And the winner is...
Dennis here. Your friendly neighborhood Real Estate Coach, with a quick heads up for those wondering if you're doing the right thing. Real Estate Investing vs. "Those other guys" With the economy in dismal form, people like to play the blame game, many times just echoing the sentiments of other people who like to bash real estate as an investment.
Don't get me wrong, I've had my struggles, challenges, and hurdles to overcome due to the economy and down right 'brain freeze' (aka DOHH!) investment moves that fall squarely on my shoulders.
Lately some individual stocks, ETFs and others have gotten some serious pub for gains produced in the 2nd quarter of last year. A recent article in www.Seekingalpha.com has shown nice gains for REITs or Real estate investment trusts with one month gains shown below:
REIT ETFs Over 1-Month Period (11/25-12/24) Approximate % Gain iShares Cohen Steers Realty Majors (ICF) 12.1% SPDR DJ REIT Index (RWR) 11.6% Vanguard REIT (VNQ) 11.5% iShares DJ Real Estate (IYR) 11.4% iShares FTSE NAREIT Retail (RTL) 11.2% iShares FTSE NAREIT Industrial/Office (FIO) 10.7% iShares FTSE NAREIT Residential (REZ) 9.1% iShares FTSE NAREIT Mortgage REIT (REM) 3.8%
12% in one Month!! Not too shabby. Now here comes the old champion- Real Estate Investing to go toe to toe with these challengers.
We'll just pick one of these REI Strategies and see how they compare. Let's take Real Estate Wholesaling: Basically buying or controlling a property at a lower price and selling/ or assigning for a higher one.
I did a deal in Missouri City Texas where I put a home under contract thereby giving me all the rights to purchase the property. Due to negotiations with the seller, the contract was at about 87% of the value of the home.
The house was in great condition and I was able to assign my "Right" to purchase the home to an end buyer that loved the house and loved the neighborhood. Here's the result: 4 Hours of work. $3000 Net in 3 Weeks from contract to close. What's great about it is I only risked $50 used as earnest money on the deal.
So anyway you look at it: Risk, Work, Holding, ROI, Cash on Cash, Gain, Yield the Manny Pacquio-like champion has got to be the savvy real estate investor and I'm not just saying that because my best friend's FilipinoJ !! Take that REITS!!
What's great is this strategy works for all levels of investors, especially newbies who are worried about risk, not having enough knowledge etc. Here's a side bonus: You never have to do any repairs at all. You don't own the house. Take it from a former rehabber- who's seen his share of gross stuff and has run out from at least 2 houses spraying himself down with bug spray- Wholesaling is much better for your health! So where would you rather invest your money? What kind of returns would you like to have? Questions? Comments? Hellllpppp!!? Need helping finding deals you can wholesale?
Dennis here. Your friendly neighborhood Real Estate Coach, with a quick heads up for those wondering if you're doing the right thing. Real Estate Investing vs. "Those other guys" With the economy in dismal form, people like to play the blame game, many times just echoing the sentiments of other people who like to bash real estate as an investment.
Don't get me wrong, I've had my struggles, challenges, and hurdles to overcome due to the economy and down right 'brain freeze' (aka DOHH!) investment moves that fall squarely on my shoulders.
Lately some individual stocks, ETFs and others have gotten some serious pub for gains produced in the 2nd quarter of last year. A recent article in www.Seekingalpha.com has shown nice gains for REITs or Real estate investment trusts with one month gains shown below:
REIT ETFs Over 1-Month Period (11/25-12/24) Approximate % Gain iShares Cohen Steers Realty Majors (ICF) 12.1% SPDR DJ REIT Index (RWR) 11.6% Vanguard REIT (VNQ) 11.5% iShares DJ Real Estate (IYR) 11.4% iShares FTSE NAREIT Retail (RTL) 11.2% iShares FTSE NAREIT Industrial/Office (FIO) 10.7% iShares FTSE NAREIT Residential (REZ) 9.1% iShares FTSE NAREIT Mortgage REIT (REM) 3.8%
12% in one Month!! Not too shabby. Now here comes the old champion- Real Estate Investing to go toe to toe with these challengers.
We'll just pick one of these REI Strategies and see how they compare. Let's take Real Estate Wholesaling: Basically buying or controlling a property at a lower price and selling/ or assigning for a higher one.
I did a deal in Missouri City Texas where I put a home under contract thereby giving me all the rights to purchase the property. Due to negotiations with the seller, the contract was at about 87% of the value of the home.
The house was in great condition and I was able to assign my "Right" to purchase the home to an end buyer that loved the house and loved the neighborhood. Here's the result: 4 Hours of work. $3000 Net in 3 Weeks from contract to close. What's great about it is I only risked $50 used as earnest money on the deal.
So anyway you look at it: Risk, Work, Holding, ROI, Cash on Cash, Gain, Yield the Manny Pacquio-like champion has got to be the savvy real estate investor and I'm not just saying that because my best friend's FilipinoJ !! Take that REITS!!
What's great is this strategy works for all levels of investors, especially newbies who are worried about risk, not having enough knowledge etc. Here's a side bonus: You never have to do any repairs at all. You don't own the house. Take it from a former rehabber- who's seen his share of gross stuff and has run out from at least 2 houses spraying himself down with bug spray- Wholesaling is much better for your health! So where would you rather invest your money? What kind of returns would you like to have? Questions? Comments? Hellllpppp!!? Need helping finding deals you can wholesale?
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