Yes. Investing in multifamily syndication is a good fit for retirement plan investing because your involvement is by definition is passive anyway. You will receive the cash flow and equity upside but the tax advantages are deferred until retirement as your IRA acts as its own entity. If you haven’t already, you only need to up a Self Directed IRA or Solo 401K with an independent custodian. There are many to choose from. We prefer Solo 401K.
While no investment is guaranteed, most of our projects generate a 6%-8% cash on cash return, an equity multiple of 1.7 to 2.0 x and give anywhere from a 40% to 80% paper loss on your investment through depreciation. Depending on the business plan, cash flow can begin immediately or it begins once the asset is stabilized.
Through DEPRECIATION, the property shows paper losses that will be passed onto you through a yearly IRS K-1 statement. Meanwhile, the property continues to APPRECIATE. Yes, you can have both appreciation and show a depreciation loss for tax purposes.
They are structured in a 506b or 506c syndication in which you are an investor as a LIMITED PARTNER. You do NOT sign on the loan and do NOT deal with tenants or property managers.
$50,000 is the most common minimum but $25,000 is often possible
Yes you can. You will need to have a pre-existing relationship with someone on the general partnership. That’s us! Also, spaces in 506b syndications for non accredited investors are limited to 35 people so it is important to be on our Investor List for Deal Alerts to get in before those slots are taken.