Episode #456

Many real estate syndications are facing absolute failure in 2023. But, even if you aren’t investing in any, this could be a learning experience like no other to help you build your wealth in the future. If you’ve never heard of a real estate syndication before, here’s a quick summary: a real estate syndication is where an “operator” raises money from a group of investors to buy a large commercial property, often an apartment complex, self-storage facility, or housing community. Over the past ten years, these investments have boasted massive profits, but everything is about to change.

Real estate syndications face obstacles like they never have before. Rising interest rates and vacancies, a backlog of evictions, plummeting prices, and inexperienced operators who have NEVER been in a down market. These failed deals could lead to opportunities for you to invest at a massive margin, but how do you know which deal is worth putting money into?

J Scott, world-famous investor, flipper, syndicator, and author, is on the show to explain exactly what to look for in a syndication, whether investing now is the right move to make, and what to know before investing in a syndication. The right syndication can make you hundreds of thousands in a completely hands-off, passive investment. The wrong syndication can tank your entire net worth. How do you know which is which? Tune in!

Show Notes at:
https://www.biggerpockets.com/blog/money-456?utm_source=youtube&utm_medium=description&utm_campaign=none
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Syndications: Everything You Need to Know BEFORE You Invest:
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The Biggest Crash Imaginable is Coming For Commercial Assets:
https://www.biggerpockets.com/blog/the-biggest-crash-imaginable-is-coming-for-commercial-assets?utm_source=youtube&utm_medium=description&utm_campaign=none
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REITs: How to Make Real Estate Money WITHOUT Owning Rentals w/Jussi Askola:
https://www.biggerpockets.com/blog/money-455?utm_source=youtube&utm_medium=description&utm_campaign=none
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Connect with J:
BiggerPockets: https://www.biggerpockets.com/users/jasonscott?utm_source=youtube&utm_medium=description&utm_campaign=none
Investing, Socials, Website: https://linktr.ee/jscottinvestor
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Mindy: https://www.biggerpockets.com/users/mindyjensen?utm_source=youtube&utm_medium=description&utm_campaign=none


00:00 Intro

01:30 Money Moment

03:38 THE J Scott!

05:53 Syndication Investing 101

15:13 3 Biggest Risks in 2023

21:28 Refinancing and Interest Rate Problems

27:47 Prices Get Stress-Tested

34:02 What Changed?

35:11 What to Look For BEFORE You Invest

46:14 Accredited vs. Non-Accredited Investors

48:30 Ask THIS Question

50:57 Connect with J!

51:26 Will You Invest?