This review is from: The Beginner's Guide to Real Estate Investing (Paperback)

Gary Eldred's book, The Beginner's Guide to Real Estate Investing, provided for me a broad and comprehensible introduction to the world of the Real Estate business. From loans to Land lording, Mr. Eldred introduces techniques, formulas and a wealth of resources to help you find money, calculate risk and profit, maximize your investment and create wealth through an honorable, ethical and respectful business practice. I highly recommend this book to the beginners and the veterans alike.

Don't borrow to invest…you will find the interest paid will offset your gain on the investment, and worse still, if the investment loses money, you will still have the loan.

I will give you some good advice…pay attention.

You are young and that makes a big difference..Save up your money until you have $1,000, and take it to the bank and buy a no-load balanced mutual fund, Figure an amount per month that you can afford to invest and tell the bank to take this amount once a month to buy more shares of this fund,
Then start reading about investments, markets, market psychology, how changing interest rates affect markets, how current events affect markets, and anything you can learn about investing will help you understand.

This amount you invest every month won't be noticed by you (not having it to spend) after a few months…..Increase this amount when you can..if you get a raise, put the take home increase into your fund. As you learn about investing and understand your risk tolerance, branch out ito more diversification, Like a good equity fund, maybe a resource fund, but start with a balanced fund.

Over the years you will get rich following this advice, but don't start spending your fund on cars or trips…otherwise you will have to start all over again.

Cindy – you are right! Everyone seems so terrified to buy property yet real estate investing makes WAY more sense today than it did two years ago when everyone was excited about it. The media is not blameless in this fear and feeling amongst would be investors though. Sure – they are making excuses about why they aren't buying property, but the constant negative news and recession/job loss talks paralyze even the smartest investors. Thanks for your comments!

Nah. I keep 100% of my checks. I like that. But seriously, welcome. I hope you find blogging as fun and rewarding as I do. It truly is win, win. My readers get a lot of information on real estate investing for free whether they use my services or not. I get many, many clients from the blog readers when they need an agent. It is the perfect relationship.

When a property gets foreclosed on, and it's the first lien holder that is doing the foreclosing, then the second and third and fourth (etc.) will get wiped out at the foreclosure auction. What an investor will do is to buy/tie up the property from the defaulting owner and see if he can discount the first and second. The second will most likely agree to a small amount (usually 7-10 percent) because they will lose everything once the property gets foreclosed on. The first will usually accept a 20 percent hit.

Now what you quoted is that the second note holder was stating that he will own the property by buying it from the person in default and take over the first position's loan payments and make it current. Therefore, he is not interested in selling his note to the investors. The investors in that example were idiots for not controling the property first or the owner didn't want to sell. The investors were hoping to buy the second note at a discount and bid at the auction and own the property with at least 15 k equity plus whatever the homeowner had in equity.

You can buy any note by approaching the lending institution that holds the note and making an offer to buy it. You will need cash to do so.

Also, to clear up the quoted reference, you can purchase property "subject to" existing liens/loans. Taking property "subject to" means that you will take over the payments, but the old owner is still responsible for the loan(s). So if you stop paying the mortgage/trust deed, the lending institution will go after the old owner and start foreclosing on the property. Buying property "subject to" existing loans is one way where someone with no money and/or credit can get into a home and own it. The second note holder was buying the property from the defaulting owner using the "subject to" clause.

I either confused you or helped you. Either way, I just saved you hundreds of dollars in late night real estate infomercials!

E-mail me if you have any questions.

Regards

I think you can do that by putting the money into a "Roth" IRA. The laws are much more tolerable with a Roth than with conventional 401(k).

This review is from: Rich Dad's Advisors®: The ABC's of Real Estate Investing: The Secrets of Finding Hidden Profits Most Investors Miss (Audio CD)

What I like most about the Rich Dad Advisor series is the lack of fluff and that the information is from actual experienced real estate investors like Ken McElroy. Many people who write books and/or conduct seminars have little if any in the trenches real life real estate investing experience. What makes this program different are a number of things. McElroy shows how to calculate the right price for your property. He explains how to use comps and how to avoid the wrong properties. McElroy goes into the mathematics of real estate investing more so than any other author. The ABC's of Real Estate Investing mades a great addition to Real Estate Riches. In concert, these programs will help you achieve financial freedom via real estate. ]]>

This review is from: The Beginner's Guide to Real Estate Investing (Paperback)

Gary Eldred's book, The Beginner's Guide to Real Estate Investing, provided for me a broad and comprehensible introduction to the world of the Real Estate business. From loans to Land lording, Mr. Eldred introduces techniques, formulas and a wealth of resources to help you find money, calculate risk and profit, maximize your investment and create wealth through an honorable, ethical and respectful business practice. I highly recommend this book to the beginners and the veterans alike.]]>