Build
Passive Income streams
from
Multifamily Apartment
Investing
Delphine Nguyen
What do the rich know about investing in real estate that the rest of us don't? Is creating passive cash flow from multifamily apartment investing possible for me? How?
We will share with you everything we know about real estate investing, especially apartment or multifamily syndication: How it works, what we invest in, where we invest, how we vet the sponsors, how we protect ourselves, what our returns on investment look like, etc.
Whether you are a new or an experienced investor, we can always learn from each other and invest in each other to build wealth together.
What is multifamily syndication?
An apartment syndication is the pooling of capital from multiple investors that will be used to buy an apartment building and execute the project’s business plan, which is mainly to make money on the investment.
The pooling of capital enables acquiring larger projects than an individual or small group could do on her/their own. At the same time, investing with a pool spreads out the risks, which are always there with any investment.
The structure of a typical syndication is simple. It consists of the General Partners or Sponsors (Syndicators) and the Limited Partners or Passive Investors.
Jump to:
Get a FREE CONSULTATION with Delphine
Let's discuss your investment opportunities.
Is passive multifamily Apartment Investing right for you?
There are two types of multifamily apartment investing that you can choose from.
The first is owning shares in a company that owns commercial real estate. You do not specifically own any piece of property from the company's portfolio. REITs or Real Estate Investment Trust is an example of this.
The second type is owning portions of the commercial real estate through a syndication. In this model, you also have the opportunity to vet the deal then decide if it's right for you to invest in.
As for us, the experience with the second type is great! Let's take this quiz to find out the difference and see which one is right for you.
"Real estate investing, even on a very small scale, remains a tried and true means of building an individual's cash flow and wealth."
Robert Kiyosaki
"Rich Dad Poor Dad" author and American Real Estate Investor
Our whys....
Buying and renting single family homes was our first real estate investment model. We bought, renovated, rented out, refinanced the property — then we repeated the cycle. It worked well for us, but managing multiple properties in different locations proved to be a challenge and eventually proved too tiring. Do you agree with me that we need to have time to do the things we love, such as traveling, golfing, painting, cooking, etc.? The more single family properties we purchased, the busier we became. Our "young ladies" need more food, more "taxi services", and more quality time with Mom and Dad. With these needs in mind, we decided to find a better way while still staying in real estate.
Henry and I realized that in order to get us moving faster towards our goal of financial freedom we should look towards multifamily apartment investing. We can scale, reduce the risk, increase our cash flow and appreciation value, and still have time to dedicate to ourselves and our children.
Luckily, our girls, now in high school, are also interested in real estate investing. We learn, share, and solve problems together. The conversations we have about building our passive income streams never feel like work but have become a part of our family culture. Our daughters are a part of our “why”s and our biggest supporters.
More of our stories..
Read my blog....
“You’ve learned the lessons well. You first learned to live on less than you earn. Next you learned to seek advice from those who are competent. Lastly, you’ve learned to make gold work for you.''
George S. Clason - The Richest Man in Babylon
How does passively investing in multifamily syndication work?
Once the syndication uses the pooled money received from passive investors and possibly their own money (called "skin in the game") to acquire the multifamily apartment building, the General Partners start to do the work and the passive investor/limited partners receive their monthly cash flow checks shortly thereafter. After 5-7-years once the property has appreciated in value, both groups receive the final check from the property sale.
