Posted by Laure on November 01, 1998 at 20:01:10:
I really got stagnant for 5 or 6 years and just sat on what I had. I haven’t done the math yet to see if I would have been farther ahead or not. I know I was more comfortable because I decreased my leverage during this time.
Good luck to all of you !! IT CAN BE DONE !! And I think I was conservative compared to some of you guys !
NET WORTH - Posted by LARRY
Posted by LARRY on October 30, 1998 at 07:51:22:
HI ALL. HATE TO BE DUMB BUT IS ALL THIS TALK ABOUT NET WORTH FOR REAL? I THOUGHT NET WORTH WAS WHAT YOU OWN MINUS WHAT YOU OWE. IF THIS IS SO, HOW ON GOD’S GREEN EARTH CAN JOHN & JANE DOE HAVE 200, 500, 900 THOUSAND NET WORTH IN A YEAR? I THINK MAYBE THIS IS GROSS WORTH ( THE FULL MARKET VALUE OF ALL PROPERTY OWNED). FOR 500 THOU NET WORTH YOU WOULD HAVE TO BUY $2,500,000 IN REAL ESTATE. NO WAY IN A YEAR
Re: NET WORTH - Posted by Carol
Posted by Carol on October 31, 1998 at 09:14:09:
Larry, First of all, please cut the caps. Really hard to read.
Next, yes, a brief definition as you expressed it.
How can they do it in a year? Buy properties at below FMV; force the appreciation of FMV by rehab; all the things you read about in the various courses. That’s exactly how it works.
Look circumstances, not property.
Our net worth did not increase 7 figures in a year, but it did a healthy 6 …
Carol
Re: NET WORTH - Posted by John from Dayton
Posted by John from Dayton on November 01, 1998 at 12:43:45:
Carol, I read by your message that you had a good year too. You and I both know that it’s very possible to gain a 6 figure net worth by working at real estate in any number of ways. We know it’s true because we both did it. When I think of how little money I started out with last October it makes me laugh.
Re: NET WORTH - Posted by Laure
Posted by Laure on November 01, 1998 at 04:51:53:
I bought my first investment home in 1988, and accumulated several in the first few years. I was under an IRS audit for the last 4.5 years. They wanted 987,000. !! Well, I fought it and won. I did have to pay 18k in tax and 18k in interest/penalties. My ex flew the coop and left everythin with me. I can’t tell you how it made me feel. How it tore me down. I’ve had my phone shut off repeatedly, water turned off, power too and it really made me feel worthless. I sold a few properties to pay for lawyers and knew that if I didn’t win, I would lose everything/ there is no bankrupcy for the IRS… they always get their money.
In Feb. a realtor dropped his card at my door asking if I wanted to sell a 4 plex I own in another town. I almost didn’t call him back. I have called so many and they have low balled the price. I paid 67,000 for this all brick property in 1991 and only had a 33,000 mortgage on it. The realtor asked how much I wanted for the building. I said 129,000. He said that sounds fair ! everyone else has always laughed and hung up. We listed the property and had an offer in 24 hours ! I closed in 60 days with a HUGE CHECK ! Instead of paying the Income Tax on the gain, I got with an attorney (before the sale of the 4plex) and did a real extate exchange. I “traded” for a duplex and a fixer upper. Many more transactions have taken place this year since then. (Oh, I got my enthusiasm back from Carleton. I bought his course during my deal, and his enthusiasm encouraged me to win again.). but due to that one business card, and the deals that have followed, I have increased my net worth to 2million and have 3,000 per month cash flow. It’s Not get rich quick, but 10 years ain’t bad ! At 39 years old, I am seriously concidering quitting my day job and relaxing for a change.
Re: NET WORTH - Posted by Matthew Chan
Posted by Matthew Chan on November 01, 1998 at 11:01:33:
Fantastic! I love hearing these success stories (as long as they are not exaggerated). I hope to be as successful when I am 39. Hint: I have 7 years to go.