Learn to create great deals

Learn to create great deals

  I got a call from a newer investor recently, and he was about to do his first subject-to deal. That’s where you buy a house and leave the seller’s mortgage in place after closing. You then make payments on that mortgage until you either pay it off, refinance the house or sell the property.   The investor was looking for some guidance on how to set up and properly…

10 for 2

10 for 2

  Investing isn’t restricted to buying a stock or a piece of real estate. It’s more than that. Investing is a thought process where you use money and knowledge strategically to create more money.   This was perplexing for me, at first. I grew up believing that you were a slave to the dollar and money was something that ruled over you.     But one of my teachers, named…

Why master leasing makes sense

Why master leasing makes sense

  Last week I talked about how repairs on rental property you own can kill your cashflow. So far this year, our rental repairs have consisted of three field lines, one roof, lots of AC calls, a water heater, a water main and a big subfloor repair. All these amounted to about $30,000 in out-of-pocket expense.   Think about that number for a second. If you had $30,000 in repairs,…

What I learned at ‘What Box’

What I learned at ‘What Box’

  Ashley and I just got back from the “What Box” seminar on creative deal structuring presented by Bill Cook and Pete Fortunato. It was great, but I’m not going to lie – by the time we got through with class, my brain was numb.   On the car ride home, we talked about the “aha” moments we’d had. One of the things I learned was there’s a difference between…

Learning creative deal structuring

Learning creative deal structuring

  I was recently invited to a mastermind meeting that had some pretty advanced investors in the room, one of whom was in the habit of buying tax liens – these are liens counties put against properties when homeowners don’t pay their property taxes. Counties do this so they can sell the liens at auction and recoup the funds they didn’t collect from the homeowner. This is called a tax…

Can you make money without money in real estate?

Can you make money without money in real estate?

  The other day I was reading a forum discussing myths in real estate investing. One of the contributors said the phrase “it doesn’t take money to make money” is the biggest myth in real estate investing today.   I disagreed with the contributor from the standpoint of personal experience; Ashley and I had no money when we started. We were broke kids, straight out of college, with a ton…

What’s in your head?

What’s in your head?

  I’ve been listening to a phenomenal book called “Mastering the Attitude of Achievement,” by Lou Tice. I’ve got to tell you, I wish I’d found this years ago.   Lou is a motivational speaker, high school teacher and football coach. One of the main points in this book is that the pictures that we formulate in our heads affect what we do in life.   Lou gives a great…

Become a flea trainer

Become a flea trainer

Become a flea trainer   If you’ve never read Zig Ziglar’s book, “See you at the top,” I highly suggest it. Zig has a gift for helping motivate you, improve your self image and teach you how to set and attain goals. His book is full of parables and stories that embody the keys to make you a success.   He tells one story about how to become a flea…

You need to protect your assets, trust me

You need to protect your assets, trust me

You need to protect your assets, trust me:   When people are getting started in real estate, they often assume they need to form an entity like an LLC or an S corporation first thing. The two main reasons for this are to protect their assets from lawsuit and to take advantage of certain tax breaks.   In my opinion, due to formation and maintenance costs, neither of these entities…

If you want to learn about real estate investing, buy the man lunch

If you want to learn about real estate investing, buy the man lunch

If you want to learn about real estate investing, buy the man lunch   I’m often asked where the best place to get education is for new investors.   Truthfully, some of the best seminars I’ve ever taken happened over lunch when I’ve taken out successful investors and had in-depth discussions.   Here is how I prepare: before we go, I tell the investor I want to be respectful of…