Friday, November 21, 2008

My deal of the week

So this is clearly going to be an evolution. Its going to be a process, me developing what I want this blog to be. I hope that people find it useful. Ask me questions. Tell me what you want and what I can help with. There will probably be some boring stuff in here, skip it and come back again. I'll try to get something for everyone at some point. This week, its going to be my deal of the week. The thing that I love about Real Estate, particularly in this market that we are in, is that there is an amazing amount of opportunity to be grasped if people are willing to step out of their comfort zone and reach for the spoon. There will be people that lose large sums of money over the coming years but there are also going to be an incredible amount of people that make FORTUNES off of this market. Those who establish stringent criteria, use people such as myself who are able to identify that properties that meet those criteria, and then make it happen.

There is a great quote by a man I have tremendous respect for, Gary Keller. He said in his book, the Millionaire Real Estate Investor (which is a great read):

Money lives on the other side of fear...Fear keeps us from getting what we want, especially in matters of money. It is true for me, and it is true for you. All of us can look at our lives and count the times when fear stepped in, prevented us from taking action, and cost us a precious financial opportunity...It blinds us to opportunities. It keeps us where we are, stuck in a financial box-a box built by fear, a box built by our own hands...

Now obviously, I understand, especially in times such as now that we have to be careful and not throw caution to the wind. That is why we establish criteria for investments. We establish it and don't waiver from it. If it is sound, we remove the risk.

I look forward to being help many, many people over the coming years build financial wealth. Wealth and freedom from the 9-5s that we all dread. Seize the opportunity in front of you. We may never see another time such as now in our lives.

Without further ado, here is the deal of the week. I have been in this 4 plex. The neighborhood is marginal. Not bad. Not great. Near an elementary school and the lively 6th Avenue district of Tacoma.

The positives: Developing area, close to popular area, structure appears sound and requires minimal work to turn into rental (less than 5k), section 8 possibility (which means secure payments from the government and you dont have to worry about your tenant not making payments). Will cash flow immediately upon full occupancy. Killer Price.

The negatives: The area. It is a catch 22. Time will tell what happens to the area if it improves or not. Right now it is marginal. Needs some work. Currently vacant.

Take a peak.

This expires in 30 days I believe. If you want to find out about it after it expires, send me a note. I don't think it will be available for long however

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