If you've ever watched late night TV, you know that there are numerous ways to invest in real estate with just as many guru's promoting their specific system for doing it. The problem with getting started as an investor or expanding your portfolio is actually finding properties utilizing investing methods that fit your resources; time, money, and know how. Local Real Estate Investment (LREI) has found that it is very difficult for any one person to be successful in this industry without a network of individuals that function as mastermind group and mentor. There is simple just to much to know and do to stay on top of it all.
LREI works with select partners in a specific markets that are actually investing and having success with their own investment system. As a member you have the opportunity to have them tell you when they've found something good and utilize their experience. Not only do they tell you where to go but they walk you through the transaction. It doesn't get any easier than that. Some of our partner investors will partner with you so you are practically guaranteed to succeed. The following is an outline of the type of methodologies our partner investors utilize:
Buy Low Sell High
Buy low sell high is the premise of many investment strategies in many markets but the trick is where do you buy low? There are a number of ways to find undervalued properties. Learning the way to find them is the key and can take years to establish the network of people you need to know in order to get really great deal.
Consider the following scenario: One of our partner investors was notified about a foreclosure the morning of its auction. He could have purchased it for 206k. He did have the funds to do it but another friend at the auction was scrambling to get it and just needed a little more time. Our partner investment delayed the sale twice at the last minute in the same day just to help him out. In the end the guy wasn't able to find the funds and the house ended up selling for over 280k. The point is just because you know how to find properties having a player on your side is "INVALUABLE"!
Foreclosures, Probate, REO, & Undervalued Properties
Sellers who's homes that go into foreclosure or probate are very motivated to move the property and it is well known that these properties can be acquired for 25-50% below market value.
Equity Hound Plays
Some of our investors buy high end homes that have a lot of equity. They then live in a very nice home and use the equity to create positive cash flow thereby paying for the house and generating additional cash flow. They are also building equity on the property through appreciation, thereby controlling a large asset. Imagine appreciation on 800k vs. 300k? So yes they live in the house for free and make extra money on it. This is a very fun investment strategy.
Lease Option
Buy a property and sell at full market value minimizing your risk with a significant down payment and selling at the future market price.
Income Property (Rentals)
Get into a property for little down that generates monthly cash flow. Residual Income...the great American Dream.
FICO Investing or Credit Score Investors
So you don't have a stash of cash or savings available to invest? Are you a responsible person with good credit? Credit Score Investing is a great way to earn good money with little or NO money out of pocket. You are basically lending someone your credit score in order for them to get a loan. They pay you good money and then cash you out in in the near future.
Consider the following scenario: We have a client who has great credit. She works successfully as a hair stylist who wanted to start building her retirement however, didn't have money to invest with. We put her in 2 Credit Score Investments over the course of 4 months creating $9,500 in cash up front and $400 a month over a 12 months period. Do you think she was excited? LREI Partner Investors did all the work, she didn't have to worry about any of the logistics.
IRA Real Estate
Buy Real Estate using your IRA, Roth, Individual 401(k) or other retirement plan. Take advantage of "Tax Free" and "Tax Deferred" real estate investing techniques. Many investors are using this as an alternative to the stock market where their investment is more at risk with smaller return.
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