Where To Find Equity Partners
I am a Newbie and need some help/info. Where is a good place to find equity partners that would be willing to bring 100% of the capital into a multifamily deal in Texas.
The cashflow and equity (upon resale) split would be 60% for them and 40% for me.
Thanks.
What is your part in the deal?What experience do you have? Do you have details on the deal? If you are asking someone that has no experience but the cash or credit to get your deal done to work with someone and take that kind of risk for someone with little or no experience is going to be a tough sell
This is the million $$ question.
Networking w/ high net worth people has been the best luck for me.
I have been introduced to some private equity funds as well.
Try a commercial hard money lender. They also have contacts.
I am in a similar situation. I am looking for someone to do a limited partnership on a multi-family. The deal would be structured to pay them 8%-10% on their money and 60% of any after expense cashflow. I would provide the financing for the deal with my credit.
Does this seem like a fair deal? Or am I asking to much?
Find a good deal first. If you got the network, finding a good deal should be your main concern. Money is attracted to good deals. If the operator is less experienced, he/she must make up for it with the quality of the deal (increased return/less risk, etc.). Also, consider partnering with an experienced operator for your first deal or two.
Best,
jon.
Contact Info deleted.
John (LV)
TCI Moderator[ Edited by jfmlv1950 on Date 04/09/2009 ]
http://www.propbot.com/Comparable-index.html
Choose Residential For Rent.
Also start with just the bedrooms and the zipcode. Then expand/constrain your results by adding/taking away criteria.
HTH
http://www.zilpy.com
also try craigslist if it is in your area.[ Edited by d_random on Date 01/22/2009 ]
www.rentometer.com
It depends.
If you dealing w/ a complicated issue like water right, and if the lot is buildable or not, I go them involved sooner.
On a generic purchase of a 6.5M REO, I did get them involved until much later when I need their help getting an intro to the bank. The bank was a firm client.
Some attys will want to be involved from day one, other defer it to "Chet, ASK when you need help, and I go off on my own.