You Said What???
That is the answer I got from numerous developers I have spoken to about creating the platform
Speaking to 15 plus developers = Not all conversations are equal
They either said...
Successful investing in private real estate takes more than deep pockets.
Behavioral economics, the study of financial decision-making psychology, bares the subconscious biases that trigger real estate investment mistakes.
That is how we work as private equity real estate managers at Origin Investments.
Seven steps, inspired by my knowledge of behavioral economics, can help a private investor avoid common real estate investment mistakes: 1.
People are comfortable with things they know, a behavior that is known as familiarity bias.
Investors should look for deals where the sponsor holds significant equity.
Private investors often hold assets that are losing their value.
In private equity real estate, the risk posed by such loss aversion is to hold out for at least a breakeven result, even if that's unlikely.
An old Wall St. saying applies here: “Bulls make money, bears make money, pigs get slaughtered.” A winner may not be such a winner when compared to other opportunities, and a loser may make a recovery.
To make sure your investment decisions involve more discipline than rationalization, it pays to work with experienced real estate management teams that employ a data-driven process.