Entries by mitch

Investing in Real Estate is One of the Best Ways to Make Money

October 16, 2016 in , /by

There are many ways to earn money from real estate. When you buy a stock, the only way you can make money is if the stock appreciates in value, and you sell it at the good time. With real estate you can make money in many different methods. Rental income. Rental income is the main source of profit investors are going for when buying a rental. Buying below market value. Earn an instant profit buing a property for under market value. Think foreclosures, quick sales, and awesome negotiation skills. Selling high. Make extra money by staging the property to attract buyers over market value. With stocks, you always buy and sell at market value. With real estate, you can try to beat the market. Increasing equity. Take a mortgage to finance a rental and increasing equity with every mortgage payment. I put down 25% on my last rental and with mortgage repayments am around 33% equity at the moment, those […]

Making Money In Real Estate

October 16, 2016 in , /by

Learn how wealth is created through real estate. This article focuses on the basic ways that money is made through real estate. These haven’t changed in centuries, no matter how you spin it the basics have remained the same. Appreciation The most common source for real estate profit is the appreciation – the increase in the value – of the property in question. This is achieved in different ways for different types of real estate. And, most importantly, it is only realized through selling or refinancing. (For related information, be sure to check out Avoiding A Big Tax Bill On Real Estate Gains.) Raw Land The most obvious source of appreciation for undeveloped land is, of course, developing it. As cities expand, land outside the limits becomes more and more valuable because of the potential for it to be purchased by developers. Then developers build houses that raise that value even further. Appreciation in land can also come from discoveries […]

Investing in Real Estate Made Easy

October 16, 2016 in , , /by

Buying real estate is not just finding a place to call home. Investing in real estate has become a common investment over the last 50 years. Although the real estate market has plenty of opportunities for making big gains, buying and owning real estate is a lot more complicated than investing in stocks and bonds. This article, explores real estate as an investment. Rental Properties This is an investment where a person buys a property and rents it out to a tenant. The owner is the landlord and he/ she is responsible for paying the mortgage, taxes and costs of maintaining the property. Hopefully, the landlord charges enough rent to cover all of the aforementioned costs. A landlord may also charge more in order to produce a monthly profit, but the most common strategy is to be patient and only charge enough rent to cover expenses until the mortgage has been paid, at which time the majority of the rent […]

Real Estate Is Your Smartest Investment

October 14, 2016 in /by

Inflation is defined as, “a general increase in prices and fall in the purchasing value of money.” Your money doesn’t go as far — simple. The $30k you made at your job 10 years ago and lived comfortably with barely gets you by now. You can’t control inflation (the Federal Reserve does that) and the government has doubled their debt since 2008. It’s now at $18.3 trillion and grows every day. The government cannot save you or your family, or ensure your financial freedom. Set your mind right about earning money. More cash = more freedom! Money itself won’t make you happy, but it will give you the ability to provide a better life for yourself and your loved ones. You must invest with income streams that give you positive cash flow, learn to leverage your debt, learn to handle inflation and take control of your physical assets. Do you currently have commercial real estate assets in your investment portfolio? […]

Real Estate Crowdfunding for Retirement

October 14, 2016 in , , /by

Real estate is an important part of any well-diversified portfolio. Not only is it a good way to protect yourself against volatility in the stock market, it can also provide retirement income. One of the best things about investing in real estate is that you have so many different ways to do it. House-flipping is one option if you want to pocket big profits all at once. Becoming a landlord is another way to go if you’d rather be on the receiving end of monthly rental payments. Real estate crowdfunding, is an alternative that’s gaining popularity. It’s estimated that the real estate crowdfunding industry topped $2.5 billion in 2015 and is still growing. If you are wondering if this is a good time get in on the game and start fortifying your retirement goals, here’s a overview of real estate crowdfunding. Real estate becomes more accessible. Private real estate deals have historically been reserved for high net-worth investors who possess […]

Learn the basics of commercial real estate

October 14, 2016 in /by

The Basics of Commercial Real Estate Commercial real estate is property that is used solely for business purposes. Examples of commercial real estate include malls, office parks, restaurants, gas stations, convenience stores and office towers. Commercial real estate is one of the three primary types of real estate; the other types are residential real estate and industrial real estate. Commercial Real Estate – Summarized Commercial real estate includes various types of real estate from gas stations to shopping centers. As its name implies, commercial real estate is used in commerce. Residential real estate is used for living purposes, while industrial real estate is used for the manufacture and production of goods. While residential real estate may be quoted in total price or rent per month, commercial real estate is customarily quoted in dollars per square foot through lease agreements, as businesses that occupy commercial real estate usually lease their spaces. An investor usually owns the building and collects rent from […]

Commercial real estate 101

October 14, 2016 in , /by

Commercial real estate — comprised of office space, hotels, retail space, industrial property, land and multi-family homes — is one of the three main types of real estate, along with residential and industrial. Owners of commercial real estate, say a gas station or strip mall, make money through appreciation when they sell, but they can also pull in revenue via rent they collect from tenants. Lease Lowdown Leases can run from one year to 10 years or more. Leases on multi-family homes usually run a year, while leases on industrial space average about five years. Office and retail space can range from five to 10 years. “Larger tenants tend to have longer leases,” said Brian McAuliffe, an executive managing director in CBRE Group’s (CBG) Capital Markets division. “Shorter-term leases provide more flexibility to adjust lease rents while longer leases provide more security, especially with credit tenants.” There are several types of leases commercial property owners use. Under a gross lease, […]

Rising Interest Rates And Commercial Real Estate: A Primer

October 14, 2016 in /by

There has been much talk recently about what the Federal Reserve’s first interest rate hike since 2006 means for the U.S. economy as a whole. Here we take a look at the impact of rate hikes (current and future) on commercial real estate, examining first the prospective disadvantages and then the potential benefits. Figuring this out isn’t straightforward, as interest rate changes have multiple impacts on commercial real estate (CRE). Further, the very causes of the Fed decision to raise interest rates may signal that other economic factors are at play, and these, too, may impact CRE. Further complicating things, the timing of the rate hike coincides with the “maturity wall” of commercial mortgage-backed securities that need to be refinanced within the next two years. The maturity wall means there will be many borrowers who need refinancing in any case because their loans are maturing, while the rate hike could prompt those borrowers to seek out refinancing sooner rather than […]

SEC Targets Reg A+ Marijuana Company, Med-X, in Administrative Proceeding.

October 7, 2016 in /by

Reprinted from Crowdfund Beat, By Samuel S. Guzik, CrowdFundBeat special guest editor, Guzik & Associate The Regulation A+ industry was buzzing this week – not with excitement, but with a healthy dose of trepidation. One of the first, high (no pun intended) profile Regulation A+ offerings, launched in November 2015, after a seemingly successful “Testing the Waters” campaign, was for a company called Med-X, a startup formed to participate in the newly burgeoning marijuana industry – the so called “Green Rush.” But this month’s headline for Med-X was a bit more sanguine, enough to counteract even the most potent dosage of THC: “REGULATION A EXEMPTION OF MED-X, INC. TEMPORARILY SUSPENDED.” The story that followed was not the kind of publicity any company is looking for – especially when it is in the throes of raising money under Reg A+. Actually, it was not a story. Rather, it was an Administrative Order issued by the SEC on September 16, 2016, temporarily […]

10 Passive Income Strategies You Can Use

October 4, 2016 in /by

1. Rent What You Own Renting out something you own takes little upfront work and can yield a stable monthly income. One of the most popular ways to do this is to rent out a spare room or your entire home on Airbnb. But there are plenty of other things around your house or apartment that you can rent. 2. Invest in Exclusive Real Estate Crowdsourced real estate investing through sites like corwdfundbuilder.com is a great way to invest in exclusive real estate opportunities. Spend just $5,000 and start investing in properties while someone else deals with all of the hassles, from maintenance to upkeep. It’s also one of the few ways to invest in commercial real estate rentals without needing to be a multimillionaire. 3. Start Microbusiness and Outsource It Entrepreneurs often suffer from dreaming up too many ideas with too little time to execute. Do some hustling to get that simple, straightforward, and irresistible-to-customers microbusiness off the ground. […]