Funny story! I arrive at a 100+ multifamily property for a property tour. As I’m walking across the parking lot, I see another investor that I know from the industry just leaving his tour. We stop and say hello to each other and then I proceed on the property tour.
I WANT THE DEAL!
I WANT THE DEAL! I’ve looked at a lot of properties and underwritten that many more. I know early in the tour, I want to go after this deal and I want to go after this deal FAST!
MY GOAL was to try and get it under contract before it had a call for offers date established.
I say funny story because the same exact thing happened on the 76 unit deal that my partner and I purchased. When it came to the property tour, I arrived and this same investor was just leaving his property tour.
Now on this new deal, when I got into my car and was leaving, I actually thought to myself “I should call him up and ask to partner on this deal together. We are better off winning it together vs competing against one another.” Then I thought “last time I was able to beat him out so let’s just move fast and beat him out on this one also.”
Wrong Move
WRONG MOVE! I tried to move fast but he moved faster and he won the deal and got it under contract before a call for offers date was established!
This was a deal that was a little off the beaten path and probably was not going to get the amount of exposure to a large number of buying groups. My gut told me to call him but my competitiveness and over confidence got the better of me. I would have been way better off having a piece of the deal vs having nothing! He may have said “no thanks” but I didn’t give it a chance.
Live and learn!
Why do I share this story with you?
Multifamily is a team sport. It’s said over and over. It’s also an asset class that lends itself to partnering with others. Trust your gut about which deals to go after and trust your gut on selecting partners!
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