This is a very common question I get from my friends on a weekly basis. In the past they would take us out to dinner, my wife Carol and I would tell them the ins and outs, as much as you can tell over dinner, make a few suggestions and be on our way. With a free dinner of course.
Free dinners are not the reason we got into real estate. It initially start was when we could not sell our house fast. We decided to rent it, rented it in 7 days and the rest is history.
There are many, many facets to real estate investing. My choice has been buy and hold. I have not been a great seller. I could not understand why people wanted to flip property, be happy with a $10K or $15K return and go on to the next one. When in turn, I could fix up the property, rent it out with almost no holding time and within 3 years I will have my $10K – 15K on cash flow and still own the home.
I will be honest with you unlike most of the gurus out there. Real Estate or Landlording is not for everyone. When you get home from your normal job at 5:00 are you the kind of person that would like to relax for the day, or would you like to go paint, or clean a house to get it ready for the next tenant? If you answered in the latter, I recommend not becoming a landlord.
How about investing in real estate and not have to deal with tenants or toilets? Have you ever considered becoming a private mortgage lender? In the past I have let many of my friends and associates down by not asking this question. Depending on your long term or short term goals, you can make much better money than you can make in a bank CD and definitely better money that almost everyone did in the stock market last year.
Did you hear about anyone’s home value falling 85%. Well, the value of bank stocks did last year. Regardless if the home value fell or not, the home is still a real tangible asset that you can touch and feel.
So, the next time you consider putting your money into another NO MONEY DOWN course, ask one of you real estate investor buddies about this. I am sure they would be happy to get you involved. In the event you loved this informative article and you wish to get more details about Value Investing Course kindly visit the web page. As a private lender you will get, a mortgage, a promissory note, hazard insurance, and lender’s title insurance. Don’t lend more than 75% Loan to Value and you will be the bank and make the kind of money they make.
Follow these guidelines above and you will do well. Even with a downturn, you can always take the home back with equity