OfflineSo, far I have begun to take notes on the first chapters of Dean's book. I set a goal to earn $60,000 dollars by the middle of February. I have a loft that I want to rent in Downtown Kansas City. I just need to figure out a strategy I can use to earn that amount of money. I know wholesaling would be a good strategy to use, but I don't think that it would achieve my goal. I could use that strategy to pay my rent and expenses on a monthly basis and build up some money to put down on some properties. However, I still want to find out if I can do lease options without any stated income. There is no way a bank will give me the deed to a mortgage. I need to find out if I can still do lease options without having stated income. I know its possible, but what do I need to do to make it possible? Also, How much money could I pocket on a lease option deal as compared to a wholesale deal?
I set my goal to move into my Kansas City loft, so I need a strategy that I could work on a full-time basis to earn at least $3,000 dollars per month starting out to cover expenses and begin reinvesting money into my business. I know its a challenge, but I am willing to devote 50-60hrs. a week to make it happen until I can start purchasing properties that cashflow. But heck I might be able to earn cash on lease options and still find a way to earn a passive income. I don't know.
If somebody could help me figure out a strategy, I would be grateful. I don't particularly want to here someones perspective on whats not possible. If thats the case then I don't want the feedback. However, if someone could help guide me by telling me how to reach my goals without stated income, I am all ears. I know its going to be hard work which is why I want to do it full time, so I'm sure its possible. I also have good credit and a stomach for risk, so I am not backing down from a challenge.
Brian Powell Jr.
What's money? A man is a success if he gets up in the morning and goes to bed at night and in between does what he wants to do. - Bob Dylan, 1941-?
Risk! Risk anything! Care no more for the opinions of others, for those voices. Do the hardest thing on earth for you. Act for yourself. Face the truth. - Katherine Mansfield, 1888-1923
Thanks for your awesome post on HUD ...I have bookmarked it. I saw you hadn't received responses to this yet, so I thought I would give it a shot.
I'm going to try to be as concise as possible - note that I am a newbie myself (just one deal under my belt so far, but I also have some lofty goals so I relate to yours). So take all of my thoughts here with a grain of salt:
Here is my stream of consciousness for you on this
-If you've got 50-60 hrs to dedicate to this, I truly believe you can do anything you set your mind to for sure!
-$60K by mid-Feb is quite aggressive, but I am impressed with the goal. It may be difficult to gain that quickly, but I do believe your earning $3K a month by mid-February is extremely attainable as you have the time to dedicate
-I truly believe Sandwich Lease Options are a great option for you.
-Try searching for lease option and sandwich lease option on this site...searching for key words always helps me find great blogs on what I'm looking for
-Immediately put Dean's techniques in place to get a buyers list in place (including just home buyers or people who "don't quite qualify" and are perfect for lease options)
-Getting those people "looking for leases" is critical to line up so you will have your "go to" list when you come across properties.
-Setting up your 800 number would be great for this, along with hopefully having a little bit of a marketing budget for placing ads, and hanging flyers in grocery stores etc...
-Tell everyone you know you are now an investor....find pockets of people looking to lease a property ----you could also focus on colleges and universities in your area where graduate housing is needed (people in long term medical programs and law school are perfect). You could leave a flyer with your information at the office that helps graduate students find housing.
-Build an action plan for your "marketing campaign" for people needing housing, working simultaneously with your action plan for finding properties
-Break down this plan to your 50-60 hrs a week - exactly when/where will you spend your time. Set your monthly goal to get you to reach your February goal. Break it down weekly. Break it down daily. And set "how many hours" each day you will dedicate. The discipline of action and your consistency is what matters here.
-Spend your first few days with your marketing plan, flyers, phone number set up, screening, etc...then go full guns finding properties and continue to set aside time to maintain your marketing and keep it consistent through Craigslist, newspapers, local penny papers, signage etc...
-Finding properties - Call "for rents" in the paper and from Craigslist and after asking about the property, and then saying "if I were to pay you on time rent each month, would you be interested in me signing a 2 year lease option?" and then be upfront about being an investor and say "I'm an investor and interested in investing in nice houses in good neighborhoods...would you say this is a nice house in a good neighborhood?"....it doesn't really matter...they are going to say "yes" but bottom line, you are just being honest and upfront about being an investor so they don't feel like they are "in the dark" when you meet them and end up telling them you yourself wouldn't be living in the house. Sometimes they will reply that they are interested in holding onto the house for cashflow for their retirement and not in a lease option. Great, I understand...best of luck to you..you say. But if they are open to a lease option (and many will be....what a great thing for them...on time rent for two years!), then set an appointment to meet. Running the numbers on these and ensuring you will get the downpayment needed from your renter/lease-or along with enough spread on charging more rent monthly so you have a good cashflow coming in...that will be critical.
-Wholesaling will still be a good compliment to what you are doing. You never know what you will come across and having multiple exit strategies (wholesale, lease purchase, etc...) will be key to your success!
-With your aggressive goal, I highly suggest joining the Success Academy and/or at least calling and finding out about it. They can work with individuals on payment, and it is worthwhile in talking to them about it, because you are going to need some "on the spot" advice and the opportunity to call someone that knows what they are talking about, so that you can use that resource when you need it, rather than having to wait for 3 days to research and get the info you need to proceed with your goal. Your goal, from what it looks like, can't wait for you to get your questions answered...you need them answered ASAP to continue! Just thoughts here...as I think the Success Academy will keep you on the fast track, and it looks like you ARE there! You will have many questions, and it will be nice to have them on speed dial as your guide!
-I just realized this is your journal - congrats on starting it!! AWESOME!!
Welcome and thanks already for your awesome contribution here!
I wish you lots of success and thrilled that you have set some great goals to go after. Your time, action and persistence will make all the difference in the world.
Cheers!
Louisa
Current Journal on Dean's site: The Second Chapter: http://tinyurl.com/p986al3
First Journal on Dean's Site: From the Beginning: http://bit.ly/ocv10
Just concluded a deal. The details are listed in the member journal titled FINALLY. Same documents different approach. Hope that this helps.
Fanbot
The greatest force on Earth, compounding interest. - Albert Einstein