More millionaires are created through real estate investing than any other industry.
But that doesn’t make it easy! The truth is, this industry is difficult to crack. Why? Because real estate is a visceral market, and there’s a formula that you must follow in order to generate high returns on your investments and build multi-million-dollar wealth.
Failure to understand this formula and how it applies to today’s market could cost you a lot of money. But really, it’s quite simple. Especially when investors utilize virtual assistance and delegate absolutely everything that can be handed off, so they can focus their attention to making seven-figure revenue instead of wasting most of their energy wearing five different hats.
First, you should determine where your most profitable and valuable opportunities lie. The most convenient and surefire approach to this is to schedule a free, guided Gap Analysis strategy session with an investing and wealth-building expert.
More importantly, this session can guide you away from detrimental errors that could wreck your chances of becoming ultra-wealthy. And after learning from our experts, you’ll be able to obtain a much more in-depth comprehension of the following 5-step formula to ultra-successful real estate investing.
1. Understand That Real Estate Is a Mutual Fund
Simply put, this means that the land you just purchased can actually make you money. The market is all about mutual funds with homes sitting on them—they are goldmines. The sad truth is that most people assume two things: first, that buying a house necessitates living in it, and second, that buying a house requires immediately selling it for a big check that says you made a “profit.”
Actually, you may not want to sell it. That house you purchased? Leverage it with prospects willing to rent the property to bring in cash flow. Once you have some properties in your portfolio, you’ll have multiple passive income streams. Passive income means money while you sleep!
2. The Good News is that a Lot of the Fears and Worries in This Cutthroat Market is All About Prospecting
Finding leads—your buyers—can be a challenge, especially after the downswing of 2008. In this day and age, though, real estate investing benefits from a lot of the automation we see on the Internet.
For instance, you can take advantage of Ron LeGrand’s “Gold Club.” This practically handpicks and delivers prospects in your area that would be itching to rent your properties. It takes that task out of the equation and reduces all the stress about finding someone to relieve the financial pressure of owning a property you’re not even living in and making payments on. All you need to do is decide which prospect you want to buy from and then agree on the terms.
3. Recognize That There Are Two Different “Sides” of Real Estate Investing
Of course, there will always be an “ugly house” side and a “pretty house” side. So let’s shed some light on a typical real estate myth that is often believed and presented on TV.
Real estate isn’t simply about the price. Sure, it’s an important factor, but most of the time it’s not the most critical part of a real estate transaction.
As a real estate investor, you need to focus on the terms, such as no money down and low monthly payments, etc. Once you nail those down, you’ll already be in pretty good standing for generating cash flow once you have a prospect lined up to move into the property.
The amazing thing about doing a deal that’s all about the terms is that you just might be able to “buy” a house without spending a single dollar. That’s what “no money down” simply means. Seal the deal, get the keys, find your prospects, prescreen them, present offers, follow up, get it all in writing, and then start cashing in.
Don’t get me wrong; you can do real estate investing on the “ugly house” side, which typically means a fixer-upper. Then, it will be all about pricing and your ROI. And this is where number 4 comes into play…
4. An IRA is a Remarkable Source of Funding
An IRA is an account offered by the IRS which allows you to use the money in the account as a source of funding designed to pay for houses in cash with a deep discount. And because you’ve paid in cash, you can then flip the property right away or rehab it immediately. Your profit then goes back into the IRA tax-free.
This strategy straightforwardly spells profit. Plus, there’s no limit on how much of it you can make with an IRA—which is proof that you really don’t need to spend money to buy a house.
5. Surprisingly, You Technically Don’t Even Need an IRA for a Little Bit of Funding
If you’re going with the “ugly” side of real estate investing, all you need to do is borrow money from a private lender. Here’s the clincher; private lenders have their own IRAs, which is why they’re able to lend. They just add an interest rate to earn some profit. This convenient system is the reason it’s generally a simple process to use for funding.
This Formula Lays Out a Simple Process for Easy Revenue from Real Estate Investing.
Then just hire property managers and make your profit.
You’re simply making the financial decisions that make sense for you. You’re at the top, with team members doing what they do best while you benefit from a real estate investing system designed to build wealth.
That’s what real estate is about. Sure, you’ll have economic downturns, but remember this; the worst that could ever happen is you’ll lose these assets that you basically got for free anyway. Using this formula, you can sail through those downturns, look for the right prospects, buy and sell at the right times, and continuously make sky-high profits towards building multi-million-dollar wealth.
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