Real Estate Syndication Deals
Reasons Syndicated real estate investments are not a great idea. One of the main drawbacks of these types of deals is the inability to get the money out when you need it. Since you don't control the operations, and access to information specific to finances are limited, more likely when dividends don't get paid, you cannot question them. I would strongly recommend, if you are new to real estate investing, stay away from syndicated deals unless you can carve out in your contract the ability to take out your money, ease of access to bank statements and other financial information at your beck and a personal guarantee to repay you the principal. Even if it's ok you negotiate a couple of % points less but having the ability to get out is essential. Also, have a competent lawyer help you with the UCC filings (just in case the deal falls through).