Posted by Seniorito on May 10, 2000 at 14:57:28:
LJ,
As for helping you, there is a lot of talent on this site who give free help, so yes, many of us will. Read everything, all the free articles even if it sounds like an area that you will not go in, you will develope ideas and knowledge. Buy books and inexpensive courses that are in your area of interest.
As for my offer, please E-mail me with your state & town.
Seniorito
young, broke, and determined - Posted by Ryan (Maine)
Posted by Ryan (Maine) on May 08, 2000 at 14:57:36:
Hello everyone,
This is my first time here, and my first post. My wife and I have been married for two years and just had our first child. I’m an engineer and make a decent income - but after taxes and credit card debt, we live from check to check and have no available cash.
We recently read ‘rich dad, poor dad’ - which is mostly a motivational book to get people to stop thinking of building wealth in terms of ‘saving’ but instead, in terms of buying cash-producing assets. The concept makes perfect sense! The author (can’t remember exact name) was on Oprah and said that the best place to start is real estate.
My wife and I have done some research and obviously flipping seems like what we would have to do since we have no money of our own to use right now. The problem is, whe know little about this technique. Does anyone know of any good book (not any $999 course) that covers this information in some real solid detail? I’m talking step-by-step approach, as well as definitions of all of the lingo…
We’re determined to pay off our tens of thousands of debt in only a few years. But we could really use advice from anyone out there who has been able to do this and made it work for some large profits. Where did you start - how did you learn what you needed to know, and where did you learn what you needed to know the fine details of making these deals? Any help or inspiration you can provide would be greatly appreciated. Thanks…
Re: young, broke, and determined - Posted by Stephen Moore
Posted by Stephen Moore on April 24, 2002 at 02:47:46:
I’m starting an investment group.If anyone has any info on how to set one up please e-mail me.I have some people ready to pay $200./mo steady.I plan to increase the number of people to 20 starting out.I need a good presentation.Anyone have some knowledge of this.
Would like to make investor friends. - Posted by alan torres
Posted by alan torres on May 27, 2000 at 21:43:35:
I just began studying the carlton sheets’ program and am nervous but excited to begin investing in realastate. I would love to chat with others. My email is sellyourhousetome@msn.net
Re: young, broke, and determined - Posted by Joe Stewart
Posted by Joe Stewart on May 23, 2000 at 21:39:19:
Ryan, the author’s name is Robert Kyosaki. My business associate was on the Oprah show with him.I am also involved in Real Estate.I have a system that will get you back on track. E-mail me your ph.# or address I can and will help you. The info is free. Joe
Another slant - Posted by Russ Sims
Posted by Russ Sims on May 11, 2000 at 11:44:30:
Everything Eduardo told you is great! Here’s another slant: Paying off your credit cards/debt is crucial. But if you’re like I was one short year ago, you live paycheck to paycheck and just barely manage to pay the minimum on your card balances.A little rental won’t put enough in your pocket to make a very big dent in that debt…Rob’s right: a positive cash flow might prove difficult.So if you just pay the minimums on the debt you might be debt free on the 12th of Never.
How about generating extra income without being a landlord, and taking that extra income and funneling every penny into that debt? Start with the most expensive debt first, lets say with the credit card with a 6K balance at 14% interest. Every penny goes into paying that off, and then you start with the next most expensive debt…and so on. It will begin to snowball: and where will this extra monthly income come from? Lease/options worked for me. It’s really pretty simple in concept. You find a home for sale by owner, where the owner has very little if any equity. They are forced to sell because of job transfer or financial hardship. They are motivated. And they are in a huge bind, because they must get top dollar for their home, and they can’t afford to hire a Realtor. The house has been on the market for 3 months and they’ve had a sale or two fall through. They are Motivated! You come along and offer to take care of the home and make their monthly payments until you can buy the place. You get the home under a lease/option contract. You pay nothing for it. In fact sometimes the owner will fully expect to pay YOU. Now you control the home. You advertise it as a “RENT TO OWN; NO BANKS!” property. The phone rings off the hook. You collect an option fee of, say, 3 to 5K from your tenant/buyer(this will apply toward the purchase of the home IF they exercise the option) and you collect more rent than you are paying out on the owner’s mortgage. It’s not uncommon to realize a $100-$200 monthly cash flow. You have no landlording worries, because your tenant/buyer guarantees to take care of repairs/maintenance. You will be responsible for damages if the T/B damages the home and refuses to pay for it, so choose wisely. Screen the prospects with a screening service. Make the t/b understand that if they screw up, they’ll lose their option money. I’ve got a bunch of these homes, and I’ve never had a problem with tenants ( aside from an occasional late pay). So now you have an income stream without the hassles of ownership and with virtually no landlording worries.
You make money 3 ways with this deal. From the initial up front option fee, from the monthly spread between what you pay out and what you take in, and then from the “back end” profit when the home sells to your t/b. This will occur at a simultaneous closing, where you buy from the seller and sell to your buyer in one transaction. You’ll mark the property up as much as you can get by with, and that will be your “back end” profit. If you’re buying at close to market value, can you really mark the property up for re-sell? Sure. If you have, say, a 3 year lease term, you can estimate a conservative appreciation figure and mark it up accordingly. On a highly encumbered property you might make 10 to 20K. Ad that to your monthly income and you gotta like the return on investment .I recommend the Bill Bronchick lease/option course to get you started. That’s just my opinion.Some may trash me for suggesting that a fianncially strapped person funnel money into a course, but it worked for me a year ago. Everthing’s fine now. Good luck! Russ
Re: young, broke, and determined - Posted by Eduardo (OR)
Posted by Eduardo (OR) on May 08, 2000 at 20:22:23:
Ryan–
Okay, here’s some thoughts. Maybe not what you want to hear, though. Let’s call it a four-point, two-year plan (with a decades-long payoff). 1. You make a decent income, but you have tens of thousands of debt. Start paying off MORE of your debt! Agree with your wife to go into a miser/stingy/skinflint mode for two years and put every nickel to paying off your debt. 2. Don’t get caught up in having to have immediate gratification of your dreams of becoming wealthy. You took several years in school studying to become an engineer. Now take the next two years studying (and invest now, see 3. below) to become a real estate investor. Read every real estate book you can get your hands on–there are dozens in print and at the library (most are bad–this technique allows you to compare and contrast authors and advice at little cost). Don’t get caught up in the mania for the latest fad. There will be time for flipping and lease-options later. 3. Go out and buy the simplest, cheapest little rental house in a good neighborhood that you can find. Pay a downpayment (see 4. below on where to get it). Keep it and rent it out for the two year period. You’ll learn a whole lot–much more than flipping–by dealing with managing a tenant and making repairs (you can flip later). Subscribe to Mr. Landlord. 4. How to buy the little property. Get the downpayment for the little rental from somewhere other than your own pocket. I’m not going to suggest where because this is a learning exercise–finding sources of money. If you want it bad enough, you’ll find a way. Do not get an institutional loan (for which, with your debt load, you may not qualify for). Find a property where the owner will carry the balance after your downpayment. This is another exercise. If you can’t find a property where the owner will carry the paper, you shouldn’t be thinking of going into this business. Realize that it will take you some time to put such a deal as this together–learn patience.
Very few people have the patience and guts to learn the business this way. Most wannabe investors jump in without adequate preparation and most fail. It can be done. My son is still in his twenties and now owns 7 rental units and his own house (all done in his spare time while going to school and working). He bought his first little rental house at age 18 when he had no money of his own with borrowed money for the downpayment and assumption of a private mortgage. It’s free and clear now and throws off cash each month like a little cash cow. Imagine, several hundred after-tax dollars a month for the rest of his life. Imagine, owning 10 or 20 of these. Jay DeCima owns over 200–be sure his book is one of the ones you read. Good luck. --Eduardo P.S. Honesty pays off big in this business–everyone soon learns who the crooks are in their community, avoid them like the plague. P.P.S. If you find that you are one of the few who have patience and eat, breath and sleep real estate, you will succeed.
Ron LeGrand’s Book Might Help You - Posted by Bill K. (AZ)
Posted by Bill K. (AZ) on May 08, 2000 at 17:22:51:
Ryan,
You might want to check out Ron LeGrand’s book “Fast Cash with Quick Turn Real Estate”. It’s available at many places for around $15.
I hope this helps.
Bill K. (AZ)
Re: Would like to make investor friends. - Posted by Porter Mckissick
Posted by Porter Mckissick on April 10, 2006 at 01:54:04:
I am very frustrated with my current position at this time ,and i am looking for a home base buiness but you know alot of these things that they talk about on TV or on the enternet you don’t know if you can trust them so i am in need of a new position as of now i still work but the job is to demanding and i am looking for a home base business because with what i have gone through i do not want to work for any one any more I and my husband would like to start our on business ,but we don’t really know what we would like to do i said i would like to go into the realestate business because people will all ways need homes rather it be fixing it up or what that is a desire that i have had since 1998 and i fill like it is time for me to make a move . If i don’t do it know one else will do it for me just to share a little information with you and you be honest with me and let me know how the Carlton deal turned out because it as been shown on television for a long time and i wanted to try that but i never did but i would like a e-mail back from this conversation when ever you have the time Thanks Porter Mckissick
Re: Would like to make investor friends. - Posted by Vander Davis
Posted by Vander Davis on September 18, 2004 at 15:35:20:
I to have just started in the investing world, and I would love for someone to tell me, how to get started.
Re: Would like to make investor friends. - Posted by avery hodge
Posted by avery hodge on July 07, 2002 at 10:48:06:
I MYSELF AM JUST STARTING AND JUST HAD MY FIRST COACJING SESSION.I’M STILL NOT SURE ABOUT THIS BUT SINCE I BOUGHT THIS COURSE AND IT’S COACHING I’M NOT GOING TO BACK OUT. TOO MUCH DEBT IF I DO. I HOPE YOU STICK WITH IT.
Re: Would like to make investor friends. - Posted by Jay gerdes
Posted by Jay gerdes on January 30, 2002 at 10:53:17:
I just finshed going over the course myself. I was woundering if you could email me with some of your secrits and how you are doing with the course. Also could you include how many properties you haved purchased and how are they doing.
Re: Would like to make investor friends. - Posted by Monica
Posted by Monica on October 16, 2001 at 19:14:02:
Hi, Me and my husband have decided to do the Carlton course together. We are really excited about it. We just started the Quick Start tape. We are going to do a little each night after the kids are in bed. Have you had any success since you finished the course? We are trying to set goals so we dont get to ahead of ourselves. We’ll I like to here some feedback on someone who did the course even though are plenty on the tape. Hope to hear from you soon.
Re: Would like to make investor friends. - Posted by Gary H.(Michigan)
Posted by Gary H.(Michigan) on June 15, 2000 at 20:24:28:
Alan, hey how’s it going? Haven’t wriiten you in a
while. You said you finished the course, CONGRATS!
So have you started any investments? Please keep in
touch, yes I’m still reading the course. Good luck!
Gary
Re: Would like to make investor friends. - Posted by gary h.
Posted by gary h. on June 08, 2000 at 20:42:09:
I have also just began the CS course, I also am nervous
and excited. Maybe we can go through the course together or share some ideas.
Re: young, broke, and determined - Posted by Stephanie Chu
Posted by Stephanie Chu on April 22, 2002 at 23:34:52:
I am currently on a fixed salary of AUD40,000 pa. My Mother gave me all her savings to buy a small apartment as investment property. I personally do not have money at all.
My gross salary is taxed at 39% pa, and most of my net income is spent on rent (AUD675/month) and basic living expenses. I can only afford fortnightly savings of AUD200 which I put in a term deposit.
My primary goal in the next two years is to pull together AUD60,000 as deposit for another property.
I believe in the concept of making more money rather than saving money. But I do not know how.
Please advise me.
Stephanie Chu.
Re: young, broke, and determined - Posted by David G. Furze
Posted by David G. Furze on July 27, 2000 at 22:25:47:
I would love to hear what you have. I am 25k in debt myself and would love to own my own business and work for myself. But most importantly have my money work for me.
Thank you in advance for your time,
David Furze
Re: young, broke, and determined - Posted by Ray Pallasigue
Posted by Ray Pallasigue on June 05, 2000 at 18:04:50:
Same boat as Ryan. I’m also an interested party in any information you may have for me:
Ray Pallasigue
1823 Deep Haven Ln.
San Diego,CA 92154
Re: Another slant - Posted by Larry Collins
Posted by Larry Collins on May 13, 2000 at 16:12:13:
You buy a house on a lease/option agreement, then re-sell it on a lease/option agreement, collecting a 3K to 5K option fee… Don’t you have to pay an option fee to the original owner to begin with?
Hey Russ… - Posted by Courtney
Posted by Courtney on May 11, 2000 at 22:58:19:
How did you get started? What course did you take? What were your impressions of it. Which course would you recommend?