wanna be investor - Posted by jason

Posted by Dirk Roach on April 03, 1999 at 17:09:51:

Hi Jason,
welcome to CreOnline!
Well as everyone here pretty much knows I’m a Lonnie Deal nut!
In your above post you stated that you didn’t have any money to go the Lonnie Deal Route.
Well I just wanted to take a quick sec and point out that if done right, you can do a Lonnie deal without any money.
For example if you can find a used mobile for say a grand. You can tie it up with Lonnie’s standard "to Buy " contract, and just add some weasle clause into it. You can set the ammount of time you need to close. So the people can find an apartment or a home or whatever, and you can find a buyer with a grand or maybe 15 hundred to put down.
Then you just use that money to buy it with. Heck if you can find someone with 15 hundred then you have five hundred for your next deal.
And you’ve created a note which obiligates someone to send you a check every month.
THEN you could take your note and jump over to the Cash Flow section of this site and have some more fun.
Of course you could do the standard old boreing meathod and find a buddy (or a releltive or someone) to partner up with you and lend you the grand. But that wouldn’t be as much fun to brag about in the chatroom in the evenings. :slight_smile:
But seriously whatever works, you know.
Anyhow I’m not knocking the CS route, I just don’t know enough about that side of things to give any intellegent observations. Although everyone on his informercial seems to be having a pretty good time.
Good luck Jason, and keep us posted on how you are doing.
Dirk Roach

wanna be investor - Posted by jason

Posted by jason on April 03, 1999 at 10:28:56:

I’m using my co-workers computer. He told me about this site. We were discussing re investing. I want to order C Sheets. He told me to look here first. What course would be good for someone to make hugh profits in RE with BAD CREDIT.
I need to do something to get out of this hole. I want to be financial secure in 5 yrs. My co-worker is going the Lonnie deal way. I don’t have any lonnie deal money. That is why I have given thought to the C. Sheets Program. What works that simular to the Sheets program.

Please help. You can email my co-workers account. we sit next to each other.

Try eBay for CS - Posted by Dan (NC)

Posted by Dan (NC) on April 04, 1999 at 10:46:47:

If you decide to buy CS, try getting it on eBay auction site. They often have several on auction, and you’ll save a ton of money. It may be the 1996 or 1997 version, but things haven’t changed a whole lot, especially when you consider CS probably recorded his tapes in 1992 (a guess). Good luck.

Re: wanna be investor - Posted by Bill Gatten

Posted by Bill Gatten on April 03, 1999 at 22:51:39:

Just remember that “Something for Nothing” always costs more than everything else. I know that well, because my (now reasonably successful) business was built on air (we were originally going to call it “BOA Enterprises”… “Built On Air”… but the snake allusion didn’t work for my wife, Gail).

In the beginning we didn’t have enough to buy a whole pack of gum at once (we rented it a stick at a time… flattened it out, trimmed it up, re-wrapped it and returned it when we were through with it).

The sole reason we succeeded in RE investing was because we bit our respective lips, and splurged on a course from the best Creative Financing Teacher EVER (someone that some of the reeeeeal old CRE folks may have heard of)…Paul Simon…the creator of the original “Equity Share” concept.

The course was 14 hours long, and I listened to it all the way though at least 25 times (I finally memorized it, and started doing equity share seminars myself).

The one thing that us got me off the sticky place (that place where you know you can do it, but you’re afraid to), was a comment that Paul made in his course. It was something like: “If you don’t have no money (his double negative, not mine), that don’t need to matter much… you just have to work harder; and if you don’t have no credit neither… way’el (“well”) then…you REALLY have to work harder. I’m paraphrasing a little here and trying for that Midwest used-car salesman twang he has/had.”

With that, we set out calling FSBO’s, SFR Income Property Don’t Wanters, Fixer-Upper-Abandoners, tin sheds, lean-to’s, etc. until we were blue in the face (well, I was anyway, Gail’s complexion remained remarkably unchanged throughout it all).

Then finally (about two weeks and 100 calls later), we located some guy whose OTBF (“Over the Barrel” Factor) was higher than ours. He thought he’d found a pair of real dummies… willing to take over all of his payments on a $225,000 property, as well as cover all mtce, repair, upkeep, property tax and insurance… on a property with no equity, no yard, cracked plaster and a bathtub falling into the kitchen through the ceiling).

By following the instructions in the course, we ran a No Down, No Bank Qual. ad, and within a week we had a buyer (one of several, out of dozens of responses) whose OTBF was even higher than ours. The poor guy had just reclaimed his defunct business after a BK, a nervous break down and a prolonged stint in a mental facility…not to mention a plethora of 60, 90 and 120 day lates, charge-offs and two auto repo’s (not an exaggeration).

We agreed that if they’d fix everthing that was broken, we’d put him and his wife (Mr. and Mrs. “F”) in as our equity partners. We charged them $5,000 more than our closing costs, and $250 per-month more than our payments, and ended up selling the property five years later in the midst of a terrible down-turn in the California Real Estate Market. We didn’t make a dime on appreciation (and neither did they), but we made $5,000 up front, $15,000 in pos. cash flow, a little on the Depreciation write-off, and some in the equity build-up in the loan. They (the F’s) ended up a couple thousand ahead, and because of their tax write-off, lived in the house (their very own home) for thousands less than they would have paid, had they continued renting instead.

End of story Jason. Do it. You could do a lot worse than buying Carlton Sheets, believe me!

'Course you might do a lot better too… Ahem!).