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Real Estate Investing - So You Want to be a Landlord!
Is landlording the way to go if you are starting into real estate investing today?
Receiving cash flow from rental residuals is an exciting idea. If the rental housing is congregated in large apartments within a focused area, the costs of management and maintenance are more economical. Rentals are even more appropriate when all of the portfolio is in the "path of developmental progress" with "upward mobility" population of a prime metropolitan city. This results in clustered landlording of an area free of crime, prostitution and drug traffic. However, whether purchasing large quantities of these apartment complex units as fix-up properties or pristine properties, acquisition usually demands deep-pockets and is not within the cash range availability of the beginning real estate investor. Therefore, I suggest such acquisition of these larger apartment properties after some experience in real estate investing has resulted in a big wad of cash in the hip pocket. For the beginning real estate investor, the choice is usually between becoming a near-slumlord or fixing up cheap properties for resale.
I recommend residential fixup for quick return on investment and less hassle from landlording for the beginner.
I bought $10 million dollars in rental properties during my first four years in the business, and it made me a multi-millionaire. I followed the instruction of the books and seminars precisely. It made me rich. But it was a costly mistake. In fact, in my opinion, becoming a landlord in the beginning of my real estate investing career was what I consider my "$10 Million Mistake."
Perhaps an explanation of what I term a serious "mistake" can guide your decision in starting a real estate investing career.
Problem 1. I can clean out toilets pretty well. I've cleaned out quite a few. It's not the most fun activity I've ever had. I never thought of it as a party. But I can clean toilets in the maintenance of rental property as well as anyone.
Cleaning toilets is simply symbolic of all the upkeep jobs necessary for being a landlord. But let me assure you, there are many, many other detestable jobs required in landlording, too.
I can clean out one toilet. But cleaning out toilets in $10 million dollars worth of properties is a little beyond me. So, that's why I had to quickly start an in-house maintenance company.
Problem 2. I can rent one apartment to an applicant. But renting $10 million dollars worth of properties is beyond me. So that's why I had to start an in-house management company.
Here's the point. Any person who becomes a landlord can handle a few properties. But a few rental properties seldom make you rich. I "became rich" as a landlord by acquiring a lot of properties which required a lot of renting and a lot of maintenance work.
Eventually, my landlording life became helter-skelter.
I never want to be a landlord again in this same capacity. It is a deterrent to real estate investing success.
Real estate investing has many better opportunities other than landlording.
The easiest and most quickly initiated opportunity is the fixup of cheap housing. With efficiency, the beginning real estate investor can acquire a cheap house with little or no money down, repair it with "sweat equity," and dispose of it through a sale within 30 days for $5000 to $10,000 profit minimally. Several of these cheap houses can quickly replace a job income and can lead to full-time real estate investing.
Phil Speer, Ph.D., started his real estate investing career 25 years ago. Without the availability of credit and using only a $10 bill, he purchased $1 million in properties in his first year, and had accumulated $10 million in properties by his fourth year. http://www.CashinHouses.com/ He was featured in a Wall St.Journal editorial as most successful investor in the Nothing Down Real Estate Movement, and was honored with a Caribbean cruise as top investor of the year. In his hometown of Nashville, Tennessee, he has been a businessman and Human Resources Consultant for 30 years. He is an author, speaker and seminar director.
To learn how to profit in real estate investing, even without cash or credit, read his report at http://www.BigMoneyinRealEstate.com/nomoneydown/flipping.html/ Subscription is free to his Fix-up Ezine. He and other contributing authors provide free articles and resources on real estate investing at his online "Academy of Advanced Real Estate Investing Techniques" at http://www.AAREIT.com/
Atlanta Georgia Real Estate - Marietta - East Cobb, Roswell, and Alpharetta
Whether you're a "move up" home buyer, downsizing, or relocating to the metro Atlanta area, you'll find a diverse range of home styles and price ranges just north of downtown in the Marietta - East Cobb, Roswell, Alpharetta corridor. Featuring affordable single family homes, condominiums, townhouses, and luxury real estate, these communities also offer great schools and unbeatable location.
Real Estate Investing - Books,TV Infomercials, and Seminars
Real estate investing has become popularized today because of real estate investing TV infomercials and traveling seminar circuits. But real estate investing has not always been so popular.
Evil Gains Entry
When we open our doors to strangers, we can never be certain what malice an outsider might bring in. Police officers tell us to keep our doors locked with good reason.
Law & Logic of Homeowner Association Capital Reserves
In October 1999, Oregon was one of the first states that enacted a significant improvement to its Condominium and Planned Community regarding capital reserve planning, a process by which homeowner associations plan and fund future repairs and replacements. For many associations, the process became mandatory although there was an "escape clause" for pre-October 99 Oregon communities.
Lease Purchasing Is The Perfect Home-Based Business
Some call it the 30 second commute. We call it wonderful.
How You Will NOT Make Money in Real Estate
We all have seen some book called "How I Turned my last dollar into $1 Million by buying real estate in my spare time". Some of us even bought such books on an impulse with high expectations.
Forclosure And The Durrett Rule
It's probably happened to you..
Las Vegas Real Estate - Luxury Properties
Las Vegas is known for it's over the top hotels and casinos, larger than life celebrities and jaw dropping shows.Over the past couple of years the Real Estate Market has taken center stage breaking national sales records in 2003 and 2004 with record appreciation rates as high as 52%.
How to Use Design Psychology to Stage Your Home for a Top-Dollar Sale
A new business venture to help home sellers, home staging, assists property owners in preparing their home for the best possible sale. Home stagers visit your home and either tell you how to redesign it or actually do the work for you.
Will The Real Home Buying Guide... Please Stand Up?
Use Google right now and do a search on, "Home Buying Guide". Take a few minutes to click some of the links to see what's out there and then come right back.
Investing In Land
Changing social trends point to a huge rise in demand for housing within the next twenty years.With an ageing population and more single people requiring accommodation, it comes as no surprise that the government has ordered planning authorities to find more land to develop, including areas of greenbelt.
How to Create Cash Flow Out of Thin Air!
Want to see a trick every real estate investor will love?From the Desk of Thomas KishCrazy as it may sound..
Are You Trying to Hit a Home Run With Your Prospects Without Asking Them on a Date?
Real Estate email marketingDo you remember the old School girl/boy game of "Around the World", or "Around the Bases"? If you got a kiss you got to First Base. A french Kiss was Second Base.
Commercial Real Estate: Assessing The Unique Features Of Commercial Real Estate Parcels
As commercial real estate development progresses into the 21st century, many of the principles upon which the market was founded remain the same. Whether you are a property owner, developer, or commercial real estate agent, identifying and marketing the unique features of your commercial property will maximize the attractiveness of the site to prospective buyers or tenants.
Loan Officer Training: Learn How To Shape Realtors Perceptions
In medicine, a placebo is a pill that you think will make you better, and so it does. In your business, a placebo is a prospect having the experiences they expect to have, and so they have them.
What to Look for in a Home
Searching for just the right home can be very exciting. You may plan ahead for the number of bedrooms and bathrooms that you want.
Buying A Home - Rain, Sun, and Weather Issues
When buying a home, it can be easy to overlook year-around weather issues. You may think you are purchasing a home in a sunny area, but come to find there is always a heavy cloud cover.
Canal Front Homes in Venice
A bit about VeniceVenice, Florida was named by an early explorer who thought the beautiful, clean canals that snake through the coastal community starkly resembled the canals of the historic city of Venice, Italy. In the 2000 census, Venice, Florida had a population of 17,764 people and that number has continued to increase over the last five years.
First Impressions Will Sell Property Fast!
First impressions count, buyers will have already formed an impression before they step into your property. A well-kept garden, pathway and fence, plus a freshly painted front door are immediately appealing, whereas a scruffy outdoor space with a litter bin outside the front door may turn many prospective buyers away.
Investment Property - Leveraging Rental Property Equity
Owning investment property is a tremendous wealth building strategy. Thousands upon thousands of individuals have amassed great wealth by investing in rental properties.
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