I just returned from a trip to Indianapolis and could hardly wait to get back on the radio to talk about it. We have callers asking all the time how they can increase their current cash-flow to assist them with their goals, and up until now, I didn't have that many options to share. Now I do.
Let me give you an example of a couple of our member's goals. One single woman is earning over $200K per year at her job, but still barely making ends meet. How is that possible? Well, she lives in the San Francisco Bay Area - that explains alot! But she is also taking care of her mother's assisted living - which costs $7,000 per month. She needs cash-flow to help.
While interviewing many investors in Indianapolis, I learned some exciting strategies that are emerging in today's changing real estate market. One is commercial blanket loans for those who have maxed out on the number of properties they can finance. Another is using corporate lines of credit to buy real estate. This last method was especially exciting because it allows people to acquire property for little or even no money down, and still CASH-FLOW!
This opportunity was tough to find over the past several years with home prices becoming so over-inflated due to easy bank money. But today, prices are down - in some areas as much as 50% or more! Yet, the interesting dynamic is that rents are UP. Low home prices and high rents equals cash-flow.
Here's an example: You can buy a nice, fully renovated and updated home in a middle class neighborhood near jobs for as low as $65,000. That home rents for $850. Even with no money down, the buyer can cash-flow $200-$300 per month. Certainly putting money down would have it cash-flow even better.
The way you get it for no money down is you get a line of credit and buy the property outright. The property manager we have found will do the updates - new carpet, paint, etc. When the home is complete, you can refinance into conventional loans using the new appraised value, that will be a minimum of 25% more. Now you have a 75% LTV loan at a low rate, with none of your own cash.
I am happy to share my contacts with anyone interested. Call 877-700-9325 or send an email to kathy@realwealthnetwork.com. And be sure to tune into my podcasts on iTunes - search for Real Wealth Show.
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