Rob K. Blake - The Insider

I promised a little tutorial on what I call "Landlording Gold" and rather that wait to get out a full blown e-course or downloadable ebook...I'm just going to start making some blog posts here and on my gold website, The Gold Insider.

Defining Landlording Gold

The easiest way I can describe the techniques for profiting in gold like a landlord profits from a rental home is this:

1.  
   1. You focus on cash-flow first...then appreciation....just like real estate.
   2. You use leverage...say 75% or so to maximize ROR...just like real estate.
   3. You pull your money off the table as soon as possible...play with OPM fast...just like real estate.

Let's look at one technique to Landlord Gold...I call it "Playin' The Open".

You'll see this week's 3 day spot price gold chart is below.  You'll see at 8:00 everyday when the US gets to trading gold...2 out of 3 days...a spike to the upside on the open...and on Friday the spike turned into an all day rally...a $67 move all the way to the closing bell. 

You only need one of these trades a month to pull a few thousand a month...make gold pay every month like a couple of long-term renters.

For example if you owned 100 ounces at $735 on the 19th...that's an investment of $73,500 of which you can leverage 75%...so you only need $18,375 or 25% down ... our brokerage will lend you the balance...just like in real estate.

Then watch it run to $801 and sell out...or just sell out your profit...and keep the remainder in the market just in case it goes to $900.

Either way, here's the profit...

80,100 - 73,500 = $6,600 profit in 3 days!  Of course, there are some expenses...(they'd average on a trade this size of about $100 for the week) just like in real estate ....but a $6500 net profit in under a week is pretty good.

Every month if you got just one opportunity...to pull $6600 and it cost a full $400 for the month...you'd still make out like a bandit.

Now factor in the leverage to get your cash-on-cash ROR.... $6500/18,375 = 35.37% and that's if it took all year instead of 1 week!

Do you have to watch the market to make this kind of money?  Sure. 

Do you have to watch your rentals to make money?  Sure.

Of course most of the time with this Landlording Gold technique you are in the market by 6 am....out by  10am.  You've got plenty of time to go mow the lawn of one of the rentals...lol.

Is it a guarantee you'll make money using my Landlording Gold techniques?  Nope.

Is it a guarantee youi'll make money buying another rental property this year? Nope.  Heck it's probably a gurantee you won't with the real estate makret we have right now.

That's it for Lesson One - Did it scare you?  Don't worry I started with the scary stuff first...the other methods I'll show you are less advanced...so stay tuned.

Go over to my Gold Insider blog...and read that too.

By for now,

Rob K. Blake