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Blessing the Money You Spend
A young girl opens a birthday card from her grand mother and folded inside the card is a crisp $100 bill along with congratulations and sincere wishes and hopes for happiness. A successful store rewards its customers who spend more than $20 with a bonus ...
How to Use Other People's Money for Your Business
"Money is a terrible master but an excellent servant." -P.T. Barnum John Ray, the famous 17th century author, was known to havewritten the aphorism, "Money begets money." In thebusiness world, I'm sure you've also heard the saying,"You've got to have ...
Make Money On Ebay With Public Domain Products
Any Internet marketer will tell you that the public domain is a goldmine. But if you've only been making money on ebay, you might not know how to cash in this goldmine. The "public domain" is the collection of all documents that are publicly-owned. This ...
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If you can find an undervalued property, use somebody else's money, or do a sub2 deal (check your glossary at the website if you're unsure about that term), it's relatively easy. Undervalued properties are somewhat hard to come by in these overvalued days in most areas, unless you're ready to do some serious rehab work or have a keen insight into market trends in a specific area.
And, most lenders want you vested in the deal with some significant cash--understandably. Why should they take all the risk? At the very least, they'll want you to be able to show that you can maintain the property until it turns around or that you can turn it over quickly and profitably (which usually means selling it to somebody willing to pay a premium because of less-than-great credit).
BUT, don't let this discourage you. Instead, let it sharpen your insight as to what makes for a good deal, understand how lenders view them, and think creatively about financing so that a good deal can be had by all. Here's one way.
Find a motivated seller, and line up a partner who's seeking a good return.
Form an LLC with the buyer. Have the LLC buy the property at a discount from the market rate in your partner's (the buyer's) name--it's his money, after all. Next, run a "for sale by owner" ad, stating that "poor or no credit is okay." Your phone will ring. They'll pay more to get in, but they'll have to be able to pull together a decent (10% or more) down payment and have a solid job. Your investor partner gets that cash to get his investment back. Then, sell the property to the new buyer and split the monthly cash flow with your partner.
You can repeat this process a few times and have a significant monthly cash flow, all with no cash from your pocket. Your contribution will have been putting the deals together. So, yes, "no money down" can still work, if the right people are in the picture. Keep your eyes open for possibilities, your contact list current, and your ambition level high, and you can do it.
About the author:
Lynn Stonebraker has worked all sides of the real estate industry, from construction and supply wholesaling to investment banking. Her ability to simplify finance and marketing keep her busy consulting. You can profit from her training by subscribing to her weekly newsletter, "Successful Real Estate Investing," available at Real Estate Info.
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NH launches online money management gameBoston.comBy Holly Ramer AP / February 12, 2012 Concord, NH—Household budgeting may not sound fun, but a new online program in New Hampshire is trying to make learning about it more enjoyable. The US Treasury Department recently awarded grants to five states to ...and more » |
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These Dow Stocks Make Money the Bestmsnbc.comBut if you want to narrow down your investing options even further, you can take a closer look to figure out which companies are the absolute best at doing what all businesses should do: making money. One of the simplest ways to evaluate how well a ...and more » |
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