Our Investment Strategy
We invest in cash-flowing, B and C class properties. Multifamily properties are a great source of passive income and appreciation. Multifamily allows for economies of scale in our operations, and values are derived from Net Operating Income. This allows us to be in more control of our forced appreciation.
We invest nationwide in commercial real estate properties. All leases are guaranteed and backed by publicly traded, high-credit tenants. Term leases are generally 5-10 years. There are zero to low overhead costs and very few variable expenses in this type of investment. These are steady, cash-flowing investments with some appreciation as well.
We fund hard money loans up to 70% of the current property value and 100% of the rehab costs in as little as three days. This type of investment offering has a quicker payoff than most, as loan terms do not exceed 12 months. Hard money loans are good cash flow investments for investors with short-term investing needs.
We strategically build in areas that have housing shortages in which we have knowledge of the sub-market. These investments are more appreciation-heavy from the start, but will turn into cash-flowing assets once the property is completed and stabilized with residents.
4 REASONS TO INVEST IN REAL ESTATE
Cash flow is the amount of money moving in and out of a business. Positive cash flow is money that is left over after the mortgage and other bills are paid. This excess is then accumulated and paid to investors. In this case, the positive cash flow is also passive income because the investment is paying the investor! Passive income is the primary reason we invest in real estate.
Appreciation is the increased value of an asset over time. In commercial real estate, this is primarily due to increased Net Operating Income (income after expenses are deducted). The best way to secure appreciation is to buy smart (don’t overpay) and to buy an asset that will be worth more in the future than at the time of purchase.
Principal paydown occurs when we pay our monthly mortgage payment. As real estate owners, our tenants and residents pay us rent monthly. Part of that rent payment goes toward the principal amount of the loan – reducing our outstanding debt on the property. We firmly believe that “good” debts are those others are paying for you! Principal paydown is a great tool to build long term equity in a property.
Investors can “shield” themselves from taxes by claiming allowable deductions, like the depreciation of real estate. This deduction can offset taxable income and reduce your tax payment. The benefits of a tax shield are an incentive to hold assets longer, as you may have to recapture depreciation (pay back) when the asset is sold. Please talk to your CPA about the benefits of real estate shielding taxes.
Why Invest With Us?
We have a record of success
YEARS OF BUSINESS
YEARS OF EXPERIENCE
Hear from other happy investors
Kenny is very experienced in multi-family investing. He seeks out opportunities and strong returns for investors, and is able to think outside the box. He has also taken the time to share knowledge and advice with me.
Honest, Competent, Transparent and Reliable - Having known and invested with Kenny and his amazing team for years, I could not be more pleased with the truly passive income and consistent, above-average returns.
Wolfe Investments has been a strategic partner for my investment portfolio and have provided me with quantifiable results on a consistent basis.
When I put my money into any investment, I want to know that it is being properly watched over. Kenny constantly keeps his investors informed with specific, detailed reports as to what is going on and what is planned for each property.
I have no reservations trusting Kenny with my hard earned money.
The minimum investment amount varies for each acquisition, but is typically $25,000 to $50,000 per investment offering.
We aim for quarterly distributions - often beginning the first quarter after takeover. These properties are businesses, so the distribution amounts will vary from quarter to quarter. Timing of the first distribution will also vary for each acquisition and will be discussed when a specific asset is on the table.
You will receive a K-1 from the entity you are invested in, with the exception of hard money loans. There are tax benefits to holding real estate, but please talk to your CPA to see how it might impact you.
There are three main types of returns from real estate; cash flow, principal pay-down, and appreciation. These returns will vary from property to property, so, please, contact us for more specific information regarding total returns.
Yes, you can use your self-directed IRA or solo 401(k) to invest in our offerings. Contact your CPA to learn the details.
Due to SEC regulations, we are unable to publicly list or advertise our current offerings. Contact us if you're interested in becoming an investor.