“Real estate syndicate” is an unofficial term used to describe a pooled real estate investment group. Real estate syndication allows a group of individuals to combine their private savings to purchase larger real estate investments, while taking advantage of the expertise of the real estate professionals involved in the transaction.
There are no sure investments. But as the economy begins growing again, many investors are looking for investments which mitigate their risk and chance of loss. One way to do this and still take advantage of the historical trend toward increasing real estate values is by using real estate syndicates to invest in larger properties and spread out risk. This is what The Redmont Group does best.
The advantages of The Redmont Group’s real estate syndicates include:
- Hassle–Free Investing – Passive investors with money but little time or expertise can partner with The Redmont Group and reap the various benefits of real estate investing without active involvement.
- Limited Liability – The Redmont Group shoulders all of the financial risk associated with any assumed debt financing. The only risk investors take on is the risk of the equity outlaid; there are absolutely no personal guarantees for investors to sign.
- Cost Savings –There are economies of scale to investing with others. A well-funded syndicate can make a substantial down payment on a property and leverage capital to create improvements and increase returns.
- Diversification – Through real estate syndication individual investors with limited funds can diversify among a number of different properties, or purchase a share of a larger property with multiple tenants. Diversification helps to safeguard against significant losses in real estate.
- Cash Reserves – The Redmont Group ensures that there is enough cash in reserve to help weather economic downturns or temporary shortfalls. This limits the likelihood of a cash call.