5 ways to make money in Real Estate
If you want to get wealthy, just do what the wealthy do…nothing illegal. Name any well-to-do person or a corporation you want, and you will soon find out that they have some interest in real estate.
As shocking as it may sound, McDonald’s is considered one of the largest real estate companies in the world. In 1956, Harry Sonneborn got on board and convinced the owners to lease and then sub-lease property to their franchisees, or just flat out buy the land and build a store, then lease it out. McD got into real estate, and has not looked back since. McDonald’s, according to some sources, owns over $28 billion in land and buildings. They are applying some of the 5 principles I will mention below. They are not done either, still actively pursuing more land.
Owning real estate has tremendous advantages over any other commodity.
- It cannot be moved, thus can’t be physically stolen.
- Everyone needs a home, thus always in demand.
- Don’t Rent
One of the simplest ways is to stop renting and buy a property. You can purchase with as little as a 3.5% down payment. A portion of your payment will go toward the principle, so eventually you will own a property outright, plus you will get some tax benefits while paying it off.
This is for the little more adventurous type, but ton of fun. Find a property that may need some work, and fix it up.
Flipping homes is not for everyone. There are in general, two ways to flip homes. In both cases you would purchase a property and fix it up, but one option would be to live in it for a year or two, and other is to sell it right away.
Yes, Rent. Purchase a property and rent it out. This is a big part of McD’s portfolio. While you may be holding a note, someone else is paying it off by paying you rent. Plus you get some tax benefits.
This is the most stressful and you must commit to it all the way, or else you will lose the money and property. But you will get the satisfaction of building a house to your specs.
Real Estate – “I’m lovin’ it”. Would you like fries with that?
Living in Texas, most people have heard about foundation shifting, a house needing a lift. But have you ever wondered how much your house weighs? Or what it would take to get it lifted with balloons? As a rule of thumb around the construction industry, a single story...read more
With the Dallas Real Estate market hotter than a Texas summer, many people are jumping on the band wagon of buying a house. Don’t get me wrong, I thing everyone should own at least one house, if possible even more. However, before you start shopping, there are a few...read more
Front Door Over the last decade, I have visited countless homes and one thing that always stands out is the front door. The front door can set the tone for what the house is like on the inside, it is the first impression of a house, and many times the ONLY impression...read more