As a mortgage agent and real estate investor, I meet many first time as well as experience investors. Knowing that the government won’t take care of us in our golden years, most of us have come to realize that investing in real estate instead of other types of investments, such as GIC’s or mutual funds for example, can provide us with long-term growth and security, not to mention monthly cash-flow.
Being a real estate investor, I write a number of blog posts about investing and I attend a lot of real estate based networking events. There is always something to learn!
But this is where the rubber hits the road. The difference is in the investor who takes what they have learned and applies it to purchasing properties and the other, who keeps learning but is hesitant to take action.
I always ask what does it take? Why do some people take action and other sit on the sidelines and watch?
It is lack of confidence, time, or money or a combination of all three? Are you a hopeful real estate investor who has no time or money to get started?
I can understand “I don’t have enough money”, however there is a solution to this.
I can also understand “I do not have the time.” Many people already have full-time jobs and cannot take on another job, such as full-time real estate investing.
Let’s look at a solution to both of these problems.
You don’t have money so what can you do? Believe it or not, many people find themselves in this boat. There are people with money, who don’t have the time to invest and need an experienced investor (this is where you come in having learned everything there is to know) to partner with them. This is a joint-venture situation. The partner with the funds takes out the mortgage and invests the funds. You take care of the property, finding the tenant and ongoing maintenance and rent collection. You both split the profit 50/50. There are numerous ways to joint-venture with somebody but this is the usual.
The above solution also works for the person who does not have the time. He or she works 60-70 hours a week and is making great money but they want more. They want to make a better return on their investments and the time they have vested in their full-time job.
Once they start investing, many of these people see that the return on their time is better spent investing in real estate and learning more instead of just joint-venturing with other investors who have time.