Earn Big in Real Estate Without Owning It

OWNING REAL ESTATE HAS MANY ADVANTAGES. One of the best advantages is that it can make you a millionaire sooner than you think. But some people prefer not to own real estate. Instead, these people:

• Lease real estate at the lowest price they can get.
• Lease the same real estate at the highest price they can get.
• Earn their profit on the difference leasing prices.

ONE OF THE BEST EXAMPLES of this method at work is that used by a successful real estate wealth builder:

He leased trade show exhibit space for 25 cents per square foot. Then he turned around and leased the same space to trade show exhibitors for $25 per square foot! His income from the exhibitors to whom he leased a total of 150,000sq ft = $25 X 150,000 = $3,750,000. The cost to him of this space = $0.25 X 150,000 = $37,500; profit = $3,712,500!Of course, he had NO ownership of the real estate he leased and then sub-let to others. This didn’t bother him since he had the immediate profit from sub-letting his leased space.

YOU CAN ARRANGE SIMILAR DEALS with many different kinds of real estate. Thus, you can:

• Lease residential apartments and sub-let them to others at a higher rent than you’re paying.
• Lease commercial space for stores and sub-let it to groups of merchants needing a minimum amount of area.
• Lease open land and use it for parking or temporary storage of large construction equipment.
  

YOUR WHOLE KEY IN EARNING FROM REAL ESTATE you don’t own is to have a sub-let clause in your lease. Write the lease so there is no restriction on your sub-letting of the space you rent. Then you can:

• Sub-let your space to anyone of your choice.
• Sub-let at a rent YOU set based on the tenant YOU find.
• Sub-let to as many tenants as you choose.
  

SUB-LETTING REAL ESTATE can give you instant income when you receive your security deposit and first month’s rent. Try it and see!

Make Big Money in Real Estate in a Down Market

WE ALL HEAR TALK ABOUT the "sub-prime mess" and the foreclosure fallout. Does such talk mean that real estate is no longer a good investment? No! Real estate is still the best investment you might make! Thus:

Two years ago one of our readers bought a vacation home in an upscale area. He paid $700,000 for the vacation home, using all borrowed money. For 49 weeks of the year he has a local real estate agent rent the house to vacationers, giving him an excellent income that more than covers his mortgage payments. Just this month, 24 months after buying the house using borrowed money, he was offered $1.4-million for the house he bought for $700,000, using borrowed money.

THUS, IN 2 YEARS, THIS BWB earned a gross profit of some $700,000. That's $350,000 a year, or $29,166 per month, or $972 per day for a 30-day month. And all of this took place while this BWB held another job. So what lessons can you draw from this?

Here they are:

1. Real estate in wealthy areas is holding its value because buyers of such properties have not been affected as much by any economic downturns.
2. Real estate in wealthy areas continues to rise in value because desirable properties have an ongoing appeal to buyers who have money.
3. Real estate in wealthy areas is much easier to finance with borrowed money because lenders are happy to loan on properties in well-known upscale communities.
   

TO LOCATE FOR-SALE PROPERTIES, in upscale areas, take these easy steps as soon as you know what types of property you want to handle:

1. Contact upscale real estate brokers in the area. Tell them you're interested in buying higher-priced properties. Ask them to see if you can get into some properties with owner financing. This will help you get into good deals with zero cash.
2. Get the word outto wealthy people that you're interested in making quick deals for properties they want to get away from.

Surprising as it may seem, wealthy people DO, occasionally, want to get rid of properties in a hurry. That's where you come in! You take over the property with a low-cost Option and make every effort you can to sell it before your Option expires. What you're doing is building your wealth on the wealth of others!

Quick Results from Easy Financing of Real Estate

People often say to me, "Ty, if financing real estate is so easy, why don't you give us a few real-life examples of how it works?" Here, to answer that question, is a recent letter received from a successful user of easy real estate finance:

"I read your book 'How to Make Millions in Real Estate in Three Years Starting with No Cash' two years ago, and I started using your methods immediately. My first two deals weren't so hot (I was too eager to close and didn't do enough up-front due- diligence), but I'll make money on them all the same. These were two small commercial strips in Chicago, IL. I bought them with basically no money down (for one property the seller held paper; the other was financed through the SBA [Small Business Administration]).

"It was on my third try that I really hit a home run. This was an industrial center we acquired with a construction loan. I renovated it, and leased it up within 8 months (a year ahead of schedule). For this deal I raised most of the equity from friends and family, after negotiating the bank down to a 10% equity requirement.

"So here's where I am, barely two years after reading your book: Total cost of three properties = $4,670,000; current value, based on rent roll = $6,730,000. That's about $7-million in property value bought with only $150,000 of my own money--ALL of which I borrowed with 2nd and 3rd mortgages on my house. After paying ALL monthly mortgages AND expenses, I'm clearing about $20,000 per month. Thank you warmly for your encouragement and advice in your books, newsletter and telephone calls." By Letter from IL.

This reader built an income of some $240,000 per year for himself in just two years time! And much of his income will be sheltered by the legal and legitimate depreciation of his properties.

This is a good example of what well-planned real estate financing (borrowing) can easily do for you. Also, his equity (what he owns of these properties) is: $6,730,000 - $4,670,000 = $2,060,000. So this ambitious reader converted some $150,000 of borrowed money into more than $2-million in property value in just two years. He "grew" his borrowed money by nearly $1-miilion per year, when you factor in his $150,000 investment of borrowed money!

We call the financing this reader used "Zero Cash Financing." Why? Because NO MONEY COMES OUT OF YOUR BANK ACCOUNT OR YOUR TROUSER POCKET OR PURSE! By carefully figuring your costs, including the loans you take to buy an income property, you can get a Positive Cash Flow (PCF) from each property every month! In fact, you MUST have a PCF from EVERY income property. If you can't get a PCF, don't buy the property.

And if you have trouble "working the numbers" of an income property, I'll be happy to do it for you free of charge if you're a subscriber to one of my two newsletters, International Wealth Success Newsletter and Money Watch Bulletin. You'll quickly learn if a PCF is possible from an income property you select!

To learn more and subscribe to either of my newsletters, just go to iwsmoney.com
and click on IWS Newsletter or Moneywatch Bulletin on the left side navigation bar.

We have many other letters and examples showing how readers of our books, courses and newsletters are earning large incomes using easy real estate finance. All of these letters are available for viewing at our main office in New York. Look for more letters detailing actual cases in future posts on this blog.

4 Simple Ways to Make Money in Real Estate Quickly

4 SIMPLE WAYS TO MAKE MONEY IN REAL ESTATE QUICKLY

THE BIGGEST SECRET IN REAL ESTATE IS TIME. Given enough time, almost all real estate will rise in value. But suppose a BWB (Beginning Wealth Builder) is impatient. How can he/she earn money in real estate faster? Here are 4 ways:
1. Work with “post-auction” foreclosures; don’t buy at auction.
2. Flip properties instead of holding them for rental income.
3. Use options to control real estate until you sell it.
4. Buy tax liens with the hope of a big payday at a later date.

“POST-AUCTION: FORECLOSURES are properties you buy AFTER the auction ends. These properties:
· Were passed over by the auction attendees.
· May not be as attractive as other properties.
· Could need repairs or cosmetic spruce-up.
· BUT CAN OFTEN BE BOUGHT FOR $100 DOWN!
· You help the seller (usually a bank) get the property off its books. So they sell at low cost, and will often pay the closing costs for you, just to help you out.

FLIPPING PROPERTIES GIVES YOU IMMEDIATE INCOME from real estate. You flip a property by:
1. Buying at low cost.
2. Making needed repairs.
3. Selling quickly at a profit.
4. Using your knowledge of what will sell in the area to choose properties that will “move” fast.

AN OPTION IS A LEGAL DOCUMENT PREPARED by an attorney that allows you to control a property for a stated period of time—30, 60, 90 days, etc. During this time you can:
1. Buy the property at a stated price.
2. Sell the property to a buyer of your choice at any price.
3. Lease the property to a person or firm.
4. Control a property at low cost—as little as $100.
5. Profit in a big way by selling quickly at a high price.

TAX LIEN CERTIFICATES give you control of a property at low cost.
And if the owner does not pay you off, plus interest, the property can revert to you. Again, you get control quickly, and you can profit handsomely.

Go to my website, www.iwsmoney.com, to find many resources that will help you earn more money in real estate, more quickly. And you can call me at 516-766-5850, day or night, for answers to your questions about these resources.

Tyler G. Hicks

Florida Pre-Construction Real Estate Can Make You Rich

Would you like to get started in investment real estate on little, or no, cash and come away with a bundle of money? If so, consider Florida pre-construction real estate. Here's why:

WHENEVER A BUILDER STARTS putting up a new multi-family residential property, he/she wants to sell as many units as possible, as soon as they can. To achieve this goal the builder will often:
*Offer pre-construction deals with little, or no, money down.
*"Throw in" an extra bedroom, bathroom, etc., as a bonus for early buying.
*Give other valuable benefits--such as a better view, higher floor, etc.

WITH JUST A SMALL DOWN PAYMENT, and in some cases, no down payment, you can "lock in" a valuable apartment unit, or several of them, for future sale at a good profit. Here's how it can work for you:
1. The construction will typically take 6 to 12 months, or longer, for most well-built units today.
2. During construction the price of labor, materials, and land, will usually rise, making your unit(s) worth more than you agreed to pay for it, or them.
3. Finished residential units in your building will therefore be priced at a higher level than you agreed to pay in your purchase contract.
4. Result? You have locked in the price of a valuable asset without doing anything more than signing a few papers and putting down a small amount of money (or no money), while taking a calculated risk that your unit, or units, will rise in price.
5. Potential rewards for YOU? Some Beginning Wealth Builders (BWBs we call them) report profits of $25,000 or $50,000 per unit sold, depending on the price of the unit. Others earn $5,000, $10,000, etc., per unit.

WHERE CAN YOU FIND SUCH PRE-CONSTRUCTION UNITS? One of the best places we know of is in the State of Florida, on either the East or West Coast. To ensure that you get the best units:
1. Visit the area that interests you. The cost of your trip will be tax-deductible if you buy one or more units.
2. Pick the best location in the building for your unit. Water or bay views will usually sell well when you're ready to put your unit on the market.
3. Compare construction methods of the various buildings you consider. Remember: Good construction costs more but sells at a higher price!
4. Get to know the property you're buying units in. Pick the best units you can afford. Why? Better units will earn you a higher profit!
5. Visit my website: www.iwsmoney.com. Check out my "MULTI-FAMILY HOME RICHES KIT". It will give you dozens of good ideas on financing, and profiting from, Florida pre-construction real estate. And if you buy the KIT I'll mentor you in your pre-construction career, every step of the way!

Tyler G. Hicks