Are you wanting to buy a rental property?
Wanting to get rental properties but you don’t have a lot of spare cash lying around? Well, I was in the same boat but I got it done. Here we will be talking about rental property.
I have lots of rental properties now. I love it and I’m going to show you exactly how to do it so that you can start making money too.
Let’s go. I’m going to share with you my dirty little secrets to start getting rental properties now with no money. And I want to tell you exactly where you should be looking to buy your first rental property so that you don’t buy the wrong one. I am a real estate investor. I have tons of real estate properties now.
In fact, I even teach it and I have students that have lots of properties. So, I am a big fan of rentals as you can see from this post and the excitement that I have when I’m talking about this. And I’m going to tell you why. Because it is so important for you to know exactly why you should be getting into this and know some of the traps that people have.
So, when I started investing in real estate, I started in like 2002, 2003. I was in Atlanta. I was flipping houses while working a job. So, I never educated myself, I did not know what I was doing. So, when 2009 happened in the crash happened, I lost everything.
I ended up back in my parent’s basement with my wife and my kids. It was a mess. But I educated myself and I was able to climb out of that hole. And eventually, I started getting rental properties. And eventually, I quit my job with just my rental properties.
So again, this is something that you can do. It is not hard to do even if you were a total loser like I was in this. You can rebound. So, we got to start though with your first rental property and you got to think about why you want a rental property. So, one of the things that I use rental properties for was cash flow income. So, each month while the tenant is paying the rent, they were paying down my mortgage.
Additionally, I was making sure to get properties in the right place, okay? Because I got a coach and he told me about finding properties in a good place and i’ma tell you exactly how to do that. So, the values were going up. So, then one of the things that I was able to do throughout my time will sell those properties with the tenants in it and I was able to pick up on some really big paydays.
I’m talking 40, 50, 100 thousand dollars at a time. Just by having someone pay the mortgage for a couple of years and then selling the property and walking away with a bigger check and then I had come in with. And so, it’s an amazing thing with rental properties, not just the revenue that you can get but also those lump sums of cash when you go to sell your properties.
I totally recommend that you do. Additionally, you can gift those properties to your children, to family members. You can leverage them, you can borrow money against them. It really opens up a ton of doors for you when you have rental properties.
So, if you are thinking about getting a rental property, get clear on what it is that you want. Know that you want that monthly income coming in. Yes, but know that even more importantly you want to be able to sell those bad boys and start getting 6-figure checks.
So, let’s get into that part. So, when we are talking about rental properties and getting your first rental property with no money down, I did it and you can do it too. You have to leverage other people’s money. I know you guys have heard this term before. If you haven’t, it’s a big acronym in the real estate investing world.
It is OPM, other people’s money. Now, does that mean like your mom and dad’s money or you got to come from a wealthy family, things like that? No. That’s not what I mean at all. Banks have money to lend. Hard money lenders have money to lend. There’s private money.
The person that you are buying the home for in many cases can lend you money or give you equity. So, many different things. But you need to understand the process because you don’t want to get over leveraged, okay? You don’t want to mortgage all of the value and the equity away on the property.
You want to have some equity so that when you sell the property as I said, you do get those lump sums of cash. So, let’s kind of talk about other people’s money.
So, we’re talking about getting a rental property, in most cases, I’m talking about using either a hard money loan and that’s where you find a property that needs some repairs. It may need to be fixed up a little bit and you put in some effort and you fix that property up or you hire crew to fix it up. And then you refinance out of that mortgage once the house is fixed up. And you put a tenant in it, okay?
This is a very popular concept in real estate investing called BRRR, okay? And that stands for Buy, Rehab, Rent, Refinance, Repeat. So, essentially, what you do you buy the property and needs pairs. You rehab it, you fix it up.
You rent it put a tenant in it. Then you refinance that mortgage, okay? Because now that you have a tenant in there and they’re paying the mortgage.
That is income and the lenders the banks they will give you credit for the rent that that person is paying, okay? That future revenue that you’re going to get. And so it makes it easier to get qualify for a loan. That is how we build our portfolios we get tons and tons of properties doing it this way. And it is an amazing thing to do.
So, we’re talking about how to find these properties, you have to find people with property problems. It’s the best way to do it. As I mentioned, with the BRRR strategy, again, just one of the strategies that you can use to start getting properties with no money is finding people that are in a financial distressful situation or the property is in distress and it needs some repairs.
But if you fix the property up, it would be worth more. There are tons of lenders called hard money lenders and there are some private lenders that will literally lend you money to buy the property, fix the property up, and even give you some money so that you can make sure that you have some reserves, okay? In case something goes wrong.
They can lend you all of that money, alright? And we’ve done it many times you’ve heard you’ve seen these shows on HGTV where people are fixing and flipping properties and things like that. You can do the same thing but you don’t have to flip the property. You can keep the property and put a tenant in it. And it all fits into this one big strategy of finding people that have a property problem.
Either their property is in distress and needs repairs and they don’t have the money to fix it. And you can come in and be that person that does that. Or they have a financial situation where they are behind on the mortgage payments or they’re getting divorced or bankrupt or they need to move out of the property something like that.
And you’re able to acquire that property for just the money that they’re behind on their payments and things like that. So, that’s what you want to do. The key, if you don’t want to spend a lot of money, you don’t have a lot of cash lying around, you want to do this with no money is: You’ve got to start finding people that will lend you all of the money, okay?
Start going to real estate investor association meetings. Start reaching out and finding hard money lenders. Start connecting with people that want to do real estate, private money. And then finding that money and then finding people with property problems. So, when you put those two things together, getting the money together, other people’s money and then finding people with property problems.
And you marry those two things together, that is how you start to get properties with no money of your own, okay? No money. When we say no money, we’re talking about your money, you don’t have to put any money into it. And there are amazing ways to do that if you marry those two concepts that I just gave you.
Alright, I’m giving you one more tip so that it all fits together for you. When we find these people with property problems, the bonus to this is many of them can sell you the property subject-to. Meaning the mortgage that they have will stay in place. Or they’re in a situation where they need to sell the property and they are willing to lease purchase that property to you, okay? Where you don’t actually have to buy the property.
You can actually lease the property, they move out of it then you start making money on that property by putting a tenant in that property or furnishing the property like my friend has done and like we do with lots of properties and we put them on Airbnb.
That is what you want to do, okay? So, start thinking about finding people with those property problems and educate yourself on subject two and on how to do lease purchases, okay? Again, I have total complete posts for you.
If you need a little bit more detail, but the gist of it is you can buy the property and leave that existing financing in place, and then you take over those mortgage payments, okay? And then you find a tenant and they make the payment the loan never came in your name or anything like that.
So, that’s no money down. Or you can actually lease the purchase from that person that’s in financial distress. Again, they move out take the property over put a tenant in it and do what you need to do with the property and start making money. And so, I have tons of students doing this and this is how they are getting their rental properties right now.
I literally just had a student that found a property that was in probate and they had no mortgage on the property at all, okay? So, they owned it free and clear. The guy had inherited the property from his mom. And now my student now has their very first rental property and they didn’t have to come out of pocket with any money.
So, this is possible. Just educate yourself, keep reading our posts blog and I’m going to keep giving you more information. As a just super, super bonus tip, I have to give you this one because I would just be remiss if I didn’t tell you. Another way to buy rental properties and get your first rental property.
Again, you can find seek out private money, hard money. But a new way, super, super new that almost anyone can do is you can do a real estate crowdfunding, okay? In fact, I actually just got into this. I used to partner in JV with lots of my students.
JV stands for a joint venture. And we would get properties together and we would have to sign an agreement on every single deal that we did. But with a crowdfund, you literally can go to different websites like Trucrowd and Kickstarter.
In fact, I have one here NUUREZ. You can go to Trucrowd.com. It’s a platform for crowdfunding. We literally have on for our real estate investments where people can put in as low as $500. And we’re buying properties all over the country and splitting their revenue and the profits with the investors. You can do this exact same thing if you want to. The opportunity is there for you. I did it in just a matter of months. And we have over a hundred.
We actually we have probably nearly 200,000 in that fund and we are rocking and rolling and you can do the same thing. Either you can create your own or you can go to that true crowd website that I said. And you can invest in ours and start getting quarterly distributions.
Again, the door is wide open for you to not spend a lot of money. In fact, and if you get your own crowdfund, you don’t have to spend any money. Other people’s money, they’ll give you and then you start buying properties and then you split the profits with them.
Super easy. Win-win situation. If you want to learn a little bit more about how to get rental properties with no money down, spending very little money, I invite you to come to our webinar. We literally have our own crowdfund as I mentioned before. And I would want other people to do the same thing.
You don’t have to invest in ours but I would like you to come and just check it out. And then if you want your own or if you do want to invest, the door is wide open for you. So, go to NUUREZ, that’s NUREEZ.com.