What does it actually take to survive and keep buying multifamily deals in today’s market?
In this episode, I sit down with Reed Goossens, an Australian real estate entrepreneur, investor, author, and public speaker who moved to the US in 2012 and has since been involved in the acquisition of over $650 million worth of US real estate. Reed also hosts the Investing in the U.S. Podcast, where he interviews top real estate investors to help educate entrepreneurs looking to break into the US market.
We get into how the multifamily market got to where it is today, what smart operators are doing differently right now, and why Reed believes this is still one of the best buying opportunities in recent memory. He also shares how he has been getting creative with capital raising, why he started acquiring accounting firms alongside multifamily, and what the 1031 exchange landscape actually looks like for sponsors trying to close deals today.
If you want a real conversation about what’s happening in multifamily today from operators still actively in the market, this episode is packed with valuable insight.
Chapters
00:00 Introduction to Reed Goossens and RSN Property Group
00:45 How an Australian engineer ended up in US multifamily real estate
02:32 Why multifamily at scale only exists in the United States
04:41 How the multifamily market changed over the last decade
07:32 How technology transformed commercial real estate investing
08:13 Multifamily investing vs buying small businesses
10:54 What LPs and GPs should look for in deals today
13:04 What strong asset management looks like in a soft market
16:36 Raising capital in today’s environment
19:38 How 1031 exchange investors fit into a syndication deal
25:31 What Reed sees coming in multifamily over the next five years
25:57 Advice for newer investors just getting started in real estate
What We Cover
- How the multifamily market got to where it is today and what changed along the way
- What operators are doing differently to survive and thrive in a tough market
- How to evaluate deals as both an LP and a GP in today's environment
- What creative capital raising looks like when traditional equity sources dry up
- How 1031 exchanges work inside a syndication and why timing is everything
- Why Reed started acquiring accounting firms and how it connects to real estate
- Practical advice for newer investors who feel overwhelmed by the space
Key Takeaways
- Large scale multifamily at the level available in the US does not exist anywhere else in the world
- Positive leverage means your going in cap rate is higher than your interest rate, and that gap is where returns come from
- Setting realistic rent projections is one of the most important things you can do for your operations and your staff
- Capital raising today requires cobbling together institutional money, 1031 exchanges, and retail LP equity to make deals work
- For every six investor conversations today, only one person is actually investing, compared to one out of two before the correction
- Real estate is a medium to long term investment, doubling your money in 10 years is a win
- Diversifying across sponsors and asset classes is just as important as the deals themselves
Hit follow or subscribe wherever you're listening, and I'll see you in the next episode!
Guest Resources
- Connect with Reed:
- Website: https://rsnpropertygroup.com/
- Podcast: Investing in the U.S. Podcast
- LinkedIn: https://www.linkedin.com/in/reedgoossens/
Connect With Me
🌍 Website: https://www.apogeemfc.com/
📸 Instagram: https://instagram.com/multifamilyengineer
💼 LinkedIn: https://www.linkedin.com/in/jonathan-nichols45/
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