So, you’ve decided to passively invest in real estate. The first thing you need to do to start on the right foot is find the best Operator Partner. You need to have confidence and trust that your money will be properly invested and that the property you’ve invested in, including the tenants and the daily activities, will all be properly dealt with to maximize your investment. After all, you are a … [Read more...] about Passively Investing with the Right Partner During COVID-19
What is Cost Segregation?
Cost segregation is a tax strategy that allows real estate investors who have acquired, built, or purchased real estate property to reduce their taxable income. In order to take advantage of this strategy, a professional ‘cost segregation study’ or a ‘segregation analysis’ should be completed on the property. In order to understand the process, it is important to know the definition of 1245 and … [Read more...] about What is Cost Segregation?
CREI Partners Webinar: Real Estate Tax Benefits for Passive Investors
https://www.youtube.com/watch?v=1UJRTiWDoZ8 Personal tax savings is one of the primary reasons to invest passively and actively in multi-family apartments. CREI Partners has partnered with Nate Roberts, CPA with Lifetime Tax Advisors to discuss this in more detail. Nate Roberts is an advisor and consultant to businesses and individuals as a licensed Certified Public Accountant in the State of … [Read more...] about CREI Partners Webinar: Real Estate Tax Benefits for Passive Investors
Funding Your Childrens’ College Expenses Through Passively Investing in Multi-Family Real Estate
A child’s education is one of a parent’s biggest expenses. The priciest college is now over $75,000 a year! Room and board costs are increasing every year... It’s never too early to start thinking about saving for college and reduce financial stress as children get older. There are several ways to begin planning for the expenses you will incur in the years ahead. One of the most common savings … [Read more...] about Funding Your Childrens’ College Expenses Through Passively Investing in Multi-Family Real Estate
What is an Internal Rate of Return?
In a previous blog we looked at ‘cash-on-cash’ returns to provide a good measure of immediate and ongoing annual returns an investor can expect. However, this metric did not take into account an important element…time. The Internal Rate of Return (IRR) uses the time value of money to better analyze the investment opportunity. This metric is important because a dollar today is worth more than a … [Read more...] about What is an Internal Rate of Return?
What Are Cash on Cash Returns?
There are two primary financial metrics when evaluating a multi-family investment opportunity. The first is Cash on Cash (CoC) and the other is Internal Rate of Return (IRR). Most non-real estate investors will seek to understand the return on investment (ROI) to evaluate the deal, however, ROI metrics will not work in analyzing real estate. In the world of real estate, Cash on Cash and IRR are … [Read more...] about What Are Cash on Cash Returns?