How to Retire Rich & Young!

Many people have the appearance of being rich or wealthy! Many of them also are renters living on the edge! And some of them are past and present renters of mine!! Being wealthy and looking wealthy are often on opposite sides. As a lender I see what the true financial picture is-no fuzzy logic here. It prompts me to mention a couple of things to inspire people who would like to retire!! Looking wealthy is an expensive and self-defeating proposition. Being wealthy requires determination and some sacrifice, but the alternative-work your whole life then try to survive- doesn’t seem to be a great option either! Giving your money to someone else to invest usually insures a meager return on your investment. Now for the silver lining! Investing in real estate is and always has been a powerful method of acquiring wealth (just look at the truly wealthy people and you’ll notice most either hold their wealth in real estate or made it that way).  One can start with literally no money and good credit, and create a fortune. If you don’t believe it talk to me. Most of the power of real estate has to do with leverage and appreciation (here in California). With 20% invested of your money, you can make 5 times the appreciation rate which has been 8.7% average over the last 40 years which is an average of 43.5% return on your money! Where else can the ordinary person achieve this rate of return??!!! Personally I have achieved a rate of 185% ROI during the last 7 years! This has been due to A) personally rehabbing properties B) renting them out, C) selling a few, but keeping most, D) above average appreciation the past few years, E) determination, F) a lot of education from personal experience, experiences of others, seminars, mentoring, etc, and last but not least G) the use of ordinary practises that most people can understand anyway such as buying and selling real estate, using mortgage brokers and real estate agents.  There are no big secrets to this, and usually the simplest of plans will get you further than trying to buy discount properties  through foreclosure or other creative means. If you are more sophisticated, these may work well for you, but definitely are not necessary. I find many people who come to me and want to invest in real estate have the nice house and cars, and have pulled out equity from their home to afford it, leaving little room for investment. I only wish they had come to me sooner! If there is equity in your home, and want to invest, you may want to refinance and pull cash out to invest & start your journey to a great retirement!!! It’s all about the numbers, and everyone’s situation is different. As I said before you don’t have to start out with money but it is important to have good credit or at least know what your score is and start working on it sooner than later!  The techniques I use for investing are simple, and require 3rd grade math and some common sense!! No excuses ! This is not rocket science! Many refinance and pull cash out for vacations, cars, etc. If you aren’t already set with your retirement plan, this a great way to never retire!!! It’s ironic that most of the mortgage companies advertise refinances as a way to get the toys everyone wants instead of using the cash to buy investments that will provide cashflow to buy the same toys and become wealthy! This is marketing at its best-they know everyone wants the toys, and people want instant gratification! Who doesn’t?  Investing in real estate is not sexy or gratifying, etc to the general public, but I have to say, I love my real estate!!!!! It is so powerful and empowering!! Working for a living is not!

Cashflow Property Already Rented! $289,900!!!

This home features 2192 square feet of living with 2-3 bedrooms & 3 full bathrooms. Master bedroom plus large second bedroom with private entrance on main floor. Family room features natural rock fireplace with insert, open beam vaulted ceilings and stained glass windows, with view of water feature outside the slider. Loft bedroom with full bathroom upstairs. Spacious country kitchen with lots of cabinets and separate dining room. Expansive lawn with auto-sprinklers in front, natural landscaping with rock out-croppings elsewhere. 2 1yr old HVAC systems. Five minutes from downtown Oroville, a hike to river-fishing, and another 10 minutes to beautiful Lake Oroville for water sports. This is a big house! It is already rented out for $1250/month, so would be perfect rental property. It cashflows with 20% down-call 530-218-5765 for financing and other info. As low as $1016/month expenses (mortgage,taxes & insurance). 1250-1016=$234 cashflow/month!