Real Estate Investment Financing Part 2

Real Estate Secrets Revealed

Manufacturers are often willing to offer real estate investment financing to early home buyers who are considering investing in properties in new developments. These loans can frequently be obtained for 5% of the purchase price.

It's even possible to buy and sell a property without taking possession or having your name on the title. Normally referred to as bird dogging or wholesaling, this is done by establishing a contract and then turning around and selling it for amounts ranging from $500-$5000. Though profits are made fairly quickly using this method, they are normally much smaller and require excellent credit.

Real estate investment financing can also be obtained through various forms of limited partnerships. These usually involve each partner agreeing to a certain percentage of the cost and receiving a proportionate profit.

An arrangement can be also made whereby one partner invests money while the other provides services like repairs on 'rehabs'. The number of different arrangements or partnerships that can be made is limited only by the creativity of the parties involved.

The government offers various loan programs to individuals with special circumstances, military service and low incomes. These are limited mainly to those with the intention of occupying the property.

You can even use credit cards as a form of real estate investment financing, but there are some obvious downsides to this method. Aside from high interest rates, the amount of outstanding debt receives heavy consideration before a lender decides to approve a loan for the remaining balance. This method would normally be used only as a last resort for investors.

This also applies to cash advances and money received from family and friends, unless you can prove that the money was given as a gift and not just a loan.


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