Why should you consider refinancing real estate investments instead of selling them? Maybe you've owned a rental property for years, you've paid down the mortgage, the value is up, and you want to cash in on that equity. You will do better to refinance. Here's why.There are two problems with selling. First, selling means paying a large capital gains tax. You can avoid this if you reinvest through a 1031 exchange, but then the point is that you...more
It was a simple real estate formula. The ads ran in our small-town newspaper for years before I realized exactly what was going on. They were always the same: A house for sale with 5% down and payments of 1% of the purchase price. Maybe a three bedroom home for $90,000, for example, with $4,500 down and $900 per month payments. When a friend started doing the same thing he explained the process to me. It was a way to get a great return on...more
Nothing down? Exactly why would a seller want to walk away from closing with nothing? The truth is, they normally wouldn't, and that brings up the most important point about real estate investing with no downpayment: A seller almost always needs cash at closing, but it doesn't have to be YOUR cash. Nothing Down - A Few WaysSometimes sellers are able to offer terms and a low or no down payment, but often you have to find a way to get at least 70% of the price to them in cash. This is not only so they can get some of their equity out, but also because they will probably need to pay off the existing loan. So to get in with nothing down, you need to think in terms of how to get a primary loan, then how to raise the money for the remainder. A couple examples follow.A few banks still do "no doc" loans, meaning they don't require any verification of income, source of down payment, etc. Since they generally loan only 70% to 80% of the property value, you need a seller who is willing to take a second mortgage from you for the other 20% to 30%, to make it a nothing down deal. They get 70% or 80% in cash, and payments for years to come. Since you'll have two payments, you need to be sure the...more
There is nothing worse than putting house up for sale and watching it sit on the market. Here are a few tips to sell your house fast. Sell Your House FastThe following tips will help you sell your house fast, but we need to cover something first. If you have some type of defect with your house, it is going to have to be repaired. There is a...more
Hiring a property management company is a great idea if you have even a small apartment building. Having someone taking care of all the small details of a rental property means you'll have more time to find the next good investment. Also, trying to do it all yourself is the surest way to make your real estate investment experience a bitter one. To...more
So many people think that by getting into the franchise business, they are setting themselves up for an easy way to make money, with a safety net under them the whole time. The only real advantage is that you are buying into a business model that works with the help of a company's marketing and sales abilities. But just as with starting a company from scratch, one must have a plan and a model to come up with and follow in order to get the money one will need to start the franchise.Naturally, one of the first things to consider is if the idea you are considering is legal or ethical? With the internet being as big as it is, there are many scams that are out there. Most of which come to you through an email. A good rule of thumb is if it sounds too good to be true, it probably is. If you see the phrase "work from home" run the other way, it is most likely a scam. If you see an idea and you like it, find out first if others have made the idea succeed. Contact them and talk with them at length. Also, contact the franchise company and ask to see their financial reports. They should always let you see them. Find out if they make a profit on a regular basis.But most importantly, are you...more
Buying FSBO real estate, or houses for sale by owner, has its own particular problems and opportunities. Dealing with an uninformed seller who thought he knew enough to handle everything by himself can be frustrating, but it can also be very...more
For months, Joe Cline (not his real name) kept his frustration over longhours, cramped quarters and rushed deadlines at an Internet company underwraps. But last month, when his boss needled him one time too many, heerupted, lashing out with an...more
Mike M. was a senior manager for one of my large corporate clients, butyou wouldn't know he was on the fast track if you looked at his office. Heworked long hours, felt pressured, and was always playing catch up. Mike wasunresponsive to requests and...more
Where are the best investment real estate locations? If you have enough experience investing in real estate, you can make money almost anywhere, but there are always places that are better or worse for real estate investments. For maximum profits,...more
Forex trading is nothing more than direct access trading of different types of foreign currencies. In the past, foreign exchange trading was mostly limited to large banks and institutional traders. However recent technological advancements have made...more
Credit cards are a huge industry. Everybody who can get one or two or 10, uses them because they are a great convenience. But there are so many credit cards being offered to students these days that it might seem nearly impossible to choose the right...more