Have you heard the latest news? EVERYONE has a money problem!
Some people already have a lot of money so how could they have a problem? Many people with a lot of money are worried about losing their funds in the stock market. Others are worried about the rates they earn in CD’s. I had someone tell me this past week that they are worried because they have a large CD expiring and the return is dropping from 2.5% to 1.5%. This individual use to earn closer to 5% in the CD’s and lived off of the interest income. That is not possible any longer for this person. Another person recently told me that they are tired of losing money on their retirement account (401-k) and they may not be able to retire when they planned. My point is that people with money are now more worried about loss of return, inflation and other money related issues than anytime in our generation.
Other people do not have enough money. They have lost jobs, lost incomes, lost their small business and lost their nest eggs. They are challenged to live week by week.
Investing Now, in today’s real estate market, can provide an incredible opportunity to solve both money problems by marrying the two money problems together. The people worried about losing their money (i.e. no interest CD’s, loss in stock market, loss of retirement) can find a real estate investor to put their money to work and earn tremendous interest by investing in mortgages on solid properties with low loan-to-values in nice neighborhoods. I believe our real estate market has bottomed out and right now is the time to capitalize.
The person with the money can find a very safe and completely passive investment in real estate without doing any work. The real estate investor is the catalyst in the transaction and does all of the work including:
- Finding and negotiating to buy the right property
- Fixing up the property to prepare to rent or sell
- Managing the property or selling the property
The investor funds the transaction 100% including the acquisition, closing costs and all of the repairs for the property. There are many ways to structure these transactions in an easy, safe transaction but they break into two groups:
1. Debt financing – The real estate investor pays the private lender using traditional points and interest for a given period of time
2. Equity financing – The real estate investor pays the private lender a portion of the upside equity and if the property is rented, an equal portion of the rental income stream
Want to learn more? Check out :
Real Estate Wealth TransferClick here to access site
Investing NowClick here to access site
Please feel free to leave your comments and questions and we will expand on this initial blog in the near future.
Warm Regards
Jim Ingersoll
Author, “Investing Now”
