; however, I 100% trust the space. Personally, I didn’t know enough about the Operating Team and therefore didn’t feel comfortable making the investment.

3) Trust in the Deal Specific Direct Investment Opportunity.

Once someone has trust in the space and operating team they can then start to look at the Deal Specific Direct Investment Opportunities a team has to offer. At this point things like the underwriting, business plan, market cycle, debt, number of units, fee allocation, experience in the market, location, landlord/tenant laws, taxes, and returns will be the area of focus.

Being genuinely interested in educating others on B and C class Multifamily (Apartment Communities) as an Asset Class Investment as a whole; I’ve found that taking the long game approa

I, Sincerely, Hope this 65 sec video inspires you to subscribe & plug-into this complimentary quality, consultative, & educational content.

I encourage you to share it with, tell, & help a friend too!

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, LinkedIn, & Bigger Pockets Blog.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/…/podcast/dino-pierce/id1381283719…

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passi

I, Sincerely, Hope this 65 sec video inspires you to subscribe & plug-into this complimentary quality, consultative, & educational content.

I encourage you to share it with, tell, & help a friend too!

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, LinkedIn, & Bigger Pockets Blog.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/…/podcast/dino-pierce/id1381283719…

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passi

Edified Equity Podcast

Episode 13: Let the Numbers, Expertise, and Experience Drive the Deal!

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

Numbers, Expertise, and Experience Drive the Deal!

As a passive co-owner and equity partner you should vet your team and ensure there's a seasoned, experienced, and highly skilled Operator on the General Partnership side with ample experience and "let it ride" on their knowledge, wisdom, and proficient expertise!

When a skilled group of operators underwrite a deal they'll evaluate it from every possible angle. Likewise, they'll stress test it to see how the property would perform in the worst possible conditions.

The primary objectives are to decide whether or not they have a prospective deal on their hands. If they do, they'll want to determine at what purchase price is it a deal so they can make their offer. You've heard it before "don't get emotional" when purchasing real estate, let the numbers drive the deal. Ultimately your team needs to draw the line somewhere and know at a deep level exactly what's the most they can pay for the asset.

I hope you found this information helpful. Whether you are here for the education, entertainment, or If you, or someone you know, has a problem finding the right place to invest their money - please help them by sharing this info.

I don’t have anything to sell BUT I AM on a mission and I will be delivering quality consultative content on a routine basis!

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

To Your Wealth,

Dino

Edified Equity Podcast

Episode 12: Apartment Syndication as a Direct Investment!

Show Notes:

Welcome to the Edified Equity Podcast!

My Name’s Dino and Here we will focus on all of the unique Benefits associated with being a Passive Equity Investor in an Apartment Syndication.

You can learn more about us on the Web, iTunes, Stitcher, FB, YouTube, & Bigger Pockets Blog. All associated links will be in the show notes.

Associated Links!

Edified Equity Website:

http://www.edifiedequity.com/

Edified Equity Podcast iTunes:

https://itunes.apple.com/us/podcast/dino-pierce/id1381283719?mt=2

Edified Equity Podcast Stitcher:

http://www.stitcher.com/s?fid=185852&refid=stpr

Edified Equity Facebook Group:

https://www.facebook.com/groups/MultifamilyPassiveCashFlow//

Edified Equity YouTube Channel:

https://www.youtube.com/channel/UCiTMeHhVXIMgCujDzXTxkww

Bigger Pockets Blog:

https://www.biggerpockets.com/blogs/10726-benefits-multifamily-passive-investors

Direct Investments vs. Stock Market

Undoubtedly the premier alternative with respect to savvy investors

The public market is undoubtedly volatile, inconsistent, and up-and-down.

After experiencing the stock market crash in 2008 countless investors don't really feel safe and secure having their money there.

Further, they don't care to pay out high and oftentimes concealed fund management fees.

Last but not least, they sense, generally, there is a lack of transparency, ambiguity towards the investment, and also a lack of control.

Class action lawsuit CEO blatantly lied about earning

Conversely:

In MF While there are Market shifts and corrections we have the right asset to weather a storm.

Between the operating agree, subscript agree, and PPM we are ultra-transparent in regards to splits. Further, they are more than fair oftentimes when talking to an investor and discussing the split they can’t believe how in favor of the investor the entire deal is structured.

They know exactly what they are investing into and co-investing in.

The GP team has an immense amount of control over the outcome through operations and carrying out the business plan.

For those reasons direct investments as an equity partner, in an apartment syndication, is very desirable, welcomed, and refreshing.

I hope you found this information helpful. Whether you are here for the education, entertainment, or If you, or someone you know, has a problem finding the right place to invest their money - please help them by sharing this info.

I don’t have anything to sell BUT I AM on a mission and I will be delivering quality consultative content on a routine basis!

Thanks for Tuning in-

Make it a great day - you certainly deserve it!

To Your Wealth,

Dino