40. Back to Basics with Twenty Questions and Dan Bartholomew

Dan Bartholomew is a financial advisor and a beginning passive investor.  He invested in his first two deals with a group using Tribevest.  He has been listening to the podcast and making a list of questions and agreed to be a guest on the show to get his questions answered – in order to help us all become better investors!  Questions asked and answered in this episode: ·       What is the difference between Cost Segregation and Bonus Depreciation? What is Depreciation Recapture? ·       What is a Real Estate Professional (REP) and what are the benefits of being an REP? ·       What is Cash on Cash return and IRR? For ATM’s, Cash on Cash return is greater than IRR in the proforma – why? ·       What is Forced Appreciation? Is it different from Forced Equity? ·       What is velocity of money as it relates to passive investing.  How can you get your capital returned and still own the asset? ·       What is a cap rate and why is it important? ·       When you are new to passive investing and you don't know how to digest all the information a sponsor sends for a deal, what should you focus on? ·       How do you know if a deal is geared towards cash flow, appreciation or tax advantages?  Is it possible to get all 3 in one deal?  ·       What is Economic Vacancy? ·       What is the Capital Stack? ·       What is Preferred Return (Pref)? ·       What is the difference between Class A and Class B shares? ·       Why would a company like Walgreens or Dollar Tree choose a triple net lease arrangement? ·       What is Break-Even Occupancy? ·       What is an acceptable GP/LP split? ·       What is the Equity Multiplier? ·       Is there one deal or one mistake that you made that changed the way you invest?     Podcasts he recommends: Tim Ferris  Jocko Podcast   Passive Investing from Left Field    If you would like to contact Jim Pfeifer, you can email him at [email protected] or if you would like to find out more about Left Field Investors go to www.leftfieldinvestors.com.    Our sponsor, Tribevest provides the easiest way to form, fund, and manage your Investor Tribe with people you know like, and trust.  Tribevest is the Investor Tribe management platform of choice for Jim Pfeifer and the Left Field Investors' Community.    Tribevest is a strategic partner and sponsor of Passive Investing from Left Field.