SEC LOOSENS THE REINS ON ACCREDITED INVESTOR STATUS On August 26, 2020, the SEC loosened the restrictions a little regarding the definition of an accredited investor. Why is that important to you? In the past, many private investment firms required you to be an accredited investor to participate in their offerings. An...
CASH OR TRASH I was recently at a conference in the mountains and there was a lively debate about the utility of cash in these uncertain times. The title of the debate was aptly named “Cash or Trash?” Four very bright individuals debated both sides of the equation. In summary, there was...
HOW LONG IS YOUR RUNWAY? If there is anything I have learned over my experiences since the first oil crisis in the late ’70s (gas rationing to a 16-year-old was the end of the world) through the credit crisis of 2008 and all the other crises in between, it is...
WHAT IS PREFERRED EQUITY? John F. Kennedy once said, “Change is the law of life, and those who look only to the past and present are certain to miss the future.” At Presario, we always try to keep our eyes on the horizon to keep your investment safe and grow it...
Why Presario Ventures utilizes 221 (d)(4) HUD-insured construction loans for Multifamily. GOOD DEBT? Housing and Urban Development, (HUD) insured loans are not for everyone, but can be the perfect structure for the right multifamily investment. There can be bad debt, good debt, and really good debt. First, let's define a HUD-insured loan in...
The city of Austin just allocated $500,000 to “understand” why people are dumping electric scooters in Lake Austin. I would have done it for $250,000 and told them it’s because they were inebriated and are not respectful of other peoples’ property. The point here is if the government is making those...
Let’s face it, we are real estate guys at Presario. We live and breathe it every day. But we are also investors. Is there a difference? Sometimes yes and sometimes no. Often the two overlap and sometimes they diverge. These days real estate investing is a hot commodity. Today everyone wants...
MULTIFAMILY RENT GROWTH REMAINS A GOOD BET ■ The average U.S. multifamily rent increased by $3 in July to $1,469. Year-over-year growth increased to 3.4%, up 10 basis points from June. Rent growth has remained at the 3.0% level or higher all year. ■ In this prolonged positive cycle going back at...
The Dalai Lama once said, “Once a year, go someplace you’ve never been before.” If you ponder that statement, you could come up with two meanings. Certainly, wanderlust and travel come to mind. There is nothing better than exploring new parts of the world and embracing different people and cultures....
Through the last quarter of 2018, the Federal Reserve increased interest rates by 25 basis points; pushing it to the highest rates recorded since 2008. The ripple effect of this activity was felt across the real estate industry. Inflation coupled with higher interest rates resulted in a significant decrease in...