- Seller financing
- subject to financing
- rent to own investing
- 401k loans
- hard money loans
- family loans
- peer to peer lending
Hope some of these financing ideas stir your creative juices.
Friday, December 31, 2010
Finding Money for your investment rental property purchases
The banks, despite receiving billions from the Fed continue to hold onto their money and not lend to investors. This requires some creative real estate investing ideas to circumvent the problems. Here are a few ideas for real estate investors:
Investment Property Capital Gains
Need to figure capital gains taxes for your investment property? Use this page on investment property capital gains to get an idea of how much to pay the IRS if you sell your rental property
Sunday, December 5, 2010
Fire! Why every renter and landlord need insurance
The first rental property that I purchased during my second attempt at being a landlord had a fire last week. The tenants had just moved in 5 days previously and had a fire in the fireplace. They went to sleep at 1:30 and the smoke alarms woke their kids at 4am. Luckily the previous tenants had moved and I had replaced the smoke alarms (the previous tenants had disabled them). The smoke detectors saved the lives of these tenants.
Unfortunately for the tenants they did not have renters insurance. However, I did have landlords insurance policy which covers loss of rental income. My policy also has a clause which requires the insurance company to cover any upgrades required to meet building codes. This is a lifesaver since my locality requires that any time a building permit is issued upgrades to older homes are required.
Unfortunately for the tenants they did not have renters insurance. However, I did have landlords insurance policy which covers loss of rental income. My policy also has a clause which requires the insurance company to cover any upgrades required to meet building codes. This is a lifesaver since my locality requires that any time a building permit is issued upgrades to older homes are required.
Thursday, December 2, 2010
Buying a House for Investment
How do you go about buying a house for rental property investment? Basically, it is the same process for buying a house that you might live in. However, you must know local rental incomes for houses and it is best to buy what many call a "starter" home. This makes it easy to use rent to own investing to ensure that you receive the highest rental income possible.
50 Tips for Investing in Rental property
I've compiled a list of over 50 tips for investing in rental property here. Many have links to more detailed explanation of what to do.
Monday, June 28, 2010
Will the banks ever lend again?
During the early part of the last decade banks seemed to have unlimited money available to lend. Credit card offers poured into my mailbox, "no doc" loans for buying property were common. 100% financing for investment property was easy to obtain.
No more - during the past 18 months all of my HELOC's have been cut to zero. Funny, in my location (western NY) property values never sky-rocketed as they did in other parts of the country. And while other housing markets are seeing a big burst of the bubble, my market has continued to climb in value. Despite this, the automated valuing programs that banks use to assess property value seem to use a "one size fits all" approach.
I had several unsecured lines of credit available to me that have also been cut. In fact, every time I make a payment, the credit limit is cut some more. Despite my debt load dropping 10% during the past year and never being late for a single payment, my credit score is dropping like a rock as my balance increases relative to my total credit available.
What to do? Actually, I am reducing paying off debt and increasing the amount I send to my emergency cash reserves. It seems like not what Dave Ramsey would advocate, but if something major happens I can no longer count on borrowing from a bank.
Even Peer to Peer Lending sources like LendingClub have become more selective.
Despite what our government officials tell us, the money lenders tell us not to expect much of an economic recovery for a long time to come.
No more - during the past 18 months all of my HELOC's have been cut to zero. Funny, in my location (western NY) property values never sky-rocketed as they did in other parts of the country. And while other housing markets are seeing a big burst of the bubble, my market has continued to climb in value. Despite this, the automated valuing programs that banks use to assess property value seem to use a "one size fits all" approach.
I had several unsecured lines of credit available to me that have also been cut. In fact, every time I make a payment, the credit limit is cut some more. Despite my debt load dropping 10% during the past year and never being late for a single payment, my credit score is dropping like a rock as my balance increases relative to my total credit available.
What to do? Actually, I am reducing paying off debt and increasing the amount I send to my emergency cash reserves. It seems like not what Dave Ramsey would advocate, but if something major happens I can no longer count on borrowing from a bank.
Even Peer to Peer Lending sources like LendingClub have become more selective.
Despite what our government officials tell us, the money lenders tell us not to expect much of an economic recovery for a long time to come.
Tuesday, May 25, 2010
Friday, May 14, 2010
Real Estate Rent to Own Working Great
A couple of years ago I tried my hand at flipping real estate. However, after months of being unable to sell my flips in 2007 (in hind sight just before the big real estate crash), I started using lease-options to keep the property occupied.
Now after over 2 years my rent to own strategy has been remarkably successful. I detail all of the methods I use to this strategy here at rent to own homes secrets.
I haven't had a stretch of more then a week when any of my properties is unrented.
Now after over 2 years my rent to own strategy has been remarkably successful. I detail all of the methods I use to this strategy here at rent to own homes secrets.
I haven't had a stretch of more then a week when any of my properties is unrented.
Monday, March 22, 2010
Obama's unconstitutional theft
An apt quote to think about on one of the worst weeks of US history from Thomas Jefferson
"To take from one because it is thought that his own industry and that of his fathers has acquired too much, in order to spare others, who, or whose fathers have not excercised equal industry and skill, is to violate arbitrarily the first principal of association -- 'the guarantee to everyone of a free excercise of his industry and the fruits thereof'"
Thursday, January 28, 2010
Supporting GOOH
My disgust with the political class has never been higher. Career politicians succumb to the corrupt influences of big government and continue to look out for their own self-interest rather then the interests of the constituents that they represent.
As such, I've joined a movement to replace all 435 members of Congress with new bodies. Tim Cox has started a group called Get Out of Our House which aims to replace incumbents with new bodies.
People worry that we shouldn't get rid of the "good ones". But even Washington had the sense to step down after two terms.
The process for selecting citizen candidates is a good one. I urge all readers to click on the link and join the fight.
As such, I've joined a movement to replace all 435 members of Congress with new bodies. Tim Cox has started a group called Get Out of Our House which aims to replace incumbents with new bodies.
People worry that we shouldn't get rid of the "good ones". But even Washington had the sense to step down after two terms.
The process for selecting citizen candidates is a good one. I urge all readers to click on the link and join the fight.
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