That’s all right. My mother in law… - Posted by Carol
Posted by Carol on January 27, 1999 at 11:53:04:
couldn’t comprehend anything greater than 100% and she was a RN! (scary)
When I buy a property which
YOU calculate the return on a “$0” investment, and let me know.
Take a deep breath. It does work - not every deal is a good deal - but it does work.
Carol
Re: Many questions for Lonnie Scruggs - Posted by Judy
Posted by Judy on January 27, 1999 at 11:09:43:
Kevin,
Results speak for themselves. Why don’t you try a Lonnie deal. Invest in only one of his books, follow the steps and see if it works for you.
Remember – The concept for FedEX was a college class paper on which the writer got a “C”. The professor even told him the idea would never work. Who’s laughing now?
Re: Many questions for Lonnie Scruggs - Posted by Drew91
Posted by Drew91 on January 27, 1999 at 11:08:39:
Mr. Brown, your anger is confusing.
Let’s say you find an income producing property that throws off $100,000 in net income per year.
Let’s say you agree to buy that property for $1,000,000.
Let’s say you agree to finance 90% of the cost and put 10%, or $100,000, down.
In your first year of ownership, you receive $100,000 in net income.
Your investment was $100,000; your return is $100,000. That, my friend, is 100% return.
Impossible? Hardly.
Don’t think it’s fair to use debt? Okay then. Let’s say you buy a beat-up, worn-down house for $40,000 cash (maybe a pre-foreclosure). You spend $10,000 fixing it up. You sell it for $100,000.
Your investment is $50,000. Your profit is $50,000. That, my friend, is 100% return. (And even more if you carry a note back on the house.)
It can be done. Just maybe not by you, not with that attitude.
Re: Many questions for Lonnie Scruggs - Posted by Jacob
Posted by Jacob on January 27, 1999 at 11:04:03:
Kevin,
I love reading posts by people like you, simply because I know you are one person I’ll be passing on my way up the ladder of success. While you are busy coming up with cute posts to show your intellegence, the rest of us are doing these very same deals, with returns that can be described as “good enough.”
confused on terminology… - Posted by rayrick
Posted by rayrick on January 27, 1999 at 10:59:39:
Kevin, I think you are confused about your terminology. Can one expect to get a 50% compounded return on a passive investment vehicle like a stock or bond? No. Warren Buffett has done about 28% and he’s the best there is. Of course, I don’t want to insult Warren by calling his approach “passive”, but I hope you catch my drift. The reason such spectacular returns on investment are possible with Lonnie deals (or many other creative RE vehicles) is that YOU HAVE TO GO OUT AND MAKE THE DEAL. You don’t get to just hop online, punch a few key strokes and buy a stock or mutual fund. It takes some knowhow and hustle. Also, those returns don’t compound, UNLESS you take the proceeds and run out and find more deals.
Now, no university professor would disagree with this premise: an entrepreneur with a good idea that meets a need can make a fabulous return on their start-up capital if they play their cards right. That’s all that’s going on here. You do the academic community a disservice by claiming to speak for them.
-rayrick
Re: Many questions for Lonnie Scruggs - Posted by phil fernandez
Posted by phil fernandez on January 27, 1999 at 10:49:08:
Kevin Kevin Kevin,
Why the bitterness.
They don’t teach you how to make money in college, they teach theory. What does making money have to do with winning the Nobel Prize?
Do you have Lonnies two books. If you don’t and haven’t read them, you don’t know what you’re talking about. I have done numerous Lonnie deals as have many on this site. Yup you can make those kinds of returns on your money. And you know what. It’s really not that difficult.
Hope the second half of your day goes better than your first half.
Think about this. - Posted by Joe(IN)
Posted by Joe(IN) on January 27, 1999 at 10:31:43:
I would think a guy would really want to know what works, and not be so concerned about the titles and degrees.
Joe
Re: Many questions for Lonnie Scruggs - Posted by Dan (NC)
Posted by Dan (NC) on January 27, 1999 at 10:27:12:
Kevin, I am a University professor, have been for 10 years, and trust me, we are not the guardians of the eternal flame. Yup, our pants go on one leg at a time. I have been doing Lonnie deals for exactly 13 months, and have made lots of mistakes (out of arrogance?). But even my worst deal has a return of 41%, and my best are around 115%. I’ll tell you what I tell my students: until you make the effort to read the material, don’t bother me with your stupidity.
On second thought… - Posted by MichaelR (NoVA)
Posted by MichaelR (NoVA) on January 27, 1999 at 09:54:09:
This has got to be a joke.
Karl, is that you?
Karp and I were talking the other day about doing a post about whether N.M.A. works. (Negative Mental Attitude) The main point was to point out what a ridiculous argument it is, even in the converse…P.M.A. instead.
This post seems to me to be the same thing.
By pointing out the ridiculous nature of much of the social and educational conditioning that we undergo, it illustrates that it is wisest to just disregard the “experts” and instead concentrate on what works.
God knows I love throwing the middle finger up to acadamia. 
Am I right…or am I right?
Michael
Re: Lesson number ONE. - Posted by Skip (CA)
Posted by Skip (CA) on January 27, 1999 at 23:39:26:
David:
Short, succinct and to the point. As J.P. said “the Best post of the Week”. I could just see you sitting there, with that sly smile on your face and twinkle in your eye’s, as you typed in a very civil response to Mr. Brown’s comments. I like your style!!
Skip
it get’s better !!! - Posted by David S
Posted by David S on January 27, 1999 at 22:33:04:
this mh is located in a park that does NOT allow rentals or resale.
the park owner also owns the bank that I borrowed the money from.
Have a great day!
David S
BEST Post of the Week Award - Posted by J.P. Vaughan
Posted by J.P. Vaughan on January 27, 1999 at 21:11:21:
Thank you, David.
Those that can, do. Those that can’t, teach! - Posted by Jeff
Posted by Jeff on January 28, 1999 at 09:50:39:
My motto. The teach part, of course, applies to the ivory tower professors. Couldn’t hold a job in the real world.
Re: Many questions for Lonnie Scruggs - Posted by Doug(NM)
Posted by Doug(NM) on January 27, 1999 at 20:20:07:
Hey Lonnie, I’ll be in Dallas. Same offer hold good for us pick-up drivin’ work boot havin’ denim shirt wearin’ non-college edjukated (ex-fund manager)types ? I’d gladly take a piece of that action if’n y’all let me !
BTW, as for education, how’s this ? Looked at a nice 16x80 Palm Harbor on Permanent Foundation today, with the lot. I commented to the RE Agent that these folks are 5 months down on the mortgage but yet they have a nice Jeep, Camper Trailer, living room full of expensive electronic gear, satellite TV, computers, etc. And here I am offering to cure the default, pay the RE Agent AND closing costs, and take the place over subject to exsisting debt. He said he’d thought the same thing. Priorities. Shows to go ya !
DougO
Also ROFL - Posted by Cook85
Posted by Cook85 on January 27, 1999 at 17:58:25:
I have to second Michaels motion there. Grea little story.
SCook85
ROFL… - Posted by MichaelR (NoVA)
Posted by MichaelR (NoVA) on January 27, 1999 at 14:26:55:
That’s getting a place in my stories to reframe file.
Thanks for the laugh,
Michael
disappointed… - Posted by rayrick
Posted by rayrick on January 27, 1999 at 11:04:15:
I also want to add that I find it a little disheartening that so many took this misguided post as an excellent chance to slam academia. We’re not actually all off in an ivory tower somewhere, and a few of us even having a little entrepreneurial blood in our veins…
-rayrick
Nothing Personal, Dan - Posted by MichaelR (NoVA)
Posted by MichaelR (NoVA) on January 27, 1999 at 10:29:09:
Dan,
My comments below regarding acedamia and University professors was more directed at the institutionally applied limits, not professors in general.
In short, no offense intended.
Michael
Not me, dude… - Posted by karp
Posted by karp on January 27, 1999 at 10:33:08:
BUT he did the job admirably.
LOL
karp