Anyone that tells you that getting rich in real estate is easy is either kidding you or wants to scam you.
Some years ago, a spokeman for a securities investment company on a TV commercial had the right answer about why to invest in secuirties through this company. Because they (the company) earn their income "The Old Fashion Way".
In other words, to earn is to learn. Learn as much as you can about how mortgage lenders (individuals or institutions) look at borrowers and the real estate they wish to purchase. Credit scores, cash equity and the true value of the real estate the borrower wants to purchase is the only test that lenders are concerned with.
If each passes the test, the borrower stands a good chance of getting the loan. The wealth part of real estate investing comes in how one repays the loan and leverages the equity they now have in the newly acquired real estate to make future real estate investments.
Obtaining a loan from the same lender on any other real estate investment establishes the ground work for a trusted relationship between borrower and lender. But you don't have to use the same lender each time if you don't want to. Just pass the same test. it gets easier as you go along. Also, it's wise to associate yourself with a seasoned real estate agent, mortgage broker and real estate attorney. Happy Hunting!
Real Estate Investments-Are you a qualified buyer?
Posted by cjfrealty 04:17 PM 08/18/08