My Newest Real Estate Purchase

I wrote earlier that I was looking at buying another property for my investment company. I have filed for an LLC for the business. It will be called Gem Rental Properties LLC. This company will buy, hold for appreciation, and deal in, income producing real estate. The company will buy for our own account, in partnership with other investors, and act as a general partner for limited partnerships.

We look for under valued properties of any size from single family to apartment complexes. The properties must cash flow from day one, have equity potential, and leverage not exceeding 66% of market value. Our goal is for a 20% minimum, (preferably higher) return per year, cash on cash.

Our second purchase is under contract now. A new single family home, purchased at a cost of $36,000. The home is located in a rural area, on a dirt road, south of San Antonio, Texas. This is a bank owned repo, we will pay 15% down plus closing cost. We anticipate on spending about $5,000 on fix up. The house will be rented at $650 to $700 a month or sold on a rent to own. I will write about the progress, what we do to the property, the total investment amount, and the profit potential after we close later this month.

So how do you find great deals? Look! they are out there, in every price range, and you should always be looking. Talk to realtors, go to investment clubs, pass out cards, talk to everyone, check the real estate web sites, Google bank owned real estate. Etc, etc, etc. You make your own luck, or said another way, good luck comes to those who seek it out.

 I will write an Article covering Gem Properties so everyone can follow along as we build this from a small investment to a multi-million dollar company. The first goal or bench mark is to aquire 50 rental units or $1million in real estate. We will then move the bench mark of course. 

Here is the link to Gem Rental Property's first purchase.

http://www.towardswealth.com/node/258

Also see the Article links at http://www.towardswealth.com/node/337 for updates.

I write about my deals so that you know that what I talk about on this web site is reality today. These are deals being done and real money being made. The goal is to motivate you to get out there and get to doing (for me to make more money, that's a given). If you are a-doing? Write about what you are up to here, it might help some one else. Or E-mail me an I will write about it for you.

The rich get richer because they are working at it.