Added: 3 years ago
From: sansmt33
Views: 4,021
Sort by time | Sort by thread (beta)

Link to this comment:

Share to:

All Comments (14)

Sign In or Sign Up now to post a comment!
  • Real Estate Development and Property Flipping are two completely different things. This video is mislabeled.

  • @msuwolfe Correct. And there's also a HUGE, HUGE difference between Real Estate Developers and Real Estate AGENTS -- one requires a boatload of cash to even start, the other basically requires a HS or GED diploma and passing some braindead real estate agent exam; they're basically on the same level as used car salesmen and insurance salesmen. You need AT LEAST -- well I actually don't know but I would SUSPECT that you need AT LEAST $50M liquid to do your first RED project =)

  • @uruberrr Developers don't necessarily have to have any money in the deal. They just need to have access to capital. In fact, as a proportion of the total capital stack, developers usually have a relatively low amount of equity in deals. Usually it's equity partners or tax credit equity or mezz debt, although that market is nowhere near what it was.

  • @msuwolfe I said to START you need a lot of liquid cash. My first project, which will begin as soon as this 'impending impending' civil&criminal case materializes then completes, will provide (rightly) enough liquid cash for me to begin. This will be in the millions =)

  • @uruberrr Again, to START, all you need is ACCESS to capital, i.e. debt or someone else's equity. Fee developers don't have any skin the deal, and anyone with the knowledge of how to do it can start today if he comes across the opportunity. You don't have to go big w/ your first project, nor do you need a legal judgment windfall to create a project. Do an small, old abandoned apartment rehab and leverage historic tax credits for your equity. Millions simply aren't needed to do development.

  • @msuwolfe You don't need millions, but you need a LOT of money to start. It think you're confusing this with residential real estate, which may even be an 'agent'. I'm talking about Commercial Real Estate Development which requires A LOT of liquid cash. This isn't like opening a medium-business and trying to get a loan or trying to start a company and getting angel investors etc. To have "access to capital" you already would have to prove reliability i.e., enough cash to begin with

  • @uruberrr Look man. I've got a Masters of Real Estate Development and I'm currently working on a $110M mixed use development. I'm not confusing anything. I'm just letting you know that there's such a thing as developers that don't invest their own money. Commercial developers. You need to learn about creative financing, public incentives, and equity sources.

  • @msuwolfe No offense, but given what you've said so far I question the validity of the first part of your comment. Even if it is true that to START you need "access to capital", you need -- well, capital to begin with. If I want a loan or money for ANYTHING and never were late for a payment in my life, and I run to the bank or some VC firm for "access to capital" they'd laugh me out of the room unless I had the blueprint for the next Microsoft or Facebook.

    I will be a $500M+ RED =)

  • @msuwolfe It'd be like this: Me: "Hi, uhhh, I need $100K please." Loan institution/loan rep: "For what, please?" Me: "Well, I read on youtube from someone that you need "access to capital" and I want to start my first RED project." Loan institution/loan rep: "...and who are you?" Me: " someone who read that with no money to start, all I need is "access to capital", so here I am.

    *roaring laughter*

  • @uruberrr If that's how you would go about it, then yeah, you would and should be laughed at. If you cannot figure out how to align yourself with those who have money, then you're probably not creative enough to have a lasting career as a developer. Seriously, get educated and ask other developers how they got started. If you don't, you're going to be wasting a lot, if not all, of your own money. I'm tired of trying to get this point across to you. I'm done with this conversation. Good luck.

  • @msuwolfe I basically illustrated the approach you would take with a bit of sarcasm.

    Bottom line is this: When you mean "access to capital" you're trying to be fancy with "get a loan". NO ONE will give a loan to someone with no money to start, let alone with a bad credit score. As I said, when this 'impending impending' civil and criminal case starts and ends, I will be basically transformed on many levels, one of which is what I do, namely RED if I remember u I'll give u some lessons

  • To say: "I'm in Real Estate" is as broad as saying: "I'm a lawyer" or "I'm in finance". You can be a tier 4 or tier 3 "lawyer" (one of like a million), or a real Tier 1 Big Law Firm lawyer. You can be in "finance" as in reading teleprompters for a living pretending like you're a REAL person in finance, like someone in KKR, Carlyle, Cerberus, Citadel, Blackstone.

    You can be a real estate agent with a hs/ged, or you can be a Real Estate Developer. BIG DIFFERENCE.

Loading...
Alert icon
0 / 00Unsaved Playlist Return to active list
    1. Your queue is empty. Add videos to your queue using this button:
      or sign in to load a different list.
    Loading...Loading...Saving...
    • Clear all videos from this list
    • Learn more