You’re not in business unless you are doing deals. In order to do deals, you must form key relationships, create a brand that is trusted in the marketplace, and work a marketing plan that brings in qualified deals on a regular basis. A good marketing plan consists of multiple ways of sourcing deals. The Acquisition Specialist certification gives the knowledge base with "done for you" resources to allow you to compete in the marketplace effectively for the deals that are available.
The common mistake we see at RE Mentor are deals that are not underwritten properly. If a deal fails, the most common reason is the initial underwriting was not done properly. When this happens the investor doesn’t see the return he/she projected and his/her investors do not get their return that was forecast. Becoming an Underwriting Specialist is crucial to your success and credibility in the Commercial Real Estate Investing business. Imagine giving your deal to an investor or a lender [...]
Where are you going to get the money to do your deals? This is called the capital stack. It’s called that because every deal usually has two, three and sometimes more types of funding on it. The first part of the stack is usually institutional funding, the senior debt. Next comes either a second mortgage, mezzanine financing, a bridge loan...the options vary. Then there is the downpayment and closing cost, if syndicated will come from private money investors or a variety of other partners, such as private equity, who may be in the deal. Then there is the actual deal structure, the way the equity is carved out and paid. Every deal is a puzzle that needs to be solved to get to the closing table. The Funding Specialist certification will give you the tools[...]
Property Asset Management Specialist
As an investor, the best use of your time is sourcing money and finding more deals. Having good asset management skills allows you to hand over day-to-day operations of a property to a property management company while you oversee it from a high-level view. In saying that, you need to know when things are going right when things are going wrong (as early as possible) and the corrective actions to take. After the takeover process is complete, your job is to review key reports, look at key performance numbers and site visit the property from time-to-time. As an owner and the asset manager of the property for your private money investors, you need to have systems to ensure the property is running as efficiently as possible and systems in place when it is not.