Dani Lynn Robison says the sponsor matters more than the property in real estate syndication. Ask one thing first: how many deals has the team fully closed and returned capital on. A strong team fixes a weak property. A weak team ruins a good one.
If you ever put money into a real estate deal, the most important thing is not the property. It's this. When normal people think about investing in real estate, they think, "Is this a good building? Good neighborhood? Good price?" And those things matter. But they're not what you should ask first. When you invest in a real estate syndication, you don't manage anything. A professional team does. They find it, buy it, manage it, and eventually sell it. You're just along for the ride. That means the most important question is, who's driving? A great team can turn a so-so property into a solid investment. A bad team can ruin the best property on the market. So before you ask, is this a good deal? Ask, are these the right people? That question matters more. Ask them, how many deals have you fully closed and paid investors back? That one question tells you almost everything.
Physicians and High Earners — What Real Estate Can and Can't Do for Your Taxes
