Investors: Believe Me, You CAN’T Afford Property Management. Here’s Why.
I am not sure where the attitude comes from that that real estate investing is something that can be done “on the side” or something that can be dabbled in.…
Author
Ben Leybovich
Does Forced Appreciation Really Work? Sure, But Beware of THIS Caveat.
When people ask me why I prefer commercial property — specifically apartments — to residential SFR, my answer typically goes something like this: The value-setting mechanism in the single family marketplace…
The Real Reason Creative Financing (Almost) Never Works in Real Estate
This premise might surprise you, especially coming from me. But to the question, “Does creative financing work?” I have to answer very, very seldom, almost never. Notice, I did not say…
Case Study of a 10-Unit Apartment: How I’ve Added $15k+ of Annual Cash Flow in 2 Years
An interesting discussion unfolded on the Forums last week, when Mindy Jensen started a thread called “What do you like to read about on the BiggerPockets blog?” As the conversation…
A Real Life Example That Proves the Importance of Underwriting Multifamily Numbers
I keep telling you guys: Underwrite your numbers! Look at the trailing financials, sure. Understand broker’s pro forma, sure. But underwrite your numbers… Understand this: It doesn’t matter how much income…
Investing in Cheap Real Estate: Is a $30,000 House Necessarily a “Pig”?
Well, yes. It’s a pig! But… And here we go with another installment in my by-now-infamous series dealing with $30,000 houses in the Midwest. I want to add a couple…
To Leverage or Not to Leverage? Why the Answer Isn’t as Simple as You Think
Leverage: What a sexy word, don’t you agree? Of course you do, seeing as every other thread I read this week on the Forums was leverage this, leverage that. And what…
Newbies Take Note: You STILL Shouldn’t Buy Houses for $30,000
I wrote an article about 9 months ago titled Newbies Take Note: Why You Shouldn’t Buy Houses for $30,000, in which I advised you NOT to buy cheap houses. The article set…
DSCR: The Important Metric You Should Use to Gauge Investments
I don’t mean to always be contrarian, though most of the time I end up being exactly that — and my thoughts related to DSCR are no exception to that rule.…
Just Because it Looks Good, Doesn’t Mean it Is Good!
Sometimes I am busy…that’s an understatement of the century! But, truly, some weeks I just find myself looking for a short cut as it relates to my post. Translation –…
Loss To Lease: The Definitive Guide
It seems that a lot of what I’ve written on this blog lately has been sort of “liberal arts” in nature – considering the “big picture” philosophy more, and teaching…
The Definitive Guide to IRR (Internal Rate of Return)
The most easily understood metric of investment return in real estate is Cash on Cash Return, usually abbreviated either CCR or COC. The concept is rather simple – CCR juxtaposes…
Why Educating Your Children About Real Estate Matters
I think it’s important to Pay It Forward. I don’t know why I feel this way, but something tells me that helping people will pay off in spades. I don’t…
