For the average landlord, trusting a property manager with governing their real estate investments is like a parent trusting a new babysitter with their children. It’s agonizing. You’ll will worry about them finding the right tenants, maintaining the property, and keeping up cash flow. Can a property manager really do it as well as you, […]
The foreclosure niche is dominated by investors with cash. When you’re a beginner, it’s easy to hate them for it. You can spend hours performing due diligence, arranging your financing, and scraping together a down payment, only to have a cash investor scoop the foreclosure right out from under you. It wastes a lot of […]
If only it were as simple as pulling out a list! Banks purposefully hide foreclosures from investors. From their perspective, investors are scavengers then bury them with lowball offers. Average homebuyers, on the other hand, are thrilled when they can negotiate a small discount. So, naturally, the bank markets to them.
You can still find their […]
Foreclosures are hot. Really hot. Every investor and dozens of his relatives are looking for them. And for good reason. Banks are in the business of loaning money, not selling off foreclosed houses. Investors take advantage of their disinterest by offering them a swift but low settlement. At least, that’s how it works in theory. […]
Those three little words, "and/or assigns," lead us to one of the most popular strategies in real estate: flipping houses by assigning contracts. Only, is it a good idea? Like any strategy, assignable contracts have their advantages and disadvantages. Thousands of people have made money by using them, but it’s important to understand the ups […]
One of the most powerful clauses in real estate investing is "and/or assigns." By putting those three little words in a contract after the name of the buyer, you not only gain exclusive control over the property, but you also create the opportunity to assign your contract to an investor for a fee.
To illustrate, […]
If you’re flipping houses, the worst thing that can happen to you is buying a house that you can’t sell. You make money by quickly flipping the house to another investor, not tying up your cash for months in a dud real estate investment.
The reality is buying houses at discounts isn’t enough; you need the […]
Of all the investing strategies available to beginners, flipping houses is probably the most exciting. You buy a real estate investment well under market value and then resell it to another investor for a small but fast profit. So, instead of waiting six months or longer to sell to an average homebuyer, you make money […]
In real estate investing, a "spread" is the difference between the property’s fair market value and the total sum invested. If it sounds complicated, here’s an example. If you buy a house that is worth $100,000 for $70,000, the spread is:
Flipping, wholesaling — you can call it whatever you want, but how do investors actually "flip" a house? We’ve discussed a few of the finer details in other posts, and now it’s time to put it all together into one coherent process. From start to finish, here are basic steps for flipping a house: