Real Estate Investor proves you don`t always need money to make money
Released on = March 24, 2007, 8:13 pm
Press Release Author = Mary Wozny
Industry = Real Estate
Press Release Summary = Mary Wozny teaches real estate investors that it doesn\'t have to be your money you need to use to make money in the real estate industry.
Press Release Body = Creating a real estate note can help tremendously - and put CASH in your pocket in the process! A real estate note can allow you to make CASH offers on property - without ever having the money!
Let\'s say you find a deal where the seller\'s in a divorce.
The property is worth $200,000 but the seller will take a discount to move right away. You offer $140,000 in cash with a promise to close in thirty days.
Now the seller can take back the mortgage for the real value.
This real estate note should be amortized for 30 years, with a moratorium on payments for 3 months after the closing date. In addition, outline the interest rate and ensure there are no prepayment penalties.
Now the real estate financing is created by you, for you!
As for the house, you can rent it to create a nice passive income for yourself, or you can lease it to a seller who will buy it within eighteen months for an appreciation-adjusted price of $220,000. With the note created, you can sell it to a real estate note buyer at a slight discount for cash.
In the above example you could receive an offer to sell the real estate note for about $145,000. Using the real estate note, you can pay the seller $140,000 from this and have the rest of the profits - $5,000 - for yourself.
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