real estate
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What Does a Box of Chocolates Have to Do with an Off-Market Deal?
In the long list of investor mistakes, there is an entire chapter that could be devoted to brokers. It is no secret that many people do not like them. They complain about commissions, about inefficiency, about wasted time. But in my view, that is a strategic mistake. And the only people who lose because of… Continue reading
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If This Deal Is So Good, Why Did No One Take It Before?
One of the most common mistakes investors make is rejecting a deal simply because someone else passed on it earlier. It sounds like a reasonable question at first. If the opportunity was so good, why has no one snapped it up already? But in reality, that logic often leads people to walk away from deals… Continue reading
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Layered Financing: The Trap of Double Premiums
In real estate partnerships, the structure of capital matters just as much as the quality of the deal itself. You can have an excellent project with strong fundamentals, but if the financing structure is flawed your returns can be diluted in ways that are not immediately obvious. One of the most common examples of this… Continue reading
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The Strategic Value of a Credit Line
In real estate and in business finance, few tools are as common yet as misunderstood as the credit line. Everyone has heard of it. Many use it. But very few truly appreciate its full strategic value. Continue reading
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When Is It Real Estate and When Is It Just Finance in Disguise
A friend recently told me about an investment he made in the United States. It was a loan to a multifamily project, secured by land. I asked him: What attracted you to this deal?He answered: What do you mean? The real estate! This is a common response. Many investors actively seek exposure to real estate.… Continue reading
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The Capital Already Spent Trick
Real estate investors are not only number crunchers. They are also storytellers. They tell themselves and others stories about why a certain deal makes sense. And sometimes the story is not about the property itself but about the money that has already gone into it. This is where one of the most interesting mental tricks… Continue reading