All Forum Posts by: Jason Hanson

Read the "Millionaire Real Estate Investor" by Gary Keller.

Avoid auctions. You want to deal directly with homeowners in this business to make the most money.

Since you have little money, learn how to do subject-to, lease option, and wholesaling.

You are right, Heloc's are getting cut like crazy. Many people with $100,000 Heloc's are seeing them trimmed down to $25,000 and less by the banks.

This does not look like a good deal for you. I would never let someone rent-to-own or take over my properties without putting any cash down.

Of course as investors we always buy with no money down, but we do not sell this way.

I would only do this, if the investor put a lot of money down. He needs to have some skin in the game, or he is more likely to walk away if something goes bad.

Practice and time cure all. I think when most of us start out in this business we are nervous on the phone. But after talking to a couple of hundred sellers you will quickly get over any fear.

That is why I believe you should never use a property manager in the first place (unless of course they are your direct employee, not some outside company.)

We all know that nobody will take care of our properties like we will.

Tony,

I do both. I always buy on a subject-to or lease option (the majority of the time I buy on a subject-to) then I sell on a lease option.

Of course remember that you can always negotiate closing costs. Always try and get the seller to pay as much of the closing costs as you can.

Also, one of your power team members should be a title/settlement company. Just have them create a quick HUD-1 for you so that you can see how much it is going to cost you.

(there are always factors such as points, if you are getting a loan or paying all cash, etc.. that increase your closing costs)

MARKETING is the name of the game

1. run classified ads in the local paper (rent to own, bad credit ok)
2. place signs all over advertising your rent to own
3. advertise on craigslist

Go to www.melissadata.com or www.listsource.com, they both have lists for out of state owners.

Join all of the local REIA's in your area. Network like crazy. Go to the library and check out every book you can.

The educated and connected folks are the ones that make it BIG in this business.