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2 contributions to Apartment Investing Secrets
Welcome to our Skool Group
Here are several things you can get out of our Skool group and why this is a whole lot better than Facebook groups: 1. All the posts are visible to everyone; on FB, your post is not visible to everyone 2. It's easier to NETWORK with people (check out Members section) 3. It's easier to LEARN/ get educated (check out Classroom section) - on FB, the GUIDES have limited features and FILES are separate. Here on Skool, they're both under Classroom. By the way, we have uploaded over 12 hours of educational videos and will upload more (again, check the Classroom section) 4. The Calendar shows EVENTS and you can even add them into your google calendar 5. Skool also rewards members who are ACTIVE in the group through Leaderboards. The more you post valuable stuff, the more you comment and provide answers to people's questions, the higher your "points" become and the more credible you become So please post your questions, help everyone here and network.
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New comment Apr '23
2 likes • Mar '23
Thank you for creating content on this platform! Much appreciated
I Don't Buy Apartment Buildings for Cashflow What???!!!
I don't buy apartment buildings to convert my or my investors' capital to cashflow. Why? The returns are too little especially as mortgage interest rates rise. I mean, a $1M apartment building with a 5% cap means it only produces $50K/yr in income. You might as well invest in bonds. If you use debt at 7%, then you're now upside down. Instead, I buy apartment buildings with the strategy of increasing its VALUE. The nice thing about this strategy is that the only way for me to increase the value of the apartment building is by increasing its net operating income. Higher NOI means higher cashflow. By doing this, me and my investors are getting paid handsomely (10-12% cash on cash) while we wait to sell the property 5 years down the road. By doing this, we were able to achieve sometimes as high as 3x equity multiple in some of my apartment buildings. That means per every $1M invested, we got $3M back. That's how apartment buildings beat bond returns, even stock market returns. . . . . . . . . . . . . Information presented is for educational purposes only and is not intended as, or may not be relied upon as tax, legal, investment or real estate advice. Consult your tax, legal, investment or real estate professional before investing. Information presented is not an offering.
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New comment Apr '23
I Don't Buy Apartment Buildings for Cashflow What???!!!
2 likes • Mar '23
Excellent! Do you reserve cash flow to pay out dividends to your investors in the interim? Between the purchase and the sale or refinance ?
1 like • Mar '23
@Mike Ealy thank you sir!
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Sylvia Cordes
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15points to level up
@sylvia-cordes-5322
I love to meet new people. Enthusiasm is my middle name!

Active 441d ago
Joined Mar 14, 2023
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