“What makes you different?”

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This is one of my favorite questions, and it rarely gets asked in that pure form. It often takes the form of something more technical or logical, but often I sense that this is the underlying question. One of my many goals in my role as Investor Relations Consultant is to discern what the question behind the question for our investors is.

While there are three key questions (yes, there is an article series brewing), the title question is crucially important. We intuitively ask and answer this question all the time, and the quality of our answer, to a great degree, determines how effective we are in business. Because what do you really want to know? Why should you invest your hard-earned money with us versus the guy down the street? So, let me answer the question you may not have even asked, but really want the answer to… 

What makes us different?

We’re aligned. We’re invested right alongside our investors. We don’t win unless you, our investor, wins. Our managing partners invest in every single asset we present to you, as do many of our team members, and, as you saw last month, I’m in the process of becoming accredited so I can do the same.

We’re cautious. Everyone will say this. “Conservative underwriting” is a favorite claim among syndicators. You have to dig a little deeper to really know what that means. Are they underwriting for a refinance mid-cycle? We don’t. What kind of operating reserves do they carry? Not the lender mandatory holdbacks, or COVID-19 reserves. How much cash is actually in the bank in reserves? Do they stress test? How low can occupancy go and still meet debt service and expense obligations? What’s the demographic makeup of their resident base? Do they even know? Are their residents overrepresented in one industry, sector, or company? We do thorough research for each deal we present to you. 

We’re engaged. You see this in everything we do. I was recently corresponding with an investor, and he was comparing us to one of the largest players in our space, and by far the loudest, he said, “the payouts with ______ have been consistent. BUT I would say I probably would not put money with them again. Low cash on cash return, only like 4%, and that’s two years in. Communication and updates don’t compare to you guys.

… To be honest, I would prefer to just continue putting the majority of my investments with PassiveInvesting.com. Your team is incredible, I have a high trust level… I also really like the attempt to do 1031 exchange options in the future, which I think is pretty rare for operators to do.”

We have a full-time team of 12 dedicated to making your passive investing experience as profitable and peaceful as possible. We’re proactive, responsive, and hands-on at each of our assets.

We’re long term. One of my favorite quotes is by a guy named Naval Ravikant who advises in business & investing (and life). It says to “play long term games with long term people.” The goal of each of our managing partners is to build wealth alongside our investors for decades to come. Legacy wealth. We’re not flipping houses or looking to make a quick buck. We’re in this for the long haul, and our strategy and criteria look well out into the future.

Investing in peace of mind.

One of my favorite performance indicators for our group is repeat investors. We did a quick study on the investor makeup of our Riverside Flats deal that closed in December. 62% of the investors that invested in that asset were repeat investors, and are invested in at least two, if not more of our assets.

The true benefit to you: peace of mind. There are a lot of places to invest your hard-earned money. When you invest with us, you can trust that hard-earned money is being stewarded well. That 62% figure tells me we are consistently doing the right things.