Property taxes are one of the biggest expenses commercial real estate investors need to get right when underwriting a deal. In this episode of the Ironclad Underwriting Podcast, Jason Williams and Frank Patalano break down how property taxes are assessed, why tax projections can change dramatically after a purchase, and why investors need to understand their local tax rules before closing.

The conversation covers everything from protesting tax assessments and understanding millage rates to navigating nondisclosure states like Texas. Jason and Frank also discuss how to build realistic tax assumptions into your underwriting and use sensitivity analysis to understand how changes in assessed value could affect a deal.

Topics Covered

• Why property taxes and insurance are two of the most important expenses to get right
• How property assessments and tax rates work\
• Understanding millage rates and percentage tax rates
• When and how investors can protest property taxes
• Using comparable properties and property documentation when protesting an assessment
• How commercial property taxes can differ from residential taxes
• The challenges of underwriting properties in nondisclosure states
• Why investors should not blindly rely on the seller’s T12 for property tax assumptions
• How a purchase can potentially cause a major increase in a property’s tax assessment
• Using sensitivity analysis to determine how changes in tax assessments impact a deal
• The importance of understanding your personal and investors’ risk tolerance
• Why working with a tax advisor who understands your local market can be valuable

Quotes

• “Taxes are probably this and insurance are the two you want to get right because they have the biggest impact.”
• Your purchase price is your assessor’s favorite comp. Unless you’re in a disclosure state.”

🎧 Connect with Jason:

✅ LinkedIn

✅ https://IroncladUnderwriting.com

✅Linktree

🎧 Connect with Frank:

✅LinkedIn

Jason Williams and Frank Patalano dive into what it really means to have an active role in a GP team, especially when raising capital for a syndication or joint venture. They discuss the importance of understanding SEC requirements, the difference between simply raising capital and actively contributing to a deal, and the many responsibilities that can make someone an active GP member. From underwriting and due diligence to asset management, investor relations, CapEx, lender communication, accounting, and legal compliance, this conversation breaks down how strong GP teams divide responsibilities and stay involved throughout the life of a deal.

Topics Covered

• Understanding active roles within a GP
• SEC considerations when raising capital
• Finding and sourcing deals
• Underwriting and due diligence
• Asset management and CapEx responsibilities
• Investor relations and communication
• Working with lenders, accountants, and attorneys
• How GP teams should divide responsibilities
• Staying actively involved after closing
• Using AI and automation to improve team efficiency

Quotes

• “Generally speaking, you cannot be compensated for raising capital unless you're a broker dealer.”
• “The more you can automate the better.”

🎧 Connect with Jason:

✅ LinkedIn

✅ https://IroncladUnderwriting.com

✅Linktree

🎧 Connect with Frank:

✅LinkedIn

Jason Williams and Frank Patalano break down the differences between small and large multifamily real estate deals and explain how deal size affects risk, capital requirements, operating costs, management, and economies of scale. They also discuss when it makes more sense to buy independently, form a JV, or pursue a syndication.

Topics Covered

• Small versus large multifamily deals
• The benefits and risks of different property sizes
• JV versus syndication structures
• Capital requirements and earnest money
• Economies of scale in maintenance and operations
• Property management and staffing costs
• Vacancy and how larger properties can absorb it
• Vendor pricing and bulk purchasing
• Lender and insurance considerations
• Due diligence on larger properties
• How to determine the right deal size for your team
• Choosing a real estate strategy that fits your network, capital, and experience

Quotes

• “There's a lot of right ways to do real estate. There's a few wrong ways to do real estate. Try to pick a path that works for you.”
• “The bigger the deal, the more risk. But there are benefits to having a bigger deal versus a smaller deal.”

🎧 Connect with Jason:

✅ LinkedIn

✅ https://IroncladUnderwriting.com

✅Linktree

🎧 Connect with Frank:

✅LinkedIn