MB 172: Building an Investor Pipeline for Multifamily Syndications – With Kyle Mitchell
Once you get a multifamily deal under contract, the clock starts ticking. You have limited time to raise capital, so it’s super-important that you’ve already built relationships with potential investors and have a database to call on. But how do you transition from simply talking to people about the opportunity to invest with you to building a formal pipeline of truly interested investors?
Kyle Mitchell is Managing Partner at Limitless Estates, a multifamily firm investing in the Phoenix and Tucson markets. He started investing in single-family in 2015, building a $1M portfolio of nine properties in Illinois, Ohio and Arkansas, before quitting his W-2 job to pursue multifamily in 2018. Within two months of going all-in on apartment buildings, Kyle landed a 42-unit deal, and he is currently negotiating a $15M 128-unit deal. Kyle is also the host of the Passive Income Through Multifamily Real Estate Investing Podcast.
Today, Kyle joins me to explain his decision to quit his 9-to-5 before he had a multifamily deal, discussing the benefits of going full-time and the way he got brokers to take him seriously. He shares the details of his first multifamily syndication, describing how he raised $1M in 60 days and why he had to switch lenders late in the process. Listen in for Kyle’s advice around finding a mentor and building your team—and get his blueprint for building an investor database for multifamily syndications!
Key Takeaways
Why Kyle quit his job before he had a multifamily deal
- Savings and wife’s income made possible to go all-in
- Accelerate progress after 10 months building pipeline
How Kyle and his wife’s goals were in alignment
- Already investing in SFH, did SDA course together
- Goal to become entrepreneurs + control time
Kyle’s insight on the benefits of going full-time
- Ability to visit markets more often
- Brokers take more seriously
How Kyle got brokers to take him seriously
- Build relationships over 6 months (persistence)
- Meetup, newsletter and podcast
- Mentorship and coaching
Kyle’s first multifamily deal
- 42-unit property near U of A in Tuscon
- Mismanaged by SFH property manager
When Kyle started raising money
- Building investor list for 10 months before
- Webinar after signed, $1M raise in 60 days
How Kyle built his investor database
- Leads from podcast, newsletter + meetup
- One-on-one meetings to determine interest
How Kyle overcame objections re: lack of track record
- Professional experience in management
- Real estate license and SFH portfolio
- Coaches, education, mentors + partners
Kyle’s insight on the Law of the First Deal
- LOI for second property within 3 weeks
- $15M 128-unit deal with same partners
Kyle’s advice for aspiring multifamily investors
- Double number of investors
- Always be raising money
- Be transparent with lender
- Set up team in advance
Kyle’s blueprint for following in his footsteps
- Find mentor that fits goals
- Define goals + take action
- Build partnerships
Connect with Kyle
Passive Income Through Multifamily Real Estate Investing Podcast
Email [email protected]
Resources
Uganda Counseling and Support Services
The Deal Maker Blueprint Training & Certification
Syndicated Deal Analyzer and Sample Deal Package
Financial Freedom with Real Estate Investing: The Blueprint to Quitting Your Job with Real Estate—Even Without Experience or Cash by Michael Blank
Podcast Show Notes
