Archive for Investing Video Series: How to invest in commercial real estate
the so-called "Monsoon Season"
Greetings from Cedar Crest, NM. We are officially in the monsoon season…so “they” say. The title “monsoon” gives the wrong impression…I think. I understand that the “monsoon” season is a time when an area receives most of it’s rain….but I think the word “monsoon” is a little dramatic. Maybe the “not as dry” season is more appropriate.
Anyway….
Today’s post is a plug for our “FREE” video series on how to invest in commercial real estate. There is no catch…just valuable information for the coming opportunities. If you ask me…they are already here.
So….
Many of our recent posts have emphasized research. Whether it is spending time at networking groups to research the who’s who of your market, researching comparable properties to maximize your investments, or researching new financial products that could help you acquire your next property.
While there is a plethora of information available both online and in print, it can be hard to tell what data is “good” data. In other words, will you gain anything useful from reading the material? Is the author an expert, or merely someone who was lucky? Does the author really understand the subject matter?
Getting Good Data Quickly
An easy place to start getting reliable, useful data is to sign up to receive our videos. The principals at the Real Wealth Company took the time to carefully craft accurate and informative videos about several useful aspects of commercial real estate investing. The videos are sent via a link along with a short description of the subject matter.
What Kind of Information Do We Cover?
The videos focus on highlighting tricks and tips that “real estate gurus” don’t want you to know, including:
• How to find deals.
• Working with alternative and creative financing.
• Looking at multiple types of properties.
• Using real estate analysis software.
• Evaluating your current investment plans.
• Understanding funding and acquiring it.
• Knowing the value of a business plan.
What’s the catch?
There is no catch. Just like the rest of the information on this website, it’s there to help you. Yes, you can buy this kind of information from different real estate seminars. Or, you can just sign up to receive our videos and get the same or better information, only you don’t have to pay for the fancy marketing campaign.
If you have any questions, please contact the experts at the Real Wealth Company.
Until next time…..rob
Commercial Real Estate Investing: Building Residual Income with Real Estate
Posted by: | Comments
the people of Sucre, Bolivia - Horno Ckasa'B
Greetings from Southwest flight 1398 to Phoenix, AZ.
I am on my way to meet with the team from Food for the Hungry Bolivia. I am looking forward to connecting with the Food for the Hungry Boliva staff. I sure miss the community of Horno Ckasa ‘B.
Anyway…..
When I first started investing in real estate, what attracted me most was the ability to build “asset” wealth quickly. I felt as long as I focused on building assets the cash flow would come. Well….like most “newbie” real estate investors, the harsh reality is ….it is not that easy. Especially, when you are leveraging yourself into assets and especially with residential real estate.
I discovered the hard way that leverage is good…but a lot of it can hurt you. I don’t believe in having personal debt (other than a reasonable mortgage). I do believe in having business debt. But business debt can get out of hand went you are leveraging everything you can….but I digress. I will share that thought in another post.
When I entered into commercial real estate, cash flow was a little easier….obviously with “cash flow” properties. It was when I leveraged myself into distressed properties or land where it got tricky.
Today’s post is how “smart” real estate investing can build residual income. From my experience, I have not always been a “smart” investor. To this day, I am paying for mistakes. So I hope as go through this “investing” adventure together, you can learn from my mistakes.
So…..
Building Residual Income Using Real Estate
There are endless ways to make money in this world, but if you are looking for the kind of investment that can not only help you in building residual income but also freeing yourself from the daily grind then real estate investing may be your “vehicle”. With the recent crash in the equities markets and 401Ks being cut in half many people are looking for more stable, secure and hands off investments. Smart real estate investing fits that bill and can set you free. The key pharse here is “smart investing.”
Every working stiff knows how to collect a paycheck. You dust off the ol’ resume, put on your best interview clothes and start to pucker up. Working for someone else, forty hours a week can make you well off but it will never make you truly wealthy. You’ll never control the means of production so you’ll never be truly rich, or independent for that matter. The tidal wave of layoffs going through the country is reason enough why many people need to work on building residual income.
Residual income is money made from an investment or business that pays you dividends over time for work done up front. Many people create these kinds of businesses through the Internet or through traditional means and turn them over to talented managers. Yet a great way to make some extra money, maybe even enough to quit the daily grind, is to build up real estate investments over time.
Imagine this scenario. You take 10% of your annual income and put it aside. This amount is then used as down payment on a piece of real estate. You rent that real estate out for more than the monthly expenses and keep the profits. The tenant covers your costs and you make extra money. This is one of the best tactics when it comes to building residual income because you will continue to make this money as long as you own the house. You can even pass it down to your children!
While many people think about real estate as a traditional single family home rental, the options are endless. Commercial real estate like office buildings, retail shopping centers and apartment complexes all offer the same help in building residual income yet spread the risk out amongst many tenants.
While at first you may only be looking at an extra couple of hundred dollars a month in residual income if you continue to repeat this process and roll your profits into new properties you will soon have a burgeoning real estate empire. Best yet, the longer you hold the properties the more equity you build up. If you ever need a large infusion of cash to cover a new car, college tuition for junior or your spouse’s new found addiction to slot machines you have money just sitting in your houses.
Sticking to the fundamentals, having an experience mentor at your side, staying humble, and continuing your education will give you the results your want…..a big residual check. Going your own way….or feeling invincible are sure signs of failure. Sounds like I am speaking from experience does it not?
Until next time…….rob