How To Find Real Estate Deals for Investment
by Christopher Levarek
“Succeeding in business is all about Making Connections.”
- Richard Branson
Did you know there are over $12.1 trillion dollars in retirement accounts through Mutual funds alone. That’s no paltry sum!
It is one of the largest destinations of investment capital by the W2 earner or “average” American. It begs the question however, why do the majority of the working class invest solely into a 401k or IRA?
Why not real estate? Comparatively, returns from real estate investment are easier to understand and real estate holds lucrative tax benefits, has compounding appreciation(market or forced) bonuses and benefits from the power of leverage.
So why is it that mutual funds, for the working class, take the cake so to speak? The answer is simple, because many are not aware of or know how to find real estate deals. Specifically as a passive investment, finding real estate deals is not obvious. One does not simply look up Fidelity or Vanguard funds and click a checkbox to divert W2 earned dollars.
Today, I’d like to show how to find real estate deals for investment. It is easier then you think and far more lucrative. We will most notably focus on real estate syndication but the method of finding opportunities is the same on various investment types in real estate.
Note, the goal is not to persuade you the reader in either direction. However, by the end of this article, you should be able to make the choice where you invest your capital and not solely choose the default route if desired.
What are the Various Types of Real Estate Investment?
If you’ve read any of are other articles, you might know that there are varying forms of real estate syndication, the pooling of investors and managing partners to purchase large commercial real estate. Investing into such large deals mitigates risk, increases return potential and allows for a greater passive role as an investor.
Real estate syndication deals are found for a variety of property types such as apartments, self-storage facilities, mobile home parks, land development deals, student housing and even senior living facilities. These are large acquisitions which require many investors to accomplish and represent the bulk of passive investment or investors in real estate.
Where can I find Real Estate Syndication Deals?
Finding real estate investment opportunities is easier then you might think. In fact they are everywhere if you know how to look for them. However, being an accredited investor or a non-accredited investor will make all the difference on how to find them. Here are methods for both:
Accredited Investor (Experienced Investor or High Income Earner)
Online - Most real estate investment opportunities for accredited investors are publicly advertised. This means they are found on Google, social media and even traditional advertisements. Search in Google for “real estate syndication opportunities” or “real estate syndication investment” to get started.
Online Platforms - Large online REIT platforms such as RealtyMogul, FundRise and Crowdstreet offer easy low barrier entry investment options. Note, there are differences between investing into a REIT and a real estate syndication, see the differences here.
Non-Accredited and Accredited Investor
Online - Networking - For both accredited and non-accredited investors, networking is by far the best method to find a syndication deal or group of interest. Investors can use platforms such as BiggerPockets to learn about groups and connect with other investors who’ve invested in their deals.
To get started, just sign up for a free account, begin searching and even add yours truly as a contact. Use keywords like “real estate syndication group” or “real estate syndication opportunity”.
Start writing down the names or groups that speak on the topic. Reach out to get acquainted and see what deals they offer.
In-Person - Networking - Investors can attend various meetups local to them to connect with possible groups offering deals for investment. This can be a good way to meet face to face and truly vet the deal or offerer.
Look for meetups on Meetup.com or Biggerpockets/events.
Or attend some conferences on real estate to connect in person with syndication groups. Search in Google or Biggerpockets for “real estate conference” or “multifamily real estate conference” for example.
Online - Podcasts and Blogs - Many syndication groups have podcasts or blogs to reach a larger audience. Not only will these help you find any deals offered by these groups, you can quickly see who is the real deal by reading their blog or listening to their podcast.
Again you can search straight on Apple podcasts for example for keywords relating to syndication/investment or in Google for blogs on the same topic.
Online - Investors can use deal vetting websites or sources to quickly find multiple syndication groups. These platforms are established to provide information on syndication groups and assist with the due diligence of the group. A few known sources include sites like Verivest , Leftfieldinvestors and the more commonly known Real Estate Crowd Funding Review .
In Final
Hopefully you learned some new and creative ways on how to find real estate deals for investment. Once you join the right networks, it becomes quickly apparent just how many real estate opportunities are out there. I personally see at least 2-3 real estate syndication deals a week from various sponsors because of my network and business. Imagine having that many opportunities and groups to sift and sort through!
The opportunities are out there, you just have to know where to look. Perhaps even start right here with an open investment opportunity at Valkere Investment Group by clicking the button below.