House Buying Coaching For Ownership and Investing

Real Estate Investment Trusts have been widely touted in the past few years.

REITS are generally expected to yield a 10-15% return in 2010 and will benefit from new tax laws that tax Trusts but leave REITS out of it- according to the National Financial Post.

To the typical investor this sounds great- especially if you've gotten burned in the stock market.

But are you investing or really making money? You have to consider management fees and other things that eat away at your bottom line.

Let's go head to head with REits on a simple example- wholesaling:

A Real estate investor controls a property for a small amount of $50. He does no work on the property, and pays no management fees. He goes to his local real estate investor's club and 'assigns' the contract for $3,000 to a rehabber who feels he can make $20k on the deal when it's all said and done.

What's the return on this for the Real estate investor?

You see the difference.

Are you investing or making money?

Many folks get into real estate and look at only one thing: Profit.

 

What is left to chance is the fact that you can actually lose money in this business if not done right.

 

This is exactly why I always recommend getting a basic education in real estate investing and begin by wholesaling or assigning contracts to more experienced in investing. You'll gain experience and start to realize what a good deal really looks like- instead of what you just read about in the guru books.

 

The Real Estate version of MSN had an article showing five mistakes we real estate investors- especially flippers get mixed up within.

 

We come into things without knowing what we're doing

We don't realize the time it actually takes to buy, fix, hold, and flip a property. And we run out of cash.

 

Remember, even with no money down deals- cash is still needed- if not your's someone else's.

 

Lack of skills in investing and the fix up business, as well as lack of patience - getting wrapped up in selling quickly or doing a deal before you're ready is another trap.

 

Save yourself a ton of heartache. I'm giving it to you for free. It's a Free power point presentation on how you should get involved in real estate. A basic roadmap so you get started right and you finish right.

 

to your success!

 

Dennis