I am looking for some books that are more informative, rather than these get rich quick schemes that I'm finding out are 99 percent nonsense anyway. Can anybody give me some recommended reading? I'd like to focus on Tax Liens and Foreclosure's but also just some general investing knowledge. Also, residential rehabbing as well but it isn't as important.
Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
19y
How do you separate what you are calling nonsense vs. what is in books that might be helpful.
Have you spent much time at a large bookstore browsing the RE section? There are some good books covering most of what you are asking. Enough titles that you might find ones you like which are different from what I or others would recommend.
Why tax liens? As it so happens that is one area that there is little published. One older book and some e-books that people use as a promo item on their sites. For the most part tax liens will not lead to the actual property. Something like 99.5% of all tax liens where there is a house or similar will be paid off. You earn the interest but you do not get a property for pennies on the dollar. Tax deed sales are a different topic.
Weekend Millionaire
Wealth Protection
Nothing Down
Building Wealth One House at a Time
Flipping Properties: Generate Instant Cash Profits in Real Estate
Making Big Money Investing in Foreclosures: Without Cash or Credit
The above are all titles you can find on Amazon. They are produced by authors that I have read (the books noted and others by them).
Thank you for the information John. It was brought to my attention by my boss, that the property could be acquired through this process. I was unaware that the percentage in which these liens are paid off was so high. I believe he was speaking of commercial and industrial tax liens which may be a different story. To give you a better understanding, I am just beginning in Real Estate Investment, and have some money for either a rehab on a house or even to possibly rehab and rent out. I thought these tax liens would be a good way of acquiring a property as you refer to as " pennies on the dollar." Nevertheless I plan to start reading these books you've suggested.
And to answer your other question, my definition of a guru is one of those guys offering a simple "get rich quick plan." I want more procedural information than strategy at this point. I've only been working in the REI for about 5 months and I know one can certainly get rich, but in no way shape or form in a quick amount of time.
Rental Property Investor · Southport, CT · Member since 2008 · 160 posts · 137 votes
19y
Really trying to avoid making a self-serving post, but can't help myself because I have a real issue with the mountain of books that try to sell the idea that you can get rich overnight in real estate -- with no cash, no effort, and no investment of time to learn how to do it right.
"What Every Real Estate Investor Needs to Know About Cash Flow," ISBN 0071422579. Available from Amazon and most bookstores. Focuses strictly on the math to evaluate income property investments quantitatively.
And the author is such a wonderful human being. ME (sorry)
Rental Property Investor · Mercer Island, WA · Member since 2008 · 22k+ posts · 14k+ votes
19y
I'll second Frank's vote for his book. This business is all about math. Other books touch on various aspects of the math. Frank's book pulls it all together in one place.
Jon
Real Estate Investor · London · Member since 2008 · 3k+ posts · 74 votes
19y
I will offer my support for Frank's book. It is a useful tool as it spells out the math.
Note that at least one investor on this forum will tell you that you can be successful without knowing how to compute many of the values provided by the formulas. They focus on the 2% rule. When you run the numbers you largely end up at the same place so I would claim the 2% rule and Frank's book are well aligned.
Now, even if you do all the math the logistics and operational details matter. If you mange a refurbishment project badly the math will show you were you lost the money. If you handle the tenant screening process the math will show you why the eviction costs are wiping out your bank balance.
There is a lot to know. Most everything you need is in 1 or more books. There are different opinions yet most investors who have been around for a while will agree that there is more than one path to success. Cash is king so anything that produces more cash sooner will likely be worth checking out.
Note that I am not advocating anything that would be fraud or otherwise a way to cut corners. Hence more cash sooner does not endorse crossing the line.