In this episode, Wayne Courreges III discusses how to evaluate investment deals, focusing on identifying potential red flags that may indicate a deal is too good to be true. He emphasizes the importance of understanding promised returns, market comparisons, and the role of sponsors in the investment process. The conversation provides valuable insights for passive investors on how to approach deal evaluation and make informed decisions.   Takeaways Always question if a deal is too good to be true. Look for promised returns backed by solid support. Understand the importance of market comparisons. Evaluate the performance of similar properties. Ensure sponsors are investing their own capital. Transparency in underwriting is crucial. Be cautious of rushed decision-making. Conduct sensitivity analysis for risk assessment. Consider the role of third-party management in underwriting. Utilize resources like passive investor coaching for education.

In this episode, Wayne Courreges III discusses an exciting investment opportunity in real estate, highlighting the importance of thorough market analysis, due diligence, and the role of a strong team in successful property management. He emphasizes the need for investors to be educated and prepared to act quickly when opportunities arise, as well as the significance of maintaining transparency with investors throughout the investment process.   Takeaways Investors should be proactive in learning about real estate. Strong broker relationships can lead to exclusive opportunities. Understanding market conditions is crucial for investment success. Location and cash flow are key factors in property evaluation. A high debt service coverage ratio indicates financial health. Due diligence is essential before raising capital for investments. Google reviews can provide insights into property management quality. A reliable team is vital for effective asset management. Transparency with investors builds trust and confidence. Continuous learning is important for successful investing.

In this episode, Wayne Courreges III discusses the importance of understanding the offering memorandum in real estate investing. He emphasizes the need to thoroughly review the private placement memorandum, subscription agreement, and company agreement before making an investment. The conversation covers key components of the offering memorandum, including the business plan, financial projections, capital stack, and risk assessment, providing listeners with essential insights for making informed investment decisions.   Takeaways Understanding the offering memorandum is crucial for real estate investing. Investors should not just sign documents without understanding them. The private placement memorandum contains vital information about the investment. The business plan outlines how the investment will generate revenue. Financial projections should be detailed and clear. Understanding the capital stack is essential for assessing risk. Investors need to be aware of market risks and property-specific issues. Alignment between presentations and documents is a red flag. Investors should feel comfortable with the investment timeline. Resources like passive investor coaching can accelerate learning.

In this episode, Wayne Courreges III discusses the essential aspects of passive investing in real estate, focusing on identifying red flags in investment opportunities. He emphasizes the importance of due diligence, understanding business plans, and evaluating the transparency and track record of sponsors. The conversation aims to equip listeners with the knowledge to make informed investment decisions and recognize potential risks.   Takeaways Passive investors must evaluate the sponsor and the deal. Unrealistic rent growth assumptions are a red flag. Understanding the business plan is crucial for investors. Due diligence should include detailed property assessments. Transparency in sponsor fees is essential for trust. Guaranteed returns in real estate are unrealistic. A sponsor's track record is vital for investor confidence. Investors should be wary of overly polished pitches. Risks should be clearly communicated in investment proposals. Education and asking the right questions are key to successful investing.

In this episode of the Building Passive Income podcast, Wayne Courreges III discusses essential questions to ask before investing in real estate. He emphasizes the importance of understanding the business plan, investment classes, preferred returns, exit strategies, risks, and the team dynamics involved in a deal. The conversation aims to educate both new and experienced investors on making informed decisions in passive investing.   Takeaways Evaluate the sponsor and the deal before investing. Understand the business plan and its components. Know the minimum investment required for different classes. Preferred returns and equity splits are crucial to understand. Exit strategies should align with your investment horizon. Assess the risks involved in the investment. Identify key team members and their roles. Communication with the sponsor is essential for transparency. Real estate investing requires education and asking the right questions. Investing in real estate has historically been a sound strategy.

In this episode, Wayne Courreges III discusses the critical aspects of selecting a sponsor for real estate investments. He emphasizes the importance of a sponsor's track record, transparency, and integrity in managing investments. The conversation covers how to evaluate a sponsor's experience, communication style, and ability to navigate market cycles, ultimately guiding passive investors to make informed decisions.   Takeaways The right sponsor is crucial for investment success. Track record matters, but team experience is also important. Transparency in communication builds trust with investors. Understanding market cycles helps assess sponsor reliability. Skin in the game indicates a sponsor's commitment. Good communication is essential for investor confidence. Evaluating past challenges faced by sponsors is key. Integrity is vital in handling both good and bad news. Investors should feel comfortable with their sponsors. Access to information is a right for passive investors.

In this episode of the Building Passive Income Podcast, Wayne Courreges III discusses the intricacies of compensation structures in real estate investments. He emphasizes the importance of understanding various fees, including acquisition and asset management fees, and the significance of transparency in these charges. The conversation also covers preferred returns, equity splits, and the processes involved in refinancing and selling properties. Wayne encourages listeners to educate themselves on these topics to make informed investment decisions. takeaways Understanding compensation is crucial for passive investors. Fees are necessary to maintain operations and transparency. Acquisition fees typically range from 1% to 3% of the purchase price. Asset management fees are usually 2% to 3% of gross revenue. Preferred returns ensure investors receive cash flow first. Equity splits align interests between general and limited partners. Negotiating terms can be challenging for smaller investors. Refinancing and sales are additional revenue sources for partners. Transparency in fees builds trust with investors. Education is key to successful passive investing.

In this episode of Building Passive Income, Wayne Courreges III discusses the current landscape of commercial real estate investing, emphasizing the opportunities available despite market challenges. He shares personal experiences of successful investments during tough times and highlights the importance of education and community in navigating the real estate market. Wayne encourages listeners to take action and seize the moment to invest wisely, particularly in growing markets like Houston and San Antonio.   Takeaways Investors who bought during downturns have thrived. Current market conditions present unique opportunities. Fixed-rate debt acts as an inflation hedge. Cap rates have stabilized, creating new norms. Education is crucial for successful investing. Focus on growing markets like San Antonio. Risk is inherent, but opportunities abound. Networking is key to finding good deals. Investing now can lead to significant future gains. Real estate cycles are longer than stock market fluctuations.

In this episode, Wayne Courreges III discusses the roles of limited and general partners in real estate syndication, emphasizing the importance of asset management and the necessity of a strong team to ensure successful investments. He highlights how passive investors can protect their capital by understanding the dynamics of the team involved in their investments.   Takeaways Limited partners are passive investors who contribute capital. General partners manage the deal and execute the business plan. Asset management is crucial for monitoring property performance. Understanding who runs asset management is vital for investors. A strong team can significantly impact investment success. Limited partners play an essential role in closing deals. Evaluating passive investments requires understanding the team dynamics. Education is key to making informed investment decisions. A great team can turn a challenging deal into a success. Protecting your capital involves understanding the investment structure.

In this episode, Wayne Courreges III delves into the concept of real estate syndication, explaining how pooling resources with other investors allows individuals to participate in larger real estate deals. He outlines the roles of general and limited partners, emphasizing the benefits of passive investing for those who prefer not to manage properties directly. The discussion also highlights the advantages of syndications, including risk diversification and the potential for higher returns on investment.   Takeaways Real estate syndication allows investors to pool resources. General partners manage the investment while limited partners invest passively. Limited partners typically own 75% of the investment shares. Investing in larger deals can yield greater returns. Syndications help dilute risk for passive investors. Understanding the roles in syndication is crucial for investors. Passive investing values time while still generating income. Syndications can lead to ownership in significant assets. Investors can diversify their portfolios through syndications. Education and resources are available for aspiring investors.

In this episode, Wayne Courreges III discusses the expected returns in commercial real estate syndications, focusing on key metrics such as average annual returns, cash on cash returns, equity multiples, and preferred returns. He emphasizes the importance of understanding these terms for potential investors and highlights the significance of the internal rate of return in evaluating investment opportunities. The conversation aims to educate listeners on making informed decisions in their passive investment journeys.   Takeaways Typical annual returns range from 12% to 20%. Cash on cash returns usually yield between 6% to 10%. Equity multiple helps investors understand total returns easily. Preferred returns prioritize passive investors' returns. Projections in real estate investing are not guarantees. Maximizing cash on cash returns is essential for investors. Internal rate of return (IRR) is a key metric for investments. Higher IRR indicates a more attractive investment opportunity. Investment strategies vary; there's no one-size-fits-all approach. Free resources are available for passive investor education.

In this episode, Wayne Courreges III discusses the essentials of passive investing in real estate, focusing on minimum investment amounts, the distinction between accredited and non-accredited investors, and the importance of education and networking in the investment journey. He emphasizes that while the typical minimum investment is around $50,000, there are alternatives like REITs for those not ready for syndication. Additionally, he explains the criteria for being an accredited investor and the significance of building relationships in the investment community.   Takeaways The minimum investment for passive real estate deals is typically $50,000. Investors should be aware that their money is often locked up in syndications. REITs can be a good alternative for those not ready for syndication. Accredited investors can invest in both 506B and 506C offerings. To qualify as an accredited investor, one must meet certain income or net worth thresholds. Non-accredited investors can only invest in 506B deals with a pre-existing relationship with the sponsor. Education and networking are crucial for all investors, regardless of their accreditation status. Investing is not just about capital; it's also about knowledge and relationships. The sooner you start investing, the sooner you can benefit from passive income. Building relationships in the investment community is essential for success.

In this episode, Wayne Courreges III discusses the significance of passive income in achieving financial freedom. He shares insights on how passive investments can provide individuals with the freedom of time, the ability to build wealth, and the potential for generational wealth. The conversation emphasizes the importance of choice and security that comes with consistent passive income, as well as the role it plays in retirement planning and long-term financial stability.   Takeaways Passive income is essential for achieving financial freedom. Investing over time can lead to significant cash flow. Having passive income allows for greater life choices. Passive investments can provide consistent income and equity growth. Diversifying investments reduces risk and enhances wealth building. Passive income can accelerate retirement planning. Investors need security and consistency in their income. Real estate investments can yield substantial returns over time. Generational wealth can be built through strategic investments. Passive income allows individuals to focus on what they love.

In the inaugural episode of the Building Passive Income podcast, host Wayne Courreges III shares his journey into real estate investing, starting from his high school days and military service to his professional career at CBRE and the founding of CREI Partners. He emphasizes the importance of education for passive investors and outlines his vision for the podcast, which aims to provide valuable insights and resources for those interested in commercial real estate investing.   Takeaways Wayne Courreges III is passionate about educating passive investors. His journey in real estate began in high school and continued through military service. He founded CREI Partners in 2019 to focus on multifamily investing. Wayne emphasizes the importance of understanding real estate deals. There is a significant lack of education for passive investors in the market. The podcast aims to provide daily insights on passive investing. Wayne's previous experience at CBRE shaped his investment strategies. He encourages listeners to vet sponsors and deals thoroughly. The passive investor coaching program offers free educational content. Wayne is committed to producing consistent, valuable content for listeners.  

In this episode of the Building Passive Income podcast, Wayne Courreges III delves into the world of active investing, contrasting it with passive investing. He outlines the responsibilities and risks associated with being an active investor, including the need for due diligence, capital raising, and property management. Wayne emphasizes the importance of building relationships and the challenges that come with operating real estate. He encourages listeners to evaluate their investment style and consider the benefits of both active and passive investing.   Takeaways Active investing involves hands-on management and decision-making. Building relationships is crucial for sourcing deals. Due diligence is a time-consuming but necessary process. Active investors face significant risks compared to passive investors. Operating real estate can be a roller coaster of experiences. A fiduciary responsibility exists to protect investors' interests. Choosing between active and passive investing is a personal decision. The amount of time invested can impact potential profits. Passive investors benefit from the hard work of active investors. Educational resources are available for those interested in passive investing.

In this episode, Wayne Courreges III discusses the concept of passive investing, particularly in real estate, and contrasts it with active investing in the stock market. He emphasizes the stability of real estate as an investment and the benefits of generating passive income without the associated hassles of property management. The conversation also explores the decision-making process for investors to determine whether they want to be active or passive, highlighting the importance of understanding one's investment goals and preferences.   Takeaways Passive investing allows individuals to invest without daily management. Real estate offers stability compared to the stock market. Investors seek to enjoy their hobbies while earning income. Passive investors benefit from tax advantages like depreciation. Choosing between active and passive investing depends on personal preference. Active investors enjoy control and decision-making in their investments. Real estate can diversify an investment portfolio. The podcast aims to educate on passive investment strategies. Understanding the difference between active and passive investing is crucial. Investors should assess their comfort level with risk before deciding.