If you’ve got a real estate investment that’s managed through a third-party property management company, did you know it’s considered a security? When your investment is classified as a security, there’s different rules to how it is managed.
Our guest this week, Steven Rinaldi, is a real estate attorney based out of Bethesda Maryland. He is a leading figure in real estate and security law, having previously served as general counsel for the American Association of Bankers. He specializes in venture capital, private placement, angel investment and crowdfunding. He’s drafted memoranda for real estate investor with deal-types including private loans for rehabbers and loans for apartment investors.
This episode, he’ll be sharing what you need to know about real estate securities and the rules for managing properties as securities.
Find out what you need to know about real estate securities!
Federal looks at 4 factors of an investment to determine it as a security:
Investment of money
Expectation of profit
Element of control
Your expectation of a profit is based on the work of someone else
Your real estate investment is a security if you do not have control over day-to-day operations of it
Different sets of laws apply to real estate securities
Want to find out more about what it means to invest in real estate securities or curious about real estate syndication? You can contact Steven Rinaldi through email at email@example.com or by phone at (204) 481-2708. You can also check out what kind of syndication deals he’s been involved in! Click here to view.
Tampa Bay investors: want even more Invest Florida access?
Join our Monthly Cashflow Meetup! Every month we’ll be covering a different real estate topic with an expert panel of guests in front of a live audience! Check out our meetup page for more info.
For over 2 years, the Invest Florida Show has been bringing actionable real estate investing advice to our listeners. Our archives feature over 100 episodes with leaders in Florida’s investment real estate industry.
In an effort to continue offering a consistent caliber of topics and guests, we will be moving our show from a weekly schedule to every other week.
We appreciate our listeners and all of our past guests and we hope this change will allow the Invest Florida Show to continue to be a source for up-to-date, actionable resource for Florida real estate investors.
Nobody said real estate investing was an easy business. Aside from the hard numbers and financial side, commercial and residential real estate investing requires dedication and perseverance from investors and a certain ability to thrive under pressure. For many, these pressures prove too great of obstacles to find success as real estate investors. Invest Florida Show aims to provide its listeners of all investment levels with the tools and resources necessary to make actionable investment decisions. In addition to providing educational resources to our listeners, we also want to inspire would-be investors to make the first big step and invest!
This episode our guest is all about inspiration. Mark Nathwani is a real estate investing specialist and international entrepreneur. Mark has assisted in the growth and development of many businesses and currently serves as CEO of RAMS Real Estate Holdings, a U.S./U.K. based firm focusing on foreclosure properties and other sensible Florida real estate markets. Above all else, Mark believes the first step is the biggest one: want to get into real estate investing? Just do it!
Mark’s Tips for Beginning Investors:
SFR properties are relatively stable, secure markets for those looking to begin real estate investing
Florida has many strong SFR markets:
Tampa, St. Petersburg, Jacksonville, Orlando
Tailor strategy to investment type:
Fix-and-flip, wholesales, holds
Invest based on yield as opposed to price and valuation
Yield is generally higher in complicated markets i.e. low-income housing
Choose a market and apply strategies that suit that market, don’t cherry-pick strategies from other real estate markets
Cast a wide net to find deals
Brokers, letters, bandit signs, banks, etc.
Never lose confidence in your deal!
To contact Mark with any potential investment opportunities or to find out more about his real estate investing services, visit his website!
Winter is coming… And so are national interest rate increases.
The Federal Reserve has recently announced a new national interest rate hike, the first since 2006. Real estate investors are very anxious about the announced rate hike. Many investors are wary that the rate hike may be instituted prematurely in an economy that is not capable of facilitating the effects on real estate markets.
Mark Fleming, Ph. D. serves as the Chief Economist for First American Financial Corporation. With over 20 years’ experience in mortgage and property information, Mark analyzes and forecasts national mortgage and real estate markets. This episode, Mark lends his expertise to our discussion on the new rate hike‘s effect on current real estate markets at a national level, and tells us why investors shouldn’t be so worried.
Federal Reserve Rate Hikes
First rate hike in 9 yrs
2006 – +5% increase
2007 -’08 to Present – 0%
End of Year (2015) – .25% increase
2016 – +1% increase
Instituted to correlate with expected income/wage growth
Long-term, fixed-rate loans not affected
Good for housing markets
House-price appreciation seeing “asset inflation”, especially in Florida
5-6% nationally, higher in FL markets (South Florida)
Out-pacing current wage growth, causing increase in housing rates
Rate hike should slow appreciation growth rate
2016 and Beyond
Rate hike est. 5% increase
House-appreciation (Nationally) projected to slow to 3-4%
Income growth est. 3-4% increase
Commercial real estate to benefit from economic growth
Multi-family to benefit from strong millennial rental market