Creative financing consists of many techniques. Depending on
the seller and the property you choose the technique that will
produce the best results.
There are many real estate professionals that specialize in
different areas of investing. Many specialize in flipping, others
rehab, and still others buy and hold, in other words rent the
property so they have a steady monthly income. Which area
you choose, make sure you do your due diligence so you don't
end up with what real estate investors call an alligator.
There's a phrase that investors use and it is called paralysis of
analysis. That is the number one thing that will stop you from
pursuing any creative financing deal. You will never know all
the techniques by heart but as you start investing you will
become clearer as to which technique works a particular way
for you. It is always a good idea to stay with that technique
until you are familiar with it then move on to another that may
approach a deal in a different way.
We talked about birddogging and that it is a great way to enter
the market with no investment necessary in order to make 500
to 1000 dollars per deal. Scouting is another name for
birddogging and with scouting you can make more money
because you supply the investor with more information.
After scouting you may want to move to flipping(wholesaling).
Wholesaling a property consists of finding a property and it's
seller and making an offer. After the offer is made you then
start doing the due-diligence that will tell you if it is a good deal
or not. When you wholesale you are getting a contract of the
property then selling that contract to an investor. You start to
see a higher profit with flipping. Also you have to know how
much the deal will cost the investor. You must estimate
holding costs, buying and selling costs and the cost of repairs
in order to arrive at the price you can pay for the property and
still make a profit. You must also make sure that the seller is
satisfied with their. If not you should walk away from the deal.
It's all about win-win!!
If you want to make even more money you can rehab the
property and make tens of thousands of dollars. At this point
you are a retailer. Retailers make the necessary repairs that
will bring the property value up to the comps of the area. In
other words the property will be restored to a livable condition
and can be sold to a buyer that will live in the property.
These are some of the techniques that will earn you a good
income and give you a sense of accomplishment by allowing
you to help rebuild america's neighborhoods. For those of you
who are interested in starting a career in real estate feel free
to read some of the articles.
the seller and the property you choose the technique that will
produce the best results.
There are many real estate professionals that specialize in
different areas of investing. Many specialize in flipping, others
rehab, and still others buy and hold, in other words rent the
property so they have a steady monthly income. Which area
you choose, make sure you do your due diligence so you don't
end up with what real estate investors call an alligator.
There's a phrase that investors use and it is called paralysis of
analysis. That is the number one thing that will stop you from
pursuing any creative financing deal. You will never know all
the techniques by heart but as you start investing you will
become clearer as to which technique works a particular way
for you. It is always a good idea to stay with that technique
until you are familiar with it then move on to another that may
approach a deal in a different way.
We talked about birddogging and that it is a great way to enter
the market with no investment necessary in order to make 500
to 1000 dollars per deal. Scouting is another name for
birddogging and with scouting you can make more money
because you supply the investor with more information.
After scouting you may want to move to flipping(wholesaling).
Wholesaling a property consists of finding a property and it's
seller and making an offer. After the offer is made you then
start doing the due-diligence that will tell you if it is a good deal
or not. When you wholesale you are getting a contract of the
property then selling that contract to an investor. You start to
see a higher profit with flipping. Also you have to know how
much the deal will cost the investor. You must estimate
holding costs, buying and selling costs and the cost of repairs
in order to arrive at the price you can pay for the property and
still make a profit. You must also make sure that the seller is
satisfied with their. If not you should walk away from the deal.
It's all about win-win!!
If you want to make even more money you can rehab the
property and make tens of thousands of dollars. At this point
you are a retailer. Retailers make the necessary repairs that
will bring the property value up to the comps of the area. In
other words the property will be restored to a livable condition
and can be sold to a buyer that will live in the property.
These are some of the techniques that will earn you a good
income and give you a sense of accomplishment by allowing
you to help rebuild america's neighborhoods. For those of you
who are interested in starting a career in real estate feel free
to read some of the articles.
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| CREATIVE FINANCING TECHNIQUES |