Comments for Real Estate Investing http://reiuniversity.com Mon, 14 Mar 2011 16:58:16 +0000 hourly 1 http://wordpress.org/?v=3.0.4 Comment on How to make money in real estate without investing money? by words_that_live_on http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3722 words_that_live_on Mon, 14 Mar 2011 16:58:16 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3722 That is essentially a selling job. One takes a course called real estate etc. and then learns to fast talk someone with money into joining your business plan to rent and get rich. The idea is they never leave the computer and hire people to do everything. That is essentially a selling job. One takes a course called real estate etc. and then learns to fast talk someone with money into joining your business plan to rent and get rich. The idea is they never leave the computer and hire people to do everything.

]]> Comment on How to make money in real estate without investing money? by engineer50 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3721 engineer50 Mon, 14 Mar 2011 16:49:35 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3721 Your friends will lead you astray. As a banker, you should know better, especially in today's deflationary R.E. market. Your friends will lead you astray. As a banker, you should know better, especially in today’s deflationary R.E. market.

]]> Comment on How to make money in real estate without investing money? by s and d e http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3720 s and d e Mon, 14 Mar 2011 16:43:23 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3720 are your friends making a lot of money doing this? sounds like they are listening to one of those middle of the night commercials. here's basically what they are going to tell you--buy a house in foreclosure for pennies on the dollar, fix it up and rent it out. use the equity from fixing it up to buy another house and so on and so on. However, what happens when 1 or 2 of your renters flakes on you and you are stuck with the mortage payments on several properties. it's a bad road to go down. if you want to make $ $ , save and pay cash for a beater, pay cash for fixing it up. sell it and pocket the cash. just always deal in cash--it will help in the long run are your friends making a lot of money doing this? sounds like they are listening to one of those middle of the night commercials. here’s basically what they are going to tell you–buy a house in foreclosure for pennies on the dollar, fix it up and rent it out. use the equity from fixing it up to buy another house and so on and so on. However, what happens when 1 or 2 of your renters flakes on you and you are stuck with the mortage payments on several properties. it’s a bad road to go down. if you want to make $ $ , save and pay cash for a beater, pay cash for fixing it up. sell it and pocket the cash. just always deal in cash–it will help in the long run

]]> Comment on How to make money in real estate without investing money? by kelly http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3719 kelly Mon, 14 Mar 2011 16:05:40 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3719 ask your friends for the details into this but not having to spend money to make money isn't going to happen lilke the saying goes in order to make money you have to spend money. ask your friends for the details into this but not having to spend money to make money isn’t going to happen lilke the saying goes in order to make money you have to spend money.

]]> Comment on How to make money in real estate without investing money? by sdn90036 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3718 sdn90036 Mon, 14 Mar 2011 15:54:20 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3718 This is very hard to do. Go to the library and check out everything you can find on this subject. Good luck. This is very hard to do. Go to the library and check out everything you can find on this subject.

Good luck.

]]> Comment on How to make money in real estate without investing money? by YthHomeOwner http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3717 YthHomeOwner Mon, 14 Mar 2011 15:19:28 +0000 http://reiuniversity.com/how-to-make-money-in-real-estate-without-investing-money/#comment-3717 A bad time to do it, but you might find the $ 5 homes in detroit interesting. A bad time to do it, but you might find the $ 5 homes in detroit interesting.

]]> Comment on How can you benefit from investing in the stock market? by Rick http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3716 Rick Mon, 14 Mar 2011 13:25:42 +0000 http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3716 Dear Friend, I suggest you to sign up for the Free Weekly Wealth Letter, the e-mail newsletter packed with money-making investment ideas will be delivered to your inbox every Tuesday morning. Weekly Wealth Letter is loaded with unique insights and powerful resources for wealth building through smart investing. What is it you want to do? Get rich through smart investing? Become a millionaire? Thrive in an economic recession? Dear Friend,

I suggest you to sign up for the Free Weekly Wealth Letter, the e-mail newsletter packed with money-making investment ideas will be delivered to your inbox every Tuesday morning.

Weekly Wealth Letter is loaded with unique insights and powerful resources for wealth building through smart investing. What is it you want to do? Get rich through smart investing? Become a millionaire? Thrive in an economic recession?

]]> Comment on How can you benefit from investing in the stock market? by vvswarup http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3715 vvswarup Mon, 14 Mar 2011 12:56:01 +0000 http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3715 To make a profit, you have to sell your shares of stock at a price higher than what you bought them for. For example, let's say you buy stock in XYZ today, you buy 1 share for $ 50. After a year, XYZ is worth $ 100. If you sell, you make a profit of $ 50 (not counting commissions/fees). When talking about investing in stocks, the only way to get a profit/loss is to sell your stock and take the cash to your hand. Let's take the same example above. Say you don't sell your stock. Then you haven't made any profit. If you bought the stock for $ 50 and it goes up to $ 100 and don't sell, your gain is only on paper. I think of those kinds of gains not as profits but as growth of money. I know it's nice to take a profit but the thing is, the longer you keep your money in a growing investment, the more your money can grow. To make a profit, you have to sell your shares of stock at a price higher than what you bought them for. For example, let’s say you buy stock in XYZ today, you buy 1 share for $ 50. After a year, XYZ is worth $ 100. If you sell, you make a profit of $ 50 (not counting commissions/fees).

When talking about investing in stocks, the only way to get a profit/loss is to sell your stock and take the cash to your hand. Let’s take the same example above. Say you don’t sell your stock. Then you haven’t made any profit. If you bought the stock for $ 50 and it goes up to $ 100 and don’t sell, your gain is only on paper. I think of those kinds of gains not as profits but as growth of money.

I know it’s nice to take a profit but the thing is, the longer you keep your money in a growing investment, the more your money can grow.

]]> Comment on How can you benefit from investing in the stock market? by Christian Brown http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3714 Christian Brown Mon, 14 Mar 2011 11:59:52 +0000 http://reiuniversity.com/how-can-you-benefit-from-investing-in-the-stock-market/#comment-3714 When you invest in real estate you can make money in one of two ways. 1) Rent the space for earned income 2) Sell the property for a higher price and take the capital gains. The stock market works in the exact same way. You can make money by: 1) Receive a part of the company you own's (your stock's) earnings in the form of a dividend 2) Sell the stock for a higher price and take the capital gains To a commercial real estate investor, the value of a property depends on how much rent money can be generated from the property given what the owner could get elsewhere. For example if a real estate investor knew he could get $ 10,000 per year in rent revenue, and was equally as confident that he could earn 5% from a US government bond (perhaps a bit optimistic), then he would be willing to pay $ 200,000. This is because if he bought the house at this price, he would earn a 5% return in the form of rent revenue. Of course the investor could also begin to raise rent. As the property nearby increases in value over time, with improvements, or simply due to inflation, this property owner could theoretically hype rates to make his property more valuable. If after 10 years he raised his rent to $ 20,000 per year, then he could theoretically sell the property for twice as much as before. This is because the annual rent earnings are twice as high. This capital gain would actually have resulted in a 7% annual return (which is how much it takes to double an investment in 10 years). Stocks work the same way. The value of a stock depends on how much money the company you own (via the stock) earns. If the company is able to earn a lot of money (like MacDonalds, $ 5.75 Billion in 2009), then the company is going to be worth lots of money. Some companies choose to pay most of their earnings out as dividends, however most companies choose to reinvest earnings back into the company (like MacDonalds Corp for example). The dividend payment is nice, but the company is able to earn a higher rate of return by building more MacDonalds restaurants (so long as the stock price is reasonably high, if it is very low the company may consider buying back and retiring its own shares of stock - which makes each remaining share more valuable). The growth of earnings caused by the additional new MacDonalds restaurants results in higher earnings in the future which results in a more valuable MacDonalds Corp which results in higher share prices which results in capital gains for each shareholder. In 1967 MacDonalds Corp was composed of only a few stores earning around 50 million dollars per year total. In 2009 MacDonalds earned $ 5.75 Billion. This means that MacDonalds' earnings today are about 115 times higher than they were in 1967. Not surprisingly, MacDonalds stock is also about 115 times higher than it was back in 1967 when the price of the stock was around 60 cents per share. Today the shares are trading at about $ 70 per share. Of course this 100 fold return capital gain wasn't the only thing you got from investing in MacDonalds back in 1970. You also got a good chunk of dividends along the way (just in case you needed to buy a cheeseburger). It pays to invest! When you invest in real estate you can make money in one of two ways.

1) Rent the space for earned income
2) Sell the property for a higher price and take the capital gains.

The stock market works in the exact same way. You can make money by:

1) Receive a part of the company you own’s (your stock’s) earnings in the form of a dividend
2) Sell the stock for a higher price and take the capital gains

To a commercial real estate investor, the value of a property depends on how much rent money can be generated from the property given what the owner could get elsewhere.

For example if a real estate investor knew he could get $ 10,000 per year in rent revenue, and was equally as confident that he could earn 5% from a US government bond (perhaps a bit optimistic), then he would be willing to pay $ 200,000. This is because if he bought the house at this price, he would earn a 5% return in the form of rent revenue.

Of course the investor could also begin to raise rent. As the property nearby increases in value over time, with improvements, or simply due to inflation, this property owner could theoretically hype rates to make his property more valuable. If after 10 years he raised his rent to $ 20,000 per year, then he could theoretically sell the property for twice as much as before. This is because the annual rent earnings are twice as high. This capital gain would actually have resulted in a 7% annual return (which is how much it takes to double an investment in 10 years).

Stocks work the same way. The value of a stock depends on how much money the company you own (via the stock) earns. If the company is able to earn a lot of money (like MacDonalds, $ 5.75 Billion in 2009), then the company is going to be worth lots of money. Some companies choose to pay most of their earnings out as dividends, however most companies choose to reinvest earnings back into the company (like MacDonalds Corp for example). The dividend payment is nice, but the company is able to earn a higher rate of return by building more MacDonalds restaurants (so long as the stock price is reasonably high, if it is very low the company may consider buying back and retiring its own shares of stock – which makes each remaining share more valuable). The growth of earnings caused by the additional new MacDonalds restaurants results in higher earnings in the future which results in a more valuable MacDonalds Corp which results in higher share prices which results in capital gains for each shareholder.

In 1967 MacDonalds Corp was composed of only a few stores earning around 50 million dollars per year total. In 2009 MacDonalds earned $ 5.75 Billion. This means that MacDonalds’ earnings today are about 115 times higher than they were in 1967. Not surprisingly, MacDonalds stock is also about 115 times higher than it was back in 1967 when the price of the stock was around 60 cents per share. Today the shares are trading at about $ 70 per share. Of course this 100 fold return capital gain wasn’t the only thing you got from investing in MacDonalds back in 1970. You also got a good chunk of dividends along the way (just in case you needed to buy a cheeseburger). It pays to invest!

]]> Comment on I would like the trick of trade on real estate know? by James Kyle Sanders http://reiuniversity.com/i-would-like-the-trick-of-trade-on-real-estate-know/#comment-3713 James Kyle Sanders Mon, 14 Mar 2011 11:20:56 +0000 http://reiuniversity.com/i-would-like-the-trick-of-trade-on-real-estate-know/#comment-3713 If you want an excellent rapid education in real estate, go to www.express-success.org. I offer a complete on-line real estate course together with many others. I hope I can be of assistance. -Kyle Sanders If you want an excellent rapid education in real estate, go to
http://www.express-success.org. I offer a complete on-line real estate course together with many others. I hope I can be of assistance.

-Kyle Sanders

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