One of the KEY tips I can give any real estate investor, new or seasoned, is to LEARN ABOUT YOUR MARKET. It doesn’t matter where you live or where you’re investing, you’re going to adjust and adapt. This is going to help you create your own market and eliminate your competition.
People always focus on “buyer’s markets, seller’s markets,” etc. These aren’t really factors in your investments if you understand your market and take the time to talk with the seller. For example, a flip can be one of the riskiest investments out there if you don’t understand the area. Flipping without all the facts can lead to market speculation, which is DANGEROUS. Stock marketers speculate, but investors shouldn’t; otherwise you’ll lose your shirt.
Make sure to head over to LarryHarbolt.com for all your real estate education needs.
And don’t forget to fill out my quick survey and let me know what you want to learn at LarryHarbolt.com/CheatSheet.
Good Luck and Happy Investing!
We're continuing from our last podcast episode, where we discussed how you can create a marketable promissory note that can then be sold for cash. This is a lifesaver for the investor short on cash, and it's all based on fulfilling your promises as a business person.
In every seller financing transaction you'll ever do in your investing career, you'll need to understand the concept of clauses. There are specific ones we need to include in our Purchase Agreement and in the final note. One of the most important is the "Right to Refusal" clause.
The "Right to Refusal" clause says that if the holder of the note decides to sell that note to someone else for a discount, they would have to contact YOU first. You would then be given the opportunity to purchase the note at the discounted price, or refuse. If you can come up with the money, why not exercise your right?
Another crucial clause is the "Exculpatory Clause". This one isn't as well known and you may not meet too many gurus who even understand what it is. This clause allows you to purchase any property WITHOUT personal liability. The liability is limited to the property itself and will not extend to you. If you don't pay, then they simply take the property and can't come after you.
You also need to understand if you're a "Mortgage State" or a "Deed of Trust State". Depending on where you live, the standard deed will either be a mortgage or a deed of trust. Most investors like deed of trust based on how quickly they can make their money back. However, you can still make money in a mortgage state, but it will take more time.
This is only a few of the clauses you'll need to truly create a market all of your own. For a FREE download of sample documents, visit LarryHarbolt.com/ThinAir.
For all your real estate education needs, visit me at LarryHarbolt.com.
Today’s episode is one of my more exciting ones: making money out of thin air. It’s not a hoax or a scam, but a viable way to create deals without taking money from your own pocket. It’s never really about the numbers or the asset: every deal is built on the foundation of a promise. A buyer creates a formal promise to a seller that they need to fulfill, and that’s where every deal begins.
There are different types of promises that we make to sellers when we create a deal for their property. We use promises such as:
Once you understand that EVERYTHING you do is a promise, then you’ll understand your integrity is on the line. In negotiations, you’re showing the sellers that you’re a person of integrity who can keep your promises. That’s how the best deals are made.
Don’t forget to visit us at LarryHarbolt.com for all your real estate education needs.
If you’d like copies of the forms we mentioned in the episode today, visit LarryHarbolt.com/ThinAir.
Good Luck and Happy Investing!
Over the past few weeks I’ve had several investors come to me and tell me that they can NEVER get sellers to give them seller financing terms. For me that makes no sense: I have plenty of success in getting seller financing terms on the properties I buy, over 30 years in fact. So today I’m going to help out those investors who are having little to no success in negotiating seller financing terms on their deals.
I’ve talked with some investors who are buying upwards of 35 houses A MONTH. They already have a network and a system of lenders that allows them to pay cash for each house. This podcast isn’t for them; it’s for those investors that don’t have the cash or the network to scale their business yet to such a high level.
Cash is never the only way to buy a house; I’m living proof. Even if you have money, eventually that money runs dry and your business shrivels up. So why not just save that money for other deals and negotiate seller financing terms whenever you can?
For all your real estate education needs, visit me online at LarryHarbolt.com.
Good Luck and Happy Investing!
Every investor has to ask themselves this question sometime: “What the heck should I be buying to build my portfolio and cash flow?”. For some people, what they care about most in an investment property are:
Most investors DON’T think about some of these important aspects of the property that could seriously impact your bottom line:
In the end, you need to decide how hard you want to work and how much you want to spend on each of your houses. Be mindful and do your homework on EVERY SINGLE PROPERTY you come across. This is how you’ll make more money on every deal you do. Otherwise you’ll make some costly mistakes.
For all your real estate education needs, visit me online at LarryHarbolt.com.
Good Luck and Happy Investing!