When you first begin to consider real estate syndication as an investment option, it can feel lonely, intimidating, or even like you’re going in blindfolded!

I personally experienced fears around investing in a property I’d never seen, concern about how I’d get my money back, and doubt around the inability to log into an account and see my money.

These fears were addressed head-on through research.  I read every article I could.  But even more importantly, my CPA was very knowledgeable about real estate syndications and led me to resources and mentors that he trusted where I could get all my questions answered.  Every article I read and every conversation I had built my certainty until I began to feel confident toward taking the plunge.

If you’re considering your first syndication and feeling hesitant, I recommend doing your research, connecting with legal or tax professionals with real estate expertise, other investors, reading through previous deals, and taking your time.

Do Your Research

The best way to build your investing confidence is through self-education and research. Listen to podcasts, read books, and find websites on real estate.

Books:

• Rich Dad, Poor Dad by Robert Kiyosaki
• It’s a Whole New Business by Gene Trowbridge
• Tax-Free Wealth by Tom Wheelwright

Podcasts:

• BiggerPockets Podcast 
• The Jake and Gino Show
• Multifamily University by Neal Bawa

Pro Tip: Some investors also enroll in courses or mentor training programs to accelerate their path to getting comfortable investing in syndicated real estate.

Ask Questions

Relevant Facebook groups and forums like BiggerPockets can help you learn what questions you should be asking.

It’s likely that other people have asked about your same concerns and, just by reading through the forum’s questions and answers, you’ll gain clarity.

Remember there are no dumb questions and that you have the right to be diligent about gathering answers to your concerns.

Connect with Other Investors and Real Estate Professionals

A successful investor needs a supportive community, and considering that syndication is a group investment, you’ll want to get networking.

Any new investors will share similar anxieties, questions, confusion, and excitement. Experienced investors can provide invaluable firsthand accounts of their experience with various projects and sponsors. Find these investors through online forums like BiggerPockets, local networking events, or by asking deal sponsors if they’ll connect you to their current investors.   You should also check with legal, tax or financial advisory professionals in your network to get connected to successful investors they know who have experience with syndications.

Review Previous Deals

Finding comfort with financial projections, summary data, and investment lingo may feel overwhelming.

As you review more investment summaries, you’ll start to understand the flow of the deal packages, how each sponsor communicates, and exactly which investments interest you.

Take Your Time

Each new investment opportunity fills up quickly. This can make new investors panic and start to believe they are missing the best deals. 

Remember, there will always be another opportunity. 

Allow yourself time to complete the steps laid out here, so that when you make your syndication choice, you are confident about every step.

Considering Everything

If you take nothing else from this article, remember it’s completely normal to feel skeptical, anxious, and even timid when making your first syndication commitment.

The ability to take action is what separates the successful from those who give up. 

Your first real estate syndication deal is a huge milestone in your investing journey, and, even though your head might be spinning now, this is a time to savor.

Even after your research do you still have questions that are making you hesitant regarding syndication investments?  If so, click this link to schedule a call to discuss them….love sharing our experience with our investor friends.  Or if you have decided syndication investing is for you and you are ready to invest, go here to sign up for the GrowAbility Equity Club to ensure you can access our real estate opportunities as they become available.