Our Growth in 2021 – Deciding to Invest for the First Time

first passive real estate investment is the focus of this guide for passive real estate investors. First, it highlights the main idea behind the topic. However, It also outlines the risks and questions worth reviewing. As a result, you can approach the discussion with a clearer framework.

What to know about first passive real estate investment

In 2021 we have already had over 2,000 new investors visit our PassiveInvesting.com website. Also, enter their information to join the Passive Investor Club. However, This means that our Passive Investor Club has grown over 195% in just 8 short months.

In addition, This surge in the number of investors has certainly allowed us to raise a. In addition, significant amount of additional capital to grow our portfolio of multifamily. Also, self-storage facilities across the southeast as well as our real estate debt fund.

This year our group has already raised $102mil+ between our multifamily assets, the real estate debt fund. Also, our growing self-storage fund. For example, This is a 167% increase in the amount of capital raised from just 2020. See figure 1 above.

As we continue to grow our investor base, one of the things you will notice is. In addition, that our offerings will be filling up faster. As one of our prior investors, you will need to commit to invest much faster than in the past. Otherwise you risk missing out on the future investments.

What this means for investors

Meanwhile, We currently have 1,448 active investors in our offerings. As a result, An active investor is someone that has made the decision to invest with us. Also, they have wired money to us in one of our offerings.

To date, we have raised $199mil since we began in 2018 with an average investment amount. In addition, of $137k+ from our active investors.

Investing for the First Time

In addition, The one interesting stat for me, is that we currently have 4,099 members that have joined. In addition, the Passive Investor Club to date. However, This means only 35% of the members have taken the plunge to invest alongside us. In addition, in one of our offerings.

Now, don’t get me wrong here, I am extremely overwhelmed by the response from our active investors. However, I thought I would write this article specifically to those that have NOT invested with us just yet.

And I get it, right. Most of you are not going to be introduced to us for the first time. Also, then decide to invest in our very next offering. There is a phase where you will want to follow us. Also, see the results that our other investors are achieving before trusting us.

Questions to ask before acting

But there is a point in time where you have been following us long enough. Also, now you start seeing some of our solid exits that we acquired years ago.

Then FOMO (fear of missing out) sets in, and you are ready to take the plunge. Also, ride an investment offering alongside us.

I also understand that many of you are just not ready to take on the risks and invest with us. And that’s ok. In addition, This may be due to lack of access to capital, lack of confidence in our group. Too many upcoming large expenses, fear of losing your money. Or a myriad of other reasons that you conjure up in your mind to convince yourself. In addition, not to invest in the current offering.

My encouragement to you is to “take the plunge”. Also, make the decision to finally invest with us in the latter half of 2021. For example, You won’t be able to change your current situation until you make a decision. In addition, to take on some risk to grow your net worth. As you likely already know, real estate is a great wealth preservation. Also, growth tool to have a major impact on future generations.

Risks and tradeoffs to review

How to Invest for the First Time

Step 1: When you receive that email or offering booklet in the mail. Take time to review the materials carefully and make sure it is the right investment for you.

Step 2: Watch the webinar on the offering to further investigate. Also, hear from the managing partners about the business plan and strategy for growing your investment with the offering.

Step 3: Submit your first soft reserve commitment. As a result, This is basically raising your hand to us. Also, letting us know that you have the capital available and are ready to invest. Meanwhile, This is not a hard commitment. However, This will allow you to receive the PPM (private placement memorandum) documents to review.

Step 4: Review the PPM and submit any questions to our team for clarification on any. In addition, points addressed within these documents. Don’t get too overwhelmed by the 150+ page PPM as it is mostly legal jargon that. In addition, our attorney feels is important for us to include. Also, it also includes the 50+ page investor offering memorandum document. For example, This you have already reviewed prior to making the decision to invest.

Practical next steps

Step 5: Sign the PPM and submit your accredited investor verification document. In addition, This is something that your CPA, attorney, or financial advisor can submit. Or you can use our 3rd party verification service. If using your own professional, we have a template letter that they can use to speed up the process. If using our 3rd party provider, there is no cost to you. Also, we will receive the document from them once you complete the process with them.

Step 6: Wire funds to the bank account for the specific entity setup for the offering. These funds will sit in this account until the day we close on the asset.

Step 7: Receive an email on the day we close. For example, This email will also include an Investor Guide to inform you of what to. In addition, expect moving forward with the investment including the communication schedule, schedule K-1 timing, monthly distribution timing, etc.

As a result, You Now Have Decision to Make

Now you know what to expect. I know it might sound like a lot of steps. However, it really is not that time-consuming or hard to execute at all.

What this means for investors

Once you have the system down it shouldn’t take more than about 15-20 min to complete all the steps. Except maybe the accreditation process. However, once you do that with our group once, the accreditation letter is good for 5 years. Therefore, subsequent investments will go much faster.

So, the decision you need to make here is: “Will I invest in the next offering?”

Go ahead and take some time to continue to think about it. As a result, The next offering is around the corner. Therefore, you have a little time to make up your mind.

If you need a little more convincing, you can always reach out to our team. Also, we can provide you with specific references from our current, active investors that have invested in multiple offerings.

NOTE: If you are an active investor, have invested in multiple offerings. Also, would be willing to talk to an investor who has not invested yet and maybe on-the-fence. Please send me an email so we can add you to our investor reference list. Meanwhile, This is always a great help because some investors like to check references prior to investing.

Questions to ask before acting

Thank you to all our trusted investors, and we look forward to helping you grow your. In addition, family’s wealth for many years to come. God bless!

Key takeaways for first passive real estate investment

• Start with the goal and timeline that fit your wider financial plan.
• Next, review the assumptions, risks, fees, and possible outcomes.
• Finally, compare the opportunity with other ways to use your capital.

Put first passive real estate investment in context

Core ideas for first passive real estate investment

Every investment decision depends on the investor, the deal, and the market. Therefore, use the ideas above as a starting point for deeper due diligence. Review source documents, ask direct questions, and seek qualified advice when needed. For more guidance, explore our passive real estate investing education.

A clear review of first passive real estate investment

first passive real estate investment deserves a clear and practical review. These short checks can support a more informed decision.

• Start with a clear goal.
• Next, define the time horizon.
• Review each key assumption.
• Compare the likely outcomes.
• Test a less favorable case.
• Ask who controls each decision.
• Confirm the fees and incentives.
• Study the market and the deal.
• Check the supporting documents.
• Look for clear communication.
• Compare other choices.
• Keep the full plan in view.
• Write down the main risks.
• Review the source of returns.
• Check the exit assumptions.
• Understand the tax questions.
• Consider the need for liquidity.
• Match the choice to your goals.
• Ask direct follow-up questions.
• Confirm the reporting process.
• Review the operating plan.
• Check the team’s experience.
• Compare the best and worst cases.
• Keep expectations realistic.
• Use qualified advice when needed.
• Document the final decision.
• Review the decision over time.
• Watch for changing conditions.
• Stay focused on the long term.
• Finally, act with a clear reason.

A practical review of Our Growth in 2021 – Deciding to Invest for the First Time

First, define the goal for this decision. Next, write down the result you expect. Then, identify the facts that support that result. Finally, note any facts that could change your view.

For example, compare the likely return with the main risks. In addition, check the timeline and the amount of control you will have. However, do not rely on one attractive number. Instead, review the assumptions behind every estimate.

Before you act, ask who will manage the work. Also, confirm how that team will report progress. If conditions change, decide how the plan can adapt. As a result, you can judge the opportunity with more confidence.

Moreover, compare this choice with realistic alternatives. For instance, consider liquidity, taxes, fees, and timing. Likewise, review the downside as closely as the upside. Therefore, your final decision can reflect both your goals and your limits.

In short, use a clear process. First, gather the facts. Next, test the plan. Then, ask direct questions. Finally, choose only when the answers support your strategy.