All Forum Posts by: Michael Evans

I have some time today if you want to sit down and we can run the numbers.

I live on Lancaster and we are investing out of state using leverage. We are looking in the Midwest where you can use leverage and get annual returns of more than 12% per year after taxes. Your $20k can buy you 3-4 houses in the Midwest.

If you want to grow your money, then you want to do appreciation investments (buy low and sell high).  You can do this with real estate properties (flipping) or becoming the lender (borrow money at an interest rate and cost lower than you can lend the money).  I suggest becoming the lender and lend to flippers.  Take your cash and lend it as a Private Money lender from 6% - 12% annual interest rate with a 12-36 month term.

Stay Blessed!

Miami.  South Beach baby!  Remember the 3 most important things to take into consideration when buying real estate:  location, location, location!

Stay Blessed!

Partner with someone who has cash in a savings account earning only 1%.  Either do a Joint Venture where they put up the money and you put up the real estate management and you split the profit at the end.  Or you have the Partner give you a Private Money loan earning around 6% interest.

Stay Blessed!

Partner with someone has cash that is sitting in a savings account earning 1% per year.  Partner with them either as a Joint Venture and split the profit on the backend, or have them lend you the money at around 5% or 6%.  It's a win-win situation.

Leverage is the most powerful tool of the investor, since it's a multiplier.  You just have to know how to manage the risk associated with leverage.  If you have a low risk tolerance and don't know how to properly shift risk when leveraging, then keep the equity above 50%.

Stay Blessed!

Get an FHA loan that only requires 3.5% with a credit score of 580 or higher. Look for a down payment assistance program to cover the majority of the 3.5% down payment (varies based on your state).

Do a joint venture with a finance partner (Private Money).  They put up the money, you bring and manage the deal, and y'all spilt the profit.  Rinse and repeat.

Stay Blessed!

Don't let your emotions control your decisions.  Easier said than done, but good solid advice.  Use the Rules promoted on this site.  They're rules for a reason: they work.