real estate investing

Real Estate has always been a store of wealth because everyone needs and uses it. Most rich people got and stay that way via real estate directly or indirectly. Here in brief is the ways real estate makes you money. Some or most will apply to your real estate purchase.

Gem Rental properties is our latest venture into the world of Cash Flow Real estate investing. You can read about this in the articles on the left of this page. This is the next house we are re-habing.

We purchased this REO property in August from a bank. It is a 2 bedroom, one bath home. About 1200 square feet.

 We are behind three months on finishing this project. There are many reasons for this but the main one is that it is a pay as you go project and that is always the slow way to do major remolding work. We have also had labor issues with the workers being off on other jobs.

 This article covers the first consideration or decision a real estate investor needs to make. The second is finding the money and then finding good properties to acquire.

 I have been a business man and investor for 45 years. What I have learned during those 45 years is that there are only three things you can do with your time and money that have a better then 80% chance of working out well. These are.

• Investing in your own education that leads to a well paid career.

• Investing in Roth IRAs and Employer matching 401Ks.

 Real estate investors always need money. Money for the next deal, money to rehab or money to expand. Money can be had from several sources, banks, relatives, partners, hard money lenders and sellers. I will briefly cover each of these and there is more about money, getting and using money in the articles (Real Estate financing)  on this web site.

 I was asked how my Gem Rental LLC project was coming along. I had a pretty good idea as I have posted the income, expenses and remodeling cost each week. Pretty good is not very accurate so I set down and added up all the columns. Keep in mind that we will not be done with the remolding for another 2.5 months or so (January 2011).

We have gained an equity of $259,000 in one year.

Besides the five or more ways you can make money investing in income producing real estate there are other reasons I like residential real estate investing. (This web site towardswealth.com has articles explaining all the ways real estate investing can make you money.)

 We will be done with the house remodeling project in Seguin Texas this week. It was part of our first property purchase for Gem rental properties LLC. (This is the "See how we make a million dollars project" that you get to follow along as we do it).

 For those of you who want to invest in real estate but do not have the time for hands on there are companies who will make it all very easy. Or Maybe you want to invest in one sate and live in another. These companies are perfect for you.