As the readership of this blog has grown, I’ve heard skeptical comments from time to time about what I claim to do in my real estate business.
I actually understand the skepticism - I really do.
The first time I heard about the concept of buying properties for a fraction of market value and then reselling them (sometimes very quickly), without making any improvements, for several times the initial investment… I can remember being a little skeptical too.
I actually find it annoying when people say that the key to real estate is to simply “buy low, sell high” (usually with a smug look on their face), as if they just single-handedly solved all the world’s problems.
It’s not that the words aren’t true (because they obviously are). It’s that they manage to ignore about 99.99% of what it actually takes to succeed as a real estate investor. There is so much more to the story! This business requires a very specific and strategic approach, some major leaps of faith, a great deal of mental energy, an incredible amount of stamina, persistence and even a little bit of luck. [click to continue…]
Commercial real estate investing is something I don’t talk about very often.
Even though I’ve worked on the financing side of commercial real estate for over 8 years, I don’t have much experience on the investing side.
Commercial investing has always intrigued me because it’s kind of like residential investing on steroids. The wins are much bigger (as are the losses), the deals require a lot more capital (whether it’s coming from you or from outside investors), the tenants tend to stay in place much longer (as do the vacancies) and in many cases, property management can require far less attention than most residential properties will.
To get started in commercial investing, you’ll need both knowledge and confidence in what you’re doing and since I’m not really qualified to impart either of these things in this realm, I wanted to share with you some insights from someone who is. [click to continue…]
For about 27 months now, I’ve been “spilling my guts” on this blog about everything I know on the subject of real estate investing.
Most of it pertains to the specific investing niches that I enjoy the most (i.e. – land investing, rental properties, lead generation, website building, direct mail strategies and the like), but I haven’t spent much time talking about myself.
Maybe it’s because I’ve always assumed most people just don’t care. Or maybe it’s because I have a subconscious desire to protect my privacy. I’m not really sure – but it just occurred to me that most of my readers have no idea who I really am, so I wanted to take a few minutes and shed some light on “my story” with a collection of random facts about me. [click to continue…]
For a long time, my land investing business followed a pretty simple model that worked extremely well about 80% of the time.
I was able to find boatloads of motivated sellers, make some ridiculous, low-ball offers to them, and when I found a seller who was willing to accept, I was able to buy their property outright and pay cash for it (usually just a few hundred bucks per property). Once I owned a property, I could turn around and list it for sale (usually within 24 hours) and flip it for a MUCH higher price than I paid for it.
In a lot of cases, the process worked perfectly. Using this strategy, I was able to buy a lot of properties and sell them relatively quickly for a pretty substantial profit. By going through these motions, I was able to squeeze a lot of free equity out of each property. In the best case scenario, I could move through the entire process in just a few weeks. [click to continue…]
Earlier this month, I was featured alongside several other real estate experts in a round-up blog post from Coastal Real Estate Group about boosting home values on a budget.
I thought this was a really cool topic to discuss because (unlike almost any other type of investment), there are A LOT of ways an investor can make small changes that will have a major lasting impact on their property’s value. It also serves as a great reminder of how real estate is one of the most versatile investments in the world. After all… can you think of any other investment that gives the investor so much control over the direction of its value?
As I was looking through everyone comments on the subject, I saw a ton of great ideas in this little collection of insights. Check it out and you’ll see what I mean! [click to continue…]