Real Estate Investing Update: “No Money Down Disaster”

September 23, 2006
By Naomi Monk

So read a headline in a recent issue of Barron’s.  I have been reading and worrying about this for months, namely, that ARMs are on the brink of ruining the marginal borrower and dragging down the entire economy. 

For  now, says Barron’s, residential real estate is threatening to revert to the mean, which may indicate a 30% drop in prices that will wipe out the equity of millions of homeowners. Either way, they will end up paying more than they can afford for something that will be worth less than what they paid for it (negative equity) or they will lose their homes.  

A crisis for one party, but a buying opportunity for another – the smart real estate investor.

Be smart about real estate investing by following the 4-step recipe:

  1. Buy discount real estate property – foreclosures, pre-foreclosures, tax sales, real estate auctions, real estate repos and other distressed-seller opportunities.
  2. Consider commercial real estate investments – apartment buildings, retail centers, storage unit facilities, office buildings.  I have provided you with an awesome commercial loan resource at my website to buy these properties with as little as 10% down (even 5% down on certain property types).
  3. Buy in Bargainville – the next hot emerging real estate markets across the country.  
  4. Get a mentor.  Learn from real estate investing experts who have already done this successfully.  There are a number of them featured in the Real Estate Investing Topics Section of my website.

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