About this episode
Are real estate syndications dead? Some multifamily syndicators are making capital calls and hiding information from investors who anxiously wait (and pray) for their money to be returned. A lot is going wrong, so should you pause investing in real estate syndications for now, or should you write them off entirely? Brian Burke , who saw it coming and sold almost everything before prices fell, is on today to give us his answer. Joining him is a fellow syndication investor and BiggerPockets CEO, Scott Trench , who’s had his fair share of syndication headaches over the past few years. We’re going back in time, talking about what exactly went wrong for multifamily syndications , why we saw a rise in untrustworthy/inexperienced syndicators entering the market, and why multifamily specifically is taking the majority of the headwinds. We’re also sharing the numbers on the almost unbelievable amount of multifamily investors who have short-term loans coming due , all at a time when interest rates are still high and values are close to (if not at) the bottom. We’ll even talk about our own failed deals and whether or not we’d continue investing in syndications. In This Episode We Cover Real estate syndications , general partners, and limited partners explained Why the multifamily real estate market is a “traffic collision” in 2024 Areas of the country with the highest/lowest risk for real estate syndications The astonishing amount of distressed investors with short-term loans coming due Our own failed investments and whether we’d still invest in syndications When multifamily real estate investments could finally rebound and become investable again And So Much More! Links from the Show Join the Future of Real Estate Investing with Fundrise Join BiggerPockets for FREE Find Investor-Friendly Lenders See Dave and Scott at BPCON2024 in Cancun! Dave's BiggerPockets Profile Scott's BiggerPockets Profile Multifamily Is at High Risk of Continuing Its Historic Crash in 2024—Here’s Why PassivePockets Brian's BiggerPockets Profile Grab Brian's Book, “The Hands-Off Investor” Jump to topic: 00:00 Intro 01:38 Real Estate Syndications Explained 11:11 Things Have Changed 19:07 Multifamily is a “Traffic Collision” 24:29 WHERE to Invest 29:20 Underwater Syndications 38:23 Are Syndications Dead? Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/on-the-market-256 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Email advertise@biggerpockets.com . Learn more about your ad choices. Visit megaphone.fm/adchoices