How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Andrew S.

Posted by JohnBoy on April 19, 1999 at 19:27:02:

Why not just keep the $100k and rent the mercedes for a day when out looking at the $1mm homes?

You could even drive a different color each time your out. Or you could even switch around from a mercedes to a Jag. to a Porshe, etc… :slight_smile:

If your really in a gambling mood, go for $30mm in 2 seconds! Go to Vegas, roll the dice with your money on box cars and maybe you’ll hit the jackpot!!!..LOL

How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Andrew S.

Posted by Andrew S. on April 19, 1999 at 13:31:26:

How quickly could you turn $100,000 cash into $1,000,000 and how would you do it?

Develop Land; buy commercial land cut it up in peices. - Posted by Harvey Carroll, Jr.

Posted by Harvey Carroll, Jr. on April 20, 1999 at 23:38:24:

I have worked for multi-million dollar realtor, builders, and land developers and I learned…
I worked towards a degree in finance/real estate and I learned…
I have great spreadsheets in excel97 and can use them, I learned…
I feel that they man telling you about equity is the most percise from a real estate prospective. By buying potential commercial land and then cutting it up in peices; thereby, making it more valuable. Then utilizing the parcels as equity (in some SBA loans 90/10 LTV) one could possibley build over a million dollars worth of commercial properties. Granted it takes some analysis. I can do it, but I have learned…
Now the question… Would I take your $100,000 and make you a million??? Most likely not unless I needed to use your cash to benifit one of my deals to develope a peice of land. Your welcome to email me, I’ll put you in my investor list…
I strongly feel I will be a millionair on the $100,000 I spent to get the degree in finance/real estate… You may want to try spending it on education…

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Start a payday loan Co.

Posted by Start a payday loan Co. on April 19, 1999 at 20:13:54:

In texas you can start a payday loan co —unregulated
business and get 348% return a year…rudy

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Bassman

Posted by Bassman on April 19, 1999 at 18:04:09:

I would take the 100k , buy a new Mercedes , get an option ( no money needed) on 5 1mil $ houses , at a price of 750k sell for 950k pocket 200k from each house x 5 = 1 Mil . Maybe take a year at most .
The Mercedes by the way would be to look the part when i drove up to the million dollar houses .
Just a thought.

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Jim_MA

Posted by Jim_MA on April 19, 1999 at 16:31:15:

24 to 36 months

step one : purchase 833K property at 60 cents on the dollar or 500K using 100K as down payment.

step two: after 12 months seasoning and assuming that i have taken the necessary steps to realize the full market value of 833K, i would cash out 300K.

step three: using the 300K as a down payment i would purchase for 1.5M a property with potential for full market value of 2.5M once again at 60 cents on the dollar.

step four: after 12 months seasoning again assuming that i have taken the necessary measures to realize the the full market valve of 2.5M i would cash out at 40% or 1.0M

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Jim IL

Posted by Jim IL on April 19, 1999 at 16:18:57:

How quick do you want to do that?
E-mail me and we can discuss “how” I’ll turn your $100k into a million for us both!

How Quickly…(long) - Posted by Sean

Posted by Sean on April 19, 1999 at 16:13:39:

…could I turn $100,000 cash into $1.0M cash, or how quickly could $100,000 cash be turned into $1.0M equity?

I think the problem that most of us run into in this business is we all (either quickly, or slowly) turn into millionaires ON PAPER. However the costs and time of converting that equity into cash is prohibitive.

So a lot of us BORROW money to buy real estate and either sell on contract or rent it to earn a spread (like how banks borrow money from the federal reserve, then loan it to us on credit cards for 18%). Other people’s money does most of the work with as little of our own money (ideally none) involved.

But let’s say that you do have $100,000.00 cash and you wanted to make a killing. Let’s also say that you were located in or around Southern California (which is where I am). And let’s say you had the expertise of a John Behle.

So you search and find notes or deeds of trust for sale and you buy three of them for $33,333.33 each it would not be unreasonable to find that these notes would have face values of $67,000.00 and bear interest at 9 percent (180 payments).

In essence, you have doubled your money. The problem now becomes converting this paper worth $201,000.00 into cash (aside from waiting 15 years for it to arrive). So you search for people that own their units free and clear and you find three 1+1 condos going for $80,000 each.

So you convince the people owning them to take back $67,000 in financing and you’ll put down $13,000 cash (a little over 15% down payment … reasonable). You get a bank loan for $64,000 … you give them $13,000 cash and a $67,000 note. That leaves you with $51,000 cash from each property. You’re up to $153,000 cash.

Plus, if you are lucky, you might even be able to get a positive cash flow out of these three units on a 30-year amortized loan (though I doubt it). Let’s assume this whole thing took you three months to find the notes, find the property, do the negotiations and close the deal.

So you’ll need to repeat this type of a thing about 6 times to get $1.0M cash and so I’m figuring about 18 months. Applying the rule of 72 it seems like I’m getting about a 480% return on my money not counting equity gains.

Of course this scenario assumes you have good enough credit to qualify for a bank loan. It also assumes that banks will continue to give you loan after loan, but I’ve heard a nasty rumor banks start balking around 5 or 6 real estate loans. It’s a good theory, tho, and I learned it from John Behle.

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Nick

Posted by Nick on April 19, 1999 at 15:43:34:

Well I do not know for me. But I think that the
professional investors could easily turn $100,000 into
a million dollars in a year or maybe two years.

Re: How Quickly Could You Turn $100,000 Into $1,000,000? - Posted by Chet

Posted by Chet on April 19, 1999 at 22:43:50:

Sounds interesting. Can you supply more information; how much typically is it to start and where can we receive more information on starting one? Also, is it restricted to Texas only.