I was wondering, I'd like to start to buy some RE but I was wondering how easy it is to get money? How much do you typically put down? I hear it is easier to get private money? What is the best way to grow? I know banks can be harder to get money from... I can put 10-20% down but I just would need to get financing for the rest of the amount. What is the best way to go about growing RE?
@Mike Bereck I can assure you it's not easy to get private money. Plus, even the "easy" private money comes with a ton of stipulations. Please, don't read too much into gurus/mentors telling you this nonsense. Initially, you will face an uphill battle especially as you don't have a track record.
If I told you I could make you a guaranteed 15% ROI over a 9 month period would you do it? That is how you have to present it to private investors. If you have over analyzed your deal and have expenses down to the penny and can present it in a professional manner you will find the money. Be prepared to hear no multiple times and don’t get discouraged by it.
Get a great deal under contract, due your homework then due it again, and persistently and professionally market yourself and you will find the money.
@Zackary C Dunn It is illegal to guarantee returns in most jurisdictions. In fact, every single year people are fined, jailed or prosecuted by going down this route.
You have to present your opportunity in the best possible light but there is a reason why disclaimers exist. There is no risk less investing.
I apologize for my wording as I did not actually mean to guarantee returns to the investor. What I meant is you have to be able to show that you have done your due diligence on the deal and know the numbers and your strategy inside and out. When an individual has done their homework and presents themselves intelligently investors are more than willing to lend.
Thanks for your reply guys. Would you say maybe investing with others instead of buying RE? I have heard both good and bad on that..