“I know if this deal goes south, it won’t be because you didn’t try everything humanly possible. I have complete confidence in you,” said my investor, Bruce Z. I thought, “What could possibly go wrong in buying a cash flowing apartment complex?” I appreciated the confidence that Bruce expressed and knew I earned that confidence with all the experiences I’ve had over the past twenty years. However, how does one gain experience? Have you heard the expression, “Good decisions come from experience, and experience comes from bad decisions”?
When I first started investing in real estate, I self-funded my deals. That is, I had the twenty percent down for hard money loans for my flips. I also had the ten percent down for traditional lenders to purchase rental properties. What I learned over time was that eventually one runs out of money; or at least I did. So, I had to learn different ways to finance my deals.
The success I’ve had using “other people’s money” (OPM) came from learning a few key issues that real estate investors look for. What do you
Read More...