So , are you a real estate Investor ? Do you make Money while you Sleep ? Maybe you get up each day and chase down Deals !
Image by Gerd Altmann from Pixabay
Believe it or not many real estate investors are just Cash Creators , and there is nothing wrong with that at all . Fact that is exactly what I ’ ve done for over 30 + years in the real estate game . Over the years I ’ ve done many , many aspects of real estate investing . I started out as a Wholesaler finding great deals and then selling those contracts via Assignments or doing Double Closings . Basically , getting paid very well to find deals for investors who could pay cash for the deals and I in return would get some great fees for putting the deals together .
Through out my real estate career I thought Wholesaling was the absolute best way to make cash , and it is ! However , every time you find a deal then sell it to your Investor you actually end that investment phase and have to go out and find another to continue to get paid . Which I have enjoyed over the years doing , but then I realized I needed some more tools for my toolbelt so I could do other strategies in real estate . So , my next move was to start holding rentals to off set the cash I was bringing in and having to pay a lot of taxes in the beginning on it . Now I really did not want to be a landlord , but my CPA said you need some tax write offs / deductions . So began the 2nd phase of my investor career . So , for a few years these were the only tools I had in my tool belt .
Eventually I came across a deal that I had the funds to close on do the rehab myself and then sell it with owner financing in place . Now I was not sure exactly how this would work but I had a great network of investors and was able to get with one and go over the basics . We then proceeded forward with the rehab did some early marketing ( a sign in front yard ) then bam I had someone wanting to buy it with enough money down that I actually received most of my initial investment back . I also had a note
27 now payable to me for the next 20 years . I though “ Wow ” this is fantastic . I don ’ t have to do repairs ; I just sit back and get a check each month . I was sure this was my new way to invest . I also now had three ways to get paid in real estate . I though finally I ’ ll be rich !
So as time went own my wife and I started doing the Buy , Fix , and Sell on loans , mainly because we still did not have enough money to take down properties , rehab them and use as rentals . We always need our money back or if we used a partner ’ s money we had a deadline , a short one to get their money back . Soon I realized my favorite tool in my tool belt was Wholesaling , I did not have to be a landlord , didn ’ t have to do rehab , or oversee the rehab . I just made cash . But I did like that Owner Financing strategy a lot . Problem was I need enough cash to buy , fix and hold . Now its not a rental but you are holding long term until the note matures .