For Investors Looking at Deals Online
Sign up to receive real estate education for beginner and advanced investors alike and to gain early access to investment opportunities.
Real Estate Investing Explained With Support from SmallChange PREFERRED RETURN There are a couple key things that real estate developers offer to entice you to invest with them; one is a share of the profits of a project, and the other is what is called the ‘preferred return,’ the ‘pref.’ You can think of the pref being similar to the interest that you get with your bank deposits, except that in a bank it’s…Read More
Real Estate Investing Explained With Support from SmallChange ACCREDITED INVESTOR Some real estate crowdfunding opportunities require that you are an ACCREDITED INVESTOR to participate and this episode looks at what that is exactly. Technically it means anyone that has earned $200,000 or more for each of the last two consecutive years with a reasonable chance of earning the same this year, or $300,000 if you are filing as a married couple, or $1 million…Read More
Real Estate Investing Explained With Support from SmallChange OPPORTUNITY ZONES In the Tax Cuts and Jobs Act of 2017 there was a bipartisan section that created ‘Opportunity Zones.’ Opportunity Zones provide for incentives to investors to invest in economically distressed areas around the country by permitting them to defer or completely avoid capital gains tax no matter where those capital gains taxes come from. Watch this episode to learn how you can benefit from…Read More
Real Estate Investing Explained With Support from SmallChange LOAN TO VALUE vs. LOAN TO COST When a sponsor goes out and buys a piece of real estate they will be financing it with two key components of capital. One is going to be debt that they’re going to get from the bank and the other is going to be equity that they’re going to be asking you for. Debt, when it is placed on…Read More
Real Estate Investing Explained With Support from SmallChange MAIN PROJECT COSTS In this episode talk about the TOTAL COSTS that are inherent in any real estate project. There are basically three main categories; acquisition costs, hard costs, and soft costs. Acquisition costs would be the purchase of a piece of land or an existing building, hard costs include the physical costs of construction or renovation, and soft costs are costs like design services, architectural,…Read More
Real Estate Investing Explained With Support from SmallChange INTERNAL RATE OF RETURN I In real estate, the acronym ‘IRR’ stands for the Internal Rate of Return and it is commonly used by sponsors to illustrate how strong their project is going to be by projecting out in time how much they predict the project is going to make. But what is the IRR exactly and what are the pros and cons of using it?…Read More
Real Estate Investing Explained With Support from SmallChange INTERNAL RATE OF RETURN II In this episode on IRR, you are going to learn how to use this incredibly complicated and difficult to understand concept really easily in order to be able to compare one deal against another and, also how to compare one sponsor against another. You will see how to understand how much a sponsor is taking out of the project and how…Read More
Real Estate Investing Explained With Support from SmallChange NET OPERATING INCOME – NOI In this episode you will learn about the NET OPERATING INCOME which is probably the most important number of any that you’re going to find in a real estate deal. Why? Because it effectively defines ongoing profits that come from a building and in so doing drives everything else. Be sure to click the link below where you can get a…Read More
FREE Real estate syndication education and insight newsletter. Subscribe now.