We just got back from St. Thomas and had an amazing time. Nothing like a little 85 degree weather to get you completely rejuvenated. While we were gone we sold 2 of ours deals and have another investor interested in the other 2. It seems like when we go out of town, business explodes. Murphy's Law never seems to fail. The best part of the trip was that we thought we were going to have Internet and email, but when we arrived we had no Verizon signal. We checked our email twice while there (on the resorts dinosaur of a computer, I think it was actually dial-up) and had no phone service. We got back Thursday night, sorted through all the messages, wrote the contracts and now have decided to leave again.
I just booked 4 nights in Panama City Beach for Christmas weekend and then booked 3 nights in Myrtle Beach for New Year's weekend. I know we'll have phone and Internet in those places, I pray for the same results. It never seems to fail. We get so busy when we go away. I told Christa that we need to commit to going away on short trips more. So that's what we are doing.
With Real Estate investing, all you need are deals. Once you are in control of the deal, all you have to do is market it. You can market it from pretty much anywhere in the world. You can even sell it from anywhere in the world. The attorney closing these deals has my wire information and we can sign the docs via email and overnight them back. We don't even attend closings anymore. The 2 deals we made are closing on 12/30, we'll actually be in town on that day, but I still won't go to the closing. I'd rather print the docs and overnight them back, then check my bank account from the comfort of home.
Working smarter beats working harder any day! Christa and I both work very hard and are dedicated to doing the best we can, but there's no need to reinvent the wheel and make life any more difficult and stressful than it already is. For the rest of the day today, I'm looking at the kids 2010-11 school calendar and planning all the 3 and 4 day weekend trips I can. My goal next year is to travel every opportunity we have. There's something about being out of town that just feels good. When you're making money at the same time, it feels GREAT!
I hope everyone has a Merry Christmas and Happy New Year. My next post will probably be from Myrtle Beach in 2010!
Showing posts with label real estate. Show all posts
Showing posts with label real estate. Show all posts
Monday, December 21, 2009
Tuesday, December 8, 2009
I'm in Atlanta, but my mind is in St. Thomas!!
I just sat down trying to figure out what to blog about today, but can't seem to get my mind off the weather. Today is cold and rainy in Atlanta and I cannot wait to get on a plane on Sunday and fly to St. Thomas. There's nothing like the beach and I definitely need it. I'm recovering from Bronchitis which has since been diagnosed Pneumonia and need some sunny warm weather.
I really appreciate being able to take trips like this. Real Estate Investing has been a Blessing to my family. It's been rewarding financially and personally in that it allows me to travel freely without being tied down to a 9-5 job. My goal is to get out of town with the wife and kids every 5-6 weeks or so. It doesn't matter how long the trip is, it's always good to be able to just pick up and go. Last weekend we went to Pigeon Forge, TN to see the Christmas lights and shows at Dollywood. We ended up getting snowed into our cabin and just had an amazing time with the kids sledding and having snowball fights. Fortunately the cabin didn't lose power and we had heat, food, Internet, even a hot tub and a pool table. The cabin was amazing, I couldn't imagine being "stuck" any place better. We didn't make it to Dollywood, but it was a fantastic trip regardless. We're unpacking the cold weather gear and digging out the beach gear.
The best part of getting away is that we still were able to check messages and email and conduct our Real Estate business. It doesn't matter if we're home or in Orlando or in St. Thomas, we can work from anywhere. All I need is Internet access and I'm home free. There's not many resorts around that don't offer Internet access. Being in this business allows me the freedom to set my own schedule and earn the money my family deserves.
Even when I'm home I sometimes feel like I'm on vacation. Let's look at what I have done so far today. Today, I woke up, got the kids out the door for the bus at 7:35, had some quiet time reading Scripture with my coffee. I then checked email, posted some Tweets and was at the kids school by 11 to read to my son's first grade class. I had lunch with my second grade daughter then went to Chile's with my wife (I don't really eat lunch with my daughter, just sit and talk to her while she eats). I got back home around 2:30, checked the mail and am now writing this blog post. It's 3:37, the bus just pulled up so the kids are home. They'll sit down, do their homework and then I'll do something with each of them. I think Preston wants to put together another one of the Star Wars Lego's he got for his birthday, not sure what Peyton wants to do. After that, we're having my parents and Christa's grandparents over for dinner then the wife and I are going to see a movie (I think the new one with Sandra Bullock in it).
I used to get up at 4am to deliver potato chips. My life was scripted by my job. Not anymore! We make more money than we ever have (there are always Real Estate deals in EVERY market) and pretty much work less. I don't see why more people don't do what we do, it boggles my mind. There's nothing holding you back but yourself. Stop making excuses and take your life back.
Go to our website, www.richandchrista.com, check it out. There's a ton of free information there to sift through. Educate yourself and then make a deal. We don't sell anything except deals. Most of the Real Estate "Gurus" sell products, that's how they make their money. We make our money doing the deals they talk about. I'm not going to try and sell you something you do not need. I make money when you make money. The more deals we all do, the more money we all make.
As always, feel free to comment or shoot me an email. I look forward to helping you reach your goals.
I really appreciate being able to take trips like this. Real Estate Investing has been a Blessing to my family. It's been rewarding financially and personally in that it allows me to travel freely without being tied down to a 9-5 job. My goal is to get out of town with the wife and kids every 5-6 weeks or so. It doesn't matter how long the trip is, it's always good to be able to just pick up and go. Last weekend we went to Pigeon Forge, TN to see the Christmas lights and shows at Dollywood. We ended up getting snowed into our cabin and just had an amazing time with the kids sledding and having snowball fights. Fortunately the cabin didn't lose power and we had heat, food, Internet, even a hot tub and a pool table. The cabin was amazing, I couldn't imagine being "stuck" any place better. We didn't make it to Dollywood, but it was a fantastic trip regardless. We're unpacking the cold weather gear and digging out the beach gear.
The best part of getting away is that we still were able to check messages and email and conduct our Real Estate business. It doesn't matter if we're home or in Orlando or in St. Thomas, we can work from anywhere. All I need is Internet access and I'm home free. There's not many resorts around that don't offer Internet access. Being in this business allows me the freedom to set my own schedule and earn the money my family deserves.
Even when I'm home I sometimes feel like I'm on vacation. Let's look at what I have done so far today. Today, I woke up, got the kids out the door for the bus at 7:35, had some quiet time reading Scripture with my coffee. I then checked email, posted some Tweets and was at the kids school by 11 to read to my son's first grade class. I had lunch with my second grade daughter then went to Chile's with my wife (I don't really eat lunch with my daughter, just sit and talk to her while she eats). I got back home around 2:30, checked the mail and am now writing this blog post. It's 3:37, the bus just pulled up so the kids are home. They'll sit down, do their homework and then I'll do something with each of them. I think Preston wants to put together another one of the Star Wars Lego's he got for his birthday, not sure what Peyton wants to do. After that, we're having my parents and Christa's grandparents over for dinner then the wife and I are going to see a movie (I think the new one with Sandra Bullock in it).
I used to get up at 4am to deliver potato chips. My life was scripted by my job. Not anymore! We make more money than we ever have (there are always Real Estate deals in EVERY market) and pretty much work less. I don't see why more people don't do what we do, it boggles my mind. There's nothing holding you back but yourself. Stop making excuses and take your life back.
Go to our website, www.richandchrista.com, check it out. There's a ton of free information there to sift through. Educate yourself and then make a deal. We don't sell anything except deals. Most of the Real Estate "Gurus" sell products, that's how they make their money. We make our money doing the deals they talk about. I'm not going to try and sell you something you do not need. I make money when you make money. The more deals we all do, the more money we all make.
As always, feel free to comment or shoot me an email. I look forward to helping you reach your goals.
Tuesday, August 18, 2009
My New 2.5 Million Dollar Retirement Strategy
I don't think most people understand the power of compounding interest. Anyone that has a mortgage or has actually looked at their Truth in Lending Statement should know. Banks make a ton of oney from mortgages. I've decided to become my own bank. I want to use the same strategy the banks use to make all that money. How can I do this? I need to own a home free and clear without a mortgage. I have an IRA. Can I use my IRA funds to buy an investment property? Yes, if you make your IRA self-directed.
There is the key. Most people do not know they can self-direct their own IRA's. Here's what I've decided to do. I am a Real Estate investor, I'm going to find deals that I can invest my IRA into and have my IRA act as the bank. I have 3 children and the fourth due any day. I want to retire in 17 years. How do I get there.
I'm going to take $180,000 of IRA funds ($90,000 from mine, $90,000 from my wife's) and invest in six rental properties. Affordable housing is always in demand, I can find brick 3 bedroom homes in Atlanta for under $20,000, add in the rehab and I can be in ready to rent for right at $30,000. I find deals like this every day. Most people do not believe me, but they are there. These homes will rent Section 8 for around $850 per month. After taxes, insurance, property management and vacancy I will cash flow approximately $600 per month per home. That money goes directly from my property manager back into my IRA. Once in the IRA, I reinvest the money into a growth mutual fund.
How to we get to $2,500,000? We're investing in the homes for $30,000. These homes sold for between $80,000-$120,000 5 years ago. I look 5 years back, because that is before there was any talk of a "bubble." I think it is a fair assumption, that in 17 years from now they will be worth at least that, we'll use $100,000. Six homes 100k each, we'll sell the homes for $600,000. What about the monthly rent we've been investing in the growth mutual fund? Historically these funds average 12% growth per year. I've decided to be a little conservative and go with 10%. We've invested on average $3600 per month ( 6 homes with an average cash flow of $600 per month). Over 17 years, assuming the 10% growth rate, that would be $1,926,684.28. Add the two together and presto, $2,526,684.28. Properly invested with a conservative return of 5%, that would produce around $126,000 of income annually. I would be able to live with that.
Keep in mind, I've assumed rent will stay the same and also assumed the homes will only be worth what they were 5 years ago. Rent typically goes up, and historically home values will rise over time.
For comparison, if I left the $180,000 in the IRA's, assumed a 10% return over the next 17 years, it would grow to be $909,804.65. That is a good amount as well, but I would rather have the 2.5 mil.
Why wouldn't you make this kind of investment? In this scenario, we are taking advantage of the depressed Real Estate market and using the cash flow from it to invest in the stock market. Your retirement will be growing in Real Estate and stocks. Traditionally both have performed very well. There is a great opportunity to to really grow your wealth in today's market. Those who take advantage of these investment opportunities and properly leverage their cash flow will be sittng pretty in years to come.
There is the key. Most people do not know they can self-direct their own IRA's. Here's what I've decided to do. I am a Real Estate investor, I'm going to find deals that I can invest my IRA into and have my IRA act as the bank. I have 3 children and the fourth due any day. I want to retire in 17 years. How do I get there.
I'm going to take $180,000 of IRA funds ($90,000 from mine, $90,000 from my wife's) and invest in six rental properties. Affordable housing is always in demand, I can find brick 3 bedroom homes in Atlanta for under $20,000, add in the rehab and I can be in ready to rent for right at $30,000. I find deals like this every day. Most people do not believe me, but they are there. These homes will rent Section 8 for around $850 per month. After taxes, insurance, property management and vacancy I will cash flow approximately $600 per month per home. That money goes directly from my property manager back into my IRA. Once in the IRA, I reinvest the money into a growth mutual fund.
How to we get to $2,500,000? We're investing in the homes for $30,000. These homes sold for between $80,000-$120,000 5 years ago. I look 5 years back, because that is before there was any talk of a "bubble." I think it is a fair assumption, that in 17 years from now they will be worth at least that, we'll use $100,000. Six homes 100k each, we'll sell the homes for $600,000. What about the monthly rent we've been investing in the growth mutual fund? Historically these funds average 12% growth per year. I've decided to be a little conservative and go with 10%. We've invested on average $3600 per month ( 6 homes with an average cash flow of $600 per month). Over 17 years, assuming the 10% growth rate, that would be $1,926,684.28. Add the two together and presto, $2,526,684.28. Properly invested with a conservative return of 5%, that would produce around $126,000 of income annually. I would be able to live with that.
Keep in mind, I've assumed rent will stay the same and also assumed the homes will only be worth what they were 5 years ago. Rent typically goes up, and historically home values will rise over time.
For comparison, if I left the $180,000 in the IRA's, assumed a 10% return over the next 17 years, it would grow to be $909,804.65. That is a good amount as well, but I would rather have the 2.5 mil.
Why wouldn't you make this kind of investment? In this scenario, we are taking advantage of the depressed Real Estate market and using the cash flow from it to invest in the stock market. Your retirement will be growing in Real Estate and stocks. Traditionally both have performed very well. There is a great opportunity to to really grow your wealth in today's market. Those who take advantage of these investment opportunities and properly leverage their cash flow will be sittng pretty in years to come.
Thursday, August 13, 2009
IRS Tax Code Cracked, Reserve Your Free Sneak Peak
The First time Homebuyer Tax Credit in the Recovery Act is huge. I'm shocked not that many people have explored everything it offers. Buyers can get up to $8000 to buy a house. That 8k opens up so many opportunities for buyers, sellers, agents and investors.
I can show a buyer how to convince a seller to owner finance a deal for them.
I can can show an agent how to get up to 10% more for their listings in a down market.
I can show a seller how to find more buyers for their homes.
I can show investors how they can get deals turned for retail prices in 90 days or less.
I've done extensive research into all the IRS rules and regulations regarding the credit. What I found was so profound, I've decided to team up with another seasoned expert and create an information series on how to take advantage of this amazing opportunity. This Tax Credit creates a win-win for everyone involved in the deal. The buyer wins because they get the home they've been dreaming about and can also get their credit repaired at no cost to them. The agent wins because this opens the door for them to close 10 times the deals they are closing now. The seller wins because they can get a qualified buyer for their home and get up to 10% more for their home in a buyers market. The investor wins because he can leverage his money into a position that turns his money in 90 days or less. These are unheard of opportunities in this market.
If you thought that the only way to make money in today's market was with foreclosures, you're wrong. We discovered ways to get retail buyers into homes at retail prices. This is the first step to stopping the declining home values found across the Country. We cannot do it single handedly, that's why we are working relentlessly to get this information series put together and ready to be put in your hands. If you want to be one of the first to get this amazing information, go to www.virtualinvestoragent.com and opt in now to get on my email list. In the meantime you will receive free information from me on how to make more money, with less risk and no sweat in Real Estate. No obligation, no commitment, no subscription, Nada. Free from me to you.
Make sure you go to www.virtualinvestoragent.com now, do not miss the chance to be one of the first to get this ground breaking information. This information will change the way you buy, sell or invest.This material is time sensitive, do not wait. Once the government pulls the plug on this program it will be gone forever. Don't be one of the ones who regret not being able to take advantage of this once in a lifetime opportunity.
I can show a buyer how to convince a seller to owner finance a deal for them.
I can can show an agent how to get up to 10% more for their listings in a down market.
I can show a seller how to find more buyers for their homes.
I can show investors how they can get deals turned for retail prices in 90 days or less.
I've done extensive research into all the IRS rules and regulations regarding the credit. What I found was so profound, I've decided to team up with another seasoned expert and create an information series on how to take advantage of this amazing opportunity. This Tax Credit creates a win-win for everyone involved in the deal. The buyer wins because they get the home they've been dreaming about and can also get their credit repaired at no cost to them. The agent wins because this opens the door for them to close 10 times the deals they are closing now. The seller wins because they can get a qualified buyer for their home and get up to 10% more for their home in a buyers market. The investor wins because he can leverage his money into a position that turns his money in 90 days or less. These are unheard of opportunities in this market.
If you thought that the only way to make money in today's market was with foreclosures, you're wrong. We discovered ways to get retail buyers into homes at retail prices. This is the first step to stopping the declining home values found across the Country. We cannot do it single handedly, that's why we are working relentlessly to get this information series put together and ready to be put in your hands. If you want to be one of the first to get this amazing information, go to www.virtualinvestoragent.com and opt in now to get on my email list. In the meantime you will receive free information from me on how to make more money, with less risk and no sweat in Real Estate. No obligation, no commitment, no subscription, Nada. Free from me to you.
Make sure you go to www.virtualinvestoragent.com now, do not miss the chance to be one of the first to get this ground breaking information. This information will change the way you buy, sell or invest.This material is time sensitive, do not wait. Once the government pulls the plug on this program it will be gone forever. Don't be one of the ones who regret not being able to take advantage of this once in a lifetime opportunity.
Tuesday, July 28, 2009
Cash Flow is What Matters
I had a nice chat last week with one of my investors from the Midwest. He invests in Atlanta and has many associates who only invest in their local markets. I had to ask, WHY? If you are a Real Estate Investor, why would it matter where you invest. Shouldn't you be looking at cash flow, cap rate, equity, stuff like that? He told me that they felt they had to be able to put their hands on it and touch it. That concept confuses me. Why would you want to do that? We hire property managers to manage the properties. We have contractors to handle any maintenance issues. We have video to be able to see the property. If you own stock or a mutual fund, do you go to the front door of the company to see it? No, you look at the prospectus and look at quarterly reports. You're only interested in the bottom line, is the fund or stock performing. That is the same way to look at Real Estate. It is an investment, you invest because you expect it make you money. You do not invest so you can drive by and say "look, I own that." I see investors every day looking at deals in California or New Mexico spending $150-250k on deals that rent for $1200-1500 per month. They look at these deals because they feel comfortable because they know the street the home is on and live in the area. We have deals in Metro Atlanta that are literally $35-55k that rent for $900-1100 per month. Do the math. You can triple your cash flow by simply investing in the Metro Atlanta area. I urge you to treat Real Estate Investing just like any other type of investing you may do. Look at the deal. Look at the numbers. If you do that, take the emotions out of it, you'll make a ton of money and be successful. There's never been a better time to get in the game and expand or start your Real Estate portfolio. Find an experienced agent to find you deals and get started. We find money making deals everyday. They are definitely out there waiting for you to pull the trigger and start making money. Good luck and please feel free to contact me with any questions you may have., I'd love to help you.
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