Real estate investing is tough at the best of times. What about the worst of times. Is it possible to invest profitably in real estate when the market is like it is right now?

The real estate market is in meltdown right now. House prices are plummeting, foreclosures through the roof, people living in their cars and houses selling for $1. I’ve been watching a lovely 4 bedroom home in Florida that is listed on eBay right now for a starting bid of $1.

Real estate investing success relies on a few simple parameters. Rising house prices and good rental returns. If an investor can secure a house that will rise in value over time and returns enough rental return to come close to covering the expenses of the mortgage and other holding costs, then that investor will, over time, make a profit.

Ideally the rental returns from the tenants should exceed the costs of holding the property, and it is then in positive cash flow, and the investor makes a return on investment both from the income from the property and from the capital gain as well.

It’s all pretty simple really. There’s dozens of real estate investment seminars around, however that’s the basics. If you buy a home for an investment, and the value of that home goes down over time, you’ll lose money.

If you’re making a loss on the rental return over time, you’ll also lose money unless you can sell that home in the future at a price that is sufficiently higher than the purchase price to cover the rental losses and make some return on capital.

Simple stuff. But hard to achieve, even in the best of times. When the market is good, like it was up until a while ago, you made money if you we’re a good real estate investor. If you chose well, bought well and tenanted the property well, you were in front.

Not any more. The basic premise of real estate investing is rising home prices. If you’ve got rising home prices then you’ve got a good chance of doing well. Buy just about anything and by default you’ll make money.

Now prices are falling.

So right now there are no real estate investment opportunities right?

Wrong. There are good real estate investment opportunities. But if you’re trying to find them yourself you’re almost guaranteed to fail. There are some professional real estate investors now who are trying, and if you’re a professional investor with significant real estate investment experience you may do well. Or you may well do badly too.

But if you’re beginning real estate investing now you’d be better to stay out of the market. Unless……

Imagine for a moment.

A solid American public corporation, experienced in real estate investment. Well capitalized with a well thought out proven strategy for investing in real estate regardless of market direction.

The corporation invests in buying homes in demand. Not your McMansions that are on eBay right now, but the sort of houses that millions of working Americans live in right now, or need to live in. Basic properties that exist in their millions right over the US.

With sufficient capital it can buy hundreds of homes at a time. From government, charities or any organization that owns large numbers of homes in a single area. And because it can buy like that it can buy at way below market value. Hundreds at a time purchased in a suburb with all the right characteristics including high demand for rental properties and, in some cases a backlog of demand for up to 15 years.

Then it refurbishes those homes to a high standard. While doing so it spends money on the suburb building parks and playgrounds and community facilities. And within a period of time a suburb has been totally transformed. New community attractions, high quality homes that people want to live in. Suddenly everyone wants to live there.

Up to 40% of the profits are ploughed back into the local community.

Demand rises, people want to live there, both to rent and buy. The corporation has created it’s own capital gain, regardless of market direction.

And then it sells these properties to individual investors. No money down, loan provided, tenant provided with a rental guarantee. Immediate equity to the investor of around 15%. The investor owns the property and can hold it or sell it and keep 100% of the profits.

Now that’s successful real estate investing in a bad market. But it takes experience, commitment to a community and to the investors, and a solid background of real estate experience, and a lot of capital.

Sound too good to be true? Maybe it’s not.

By: Peter Clark

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How To Flip For Profits… Make Money Flipping Houses!!

What information can you get from a good real estate investing book? There are a number of online sites, which can impart you knowledge and tips on how to start make your real estate investments properly. You can also get a number of books, which are essentially on the subject of real estate investing. You can search sites related to books on the net for information on real estate investing books.

If you go for an in-depth analysis of these real estate investing books, you will find that there are a number of chapters covering topics like – how to market your real estate investing business, the secrets of real estate investing, tips & tricks on real estate investing, how to follow business success of tycoon of other fields and how to grow in the real estate business. All these and more are covered as a part of a good real estate investing book.

A number of hidden pitfalls are there that you should avoid for staying in the business. You can get a detailed overview about the dangers, drawbacks and possible ways out. You can also know whether you are ready to step into the business of real estate investing or not. The real estate investing book can give you advice on how to use the books properly so that you get the maximum information out of it.

While on your journey of becoming a successful real estate businessman, you would need a guide who can help you in the right direction. The real estate investing book can be a very good friend in achieving understanding your goals and achieving them. The book would also tell you about the real estate seminars from where you can get hidden benefits.

The real estate investing book also tells you how to set up your own multi billion-dollar empire based on real estate. Some online sites offer you a number of courses, both online as well as normal. You can start your own real estate business with your own home mortgage. If you pay attention to the techniques offered by the real estate investing books you would be able to recover it within seven years.

By: Brad Wozny

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Creative Real Estate System W Complete Tools For Todays Real Estate!

So many people have had the experience of attending one or more real estate investing seminars. The information you can gain can be very useful, but you have to make sure you go to a good one:

You know, the kind of real estate investing seminars you see advertised on late night television. The ones that promise to make you a millionaire within a matter of months.

The only catch is that you first must pay thousands of dollars to attend the seminar and only then will the salesperson tell you the secrets of becoming rich from investing in real estate.

All too many times have people fallen prey to these real estate investing seminars. The speaker ropes in victims with promises of riches and they ended up leaving with as much knowledge about real estate investing as they came in with.

These kinds of real estate investing seminars capitalize on the fact that so many people are looking for a way to get rich. The advertisements paint the picture that real estate investing is some easy task that will allow you to become an overnight success. Thousands of people attending these real estate investing seminars with high hopes of finding out some kind of real estate investing strategy they can use to become rich. For the vast majority of attendees, these riches never come to fruition.

If you have heard the horror stories from attendees of real estate investing seminars, you might be wondering if you can ever trust another seminar advertisement. It seems that most advertisements for real estate investing seminars are worded with the same hope-filled, roundabout kind of language. Believe it or not, there are some real estate investing seminars that do more than rope you in for your money then turn you away a few days later with no new information. There are ways to recognize these deceitful real estate investing seminars from those that are authentic.

When you hear about one of these kinds of real estate investing seminars, do some research on it before making a decision to attend. The internet is full of feedback from people who have previously attended real estate seminars. Using an internet search engine, you can quickly search for webpages that mention the seminar you are interested in. Since there is likely to be both good and bad feedback on the seminar, you should read a few of the sites to get a good idea of what will be taught in the seminar.

The wording of the advertisement of real estate investing seminars is another clue of how much of a help the seminar will actually be. Be weary of real estate investing seminars that promise to make you an overnight success, that tell you there is little work required, or that it only takes a few hours a week. None of these is true of real estate investing and any seminar that says differently should not be trusted.

Your own judgment will likely be a good indicator of whether a real estate investing seminar is genuine or not. If something sounds too good to be true, it usually is.

By: Gerald Mason

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How To Flip For Profits… Make Money Flipping Houses!!

If you have been investing in real estate for any length of time, then you have undoubtedly faced frustration, hit some highs and then crashed into some lows! Ultimately, your goal as a real estate investor is most likely to generate immediate cash flow and long term wealth and increased net worth. True financial success is achieved by combining these two elements – cash flow and wealth creation, or net worth. Cash flow is considered as the monetary profit that is earned every month to support your lifestyle. This can also be used to invest in assets that may later appreciate in value.

Three levels of real estate investors are as follows:

Level one Investors – In this level, the investors learn the basic tricks of the real estate investment business, and they use it to make real estate investment a profitable venture. They learn this by making their initial deals profitable. Thus, Level One investors ensure that real estate is the path to economic success. They are aware that there is much to learn from this vast field, and they try to understand it. Real estate investors at this stage should spend time learning the business, evaluating the details of the deals, and make sound decisions. Often times, this will involve some level of training or coaching to ensure success. There are two main reasons why investors fail at this level: (1) Fear and (2) Lack of Knowledge. Because of this, education is critical at this level.

Level Two Investors – At this level, investors master the five core real estate business skills and also maintain a real estate portfolio. Second level Investors are those investors who generate a monthly cashflow ranging anywhere from $5000 to $60,000 per month (depending on location, market conditions, etc.), and also add an average of $250,000 to their net worth per year. Some investors have a wrong notion that after reaching the second level they have achieved it all. They do not realize that there is so much to achieve down the investment line, and that the benefits are worth their exertion. The biggest pitfall that investors at this level tend to fall into is that they get “comfortable”. As soon as you are comfortable, you stop stretching and learning. Level II investors that excel are those that are constantly adding new weapons to their arsenal. These investors practice negotiating tactics, refine their marketing strategies and learn advanced strategies like note buying, triple net lease investing, etc.

Level Three Investors – Level III real estate investors build a small fortune in such a way that they earn the majority of their income through passive methods. At this level, investors are generally not working in the day to day grind of the business. Their not out meeting with sellers night after night, sitting at open houses on Sundays, etc. They have effectively learned to make their money work for them and are using their assets to acquire other assets. For example, instead of rehabbing houses at this stage, level III investors may lend hard money to Level I and Level II investors! Often times, level three real estate investors will branch out into other businesses and create additional streams of income. Often times, their income may be similar to a level II investor, they just simply don’t put in the same time, money and effort. They have mastered advanced techniques are also utilizing leverage.

In order to become a Level III investor (which is what most real estate investors envision when they get started in the business), there are a few basic steps that will help you move through the stages.

But first off… you must realistically evaluate where you are in your business right now. Once you have determined that, you can follow these steps to advance your business.

Level I to Level II: Level One real estate investing is about learning the basics of real estate investing. There are three hurdles you may need to cross to get to Level II.

1. Take action: Stop “thinking” about real estate and start “doing” real estate. Pick up the phone and call sellers. Drive different neighborhoods and learn the communities. Attend networking events and trainings with other investors.

2. Find a mentor: It is critical that you find a real estate mentor, tutor, advisor, etc. that can help you succeed in the early stages. This person will not only teach you the mechanics, but will also help answer your questions and move you past the fear.

3. Invest in your education: You’ll find that the most successful real estate investors never stop investing in their real estate business and their education. Initially, it may be a tough nut to swallow, but long term, it’s essential to your business. There is but one small caveat. You need to invest in CURRENT education. You see, what worked just a few years ago, is not working the same way today. You need the most up to date information as it comes down the pike!

Level II to Level III – Once you’ve gotten the basics down and you’ve done a few deals, you’re ready to advance to level II. At this stage, you will begin to master the core skills that are critical to long term success in your real estate investing business. These include:

* Find motivated sellers consistently, keeping your pipeline full with deals

* Master the art of negotiation

* Evaluate deals quickly and take fast action

* Diversify. It’s time to start adding lease options, rentals, wholesale flips and retail flips to your profit pipeline.

Level III – It’s time to take all of your knowledge, experience, and proven systems, and leverage yourself. It’s at this stage that you’re ready to venture out into additional streams of income and let your business work for you! This is the level at which most people begin to teach other investors, to create systems, and to make money with their information!

By: Heather Seitz

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Foreclosure Profits Now