New Investor In Edmonton looking to start making moves

[HungryInvestor]

hello fellow investors,



I am an ambitious person looking to get started in the Real Estate market. i have been highly educating myself in the investing aspect of real estate and now i have taken the step to join REIN! i am very excited to connect with like-minded people and possibly forge potential partnerships. We plan on closing our first deal by the end of January 2014 using a solid formula, we have partnered with a realtor and have a website under construction for the business. I have some questions i would like to ask before we take the next step. thank you!



-Can anyone give helpful advise on leveraging money from the bank with no money down, or how to connect with a promising private money lender?



-Should we start out buying properties under our name, or immediately work with a title company and register the business and outsource?



-Does anyone know of any local cash buyers or where to find them?



-how to find a credible closing attorney that is investor friendly?

 

[Thomas Beyer]

20% is required for a rental property.



Zero down exists after you own it, fix it up, then re-fi say a year later.



Zero down exists in the late night TV infomercials and power point presentations of folks trying to sell your course material.



Start personally, incorporate later.



Educate yourself first. Then act. Real estate is not a get rich scheme - it is a get rich for sure scheme if acted on properly. The key word here is ACT.



More here: http://myreinspace.com/public_forums/Real_Estate_Discussion/62-10689-121574-Educational_REIN_Posts_by_Thomas_Beyer.html

 

[wgraham]

Zero down does exist but you have to really understand real estate and how it works. This will not happen at a bank as Thomas stated and will require 20% down.



Start personally.....once you have some substantial assets move them over. Most people get hung up on this and it stops them from actually buying real estate assets....just buy them



Do you mean cash sellers?



Use Barry McGuire...



Good luck! Education is key as is the school of hard knocks that only comes from taking action and making mistakes which all successful investors have done!

 

[HungryInvestor]

hey thanx guys.



the first deal im looking at leveraging private money, here is what my idea is to get my first property and please feel free to correct me or give me helpful info! =]



EXAMPLE

~get private money lender (friend, mortgage broker, investment group) to lend me in a legal contract $50,000 at 13% lump sum return in 6 months with 3 month addition option. to purchase a $200,000 single family home.

~go to the bank with the money and purchase a mortgage also letting them know i want to flip the house for a profit.

~purchase property with mortgage then immediatley remarket property through mls, realtor, online marketing, etc.

~find buyer, close off on deal

~pay off private money lender ($56,500)

~liquidate mortgage, pay off capital gain and keep profits?

 

[Thomas Beyer]

[quote user=HungryInvestor]get private money lender (friend, mortgage broker, investment group) to lend me in a legal contract $50,000 at 13% lump sum


That works only if you have a history of success with them. Do you ?



No one in their right mind would lend you that much money as a rookie.



In addition it is unclear how you would get a mortgage.



[quote user=HungryInvestor]to purchase a $200,000 single family home.
What city is that ? Surely not Edmonton.



[quote user=HungryInvestor]purchase property with mortgage then immediatley remarket property through mls, realtor, online marketing, etc.
And why would you be able to get substantially more than $200,000 ? That usually works only if you do substantial upgrades to the property.



[quote user=HungryInvestor] pay off capital gain
If you flip houses that is not a capital gain, it is business income which is taxed 2x as high.



Tell us how you make out here. Maybe it will be featured in the HGTV channel under "what not to do".



Keep the enthusiasm, but marry it with knowledge and a real understanding what is and what is not possible. Success will appear, in time.