I wanted to take a minute to wrap-up on our 2015 PurpleStride 5k Run & Family-Friendly Walk. It happened this past Saturday, June 13. Strategic Real Estate was the presenting sponsor again this year and we were able to raise over $229,000 for the Pancreatic Cancer Action Network, which is incredible. Thank you very much for your support, whether you attended or donated. The morning started off rainy, but it cleared up just in time for the event and everything went perfectly.
Now, I have a serious question for you – is the summer making you feel restless in your where you’re at in your life or in your career? Do you wish that your schedule could be a little more flexible to enjoy the summer evenings cooking out on the deck with your family or getting in that game of golf with your buddies? Maybe you just know you need a change because every day is starting to feel like the same.
It’s okay to feel this way – you just need to recognize it to be able to know when it’s time to change it up. If you’re ready to take matters into your own hands, real estate investing is a great place to start. If you take the time to really learn the industry and understand how flipping a house works, your profit check could almost be as much as you make in a year!
I also want to talk to you about an upcoming master class I am hosting with my buddy, Bob Diamond. Bob is a Business and Real Estate attorney and has over 25 years of real estate investing experience. We will teach you about an opportunity to act as an “insider” or “finder” for people who have money that the government owes them, but they don’t even know about it!
The webinar, Hooked on Overages, will teach you about this niche opportunity that literally ANYONE can do. This is something that’s sitting right in front of you that no one really knows about. No credit or background checks needed.
Believe me, I thought the same thing, “this sounds too good to be true, what’s the catch?” when Bob first talked to me about this. There really isn’t one! Register for our master class below to learn more about this opportunity to make some serious profits without taking up a lot of your time:
This Hooked on Overages class might be a great way for you to save up some cash to get started in your real estate investing career, or even just to have a little extra cash flow on the side in between flips.
I also wanted to take a minute to discuss one of our favorite, most important topics – funding. Specifically, let’s talk about hard money lending and why this doesn’t always work for real estate investing. Hard money is basically expensive money for risky real estate loans. Hard money lenders raise private capital and make loans to real estate investors at a much higher rate.
Now, this isn’t to say that all hard money lenders are bad. There is definitely a place to use them in the market.
This is what you can expect from a hard money lender:
- Hard money lenders love to fund real estate investments that need a lot of repairs ($50-100k worth)
- Hard money lenders are credit lenders, same as a bank
- Hard money lenders will ask for collateral such as the mortgage against the property you are rehabbing, but also, a lot of lenders want a mortgage against your primary residence as well
- Some hard money lenders will charge points up front
- Repair work is usually done on a draw, meaning you pay for the rehab work and lenders will reimburse you from the money they set aside in an escrow account
- Typical rates on a hard money loan are usually anywhere from a 10-16% interest rate. They also require a monthly interest-only payment
- If you do not pay back the loan in full within 6-9 months, they will take the quick claim deed and take the property back from you
- You may get charged a prepayment penalty if you do the deal TOO quickly, usually in less than 3-6 months
With all this being said, there is definitely a time and a place where hard money lenders are a good way to go. Click here to listen to the full episode of Strategic Real Estate Investing Radio and download from iTunes to find out when you SHOULD use hard money lending for your investments.
“If opportunity doesn’t knock, build a door.” This master class with Bob Diamond might be the opportunity you’ve been waiting for, so register now. Spots are limited and I don’t want you to miss out!
Comment below and let me know if you guys have any questions regarding this Hooked on Overages master class we are offering or about hard money lending and when it’s the right time to go that avenue.
Be Daring,
Josh Cantwell
CEO Strategic Real Estate Coach
CEO Freeland Ventures and Freeland Lending
CEO Yellow Jacket Properties
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