Never Do This When Investing In Real Estate (or You're Done) | Ep 90

(Watch the YouTube video of this episode here)

 

In this episode of the Furlo Capital Real Estate Podcast, we discuss the one mistake that can sink more deals than bad markets, bad tenants, or bad luck: choosing the wrong sponsor. We explore how a bad sponsor can ruin your returns and reputation, and emphasize the importance of due diligence in passive real estate investing. Along the way, we share personal anecdotes, practical tips on vetting sponsors, and questions you should always ask before investing. Tune in to learn how to invest wisely and improve your investment experience!

// Key Moments

00:00 Intro

01:39 The Big Mistake: Bad Sponsors

02:48 Real-Life Investment Lessons

04:21 Professional Investor Tips

05:42 Red Flags and Trends to Watch For

08:47 Investor References and Full Cycle Deals

10:57 Importance of the Sponsor in Investments

13:12 Simplifying Complex Financial Concepts

15:33 Conclusion: Trusting the Sponsor

// 7 Key Lessons

Sponsor First, Deal Second: Always vet the sponsor before the deal, because the operator is the deal.

Communication is Currency: Ask how a sponsor communicates before investing—bad updates sink confidence faster than bad tenants.

Track Records Tell All: Verify a sponsor’s track record, including failures, so you know how they handle turbulence.

Don’t Fall for the Instagram Hustle: Don’t get dazzled by Instagram syndicators; ask real questions and check real results.

Start Small, Test Big: Start small with new sponsors—trust is earned, not assumed.

The Disappearing Act Test: Ask, “If you disappear tomorrow, what happens to my money?”—a sponsor’s answer reveals their real preparedness.

People Over Spreadsheets: Numbers matter, but trust and communication matter more—investors buy into people, not spreadsheets.

// Let's build your wealth and improve housing, together.

I spent 12 years as a data scientist at HP and purchased $5M worth of real estate over 15 years using my own money. Now, I'm partnering with busy professionals to diversify their investments and generate passive income through real estate syndications and short-term flips—without dealing with tenants, toilets, or tantrums.

At Furlo Capital, we believe real estate isn't just a transaction; it's a partnership. Our value-add approach creates win-win situations where residents thrive, and investors build wealth. We're not just in this to make money—we want to make a difference.If you're ready to diversify from stock market volatility and want reliable, steady returns, let's build your wealth and improve housing, together.Want to dive deeper into my investing thesis and strategy?

👉 Learn more: https://furlo.com

Curious about the critical questions to ask before investing?

👉 Get my 196-question due diligence vault: https://furlo.com/good-deals-only-ebook

// DisclaimerPlease note that investing in private placement securities entails a high degree of risk, including illiquidity of the investment and loss of principal. Please refer to the subscription agreement for a discussion of risk factors.