Monthly Archives: March 2017

Investing 101 – Back To Basics

Then there are stocks. And let me tell you, there are more stocks out there to invest in than Carter has liver pills. Just check with the NYSE to see how many stocks are actively being traded. Stocks are much riskier than bonds. A stock can sell for a share one day and drop down to a share the next day. Imagine investing in 1000 shares. You would have lost ,000 in just one day. Conversely stocks can give you a big windfall literally overnight. The key to stock investing is to get a good broker who knows the market. And don’t worry, he WILL have your best interests in mind because he wants to make money too, as he gets a percentage of any gain you make on the stocks you invest in.

Let’s take a stock investing 101 example here. Let’s say that I would like to buy a stock because I think it may increase in value. However, I’m a little unsure and don’t exactly want to take the chance that it won’t rise. Instead, I can buy a call option for about the current market price and wait to see if it does rise. If it does, I am know granted the option to buy the stock for the lower price. I then have the ability to hold on to my stock or sell it for a profit (minus commissions, taxes, and the cost of the option).

Review the prospectus for information on the fees and expenses charged by the funds. Fees and charges are particularly important in a bond fund, since high expenses could significantly reduce the return on your investment.

I was hearing recently though about another type of real estate investment, a highly profitable kind called “Multi-family Investing.” So i went to find out more about it, and man I am here to tell you, it sounds good.

As an investor and flipper of foreclosed property do you want to know what I say? I say let them talk. Let all the media spread misery and fear all across the US and beyond.

First of all tax liens have sort of a government guarantee. I am purposely saying “sort of” for a reason. It’s because if you end up been deeded to a property that is worthless because you haven’t done your own research then you can end up losing your investment. This is one of the minor pitfalls of investing in tax liens however, many consider tax liens to be safer than stocks.

As A wholesaler you position is easy! Find a particular type of property that buyers/investors are looking for. Simple right? Why yes, yes it is.. Once located you just pass the new found deal onto your buyer/investor. Basically all you are doing is acting as the middle man or a bird dog (plus a few steps) type. With this type of investing you can make upwards of 10k from each and every deal you do, depending on the type of deal you uncover. With nothing more than time invested in these deals how can you go wrong!!!!

Steps For The Beginning Real Estate Investor

Expect Volatility. Don’t be afraid of big market swings, because you can profit from them! By learning to deal with volatility, you can make money in even the most topsy-turvy market environments. I advise you to stick to the 60-30-10 rule: 60% of your portfolio should be in the most conservative stocks, 30% in moderately aggressive stocks and 10% in aggressive stocks. This mix gives us the smoothest path to profits over the long run. Especially when the market is volatile, this mix keeps our portfolios afloat! The 60-30-10 rule keeps us locked and loaded, even when the market fluctuates day-to-day.

Mutual funds and ETF’s may invest in stocks, bonds or other assets like commodities. They save investors the headache and frustration of investing in those individual securities on their own. Knowing which securities to invest in, when to buy and when to sell is overwhelming at best.

The amount of revenue you pull in if you keep your occupancy rate at or above a certain level (see the James Fales YouTube video for minimum occupancy rates) allows you to realize more revenue now, as well as higher gains later. Think about it: once you go to sell your property, the markup is going to be exponential to that of a single-dwelling property. At the same rate of return, more money invested means more money returned. It’s investing 101 all over again. If you invest 0,000 at a 10% rate of return, that’s a ,000 gain. If you invest ,000,000 at that same 10% rate of return, that’s a 0,000 profit. Makes sense to me.

Unfortunately (and predictably), the answer to that question is it depends. Those that describe buying a foreclosure now as a “no-brainer” are grossly negligent in their advice. The most famous statistic being thrown around sounds like this, “Banks are willing to take 50% for their Real Estate Owned Properties”. That is a somewhat true statement. It is acceptable for me to believe that banks are taking offers that are 50% for properties that they are taking back. However, they may not necessarily be giving the properties away for 50% of what they are worth. More often than not, banks may be willing to take 50% of what is owed on the property. These are two hugely different things.

For a while there it was taking a good amount of searching to find good houses to flip so people started upgrading perfectly good homes. When that happens you know it is time to get out. The market was just too overloaded.

The hardest part about saving for tomorrow is that there are all sorts of things that you want today: the fire-engine-red BMW; the luxury apartment on the beach; cool clothes, shoes, expensive dinners. Saving for tomorrow doesn’t offer such glitzy images. It’s hard to define its purpose unless you consider your long-term goals and what it will take to finance them. Whatever these may be, it’s a lot easier to say no to spending today when you can picture in your mind’s eye what you want and you know how much you want it. Jot down your goals — and make them as unique as you are. A long-term goal for some is a comfortable retirement, but that may not be what moves you. Research realistic estimates and plan.

.went the cash register. But you’ll be counting all that cash all the way to the bank. Now we get to the best part, the real reason for investing in multi-unit housing. It’s the money, of course.

Mutual funds are an excellent way to invest in short term debt instruments like company notes, government bonds and short term company loans. Investing in a mutual fund of short term debt instruments provides excellent diversification, and that can mean less risk than purchasing individual issues directly from corporate entities, banks and brokers.