Real Estate Information |
|
7 Different Ways Anyone Can Become a Real Estate Investor
Being a real estate investor is not really that hard, Sometimes you do not need any money down. Other times you do not need any of your own money down. Below are 7 Methods to buy property and earn money. 1 - Buy and Flip This is a Method where you buy Real Estate at below Market Price and sell quickly and make some fast profits 2 - Buy Fix and Flip This is Similar to method 1 except you would typically hold the property a little longer so you could do some fix ups, This method is designed to yield a higher profit then Method 1. 3 - Buy and Hold You buy the property and find a renter. If you were to buy 2 Properties a year for 10 years you could have 20 Properties all earning you a positive cash flow when you retire. Even a modest positive cash flow of $500 a Month per property in Todays dollars would equal a $10,000 a month retirement income 4 - Wrap Mortgages This method works well with people who have a hard time getting a mortgage because of income or credit or both. You sell them the property on a contract. You keep the existing mortgage and stay on title. You then wrap the old mortgage with a new mortgage. Let's say you have a 30 year mortgage at 6% for a $100,000 with a monthly payment of $599.55. You Give them a 30 Year Wrap mortgage at 8% for $125,000 with a monthly payment of $880.52. You could have provisions where if they refinance in 3 - 5 Yearsand pay of your mortgage and become sole owner. 5 - Lease Option Lease with an Option to buy is similar to a wrap mortgage but they are renting the property at an above market rent. They do have a right to buy at some fixed priced in the future. As an Example you could rent them the property in Example 4 for $900 a Month. They will be able to purchase the property in 3 years at 5% below the appraised value (from an agreed upon appraiser). They also agree to keep the house in good repair. If they make all payments in a timely fashion $100 of each months rent would go towards the purchase price. 6 - Equity Share Equity share involves and investor and a Homeowner. The Investor will put down the down payment and the homeowner will live in the house and make all the monthly mortgage payments. The investor will own 50% of the House and the homeowner will own 50% of the House. After 3 - 5 years you will either sell the house payoff the mortgage and return the down payment to the investor and then divide what's left or the homeowner will refinance the house and buyout the investor. (Sometimes the investor will record a 2nd trust deed with low or no interest against the house to secure there interest) 7 - Buy Low Refinance High Another popular method is to buy low and refinance high. You buy a property for $70,000 with $5,000 down leaving You a $65,000 mortgage. You do $10,000 worth of improvements to the property and then refinance it for $110,000. The Difference between the new loan at $110,000 and the old loan at $65,000 would be $45,000 cash in your pocket. Your net cash would be $30,000 since you have placed $15,000 cash in the property already. You can now use method 3 find a renter and hold the property long term. You could also use methods 4,5 or 6 to have a positive cash flow now and lock in a profit in 3 to 5 years. The above are just some of the many 100's of methods successful real estate investors use to earn money. The key component in any of the above methods is finding the right financing. A loan for the buy and hold method may be very different then the loan for the buy and flip method. The wrong loan could be the difference between a nice profit and a modest profit or maybe even a loss. (You wouldn't want a loan with a large prepay penalty in the buy and flip method) make sure you work with an experienced loan professional who can Tailor a loan to meet your needs About the Author Get Mike's Newsletter Here Copyright © 2005-2006 Mike Makler
MORE RESOURCES: Inside Bill Gates' real estate, from his Seattle to Florida houses Business Insider Low inventory forces D.C.-area buyers to get creative, consider condos The Washington Post Real-estate agent explains new fees to homebuyers, he's not worried Business Insider Dr. Phil left speechless after real estate agent claims that squatting is justified by colonization New York Post Real Estate Listings Are Going Green: 5 Eco-Friendly Sales Features on the Rise Right Now Realtor.com News The economy might be booming, but housing is in a recession: Top real estate CEO says he's never seen anything like ... Yahoo Finance Inside Chris Pratt and Katherine Schwarzenegger's Real Estate Portfolio Architectural Digest Banks Believe They Are Well-Prepared for Commercial Real Estate Fallout The Wall Street Journal Local man allegedly poses as real estate agent in '20, steals over $7K | Hot Springs Sentinel Record Hot Springs Sentinel Real Estate Sales Include Two Falconer Commercial Properties Jamestown Post Journal Hot Tips for Home Buyers and Sellers Right Now Kiplinger's Personal Finance Westmoreland County Real Estate Transfers | Real Estate | latrobebulletinnews.com latrobebulletinnews.com Real estate expert says several factors impact farmland prices brownfieldagnews.com The HYM Investment Group, Cathexis and National Real Estate Advisors Announce Pre-Leasing at Amaya Boston Real Estate Times The Michael Houck Real Estate Guide for April 20 and 21 Oil City News OT Real Estate Spotlight of the Week: 4218 Edgewood Court The Owensboro Times Real-Estate Agents, Investment Advisers Chafe at New Anti-Money-Laundering Rules The Wall Street Journal Big Tech Is Downsizing Workspace in Another Blow to Office Real Estate The Wall Street Journal LOCAL REAL ESTATE TODAY 4.19.24 – KQEN News Radio kqennewsradio.com Massachusetts real estate transactions for Hampden, Hampshire and Franklin counties April 21, 2024 edition MassLive.com A repurposed mill, church, and a library: 3 nontraditional homes for sale in Baltimore The Baltimore Banner East Bank Master Developer Agreement with The Fallon Company Approved Boston Real Estate Times EG Real Estate: Busy Spring Market – East Greenwich News East Greenwich News Nisa Investment Advisors LLC Grows Position in Chicago Atlantic Real Estate Finance, Inc. (NASDAQ:REFI) Defense World Prologis Warns of Slowing Industrial Real-Estate Market The Wall Street Journal S.F. housing market: Still very few homes, selling even faster San Francisco Chronicle How environmental insurance diligence can shape commercial real estate transactions Insurance Business Nuveen Real Estate Income Fund (NYSE:JRS) Stock Crosses Below Fifty Day Moving Average of $7.63 Defense World Critical Survey: Wheeler Real Estate Investment Trust (NASDAQ:WHLR) and Cousins Properties (NYSE:CUZ) Defense World Cerity Partners LLC Purchases New Shares in Alexandria Real Estate Equities, Inc. (NYSE:ARE) Defense World Top 25 Columbus Residential Real Estate Deals for January 2024 Columbus Monthly Healey-Driscoll Administration Names Alison Brizius New Coastal Zone Management Director Boston Real Estate Times Nisa Investment Advisors LLC Sells 32123 Shares of Ares Commercial Real Estate Co. (NYSE:ACRE) Defense World An investigation into the University's controversial real estate holdings Johns Hopkins News-Letter How low inventory is affecting home sales in Peoria and the rest of Illinois Peoria Journal Star 21 Largest Real Estate Companies in the World Yahoo Finance Q1 2026 EPS Estimates for Alexandria Real Estate Equities, Inc. (NYSE:ARE) Decreased by Zacks Research Defense World How Real Estate Helped Taylor Swift Become A Billionaire Yahoo Finance Darien and Rowayton Real Estate Report: April 11 to 18 darienite.com TikTok’s Origin Story: Court Files Show Role of GOP Megadonor Jeff Yass The New York Times Ohio Department of Commerce Division of Real Estate and Professional Licensing offers tips – Daily Chief-Union Dailychiefunion Robert Bailey on Real Estate TPG Online Daily Dream Industrial Real Estate Invest Trst (TSE:DIR.UN) Stock Price Passes Below 200-Day Moving Average of $13.02 Defense World China home prices slumped in March as property crisis drags on Business Insider Robin Hunden of Hunden Partners honored with Jeffrey D. Fisher Real Estate Legacy Award from Indiana University's ... Daily Herald Downtime: Pairing wine and real estate RichmondBizSense Blackstone Earnings Rise as Investment Giant Projects Commercial Real Estate Recovery - CoStar Group Real Estate Broker Commission Settlement ClassAction.org Real estate mogul concerned how Americans will deal with squatters: ‘Something really bad is going to happen’ Fox Business Fannie Mae, Freddie Mac clarify real estate commission rules National Mortgage News See the latest Coles County real estate transactions Journal Gazette / Times-Courier Two Weichert real estate agents in Willmar recognized for work in 2023 West Central Tribune Former HGTV star from Los Gatos sentenced in $10M real estate fraud case CBS San Francisco SVN|J. Beard Real Estate adds chief investment officer to Houston office – REJournals REjournals.com A new real estate trend? Shopping malls converted into residential units in South Florida NBC 6 South Florida |
RELATED ARTICLES
Real Estate: A Strong Investment Description: Even in uncertain economic times like these, history shows that real estate is one of the soundest investments a family can make. Also remember that the stock market is not the only place where people can make their fortunes. Do You Want To Sell Your Rehabs Fast? That's an obvious question - we all do! So what is the trick? So much time and money is spent on systems updates, roofs, and structural issues, that many times there's nothing left for what really makes the sale: what your potential buyers see. And more importantly, what they fall in love with. Theres More To Making Money Than A Tertiary Education An education of some sort is a prerequisite these days if you want to start a secure career in whatever field you choose. However, have you thought about where this will get you exactly? Will it help you achieve all your dreams in life, both financial, physical, emotional etc?This article is focusing on the financial and lifestyle dreams that you may have. Real Estate Local FAQs. There are many frequently asked questions and any local real estate area. In our area here at the local Delaware Beaches, the most frequently asked questions are how to get a good deal and if there are any fixer-uppers available. Fixer Uppers: Dont Make This Mistake Making money with "fixer-uppers" isn't about repairing drywall or planting flowers. It's about using the right approach from the start. Realtors - Self Promote Your Way To Success Okay, so we all can agree - listings are the lifeblood of the real estate industry. And if the keys to selling them arelocation, location and location, then the challenge in getting them is self-promotion. Real Estate: Reasons and Priorities for Purchasing Property Real Estate: Reasons and Priorities for Purchasing Property. It's not just about Real Estate as an Investment. Finding the Right Buy to Let Mortgage for Your Investment Property Finding the right buy to let mortgage is crucial to your success as a property investor. Unlike other forms of investment, a lot of the money you put into a buy-to-let property is likely to be borrowed. Real Estate Investing - Makeovers vs. Flipping Please don't call it "flipping."Some real estate investors who practice the technique of buying property for immediate fixup and resale call it "flipping houses. Inspecting Your New Home - 17 Areas You Must Inspect Before Taking Possession Congratulations! You've made your decision; you've chosen your new home and your builder. So what needs to happen next? Once you have a firm contract and you have selected the features that will go into your new home, it is time for the builder to turn your dream into reality. How to Show & Sell Your California Home Seller's Showing Instructions1. When the agent arrives with the potential buyers, have the window coverings open to let in as much sunlight as possible. Investing In Land Changing social trends point to a huge rise in demand for housing within the next twenty years.With an ageing population and more single people requiring accommodation, it comes as no surprise that the government has ordered planning authorities to find more land to develop, including areas of greenbelt. Negative Gearing - It's Not to Your Benefit! The concept of negative gearing has been originally developed to encourage real estate investment in Australia by allowing any income losses from property investment to be deductible from other income as a tax benefit. This means that the taxable income of the owner will be reduced after the deduction and therefore the total tax payable is also reduced. Green Building Media Fact Sheet - Past, Present & Future PastSpecialized, niche home builders began constructing resource-efficient, environmentally sensitive homes in the early 1970s. The home building industry coined the phrase "green building" in the late 1980s/early 1990s, turning a movement into a quiet revolution. Property in Bulgaria - Huge Investment Potential Bulgaria is a truly magnificent country, located in Eastern Europe with an amazing coastline that stretches over 340km along the Black Sea, with a backdrop of one of the world's most magnificent mountain ranges and the beautiful and historic capital city of Sofia.Today Bulgaria not only offers one of Europe's most attractive and unspoilt holiday destinations it is also host to what will be one of the most dynamic and as of yet relatively untapped property and real estate markets. Real Estate Investments Real estate investments come through a variety of different options. However, whether it is a vacation property, a first home, an early retirement house, or a rental property that you find appealing, real estate investments are all the rage, and are quickly becoming one of the safest investments available, especially in our less-than-perfect economy. Title Insurance - Examples of Problems and Advice What is title insurance and why should any buyer get it when purchasing a home (single family, townhouse, condo, apartment, or whatever format your home purchase takes)? Doesn't the attorney or settlement company handling the closing see to it that you have a clear title? Isn't this just another way for someone to siphon a few coins off a real estate transaction?Title InsuranceTitle insurance prevents the property owner from suffering financial loss if, at any time during his ownership of the property, someone comes along who can show that they have full, or partial, ownership of the property instead. Every mortgage lender I'm aware of requires title insurance be purchased to cover the amount of the mortgage. Buying an Unfinished Home Maybe Your Answer For the first time "want-to-be" homeowner, purchasing an unfinished new home maybe just the answer. With mortgage interest rates still at record lows, there has not been a better time to purchase a home in decades. Basic Real Estate Valuation Given the current interest (dare I say hysteria) associated with investing in dirt and buildings, I thought it might be interesting for our readers to have a quick, dirty manual on real estate valuation. My perspective comes from years in the industry as well as some time learning at the knee of some of the better real estate minds in academia. What is Tax-Deferred Exchange? Under Section 1031 of the Internal Revenue Code, owners of real estate held for investment or use in a trade or business can swap their property tax-free for "like-kind" real estate.Exchanges are made for people wanting to stay invested in real estate, increase their leverage and to avoid paying hefty taxes upon the sale of property. |
home | site map |
© 2006 TIGER MEDIA |