It’s commonly believed that one the safest investments is a real estate investment. Stocks can fall and currency can depreciate – we have seen both in the last few months. The real property does fall not as compared to the other liquid assets. This is one of the prime reasons of continuous investment in the real estate sector. This sector also suffers in the recession periods but not too much. Prudent agents are making huge incomes annually. This article reveals the prerequisites of becoming a real estate agent in the state of Texas. Age and LegalityTo become a real estate agent in Texas, the individual must be at least 18 years of age or older and a legal resident of Texas. An individual whose name is in the default list of Texas Guaranteed Student Loan (TGSLC) is not entitled to get the license or renew the license. This clause is ineffective if the individual is in the agreement of repayment. Fingerprint RequirementsAccording to a new law, It’s mandatory to provide fingerprints to the commission in a specified format to run an FBI criminal history check. This requirement is only for those individuals who want to become a broker and salesperson – it does not apply to other Texas Real Estate Commission (TREC) licensees. Education RequirementAn individual who is interested in obtaining the license must have completed 210 classroom hours the following courses: Principal of Real Estate core real estate course (60 hrs); Law of Agency core real estate course (30 hrs); Law of Contracts core real estate course (30 hrs); an additional core real estate course (30 hrs); and another 60 hrs (4 semester hours) core or related course approved by the commission. Scrutiny of Educational DocumentScrutiny of the educational documents is also a vital step. Individual must provide the proof of successful completion of the courses. Credit transcripts or Certificates is the acceptable form of evidence. There is no need to send the original certificates, photocopies are sufficient. The commission charges $30 (for the whole year) for verifying the documents. The commission normally takes 10 days to verify the documents and informs the individuals itself about their verified credentials. Filling ApplicationOnce your credentials are endorsed, the next step is filling the application. It’s important to remember that you must complete the verification process prior to filling the application. Never send the application along with the request of evaluation and fee. Applications can be submitted online and via snail mail. Applications send by snail mail take much longer time; thus, we advise that go for the online method, fast and easy. The commission does not accept the incomplete applications and applications without the fees. If an individual is sending fees via mail then he/she must make sure that he/she has made only one check (don’t pay separately) or money order payable to the Texas RE Commission. The original application fee is $94. 50 and Recovery Trust Account fee is $10. 00. Texas RE Salesperson ExaminationOnce an individual receives a notification towards TREC that all of his/her documents are certified, he/she can proceed to the take the Texas Real Estate Salesperson Exam. After approving the application, the TREC will send the (Candidate Information Brochure) CIB that contains all the necessary information regarding the examination. The examination is based on multiple choice questions and administered by PSI (an authorized testing center). The duration of the test is 150 minutes (45 minutes and 105 minutes for state and national parts respectively). Sponsorship is ImportantIt’s vital to remember that inactive salespersons and applicants are not eligible to work as an agent until they arrange for a Texas real estate broker holding (active license) to sponsor them as salespersons. To save the time, an individual can file the sponsorship request along with the salesperson’s license application. In a nutshell, like every state, the Texas Real Estate Commission has set certain rules and procedures that must be followed to get a salesperson or agent license. It’s highly recommended that interested individual must send their complete applications electronically as documents send by snail mail takes ages to complete the process. Moreover, It’s extremely important that an active licensed individual must not act as a real estate agent unless he/she is sponsored by a broker holding that possesses an active license. Have a nice Career!
If you are slipping further and further into debt each month and you think real estate investing is going to save you, I have bad news for you. It won’t. Let me tell you first hand that if those testimonials on late night t. v. for no money down courses are even real, those people are the exception, not the rule. That’s the bad news – the good news is that there are lower risk ways to buy real estate and you don’t have to have money to do it. From too many bad experiences doing no money down deals, I’ve come to the conclusion that beginner real estate investors should avoid 100% financing on property purchases. They are very risky and while there are people who’ve gotten very rich doing them, there are probably more that lose a lot of money. That’s what happened to me. And, no money deals still cost money! It just means you don’t have to spend money on a down payment. In my view, there are only 3 ways you should consider coming up with a down payment to get started real estate investing, but the good news is that only one of them requires that you to use your own money:1. Your own savings (cash out stocks, GIC’s, and even retirement savings in some cases)2. Equity in your home3. A partner with cash. Notice credit cards and lines of credit are not on that list? ! DO NOT USE YOUR CREDIT CARD TO FINANCE YOUR REAL ESTATE INVESTMENTS!! Just the other day my wife Julie reminded me of one of the first things we did at a “Get Rich Quick” real estate course we took many years ago. During our break the real estate guru told us to call our credit card company and get our credit card limit raised and a percentage knocked off the interest rate!The room was buzzing with excitement after the break. Everyone proudly told stories of getting credit of $5,000, $10,000 and even $20,000 added to the limits on their cards! And some even excitedly reported that they now would only be paying 18% interest instead of 21%. What if something goes wrong with your investment and you end up paying that 18% interest on that $20,000 for years to come? Do you want me to do the math on that? So, if you’re a renter and don’t have any home equity and you don’t have any savings, the only option left on our list to get started is finding a partner. Finding a partner will be next to impossible if your own finances are ugly. If you have no experience investing in real estate, you are deep in debt and you are trying to get rich on someone else’s money, what exactly is in it for them, as your potential partner? It just sounds risky to me. If you were to approach me with an investment opportunity and you said “Dave, I have found this property that I think is a great investment. I don’t have any money because when I graduated from University two years ago, I had $30,000 in student loans. I only have $5,000 left to pay off, but I really want to get started real estate investing and I think this deal will be great,” I, personally, would be more interested in working with you. See what I am saying? This person has no money, but they have the right mindset about money. They are in debt for a good reason AND have been diligent about debt repayment. So, if you want to become a real estate investor, but your up to your ears in debt and have a negative net worth, get focused on fixing your money mess at the same time as you start learning about real estate. By the time you have a better grip on your money, you can be educated and ready to make your first purchase too!
Have you ever considered the interrelationship between different types of planning? There is a direct relationship. One aspect of planning affects the other. Here are some examples:Estate Planning vs. Financial Planning. With estate planning you plan your estate for the benefit of your heirs. But, if your financial plan goes awry (more debt, less income, and/or less savings) it could easily affect your strategy. For example, if your estate plan includes charitable giving as a part of your strategy (if you have a charitable remainder trust, as an example) a decrease in the amount of your available assets could affect the amount you can practically give. In other words, with the recent market turmoil, you might now be “giving beyond your means. “Also, if your financial and investment plan is hugely successful, you may have estate or inheritance tax issues which you might not otherwise have. College Planning vs. Retirement Planning. As Deborah Fox recently wrote in the January 2009 issue of Financial Planning magazine, “college planning is retirement planning. ” Every cent plus future never-realized appreciation which you spend on college is taken away from retirement. Thus, if you sink $100,000 into college for your children the future value of that amount in 25 years, even at a modest 4% rate of return, would be well over $260,000. Of course this is highly simplistic, because college funds do not (poof!) appear out of the air, but are saved over a substantial period of time. That means that there is a potential for even more never-realized income. So, what do you do? Here are just a few suggestions:Get a financial planner. Many don’t do this, but consider getting professional assistance. Get an estate planner. So many people decide to “save a buck” and do their own estate planning. Often this is with less than desirable results. It’s hard to integrate your strategies when there is no strategy. Integrate saving and borrowing into your college planning. I will admit: There are many disputes on this score between planners on this issue. Many planners find borrowing an anathema, while others embrace it. Consider this, however: Your children (or, potential children) have a much greater number of earnings years than you do as parents. Also, consider this analogy: the logic behind a city borrowing to pay for a public improvement is that the resurfaced street, for instance, is to be used for many years by many taxpayers and motorists. It would not be fair to saddle the present taxpayer with all of the cost, but to spread it out over time. The same could be said for college borrowing. I suggest postponing borrowing as long as possible by using savings, but recognize that careful borrowing (especially through the federal student loan program) is a perfectly appropriate way to go. These are just a few suggestions. However, the first step in moving forward is. . . taking the first step. Disclaimer: The information in this article is not legal advice, and the use of it does not create an attorney-client relationship. Any liability that might arise from your use or reliance on this article or any links from this article is expressly disclaimed. This article is not to be acted upon as if it were legal advice, and is subject to change without notice, or may include obsolete or dated information, or information not relevant to your jurisdiction. If you require legal services, you should consult with an attorney.
When it comes to getting a real estate license, there are many things to keep in mind. From finding a training program to choosing the best school and even the right city to work in after you’ve gotten licensed, you need to be fully aware of all of the different decisions that you need to make, as well as the different aspects of real estate that may affect your career decisions. There are many different people who will tell you many different things about real estate license courses. You can’t trust everything that you read online, though, and finding reputable information can prove to be a challenge. If you’re considering a real estate license, here are some do’s and don’ts. DO:-Choose a training program that is high quality and offers everything that you need. -Check out your financial options for paying for training, including student loans and other financing methods. -Consider your options before you choose a school or training program. -Ask professional acquaintances and others for advice on the career that you’ve chosen. -Make sure that you find a city or area that you enjoy working in, because you will have to have the passion to sell people on living there. DON’T:-Pick a school just because it’s cheap. -Sacrifice the quality of the training to save some money. -Jump into real estate license training without understanding the full detail of what you are getting into. -Attend a program or go to a school that you’ve never heard of if you are skeptical in any way, shape, or form. -Work in your hometown or where you’re already located unless you love the area. If you don’t like it, your clients won’t like it. These few little tips can help making the transition into training and your new career much easier than if you didn’t have them to think about. Take the time to find what works for YOU, regardless of the opinions of others. Even though you should ask for referrals if you know people who can give them, that doesn’t mean that you have to use them. If you find a better school or program or simply don’t like their suggestions, go with what works best for your needs. Getting a real estate license might not seem like a smart career move right now, but when the market picks back up and you’re one step ahead of the rest, you’ll be thankful that you did it.
Estate planning deals with the legal issues related to bank accounts, real estate, personal property, life insurance policies and so on. An estate planning lawyer provides all the necessary legal details and options to his/her clients and make sure to them that he will take care of all the issues. He makes all the necessary arrangements to ensure that his/her clients’ wishes are fulfilled and their loved ones will be taken care in their absence. Most of the people regardless of age want to make certain that they have done everything for their loved ones to be taken care off in case they die. 1. You will need an undergraduate degree in order become eligible for applying in a law school. Spend four years in a college or university and earn your Bachelor’s degree which is a prerequisite for admission in schools. You can obtain your degree with any major you want to study. The only thing which you need to keep in mind is to maintain a good GPA. A good GPA become handy as competition for admission in law schools is usually high. 2. The School Admission Test (LSAT) is another essential condition for admission in schools. One would have to pass this test with relatively high scores to become a prominent candidate for the admission in law school. Due to the high competition for admission, you GPA results and LSAT scoring can play a vital role in getting into a law school. 3. Gather all the information regarding the admission criteria and the required documents for all the schools. You have to do this way before the deadline as you have to gather all the required documents well in time before the deadline so that you will not get late to send your application file to the law school or schools. 4. Tuition fees at law schools are normally high. Very few lucky students can afford the expenses of the school. If you have a good academic record, apply for financial aid or scholarships. Otherwise, you can opt for student loans. 5. Studying at schools require a lot of hard work. Hard work is the only key to survive in a law school. Keep yourself busy in independent study and make reading and studying your habit. 6. Discuss the possibility of getting an internship with a licensed estate planning lawyer in your area. Leave a good impression during your internship period because you might have to come back to him or her after graduating from a law school. 7. After completing a school successfully, you will earn your JD degree. Now you have to take the bar exam and for that you have to thoroughly review everything which you have studies or learned up till now. 8. Once you have passed the exam, it’s time to advertise yourself. Talk to American Bar Association to include your name in its online database as an estate planning lawyer.
The use of life insurance is an important tool in the estate planning process. Married couples with children will obtain life insurance to make sure that that the surviving husband or wife and children are taken care of in the event of a spouse’s untimely death. Divorced individuals may also have life insurance policies to ensure their children receive appropriate support following their death. For either the divorced or married policy holder, having life insurance is not enough, the policy holder needs to make sure that the proper beneficiaries are designated in the life insurance policy so that the proceeds will go to those that you intend on benefiting. The policy holder also needs to ensure that they have a testamentary trust (to be explained further in this article) that can hold the proceeds and any other property that the couple intend on leaving their children. Married individuals generally want their spouse to receive the insurance proceeds and then their children. Many policies name the insured’s spouse as a primary beneficiary and the insured’s children as contingent beneficiaries. Some policies do not designate a contingent beneficiary. Some policies are set up to leave the proceeds to a sibling or family friend; the couple relying on blind faith that the person they leave the funds to will use it for their children’s benefit. These designations are problematic. By leaving the insurance proceeds to the children or by not designating a contingent beneficiary, if the children are under the age of 18 then the money will need to be placed in a conservatorship. This process requires conservatorship proceedings in which a court will appoint a conservator to manage the life insurance funds and other property left to the children, which is the common result where a couple do not have wills or the wills they have do not contain a testamentary trust. The conservator may be a family member, family friend, or a professional conservator. The court ultimately decides who will serve as conservator. Generally, the conservator’s ability to access the funds is restricted unless the conservator posts a bond, except in the case of a professional conservator. When the children turn 18, the conservatorship is terminated and the funds are given to the children. In practical terms, your children could receive $100,000, $500,000 or $1. 0 million in cash when they turn 18. In Oregon, a conservatorship may be extended until a child reaches 21 under limited circumstances. However, a court must approve such an extension and most courts are leery to extend the conservatorship beyond the age of 18. Some problems with a conservatorship are: (1) the children get all of the funds and other assets when they turn 18; (2) the process can be expensive; (3) the conservator’s ability to use the funds for the benefit of the children may be greatly restricted; and (4) the court may appoint somebody as conservator that the parents did not want to handle money on behalf of their children. Of course, some people like conservatorships in that the court supervises the process and ensures that the funds are being used properly. Divorced individuals also need to be concerned that their ex-spouse would have control over the life insurance proceeds. Many people would like to avoid this result entirely. Of course, if a court orders the individual to maintain life insurance on his life while that individual is paying his ex-spouse child support, then the ex-spouse must be the designated beneficiary. Individuals with minor children should have at the very least a will or revocable living trust that contains a trust for minor children. This type of a trust is called a testamentary trust since it does not exist until after the individual dies. Any property placed in this trust will be managed by the trustee designated in the will or revocable living trust and used for the purposes designated in the trust – such as to assist children with their educational expenses and health. The trust can also contain provisions that allow the trustee to make distributions to the children upon reaching a certain age or an achievement, such as graduating from college. Additionally, if you have debt (student loans, home loans, and credit card bills) your creditors will not be able to go after the property placed in the testamentary trust, since your trustee and not your estate is the actual owner of the property placed in the trust. If you made the mistake of designating your estate as the contingent beneficiary or not designating a contingent beneficiary, then your creditors would be able to receive payment on their claim from the life insurance proceeds. Since most people have some form of debt, making the correct designation is extremely important to ensure that the life insurance proceeds are available for your children’s future and not to pay for your past debts. Once established and funded the testamentary trust is not subject to court supervision and the costs of managing the trust property are relatively low. However, since there is no court supervision the risk of theft or fraud by the trustee is higher. Consequently, It’s important that the trustee you designate is trustworthy and able to manage large sums of money. You may want to consider designating a professional trustee (such as a bank or financial institution’s trust department) as the trustee. To ensure that life insurance proceeds are distributed to the testamentary trust, the life insurance policy should designate the contingent beneficiary (if the insured is married) or primary beneficiary (if the insured is divorced or unmarried) as the trustee of the testamentary trust created in the will or revocable living trust. For example the designated contingent beneficiary may be “the Trustee of the John A. Doe Testamentary Trust”. Life insurance companies may prefer different designations, so it’s important to consult with your financial advisor in making this designation. By having a testamentary trust for the benefit of a minor child, the policy holder can ensure that insurance proceeds are used for the benefit of the policy holder’s child and eventually distributed to the child in an amount and at a time that the policy holder determines. Of course, a testamentary trust is only one estate planning tool and you need to consult with an estate planning attorney to determine whether the use of a testamentary trust is appropriate or whether another estate planning tool would better fit your needs. 11/22/2010 by Kevin J. Tillson. All rights reserved.
Still not convinced about the Rent To Own or Lease To Own concept? Here is some more information to help you make an informed decision:1. Do I need to be employed? Yes. You need to show recurring employment or self-employment income to qualify. 2. Do I need a down payment, and do you take trades for the down payment? Yes. Most specialized and qualified Rent To Own Companies are not involved in rental programs – you are transitioning to home ownership through a lease-to-own program. You will need a small down payment to qualify, possibly as small as $5,000. That’s all it takes to start realizing your home ownership dreams!Most Lease To Own or Rent To Own Companies can work with tax refunds, equity from other homes, bonuses, retirement funds, RRSPs, etc. and will also consider personal property you may want to trade such as cars, boats, RV’s, motorcycles, trucks, etc. 3. Is leasing a house like leasing a car? There are similarities. When leasing a vehicle, you may be asked to make a small down payment, then pay a pre-determined (non-increasing before taxes) monthly payment for a fixed number of years. At the end of the lease, you usually have several options, i. e. :• Buy the car outright at an agreed upon residual price. • Return the car to the dealer and simply walk away. • Enter into a new leasing arrangement for the same car or a different vehicle. Note that with a lease to own home, you are the sole owner right away. With leased cars, you may share ownership with the credit corporation during the lease, and get full ownership at the end of the lease. 4. Is my purchase price fixed, regardless of market fluctuations? It will depend on the Lease To Own company’s policies. A good company will establish and lock in the purchase price from the very start – a fair price based on the projected value of your home at the end of your lease. 5. What are my options at the end of the lease? At the end of your initial lease, you and your lease company sit down to discuss your options. For example, if you need more time to rebuild your credit, or you just want to increase the size of your down payment, you can always extend your lease for an additional year. One scenario is, your purchase price will be increased by only one half of one percent per month until you are ready to exercise your option to purchase. This permits you to continue to benefit from the equity appreciation in your home. Of course, the purchase option is just that. . . an option. Once your initial lease year is over, if your circumstances change or another home catches your eye, you can simply walk away with no strings attached. However, if you do want to buy at a predetermined price and can obtain conventional financing after that initial lease period, your initial deposit with the leasing company will be applied towards your purchase. That deposit will be viewed by conventional lending institutions as an acceptable form of down payment and you will own the home. No catches. No gimmicks. It really is that easy (with the right company)!6. Why would I need to qualify for a mortgage at the end of the term? To purchase your home outright, you must secure financing at the end of the lease term. Leasing companies will work with you throughout the process to prepare you for that task. A good Lease to Own company will connect you with a mortgage specialist that will help you get a mortgage and provide guidance in fixing any credit problems you have. 7. What type of contracts are offered? While this can certainly vary from company to company, but generally there are three (3) types of contracts offered:A) Standard Lease Agreement. This is similar to most rental agreements, except that you aren’t throwing money away as a renter; you are building equity in your home. B) Option Agreement. This is an agreement where you as the tenant/buyer have the right (but not the obligation!) to buy the property within a specified time frame at an agreed upon price. We ensure that you get options credits every month that you make your payment on time. C) Purchase Agreement. This is an agreement where you (the tenant/buyer) and we (the owner) sign an agreement for the sale of the house. So long as you do not break the lease agreement, we agree to sell the property to you for the agreed upon price within a specific time frame (usually two years). The option credits will be fully credited (100%) to the down payment of the home when you exercise your option to buy the house. 8. Is my debt ratio too high? How much home can I afford? The answers to these questions may surprise you. The rule of thumb is that your house payment added to all your other monthly payments should not exceed forty percent of your family’s gross income (income before taxes). You should add only monthly expenses with fixed payments such as cars, furniture, credit cards, mortgages, student loans, etc. to arrive at that the forty percent. The final figure should not include items like insurance, clothing, food, utilities, entertainment and so forth. 9. What if you can’t easily verify my income? Think that you can’t buy a home because you’re self-employed and/or you can’t show enough income? Think again. Many satisfied customers thought the same thing before trying the lease-to-own option. However, before long, they found themselves living in the home of their dreams!How can we get it done? The fact is, there are several ways to verify income and in fact, many loans available today don’t require income verification at all. 10. What if you don’t have the home I want? There are a few options we have to help you get into home ownership if you don’t see the home you want, area you want to live in or just don’t like a property we have. Our goal is to help you find a home that you will love! Here’s some options we have to help you find the home you want:• You can wait and see what homes come into our inventory, as we are always acquiring new properties. Add your name to our VIP list through our application page. As we acquire more homes, you’ll have first choice on those new dwellings. You will be notified when they become available. • Consider our “You Find Your Home, We Buy Your Home” program. If you have a significant down-payment available, we can work with you to find your dream home. This down payment would need to be above 10% of the value of the home. Contact us for more details on this program. • Sometimes people use lease to own to get into the door of home ownership as a stepping stone to their dream home. The home you pick might not have all of the characteristics you want, but owning a home will allow you to build equity and look for your ideal home. We can work with you at the end of the lease term to ‘trade up’ to the next home or can finish the lease to own process, finalize the purchase of your property and then sell the home you are living in to move up to your dream home. 11. What else should I know about “Leasing to Own”? “Lease to own” is not some fly-by-night fad. It’s a completely legal, well-established real estate solution that offers absolutely no risk or obligation to you. If after you’ve read this article, you’re interested in starting the Lease To Own process with your next home, or you have more questions, feel free to contact a Lease To Own company in your local market.
Are you thinking of becoming a real estate agent? If yes then you should have knowledge about certain things about real estate agent startup money before you start off. You will need to work very hard to be successful in this field. You will also need to take care of many expenditures and fees. oYou don’t need thousands of dollars of investment to start operations. It can be a quite low cost business, if you start in a methodical and structured manner. oA plan should be formulated focusing on the business activities which are essential for achieving the income target. oStrategies to earn revenues, face market competition and to evolve with the market fluctuations, should be planned ahead. oActual activities and expenses incurred should keep in mind. No productive business activity or an associated expense should be overruled. Many people have delusions regarding a licensed real estate agent. Students who take up courses for a certificate required for Agent Test are astonished to discover that their study course was not sufficient. Most of these courses teach you, what you should perform and expect after becoming an agent but the essential points required to pass the test is not taught by them. oTry to get your own real estate license. Hiring an outside broker can cost you a set fee per transaction, or a percentage of ongoing fees for his/her compensation. In order to start off in the momentous way, you will be required to spend more as real estate agent startup money. We are not only talking about mobile phone rates, website, car signs or business cards but a lot more things. oStart off with a smaller office and grow once you have enough agents. Most of the agents do not sit in the office whole day anyway. Agents who are new in the market, make the mistake of associating themselves with Time Share Brokers and Apartment Rental, because most real estate offices that manage such estates tend to show that they can get high commissions and that they do not require so much real estate agent startup money to establish the business. If you have talent for selling, a good business sense and additional money then you can think of selling commercial real estates. It’s important to remember that your growth is always associated with the company’s. oA company becomes strong by squeezing costs, optimum use of employees, securing the best terms from suppliers, negotiating tough terms for leases and loans, visualizing expansion plans, giving new services, etc. You will need to be trained under a good adviser or agent and have an ability to sell in order to earn huge amount of money. oA good strategy would be to budget 10% of your commission income for marketing. Though it might be difficult, considering the unpredictability of your income. oAdding a percentage of commissions to the base budget amount is a better plan and more logical. Those doing well can spend more on marketing to keep up the trend. Passing the test is easy but becoming a successful agent of the real estate isn’t. It will be helpful for you if you have the patience to succeed and are money oriented. Think of the real estate agent startup money as a kind of investment that will reap benefits for you later. oOver ambitious projections of profit, incomplete financial analysis and omission of important areas of consideration are common mistakes to be avoided. You need to plan, think and have sufficient money if you want to be a Real estate Agent.
I know some of you dream of quitting your J-O-B and being financially independent. What better year to do it than this year. So, how do you become financially independent? Well, let’s do the math:Example:An average person’s monthly expenses $3,000. 00Cashflow* from a property usingLease Purchasing technique($250. 00 average per property):$250. 00 x 12 months$3,000. 00(*Cashflow is the difference between the seller’s mortgage payments and what we charge in rents. Example: $1,400. 00 Monthly Rents – $1,150. 00 Seller’s Mortgage Payments = $250. 00 Cashflow)So in 12 months of acquiring one property per month (if you are doing this business part-time) you can acquire 12 properties to be financially independent based on the above example in one year. Or if you want to do it in 6 months that’s just 2 houses per month. Or in 3 months then that’s just 4 houses per month. Now you get the idea. The best part is that it doesn’t even take into consideration the upfront Option Consideration which is “non-refundable” and goes right into Hip National Bank, i. e. , cash in your pocket!!!! Cash you can use to pay off some debts and/or invest into your real estate investing business!!!At the end of the lease term there is still more good news. If the Tenant/Buyer decides to purchase the property then you make an additional $10,000-$15,000 (this is an average, but we have more from the Back-end sale of a transaction) equity earnings at the settlement (Back-end profits). If you want to build wealth the Cashflow can make you financially independent; the upfront Option Consideration can give you spending cash; and the Back-end profits can make you WEALTHY!!!Best of all, you do it with no money of your own (except for marketing expenses), no bank loans, no fix-ups, quick turnaround, no landlording headaches, and very little risk!!!I know many readers do not believe me so the only way you can understand this truth is to do one yourself. Try one yourself and you will be convinced that investing in real estate using Lease Purchasing or other creative real estate investing techniques is a very smart way to wealth. Or just ask some of my successful students who are now believers. The Cost in Real Estate InvestingSomeone recently asked me “I have little money, bad credit, little time, no real estate experience, and am looking to get started in real estate investing. How do I do it given my circumstances? “In creative real estate, you don’t need many of the traditional things such as money to make money. You also don’t really need great credit (or in my strategies, you don’t need any credit to invest in real estate). There are ways to get around some of these roadblocks, but you do need time. Time to understand the business, time to get focused, and time to take action. Take everything away and that’s all you have. So really what is it that you need? You have to have a desire to make it, a willingness to win. That desire is something that does not happen overnight. Figure for the average investor, if you are willing to put forth about 20-30 hours a week to learn and do some of the things to get your business going then you will make it. Do this for about 3-6 months without quitting, without getting paid, or without complaining then you will have a chance. Most people that succeed in anything know that they will make it even before they make it. It’s called ‘vision’ and most successful people have this trait and you will too if you want to be a part of this group. If you think this business is tough, you are right. If you think this business is easy, you are right also. But remember that it only matters what you think, so study hard and get the right mindset and you will convince yourself of anything. But, if you are looking for a quick fix, get rich over the weekend, type of luck in real estate investing, then don’t waste your time here. There is no such thing as luck, just effort that produces results which only looks like luck. You and I know that with enough effort anything is possible. I started out, just like most beginners hungry for an opportunity, no money, no credit, no knowledge, no experience, no connections, and no luck, but what I learned is that this business is a great one. I tried many different types of businesses before and also have a financial planning background. I found that this business allows for you to have a good lifestyle, financial independence, and the ability to help countless people while enjoying yourself. Basically, it allows you true freedom to do whatever you want, whenever you want. No rush hour traffic, no boss, no office politics, and no worries. And of course with all great things in life there is the sacrifice, so if not with money or credit then with time and desire. I hope this article helps you get on to the road to wealth and I wish you all the best!
If you have been keeping an eye on Mexico Real Estate area’s growth, you cannot help but notice that Cancun Real Estate is not just areas number one beach destination but has also emerged as an international travel hub and a preferred destination for business conventions. Cancun has over the years beefed up its infrastructure and amenities thanks to which it has now acquired an important place in the Mexico and Latin American region. As an indicator to its increasing importance and clout, annual meeting of the Inter-American Development Bank (IDB) was held in Cancun recently. More than 1,500 registered guests attended the meeting of the IDB. They met in Cancun Convention Center. End of March will mean a heavy influx of visitor to Cancun as thousands of American and Canadian university students on their spring break will also visit the city. Despite the last year’s slowdown, Cancun ‘s tourism industry has bounced back with a vigor and confidence. Though, Mexico was one of the hardest hit countries due to a string of unfortunate events such swine flu scare, global recession and negative press regarding Mafia, Cancun steadily worked on developing its infrastructure and amenities and positioned itself as the one of the first regions in the area to emerge even stronger. With a renewed beaches and better infrastructure, Cancun is one of the leading tourist magnets in the region. According to data from the Cancun Hotel Association, of the total 28,500 hotel rooms, about 74% are currently occupied. This figure is expected to increase in the coming months due more tourist inflow. The meeting had a special significance since, as IDB President Luis Moreno observed, “the first IDB loan for tourism was granted to Cancun during its construction where “the funds were used to build an airport, a port and the first hotels in the city. “The IDB meeting marks an important anniversary of boosting real estate for international investors in this region and aiding in the development of Real Estate in Mexico in recent decades. The meeting also reflects Cancun ‘s emerging role of being an international convention hub an achievement which promises to bring further growth to the region’s real estate industry. This continued growth in tourism is a positive signal for Mexico Real Estate investors. The real estate market has got an extra dose of confidence which means that condos in Cancun will continue to be a hot choice for buyers and the region will be supported by an ever expanding urban infrastructure, with well maintained and expanding road network, shopping malls, restaurants and other facilities. Author: Donna Nocero
