We'd love to hear from you. What are your thoughts and questions?
Pili Yarusi loves to help people and “Lead with Aloha”. She is a founder and the Investor Education and Relations Director for Yarusi Holdings, a multifamily investment firm that has acquired over 3500 units since 2016. Pili is a co-founder and coach at 7 Figure Multifamily - focusing on Real Estate Syndication and Multifamily Investing and trains others on the success formula for buying apartment buildings Pili is a co-host of The Multifamily Live Podcast, providing actionable content and tools to build and strengthen your multifamily business.
Main point:
What is passive investing in real estate, and how does that differ from most people’s perceptions about real estate investing?
How does passive investing in a real estate syndication differ from investing in a single-family home?
What is the secret tool for using 401Ks and IRAs to build our retirement portfolios?
What are the major factors to consider before making any passive investment?
- Investment goals
- Risk Tolerance
- Capital Commitment (how much capital do you have to commit)
- Diversification – can act as a hedge against stock market volatility & offer portfolio stability
- Tax implication
What common myths do we often hear regarding alternative investing, particularly passive real estate investing?
- Myth 1: alternative investments are only for the ultra-wealthy
- Myth 2: Alternative investments are highly risky
- Myth 3: Alternative investments lack transparency
Does Wall Street actually protect your investments?
- Liability coverage
- Property damage coverage
- Business interruption insurance
- Commercial Insurance for Assurance
How does an investor know when they are ready to become a passive real estate investor?
- Have all the potential cash-needing situations in your life covered, you can invest with confidence
- Okay, having someone else take the reins.
- You’re looking for a long-term investment
- Sharing returns in exchange for less work is attractive to you
What are some ways to use passive real estate investing to diversify our investment portfolios?
- Investment type – Wall Street & most wealth advisors tell us to allocate 60^ to stocks and 40% to bonds. Not very diversified, and more stocks are more stocks, not diversification. Investing in RE diversifies.
- Different asset classes
- Different locations
- Invest in many opportunities
Why is the demand for apartment living growing?
- Changing demographics: millennials – burdened with student loan debt and/or seeking flexibility. Boomers are downsizing and seeking maintenance-free lifestyles and proximity to amenities
- Flexibility and mobility
- Lifestyle preferences
- Affordability & cost of homeownership
What are some quick tips but often overlooked Investing tips for creating a brighter future?
- Establish a financial plan based on where you are and on your goals.
- Start saving and investing today
- Build a diversified portfolio based on your tolerance for risk.
- Evaluate your portfolio regularly
- Ignore the noise
What is the most important stamp of approval provided to a syndicator that provides reassurance to a passive investor? Lender
What are the 5 primary investor metrics that passive investors need to know and understand?
- Cash-on-cash
- Average Annual Return
- IRR
- Equity multiplier
- Cap rates
Connect with Pili Yarusi:
- https://www.7figuremultifamily.com/