| Why Creative Real Estate Investors Make Millions in This Market |
| Articles - Retirement |
|
What is so special about real estate as an investment vehicle, as a way to get wealthy, as a way to create passive income and retire young and rich? Why is this market so different? Why is this an advantage to the creative real estate investor?
What is so special about real estate as an investment vehicle, as a way to get wealthy, as a way to create passive income and retire young and rich? Why is this market so different? Why is this an advantage to the creative real estate investor? Two things I want to share with you. Never before, have there been more foreclosures in real estate then there are right now. That is because the lending practices of the last five to ten years have encouraged people to get into debt far over their heads. It is not just real estate debt. It is debt from all forms of consumer debt but especially credit cards. Never in our lifetime have we had so many delinquent home loans. Why did this all happen? Consumers have taken on way too much personal debt, especially with their credit cards. The banks also gave way too much money to the wrong people. Now we have our real estate crisis. We are also seeing more bankruptcies, along with more bank repossessions. There are more VA, HUD, FHA, Fannie Mae, Freddie Mac, and other government-insured loans defaulting than ever before in history. Can you say Short Sale? What all the data is telling us is that there are more properties available at below market prices than ever before. It is telling us that because there are so many people in trouble, it is easier to find Motivated Sellers. It is easier for you to perform profitable transactions! Many investors will tell you that money is made when a real estate investor buys their property and its not until they sell that they get paid. Maybe you get a larger chunk of cash when you sell, but if you bought right, you have lots of profitable options. A bad transaction, however, can leave you with few or none. So focus on great deals and only work with sellers who are truly motivated. A key thing to point out about investing in real estate is that there are a multitude of people looking to buy homes, assuming you can tell the prospects from the suspects. Because of the financial crisis around the world, many of these would-be buyers are having a tough time getting money from banks. An investor can turn these lemons into lemonade with the right amount of innovation. With the know-how and some ingenuity, an investor can take the place of the bank and take a pretty penny for their time. Are you able to finance the transaction with the sellers money? Whos on your buyers list? Do you include only traditional buyers? Isnt that amazing? If the prices are so low and the available homes for sale so high, why cant a buyer just find these deals on their own? Nine times out of ten, they lack the knowledge required to execute these transactions. Now you have the knowledge, so get moving! DISCLAIMER: This article is provided as information only and is not to be taken as financial advice. Before you get started, come check out Augie Byllott's blog where you can learn about items such as how to Buy Homes with Lease Options and become a Real Estate Investor. |