If Single Family Homes Are Such Great Investments, Why Do Most ‘Investors’ Still Go To Work Every Morning?
By Dave Lindahl
Wouldn’t you love to discover how to make $9,700 plus in passive income month after month… and how to reap huge positive cash flows from real estate — with less risk, less money down, and no tenant headaches?
I’ll tell you what, if you want to collect an automatic monthly income of $9,700 or more — without having to get up every morning and “go to work” — then you need to know that most real estate experts are giving you the wrong advice!
See, they rave about buying and selling single family homes, but they don’t tell you about the risks and downsides. They don’t admit that single family homes are poor investments for passive income… for attaining real financial freedom.
Now don’t get me wrong, if you can wait a few years for your upside, single family homes have a history of appreciating nicely. And if you’re happy making one-shot profits, flipping houses can be an exciting business. Over the past eight years, I myself have bought, rehabbed, and/or sold 422 houses. If you can pull it off (despite the risks), you can make a big profit in four to six months. It can be a good business model. But it’s not financial freedom.
When you’re flipping houses, you’ve got to keep working to earn your next “paycheck”. You’ve got to keep marketing, buying, renovating, and selling.
This is the life of a “house flipper”;
1) You’re at the mercy of contractors. Most bargain homes are in disrepair. You’ve got to renovate them, but most contractors are unreliable. You’ve got to oversee everything they do, or risk paying for their mistakes. And the good ones are always booked up for months in advance.
2) You lose money for four to six months. That’s how long it takes to fix up a house and resell it. When your contractors drag their feet, you’re left helpless and stressed out. Every day your house sits vacant, your bank account is further depleted by loan payments, taxes, insurance, and utilities.
3) Your job never ends. When you finally sell, you’ve got to start all over again, marketing, negotiating, and overseeing your contractors. If you take time off, or can’t work for awhile, you have no income. That’s not financial freedom.
4) The government takes 33%-50% of your profits! When you hold houses for less than a year, your profits are taxed at the painfully high rate of “ordinary income”. Compared to my approach, you have far less cash to roll into the next property. The result: It could take you twice as long to attain financial independence.
If you’ve read the best-selling book Rich Dad Poor Dad, you understand that income-producing assets are the key to financial freedom. You also know that Robert Kiyosaki (the book’s author) built his personal fortune through buying and holding real estate.
Unfortunately, Kiyosaki doesn’t go into detail about how he selected, managed, or sold his properties. That’s why I’m writing, “The Real Secret…Apartment Buildings And How To Manage 642 Units With One Phone Call Each Month!”
Today, I own 33 multi-family apartment complexes, with 7,322 units in all. Yet, I never deal with a single tenant, their complaints, any repairs, or vacancies.
My carefully chosen property managers handle 100% of the tenant management. I have one phone call per month with each of them; that’s it.
Last year, I sold four of my properties. After paying off my loan balances, I received four separate checks for over $200,000 apiece. And I used a legal tax loophole to pay zero taxes on three of them. I can show you how to do the same. Why haven’t you heard more about?apartment buildings?
Because apartment?investors?don’t want the general public to know about their successes.?Apartment?investors are?already wealthy.?Just look at the late Red Auerbach of the Boston Celtics. He made his real money?buying?apartment?buildings, then branching?off into hotels. Likewise,?Arnold Schwarzenegger made his first fortune buying apartment houses in Colorado.
Here Are The Biggest Advantages That I See In Apartment Investing:
1) Apartment buildings are “cash cows”, especially when compared to single family homes. For example there is a six unit building I own in Brockton, MA, that nets me $1,877 per month (after all expenses)! Think about it, more units in each property brings you more income.
2) You start profiting instantly. Rather than being drained for 4 to 6 months, carrying the costs of a vacant house, you enjoy positive cash flows from day one. And you can live off that income, so you don’t have to go to a job everyday!
3) Build huge equity and live off the cash flow. If you live off the income from bonds, CDs, or mutual funds, inflation devalues your principal. But when your buildings appreciate and your tenants pay off your loans, you create huge equities, and eventually own them free and clear.
4) Hands off management. Because apartment houses offer so much income, property managers charge an average of just 4% of the gross rents (versus 10% for single family homes).
5) Cut your taxes in half. Instead of paying 33% – 50% in taxes, you’ll pay the low capital gains rate (now 15%).
Seventeen years ago, I was fortunate to have a mentor that showed me the truth about apartment investing and he was there to take my hand and get me started!
Now whether you have ever invested in real estate before or if this is just something that you have always thought about doing, I would love to take your hand and share with you the exact strategies and processes that have made me a multi-millionaire.
Fortunately for you, I have created a very successful but limited mentorship program. Its aim is to take you by the hand and share with you the proven tools you need to be successful in investing. But with everything in life there is of course a catch. And the catch is that I can’t work with everyone. There isn’t enough time in the day. But my strategists and I can work with a select group of people.
There is no better time than right now to find out if you qualify for the mentoring program.
To take my brief questionnaire to determine if apartment investing is right for you, and to see if you qualify to become one of the lucky few people I will mentor, visit Rementor.com/Realty411, do it now.
My mentor made me promise that when I became successful, I would pass on my knowledge. I hope you are one of the few people I take under my wing to share these powerful techniques. See How One Mom Makes $7,487/Month Part-Time at: www.Rementor.com/Realty411