Professional Documents
Culture Documents
If youve got a great deal, but dont have the money for a down
payment, find a private lender. This is any individual that has extra
money set aside that you can use for your purchase.
Where these people are hiding in plain sight in your community.
How you approach them, and exactly what to say to them thats easy
and natural.
After you get one or two lined up and you start to use them
successfully, watch what happens: They will tell their friends, who
will tell their friends, and so on. Its human nature to brag at cocktail
parties or at the gym about what a great investment they just made.
Before you know it, you will have all the funds you need, and your
business will explode.
3. Signature Loan
Ill share with you some guidelines to follow when taking out this
type of loan at your local bank for the down payment.
4. Subject To
Just like single family houses, you can take over multi-family
properties subject to the existing mortgages. This means that the
mortgage stays in the current owners name, but the deed is
transferred to your name.
Why this can be a great way to take over a property with no money
down.
Ill go over when this situation usually arises, and how to negotiate a
successful subject to deal.
5. Equity-Share or Debt-Share Investor
This means you will share any equity which is created in your
property with an investor who will give you the money for a down
payment.
You can also structure a transaction where the investor provides only
debt, and does not share in the upside or equity of the property. I
will explain how both arrangements work.
In fact, I will also outline how it might even be possible for me to
become a partner in your deal.
6. Equity Share Owner
This is where you are not attracting other investors, but you do an
equity share deal with the owner. The owner transfers title to an entity
in which the two of you are partners. The property is refinanced for
the purchase price. The owner gets out as much of his equity as he
can, and becomes an equity partner for the rest.
I will explain the typical way these deals are structured.
7. Repair Allowance
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This scenario is very similar to the Equity Share Owner situation but
the owner does not become an equity partner; he becomes a second
mortgage holder.
This saves you a great deal of money in the long run, because you do
not give up 20% of the profit and 20% of the equity. Ill go into more
detail on how these arrangements work.
9. Create Paper
Just as they did in the old west, you can barter the down payment for
anything else that you hold ownership to. This includes equity in other
real estate, notes you own, personal property, servicesthe list does
not end.
Ill explain how you can use your imagination and get really creative.
11. Use Part of the Sellers Property as Collateral to Borrow Down Payment
How you can form a corporation and issue stock to sellers for their
equity. It solves their management problems and starts a real estate
business for you. They get an equity position in the company.
15. Acquire with future profits
Ill explain how you can acquire a property at an agreed price, with
the sellers equity to be paid out of future profits as the project is
turned around.
16. Tax Credits
Ill cover how these deals work, and how one of my students bought a
170-unit building using tax credits. He got a $22,000 a month positive
income from that property.
17. Hard Money
Do you have a family member with big bucks? Family members may
also have a lot of equity in a property that they can loan you some
money from. Perhaps others have a lot of money in an IRA that they
would love to get a higher rate of return on.
Ill explain the best way to approach family members to be part of
your deals. If you do this right, everyone wins. If you dont get my
guidelines, then youre gonna have a pretty awkward Thanksgiving
dinner.
19. Acquire with a First and Second, Then Sell the First for Cash
How to buy a property with the seller carrying back both a first and
second mortgage.
Theres an important twist to this arrangement and Ill explain how to
make it work.
20. Land Sale/Leaseback
If you have a secure job or future investment income, Ill show you a
great way to have the seller wait for the full down payment, along
with ways you can give the seller additional security. You get
immediate ownership and the seller eventually gets the down
payment. Its a win/win deal.
23. Lease Interest as Down Payment
Ill outline how to offer one years income in the form of free rent as a
down payment. The seller gets continued use of the property for one
year in lieu of cash down. You get ownership but with no outlay of
cash.
24. The Performance Second
If you are working with a successful broker, dont count her out as a
lending source. Considering that she will receive a commission out of
the down payment, there is often the possibility that she might like to
make a sound investment at a high interest rate, using in part the cash
she receives as commission. Thats cash she will not receive if your
deal doesnt go through.
Because Ive been a real estate broker for years, I am in a position to
explain the best way to make your broker want to be part of your
deals.
26. Line of Credit
Ill show you several ways to establish a line of credit secured by you
personally, but also sometimes secured by several other types of
assets.
27. Seller Insures Buyers Loan
Often a seller has faith in the buyer (you) but the lender may not. Ill
explain how to arrange for the seller to insure a portion of your loan.
In this setup, a seller may guarantee the top 10% of your loan by
depositing that amount in the bank. When you pay down the loan by
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Secret #5: Cant wait for profits later, but need cash
flow NOW? My system is a Cash Cow you can milk
every month.
The very best type of property to buy for substantial cash flow.
Why too many investors work too hard. They dont build their real
estate business on the right foundation, but instead mistakenly think
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that big fortunes are made only through hard, slogging work.
The four types of properties you will find in almost every market.
How to get good-quality RIGHT managers to manage your properties.
The type of property you should really stay away from until youre
very rich. Otherwise youll toss and turn throughout the night,
sweating about these deals.
What a value play is, and how it can set you up for a lifetime of
cash flow and wealth.
When it makes sense to wholesale or flip a deal, and when it
doesnt.
Why fear and inaction can be just as dangerous as foolhardiness.
How to navigate between them and make money with confidence and
without big risks.
The giant myth most real estate investors think is true about hiring
management companies to run their properties. How this myth will
keep your competition poor and make you rich.
Your Number One Responsibility when building your real estate
fortune.
My Tried-And-True Wealth Formula.
Why you should not start your real estate business way outside your
comfort zone. How you can stay comfortable and confident and still
make money.
Secret #7: Dont like to work hard? How one single deal
can make you financially set for life.
Where is it written that you have to work a solid year in order to make
a great income for that year? What if you could do one single deal
and make enough to replace your previous income for this year, and
every year after?
And what if each deal you did was just as large? In effect you could
decide how many multiples of your current income youd like to have.
I will give you specific examples of how my students have done just
that.
How you can succeed in real estate if youve never gone to college,
never had a job outside the house, and never started a business.
The best sources for current, realistic, proven real estate investing
advice.
What a repositioning is, and how you and your competition
probably drove past one of these great hidden deals today.
What a momentum play is, and why they are some of the sweetest
real estate deals on the face of the planet. (Plus how to make one of
these deals happen.)
If youre not getting at least $200,000 per year from my system, well,
youre just not following the system! Why you can have an
achievable goal with my investing system of between $500,000 and
$1 million per year, every year.
What successful people regularly do. This one characteristic is
perhaps the most important trait of all. Its something you can do
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