Real estate investing does not have to be complicated!

Real estate investing does not have to be complicated

Do you know what is the hardest deal to ever do in real estate?

Your first one!

The challenge is that most people will quit before ever getting their first deal.

I also feel that there is sooooooo much information available in the marketplace that even getting started is almost as challenging as getting your first deal!

I think one of the reasons for this is there are so many ways to invest in real estate!

Do I buy No Money Down?

Do I invest in Foreclosures or Pre-foreclosures?

Do I invest in “Fixer Uppers?”

Do I do “Flips”?

Do I adopt a “Buy and Hold?”

Do I Lease-Purchase or Lease option?

Do I buy “Subject to” the existing financing?

Do I buy Single-family homes? Condos? Mobile Homes? Apartment buildings?

You get the idea! There are so many ways to invest in real estate today!

Ok, let’s say you’re lucky to pick one way to invest in real estate, let’s say Foreclosures.

There seems to be a hundred ways to do a foreclosure deal!

Now, in addition to finding your first foreclosure deal, you then have to figure out which of the hundred ways to do that deal!

I still wince in pain whenever I see a real estate program that has anywhere from 12 to 36 CD’s or audio tapes!

Who really has the time to go through all of that information?

And even if you make time, can you say, “Information OVERLOAD”?

We always said that we did not want to learn 100 ways to do a real estate deal but one simple, proven way that would take us to the bank!

When we wrote “Buy With No Credit–How to Make Money This Month in Real Estate” it was with the belief that people would appreciate a course that simply “cut to the chase” and taught one simple method (no credit checks and $1-10.00 down) to invest in real estate.

Something so simple that anyone could read it in a day and begin contacting homeowners the very same night!

We appreciate people that do not “Mickey Mouse” around and are direct and to the point!

So our strongest recommendation is to find one way to invest in real estate and then pay the price and really learn that one method.

Vickie and I recently went to our first “bootcamp” (yes we believe in continuing education)

During this 3 day event, there were 7 “guest speakers” and these speakers all had an upcoming “boot camp” they were promoting. The thing that blew us away was all the people who signed up for those additional “bootcamps”.

We saw some folks that signed up for every one!

I wanted to scream out, “What about the information that was being presented this weekend?!”

When would these people ever have time to implement the strategies they were learning that weekend?

The reality is that most people would rather write a check then to take action!

So the only action they have in a year is going from Bootcamp to Bootcamp, a massive credit card bill, and to officially be a “jack of all trades” in real estate!

Do not try to be a “jack of all trades” in real estate!

Jacks of all trades in real estate never make the money that the specialist will!

Let me ask you a question: Who makes the most money in the health field? Is it the General Practitioner (Family doctor) or the Specialist?

The Specialist, of course!

Choose this day to become a specialist in one area in real estate and then apply yourself to becoming a Specialist in that one method!

Once you have mastered that one method, then and only then, you can diversify and learn another method.

A word of warning:

When choosing a course or training program on any real estate method, do not confuse the price of the program with the value of the program.

Just because a program is a lot of money does not mean that it has more value than a less expensive program.

Case in point: One of our students spent $12,000 with a “real estate mentor” and was frustrated because it was like he was spinning his wheels.

He ordered our course for the special price of $97 and within 4 weeks was closing deals on his first 2 properties!

Remember this and remember it well… The value a real estate course or training program has nothing to do with the price!

Just because it is expensive does not make it automatically better than a more affordable course.

The value is only determined by the impact the course or training program has on that person!

This is absolutely critical!

Truly caring for your success! TC and Vickie Bradley http://www.tcandvickiebradley.com

About the Author

TC and Vickie Bradley are authors of the #1 best selling course “Buy With No Credit, How to make money this month in Real Estate”.

It has maintained a #1 ranking in Real Estate at one of the Internet’s most trusted and respected web sites since it was released in April of 2003.

This dynamic and caring couple has a passion to assist others in walking into the greatness that is already within them!

Real Estate Investing Tip - Three Things That You Need To Know To Succeed

Three things that you need to know to succeed

Are you new to the world of real estate investing? There are many key points involved in real estate investment that can help you make your deals more profitable. Real estate investing is all about facing the challenges and pitfalls you may encounter along the ways. If you are new to this venture there is definitely a lot to learn. Once you have groomed yourself and have gained some experience, you can become the master of the art and can surely make more profits.

Here are some useful Real estate investing tips

1. Selecting a right location:

Selecting a right location is very important to achieve success in your real estate investment deals. The better the location, the better the chances that the value of your property will increase over time. It would be advisable to select a location where the demand for the property is high and the property prices are always rising. You need to consider many prospects before selecting a location for your real estate. One of the key points you have to consider is about the major developments that are planned for the area in the future.

2. Pay Market Value:

Never pay more for a property than what it is worth. It is very important to access the market value of a property before you actually consider buying it. Buying a property in a good location can be a good option as you can expect the value to double every 7 to 10 years. You can also ask an agent on information on price growth in a suburb.

3. Attracting tenants:

One of the most important point you need to consider while buying a property is whether it will attract tenants or not. It would be advisable to buy a property in an attractive location where other people wants to live as tenants. You need to put yourself in the tenant’s position as to what they will consider buying from you. You need to work out on certain points to attract tenants this includes good access to transportation, education facilities, health, community facilities and adequate parking.

Copyright ? 2006 Joel Teo. All rights reserved.

About the Author

Joel Teo writes on arizona estate goodyear investment real . Learn more about Property Investment by signing up for his free Property Investment Ezine

Tip of the Day by Stephen Oommen

U.S 1% Rich 99% Poor
This is your choice.
Please take a moment to watch this ABC News report. This is something I have been saying for years that the gap between the rich and the poor is growing.

ABC News Report

But here is something to think about because there are a few points I want you realize. There are always two ways to look at the same thing. Regardless, this gap is going to continue to grow and we will all have made our choice.

One point is that the couple, the meteorologist and school volunteer, say that they are at no fault because they did everything they were supposed to. This is a common statement I hear in which people want to blame someone else. But really think about how that makes no sense. If someone did EVERYTHING they were supposed to, then obviously they wouldn’t be worried and they would be set for retirement. So they apparently didn’t educate themselves on the right way to handle their finances based on the way the economy was going.

Point two, the news consultant says that the people are upset because they feel the rich are playing by an entirely different set of rules. Well this is 100% true. What he didn’t say is that EVERYONE has the ability to play by these same rules. Unfortunately barely anyone takes the time to LEARN the rules.

This is the major reason I am in business today: to make sure EVERYONE has the opportunity to learn these rules.

Today to be part of the 1% club you actually only have to earn 180k a year. Not unrealistic for those thinking you have to be in the millions of dollars club.

I do not agree with how some of the rich have earned their money immorally, illegally and unethically. That is flat wrong and there are too many ways to do it the right way, to risk doing it the wrong way. The news likes the paint a one sided picture of the rich, but yet I haven’t found even one person that can say they wouldn’t be a happy with a little bit more financial security.

Everyone is allowed the freedom to choose. You can be part of the 1% or the 99%. If you do nothing, then you choose the 99%. But it is everyone’s free choice.

Which is your choice?

God Bless!

–

Stephen Oommen
Real Estate Investor & CEO - Ovestments Inc.
www.OvestmentsInc.com

Real Estate Investing : Graduated Lease

New business start-ups need at least a few months to stabilize and it could take a few months before a break-even point occurs. To help such businesses as well as to counter he slack in rentals, commercial, industrial property owners have designed a lease called the graduated lease to entice new tenants. In a graduated lease, the lease amount is low for the initial couple of years and gradually increased proportionally the next three years in a typical five-year contract. This strategy worked so well that people have applied graduated lease to residential property too.

Graduated Lease: How does it Work? Let us say there is a person x who leases a commercial space using a graduated lease for a period of five years. The lease includes the maintenance, taxes, insurance, utilities and janitorial services charges. His office space is 2,000 squares in a 30,000 square building. He pays $20 for each square foot so his yearly base rent will be $40,000 and for fiver years $200,000. In a graduated lease he can pay $2,500 each month for the first year {$30,000}, $3000 each month for the second year {36,000} and $ 3,500 each month for the third year {42,000} and $ 3,833.3 each month for the next two years {$91,999.9}. The low monthly rental for the first three years gives X the chance to utilize the money to develop his business and stabilize financially, hence a graduated lease will work to the advantage of the lessee.

Lessees who lease commercial and industrial properties therefore prefer this kind of lease. Usually, graduated leases are offered at a flat rate for the first two years, and gradually increased as per the lease term typically five years. Lessees can negotiate to get as low an escalation cap as possible for each additional year. The lessee should make sure he understands the terms of the contract properly and that he is not paying rent for space he does not use such as a foyer or lobby to which he has no access as it is on another floor. The landlord has to ascertain that the lessee has no deceitful intent and has no record of fraud or history of delinquent rental payment. The lessee should not cause damage and or repair to the property and abscond without a trace, leaving the landlord in a lurch. It is therefore necessary for both parties to hire an experienced attorney and see to it that they are not being cheated, by carefully verifying the due-diligence and all documents presented.

Graduated leases are helpful for new entrepreneurs who can use the money saved on the first few years of the lease to build and establish their business.

There are firms that offer services and products to help new entrepreneurs run a successful business.

Why did they delete this from the movie “THE SECRET”?

Most people only believe what they see and what they can grasp. Believe in the unseen and become aware of your own abilities - we live in an ocean of motion!

Real Estate Investing Tip - Three Things That You Need To Know To Succeed

Three things that you need to know to succeed

Are you new to the world of real estate investing? There are many key points involved in real estate investment that can help you make your deals more profitable. Real estate investing is all about facing the challenges and pitfalls you may encounter along the ways. If you are new to this venture there is definitely a lot to learn. Once you have groomed yourself and have gained some experience, you can become the master of the art and can surely make more profits.

Here are some useful Real estate investing tips

1. Selecting a right location:

Selecting a right location is very important to achieve success in your real estate investment deals. The better the location, the better the chances that the value of your property will increase over time. It would be advisable to select a location where the demand for the property is high and the property prices are always rising. You need to consider many prospects before selecting a location for your real estate. One of the key points you have to consider is about the major developments that are planned for the area in the future.

2. Pay Market Value:

Never pay more for a property than what it is worth. It is very important to access the market value of a property before you actually consider buying it. Buying a property in a good location can be a good option as you can expect the value to double every 7 to 10 years. You can also ask an agent on information on price growth in a suburb.

3. Attracting tenants:

One of the most important point you need to consider while buying a property is whether it will attract tenants or not. It would be advisable to buy a property in an attractive location where other people wants to live as tenants. You need to put yourself in the tenant’s position as to what they will consider buying from you. You need to work out on certain points to attract tenants this includes good access to transportation, education facilities, health, community facilities and adequate parking.

Copyright ? 2006 Joel Teo. All rights reserved.

About the Author

Joel Teo writes on arizona estate goodyear investment real . Learn more about Property Investment by signing up for his free Property Investment Ezine

BABY STEPS LEAD TO AVALANCHES

“Most people have attained their great success just one step beyond their greatest failure.” ~ Napoleon Hill

Real Estate Bird Dogging-A Great Way To Build Investing Confidence

One of the problems faced by many newbies (new investors) in the real estate business is lack of confidence. Confidence cannot be built without doing the activity that you are trying to build confidence in. This presents a problem with most people because real estate is not something that you can just practice, you cannot practice buying a house, or practice selling it. You could pretend to buy houses I guess, or pretend to sell houses, but pretending is for kids. This is where real estate bird-dogging comes into play. It gives you a reason to practice, you get paid. Now if money won’t make you practice then nothing will.

Instead of not getting paid for all those hours spent learning the market, you could be making thousands. I cannot think of a better way to learn real estate than getting out and looking for good deals, then finding good deals and showing them to buyers, who pay you for your services. Then after the buyers close you can follow the progress of the home and see if you made a good decision or not. The best part is that during your practice, even if you made a not so great decision you still get paid, and you do not lose a penny.

I started out my investment career as a Realtor. I built my confidence through selling investment properties to other people and watching them make money. After selling 9 homes to other investors and seeing them profit tremendously, I knew it was time for me to start making myself some money.

Real Estate Investing Tip - Three Things That You Need To Know To Succeed

Three things that you need to know to succeed

Are you new to the world of real estate investing? There are many key points involved in real estate investment that can help you make your deals more profitable. Real estate investing is all about facing the challenges and pitfalls you may encounter along the ways. If you are new to this venture there is definitely a lot to learn. Once you have groomed yourself and have gained some experience, you can become the master of the art and can surely make more profits.

Here are some useful Real estate investing tips

1. Selecting a right location:

Selecting a right location is very important to achieve success in your real estate investment deals. The better the location, the better the chances that the value of your property will increase over time. It would be advisable to select a location where the demand for the property is high and the property prices are always rising. You need to consider many prospects before selecting a location for your real estate. One of the key points you have to consider is about the major developments that are planned for the area in the future.

2. Pay Market Value:

Never pay more for a property than what it is worth. It is very important to access the market value of a property before you actually consider buying it. Buying a property in a good location can be a good option as you can expect the value to double every 7 to 10 years. You can also ask an agent on information on price growth in a suburb.

3. Attracting tenants:

One of the most important point you need to consider while buying a property is whether it will attract tenants or not. It would be advisable to buy a property in an attractive location where other people wants to live as tenants. You need to put yourself in the tenant’s position as to what they will consider buying from you. You need to work out on certain points to attract tenants this includes good access to transportation, education facilities, health, community facilities and adequate parking.

Copyright ? 2006 Joel Teo. All rights reserved.

About the Author

Joel Teo writes on arizona estate goodyear investment real . Learn more about Property Investment by signing up for his free Property Investment Ezine

Beginning Real Estate Investing? Increase Your Profits With The Magic Of Leverage

When you invest your money in things like RRSP’s or stocks and bonds your leverage is zero because you have used your own money and none of other people’s money. When you buy a home with a mortgage you have used leverage, which is common in most all real estate investments. You own the down payment of coarse but the lending institution owns the rest.

You bought a house for $100,000 with a $5,000 down payment. The OPM you used, or leverage is 95% and your down payment was 5%. Here lies one of the most important principles for someone just beginning real estate investing or even if you’re well into it:

The More Leverage You Use, The Greater Your Profit Potential.

Now the house you bought for $100,000 has increased in value up to $105,000 in just under a year, not bad. It only appreciated 5% but the good news is the return on YOUR investment is 100% because you invested $5,000, it went up $5,000 so you doubled your money earning a full 100% on your investment. Let’s say that over the next 10 years your property goes up to $25,000 in value, this will give you a 500% return on your money. Leverage is computed by dividing the increase in value by the cash down payment (25 divided by 5 is 5).

If you had $100,000 you could buy one property outright with your cash or you could make a lot of money with leverage and buy 20 properties by putting $5,000 down on each one. So, now instead of having a $100,000 property you’ve got $2,000,000 worth of property. Now let’s say the properties all appreciated by 5% during the first year your profits would be $100,000. If you had bought just the one property instead you would have only made $5,000 in profits.

As you can see, the less of your own money you use, the greater your profit potential and if you were able to buy a property with none of your own money, then the return on your investment is infinite. You can’t divide by a zero down payment. To figure out the return on investment from appreciation, taxes, or principle reduction, always divide by your cash down payment.

We have seen here how leverage can increase you chance for profits, but if you are financially unprepared it can greatly increase your potential risk. Higher earning strategies always have a higher risk potential that go along with them. The super save route of investing the entire $100,000 into one property is totally safe but will give you a much lower ROI. Those 20 properties you bought all have a mortgage on them which you are responsible for so if a few aren’t rented or the rents don’t get paid the money comes out of your pocket. Does this additional risk warrant the use of leveraging? Yes it does but you have to plan ahead and be prepared to handle any possible negative cash flow problems should they arise.

“How to handle negative cash flow” will be discussed in an upcoming article.

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