Invest return
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Invest return (by David [MO]) Nov 15, 2023 9:25 AM
       Invest return (by tryan [MA]) Nov 15, 2023 9:50 AM
       Invest return (by Ray-N-Pa [PA]) Nov 15, 2023 12:11 PM
       Invest return (by MikeA [TX]) Nov 15, 2023 2:17 PM
       Invest return (by tryan [MA]) Nov 15, 2023 2:28 PM
       Invest return (by Pmh [TX]) Nov 15, 2023 3:30 PM
       Invest return (by Ray-N-Pa [PA]) Nov 15, 2023 4:27 PM
       Invest return (by Bonanza [NC]) Nov 15, 2023 5:48 PM
       Invest return (by Dnb [MA]) Nov 15, 2023 6:04 PM

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Invest return (by David [MO]) Posted on: Nov 15, 2023 9:25 AM
Message:

If you were to be a silent investor in a large, multi family complex, what percent of return would you expect on an investment? Ex. $100k for an even number.

What rate of return would be expected in today’s market, and how would you structure the deal to protect your principle investment?

I understand anything can happen, but curious as to more experience and knowledge that would be beneficial to proceed in this direction or not to proceed?

Thanks in advance. --199.200.xx.xxx




Invest return (by tryan [MA]) Posted on: Nov 15, 2023 9:50 AM
Message:

If I can't see a way to 20%/yr I walk. Some will do better some will do worst. --198.168.xx.xxx




Invest return (by Ray-N-Pa [PA]) Posted on: Nov 15, 2023 12:11 PM
Message:

DSTs are as silent as they get and they are typically class A places. They are paying between 4.5-6% now a days depending on the niche they have. --24.101.xxx.xxx




Invest return (by MikeA [TX]) Posted on: Nov 15, 2023 2:17 PM
Message:

Exactly why I haven't invested in a DST recently. 1) they keep ownership of the physical properties at arms length from investors and 2) their current rates are dismal.

I would want direct fractional ownership of the property or of the corp that owns the property, not like a DST where the property ownership is maintained by the developer and the the DST is in the management company that has the property leased from the owner. Second, I have made on average about 9.5% in the stock market when averaged over the last 25 years. I can't see accepting less than that for RE. My own properties produce in excess of 20% return (with me managing them) so 10% should be doable to investors.

--209.205.xxx.xx




Invest return (by tryan [MA]) Posted on: Nov 15, 2023 2:28 PM
Message:

.... if I am not getting upside from the appreciation the cash is just loosing value (inflation). --198.168.xx.xxx




Invest return (by Pmh [TX]) Posted on: Nov 15, 2023 3:30 PM
Message:

Tryan: you only get benefit of appreciation when sold & hopefully the return is greater than the inflation factored into buy/sell $…I look at cash on cash (discounted) returns. --166.198.xxx.xxx




Invest return (by Ray-N-Pa [PA]) Posted on: Nov 15, 2023 4:27 PM
Message:

David I am hoping you can see that rates of returns vary greatly based on the quality of the place you are investing.

A new construction apartment building along a coast verse buying in a marginalized area. Believe it or not, both places provide an opportunity. Mike is correct that that DST are rather dismal returns but if you had a choice of paying 40 to 50% of what you made in real estate in taxes verse deferring that amount, suddenly that 4% acts more like 8%. Just the same, you shouldn't be jumping for joy at 8% if you are managing it yourself. DST should be considered for tax planning and inflation hedge.

As for passive investing if you are loaning money out, I would expect 10-14% returns between points and interest --24.101.xxx.xxx




Invest return (by Bonanza [NC]) Posted on: Nov 15, 2023 5:48 PM
Message:

Once you cede control of your money, you lose control.

--65.188.xxx.xxx




Invest return (by Dnb [MA]) Posted on: Nov 15, 2023 6:04 PM
Message:

MM accounts are paying 5% and are safe

--71.58.xxx.xxx



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