Cash is cash, but some cash flow is better than others — and easier to obtain – particularly when it comes to purchasing residential real estate investment properties.  For instance, compare a 6-unit apartment complex with a Tri-plex and a Single Family Residence (SFR).

6-unit complex                        $280,000 purchase price     $3600/mo rental income

Tri-plex                                    $150,000 purchase price     $1800/mo rental income

SFR                                         $150,000 purchase price     $1100/mo rental income

Which do you think is the best deal for the typical investor?  The 6-unit property offers the same rental income per unit ($600), but is cheaper per unit than the Tri-plex, so is this the best investment? (more…)

There are three key components to becoming a successful real estate investor. Surprisingly, they are not money, luck or talent, despite what many believe. Veteran investors, who have a long-term, successful track record, focus on these three things:

1. Systems
2. Relationships
3. Follow-through

Here’s how the system works:

1. Systems: The foundation on which you’ll build your wealth. Follow a proven system and stick to it. It must be a system that has been proven to work in your geographic area and focuses on the type of property in which you want to invest. Once you have a system that works, don’t mess with it; let it work for you. (more…)

Have you ever thought about investing in real estate but wondered, “Where do I begin?” I cannot answer for you, but I know that I have. In fact, I may not be sitting very far from your chair right now.

Let me tell you a little about myself. I am 37 years old. I did not even know how to handle money until I was 34, and I had quite a bit of debt to repay. I didn’t even have a positive net worth until I was 36. Really! I’ve spent the last year-plus investing into the stock market. Unlike most people, I’m proud to say that I’ve done really well for myself. I am not mentioning this to brag that I am great, but it begs the question, why am I considering real estate then?

There are benefits to learning how to make money in multiple ways, outside of your regular 9 to 5 job or whatever your real hours are. Plus, as an investor, different money making vehicles present themselves as better opportunities at different times. One investment is not necessarily better than another investment type, but the timing is key. There is room to make money on stocks, still, but their best time was during the first few months of the year. Now is the real estate’s time, because you can buy properties for so little money. (more…)

There are vast amounts of ways that someone can make a living off real estate investing, some ways involving more risk than others. Slow and steady wins the race most often while the real estate investments that carry the most risk can often offer the highest returns. This risk however can be managed with research and experience. A lot of people have made money by using house flipping, that is why this topic pops up so much in the news. A lot of people have failed miserably with this but of course this won’t make the news.

Investing in rental properties doesn’t provide the almost immediate profit returns that you can see with something like flipping houses but if you plan properly it is a very good form of real estate investing that brings in steady profit. Rental properties are always a good idea, especially if you can identify and grab those golden opportunities. (more…)

Panama is developing rapidly as is its economy and tourism. With development come changes, some good and some not so great. Almost every visitor to the country dreams of buying a piece of paradise here. In fact Panama has been ranked high as one of the top places to settle after retirement. Whether you are considering Panama apartments as an investment or intend to live here; it is a very good decision. That said, it is important that you make this a decision with your head and not just your heart.

Buying real estate in the country is a great investment opportunity. Panama is growing well and expansion opportunities are many. Whether you decide to live in your apartment or rent it to tourists, it still makes good business sense. (more…)

Determining whether or not you should invest your self-directed IRA assets into real estate can be challenging. It clearly depends on how much of your net worth is tied up in real property. I have read articles saying that everyone should have 20% to 30% of their investments in real estate. Now I’m not going to prescribe a specific percentage. Each person has their own comfort zone. But certainly everyone should have some form of real property investment, even if it is a real estate investment trust (“REIT”).

Not only is real estate a great investment, but it is less volatile than stocks and is also negatively correlated to stock market returns. But because it is generally actively managed, many folks may not have the stomach for it. So determining whether you should hold real estate in your IRA depends, in part, on your overall portfolio mix and your temperament.

When investing in real estate, the tax deferred nature of IRAs should not be ignored. An IRA may be a great vehicle for your investments if you have a strategy that would otherwise result in short-term capital gains. (more…)

I’ve often wondered if Armando Montelongo is the the real deal. In other words I wonder if he really walks the walk. Does he really practice what he preaches and flip houses the way it is depicted on the TV show and in his Real Estate courses such as “Flip and Grow Rich”.

To really find the answer to these questions I had to look into Armando’s past.

Armando grew up in San Antonio Texas. I found out that at one point he was so broke that he was living in his in laws garage. This is a far cry from the Hummer driving, Gucci shade wearing, arrogant house flipper that we see on his show “Flip this House” on A & E. (more…)