Commercial Real Estate Investment Articles

Once upon a time not too long ago, a peanut farmer had just left the White House, a former actor replaced him in our nation’s highest office, and the Prime Rate (the interest rate banks charge their most credit worthy customers–usually their most prominent and stable business customers), was at 20%.

I had a great conversation with a mentorship student yesterday who shared with me how he and his wife are selling their third house (their first two houses they still own) and will net $45,000. It inspired me because I had talked with them over a year ago when they had a tenant/buyer back out of a deal, and they were at an emotional low.

This is my personal favorite. The great thing about wholesaling real estate is that you don’t take ownership of that property. Once you have the property under contract, you assign the contract to another buyer who will close on the property in your place. There is no risk, and you can do it with little or no money down!

You know, it’s utter nonsense to submit offers to sellers and just hoping they’ll accept. Sure, I used to do that; and I’d sit there by the mailbox with my fingers crossed, praying the mailman had more than bills and junk mail for me today. And every now and then one of those offers would show up all signed off and I’d be the happiest knucklehead on the block.

It surprises many beginning real estate investors when I recommend they get started investing without using their own money. They find it hard to believe that sometimes having money can be detrimental to learning to be the best real estate investor you can be.

Let’s talk for a minute or two about problem properties. In terms of working a playing field that isn’t level, this is a prime example. Making money in real estate is hard work, no matter what your plan of attack. And believe me, in my 20+ years, I’ve tried them all.

I’ve been in the business for little over eight years, and I’ve done almost 850 transactions. I’m very, very assertive. My specialty is communication–talking to homeowners and talking to banks.

Having a firm grasp on language patterns will help you close more deals. In addition to using embedded commands (word groups that order you to do something), you must incorporate assumptive language patterns into your vocabulary. Assumptive language patterns assume the outcome of what you are asking.

Mistake #1 They take TOO Long. Good deals don’t wait around for indecisive people. Many people “think a deal to death.” One way to lower your anxiety level with a deal is to move forward provisionally (i.e. with a clause of some sort.)

You know, it’s utter nonsense to submit offers to sellers and just hoping they’ll accept. Sure, I used to do that; and I’d sit there by the mailbox with my fingers crossed, praying the mailman had more than bills and junk mail for me today. And every now and then one of those offers would show up all signed off and I’d be the happiest knucklehead on the block.

It surprises many beginning real estate investors when I recommend they get started investing without using their own money. They find it hard to believe that sometimes having money can be detrimental to learning to be the best real estate investor you can be.

This is my personal favorite. The great thing about wholesaling real estate is that you don’t take ownership of that property. Once you have the property under contract, you assign the contract to another buyer who will close on the property in your place. There is no risk, and you can do it with little or no money down!

I’ve been in the business for little over eight years, and I’ve done almost 850 transactions. I’m very, very assertive. My specialty is communication–talking to homeowners and talking to banks.

Let’s talk for a minute or two about problem properties. In terms of working a playing field that isn’t level, this is a prime example. Making money in real estate is hard work, no matter what your plan of attack. And believe me, in my 20+ years, I’ve tried them all.

Zillions of “newbie” investors are jumping on the bandwagon trying to make a profit after losing big in the stock market. I meet them all the time, and many are making big mistakes!

It stuns us how many investors say, “I can’t find any good deals.” Folks, you’re not looking!  We think that many new investors (who watch too much late-night TV) are under the impression that if they decide to become investors, the “investor fairy” will drop deals out of the sky.

You can make a profit from the deals you find, even when the deals aren’t a fit for your real estate business. Here are five tips to make sure you get paid for your time.

In a previous article, I shared the first five of the techniques I teach Realtors to help them see the potential when it comes to seller financing

[Editor’s note: The real estate short sale can be a useful and very powerful technique for turning “no equity” deals into big profits. In a short sale, you negotiate with the bank holding the mortgage and get it to accept *less* than what the seller owes.]

In a previous article, I shared the first five of the techniques I teach Realtors to help them see the potential when it comes to seller financing. Real Estate Paper: Your Most Valuable Tool.

Unfortunately, real estate investors are not all created equal in the eyes of the IRS. If you’re an investor, there are four different types of real estate investor definitions that you will want to watch out for:

As a real estate agent and broker for 20 years, I’ve found my knowledge and use of notes to be my most valuable tool. I did the tenants and toilets game for what seems like 100 years. I sort of backed my way into paper investment. I learned to use real estate notes in my investing, and mortgage buyers became a valuable resource.

Having run a real estate club since 1994 with 650 members Colorado Association of Real Estate Investors] and having spoken at more than 50 clubs around the country, I have a few observations and insights. If you want to get the most out of a real estate investment club, follow these five rules…

It amazes me how many people start investing in real estate, only to fail when the going gets tough. As soon as people discover they can’t get rich in a week or two, they are on to the next “guru” secret. It’s the same as weight loss–everyone talks about it, many try it, but few succeed.

[In IRS Definitions for “Real Estate Investors” (Part One), Diane defined real estate dealer status and real estate professional status and the related tax planning. In Part Two, she’ll discuss real estate developer status and related tax issues.]