Value Add, Core, and Opportunistic Real Estate Investing Strategies

When it comes to flipping, wholesaling, or acquiring rental properties we often hear deals categorized as Turn-Key, Rehab, or Distressed, especially in the single-family space. However, in the multi-family and commercial space, understanding the shift in terminology for categorizing deal types is crucial in order to analyze, negotiate, market, and/or manage your assets properly. The common deal strategies or categories in multi-family and commercial real estate are:

– CORE investments (similar to Turn-Key properties)

– VALUE ADD investments (similar to Rehab properties)

– OPPORTUNISTIC investments (similar to Distressed properties)

The important difference, however, is that these investment types give insight into market variables associated with the property, such as past and future economy, demographics, and population growth as opposed to JUST the property’s structural condition. This a crucial when it comes to estimating and marketing capital expenses, profit projections, and appreciation associated with a particular property, especially those with more intricacies just as commercial, multi-family, and industrial.

Take notes as Alex Donnolo and Dylan Stewart break down and compare the differences between Value-Add, Core, and Opportunistic real estate investments!

Cashflow Innovators Podcast

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