How to Get Private Lenders & Lines of Credit to Fund Your Business

What we are going through – right now – is an economic revolution where there is going to be the greatest redistribution of wealth that we’ve seen in the last 100 years.  The greed of banks have really made a mess of things.

While credit from banks have dried up, there’s a whole population of private money investors that are looking for opportunities to invest their money.  And even now—especially now, real estate can generate extraordinary returns for the real estate investor and their private lenders.

Why?  Because buyers with cash from private lenders can literally name their price.  This means getting deep discounts of only 20% to 40% of market value.  And a prices like those, investors can still sell at a discount to homeowners and still make hefty profits.

Wouldn’t it be tremendous, if you could get in on the secrets of borrowing private money?  I’m talking about friends, family, private money funds, and angel investors.

What’s In It For Me?

The first key ting you have to address is WIIFM (which is not a radio station) it is an acronym that stands for  “What’s In It For Me”.  That’s right- private individuals just like the banks are motivated by the greed factor.
So “What’s In It For Me” is really the question on which rests your private money borrowing success.

Since this is the first thing on a potential investor’s mind, wouldn’t it make sense to start the conversation by telling them?
How much you offer really rides on the kind of private lenders you are presenting to, and what expectations they bring to the table.  For friends and family – their expectations are based on CDs or the stock market.  So for friends and family consider offering a 10% or higher returns.
On the other hand, for private lenders of high net worth (like angel investors), they regularly look for investments with much higher returns.  To be at all interested, they would expect returns of 15% or higher.
Wouldn’t it be great, if you could borrow the money with no interest, no payments? 

Then consider offering instead of interest, an equity—a percent of the profits.  And if the private lender does want regular payments, you can use mixed funding.

Make the interest payment low enough to still get some cash flow from the property, and supplement the return to the investor by adding what’s called an “equity kicker “ i.e.,  offering a percent of the profit to the investor to increase his yield.

Real Estate investors who would like to learn more about working with private lenders and creating a financing plan can take advantage of a new resource I’ve created called the INVESTOR WEALTH NETWORK .  In it I give my personal tips tricks and techniques for funding your real estate deals, with particular emphasis on finding, preparing for, and presenting to private money lenders and other high net worth invdividuals and funds.

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Everyone’s worried.  The media and candidates are having a field day blaming their favorite scapegoat.  Should we fire bank CEO’s? Should we nationalize banks? And how can we “Make sure this never happens again?”

Congress wants to make laws (of course) with more stringent regulations (that will probably only screw the small investor).  So, let’s take a step back and take an objective view of how this problem developed.

Craig Nichols wrote me last month with a very perceptive comment about the “mortgage meltdown:  “The banks were fulfilling a mandate of Congress. Congress caused this mess. The Community Reinvestment Act of 1995 was revised/written to relax the underwriting standards, so that more people could qualify for loans to purchase houses.”

Let’s follow the trail from here. 

First, let’s understand, banks like insurance companies lend money (or write policies) based on a mathematical assessment of risk - it’s called underwriting.  For banks, based on credit score, debt to income ratio and other parameters, the lender can decide to whom and how much to lend to keep defaults (losing the investor’s money) to a minimum. 

Congress of course failed to understand this (or more likely ignored this) so they could get a social pat on the back from constituents who could now buy homes.

Now we get to the next disconnect.  The banks certainly knew the consequences of “relaxing their underwriting standards”.  However, with a mandate and pressure from Congress and the opportunity to make literally Billions in more revenue, the entire system of checks and balances was subverted.

Qualification requirements were certainly relaxed, but this is not what caused the major damage.    To really open the revenue floodgates that the banks’ shareholders were now expecting, the banks had to vastly expand the pool of available homebuyers.  They did this with the indiscriminate use of  ”no doc”, “stated income” and “adjustable rate mortgages (ARM)”. 

“No doc” and “stated income” allowed borrowers with decent credit scores to lie about their income.  Thus, allowing many who clearly would not qualify based on their ability to make the mortgage payments to get loans. 

The ARM’s gamed the underwriting system, since qualification was based on the income needed to make the payments on the abnormally low first 6 mo or 1 year “teaser rate”.   These rates got so ridiculous that homebuyers making $30,000 a year were qualifying to buy $500,000 homes!

But, the real killer with the ARM was, that when the rate re-adjusted, to a higher than average interest rate, default was virtually inevitable.  And this sowed the seeds for the enormous disaster that has come to pass.

So, how did the stock market become involved.  Well, most banks do not hold the mortgage notes they lend on.  They package these notes into “Mortgage Backed Securities” (MBS) and sell them to Wall St with the help of Freddie Mac and Fannie Mae - 2 semi-private (until now) corporations. 

 Now, these 2 corporations (probably also motivated by greed) did something that was financially unconscionable and unethical.  They packaged and sold these loans to Wall St as if they were “A” paper with investors paying premium pricing, for loans that were very likely to go into default.  That paper was actually worse than “sub-prime” because the possibility of default was almost certain.  I doubt Wall St would have bought these loans or at least downgraded them to junk bonds, if they knew the real risk.

So, when the foreclosures started mounting, everyone from the banks to the big Wall St brokerages houses went down, precipitating a worldwide financial crisis.  

Personally, I don’t know how to fix this.  It is certainly unclear whether the 100’s of billions of dollars are going to make a difference or even the right difference.  However, do have a suggestion to help avoid having this type of thing happen again.

First, we don’t need more regulations.  It wasn’t the banks that started this, it was Congress who made a bad law, whose consequences they didn’t forsee or chose to ignore.  After that, the profit motive, greed and human nature (none of which is going to change) took over.

So, what can we do, to protect us from our lawmakers.  In the Constitution, we have checks and balances.  An executive branch has the power veto, and the judiciary has power to strike down bad laws (after the fact).

What we need is a separate branch of government that can quash bad laws or laws with serious “unintended” consequences before everyone suffers.  So, let’s set up a new branch of government - the Oversight of Unintended Consequences”.  A branch that would be free political considerations and could point out to the American people and Congress the serious repercussions of ill-thought out laws and regulations.  Perhaps, there could a sort of “legal underwriting”  that could assign a “threat score” to any proposed regulation.  Only proposals with a threat score under a certain threshold would be eligible to become law.

What we have now is the consequence of a very bad law, that took 13 years to threaten total financial meltdown.  And by the way, even if the 700 billion solves the problem, it’s a cost that is coming out of our pockets, and is weaking the economic strength of our country. 

And how many other “bad laws” are going to have very unpleasant consequences that we have not yet forseen.  We have the intellectual resources and technology to make such forecasting a reality.  Maybe we should consider it before the next disaster overtakes us.

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I got this response from Craig Nichols to one of my posts:

“In your email message, you made the following statement ‘the mortgage mortgage meltdown which was caused by greedy banks, ripping off the Wall St investors’.  The banks were fulfilling a mandate of Congress. Congress caused this mess. The Community Reinvestment Act of 1995 was revised/written to relax the underwriting standards, so that more people could qualify for loans to purchase houses.”

Craig, I agree that whenever Congress passes any law, there are usually “unintended consequences” that usually do more harm than good.  So, the less Congress does, the better.

And, in the case of the mortgage meltdown, what brought the situation to the “tipping point” was not simply relaxing underwriting standards.  A chief culprit was collusion by the banks in how they decided to underwrite ARM’s (adjustable rate mortgages). 

In particular, as most readers know, an adjustable rate mortgage starts out with some really low interest “teaser rate”.  Sometimes the rate is also interest only which lowers the monthly payments enormously.  Now, if the loan underwriters use this low introductory monthly payment to qualify potential borrowers, you get borrowers who only earn say $30K/y qualifying to buy $300,000 to $500,000 homes. 

Of course when the rate re-adjusts in 1 to 5 years, the interest rate jumps to double digits, and starts to amortize.  a $750 monthly payment jumps to almost $3300 which is more than their entire salary.  Obviously, foreclosure is inevitable.  This is now the fate of 100,000’s of homeowners.

And as I mentioned in my last post, the “Economic Recovery Act” just passed by Congress does nothing to address the problem.  It’s simply a hand out to Fannie Mae and Freddie Mac. 

What really has to happen is that the banks need to loosen their credit policies and only surgically correct those practices that got them in trouble in the first place–e.g., the underwriting of ARM’s and stated income loans. 

Maybe this is something we can write our congress-people about.

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This may sound a bit presumptuous.  And after investing in all levels of real estate for the last 10 years, I believe these insights will be very helpful to the general public suffering from the tightening of credit guidelines and especially our legislators, who could really stimulate the economy by acting on the suggestions in this article.

First, let’s be clear, that the “credit crisis” or “mortgage meltdown” was caused by institutional lenders gaming their own underwriting system by the way they approved adjustable rate mortgages or ARM’s.

You see, one of the primary determinants of whether a borrower gets approved for a mortgage is whether the borrower can afford to make the monthly payments, which in turn depends on income, debt payments and the amount of the monthly payments.  With fixed rate mortgages, the monthly payment is the same from the first payment to the last.  With ARM’s there’s a very low “teaser” rate for the 1st 6mos to 2 yrs, then the rate jumps enormously. 

So, when the banks decided to qualify the borrower based on the “teaser” rate, you had a situation where couples earning as little as $30,000 per year were qualifying to buy a half million dollar house!  Of course, when the rate adjusted, the monthly payment became almost as much as their monthly take home pay and foreclosure was inevitable.

The banks initially got away with this sleight-of-hand, because all these loans were packaged and sold to Wall St, before they defaulted.  It was the “meltdown” of these mortgage-backed securities that threw the market into turmoil.

The banks, decided to look like they were acting more responsibly by “tightening their credit requirements” across the board - basically making much, much harder for individuals, businesses and other credit suppliers to obtain loans.

Predictably, all this did was turn a problem into a huge crisis that is hurting the entire economy, and in particular is actually worsening the problem, the banks need to solve.  That problem is the accumulation of billions of dollars of foreclosed homes in the banks’ inventory–also known as non-performing assets.

Why did the credit tightening worsen the foreclosure issue? Because the only way to get rid of the banks’ inventory is to sell the property.  The tightened credit requirements have greatly shrunk the potential buyer pool for these properties.  And if you think about it, the foreclosures were and are being caused by lack of borrower income to pay the note, not their credit score!

So, what’s the solution that will get all these foreclosed homes off the banks’ books, and return the property to homeowners and relieve the burden on the economy.  It’s not going to be a government bail out, or the ludicrous Economic Stimulus Act, which is just a hand out to Fannie Mae and Freddie Mac.

What needs to be done, is for the banks to sell the properties they’ve accumulated at a sufficient discount so that investors will buy, fix them up, and then sell them to ender users.  Investors are, and have been a massive source of private money for this type of real estate acquisition.  And this is a common practice at most banks that has been going on for years. 

Now, what needs to be done, is that banks need to instruct their Loss Mitigators to sell these properties at whatever discounted price it takes.  And Corporate Management should incentivize them by giving them bonuses based on the number of properties sold.

Second, the banks need to roll back their credit requirements to the pre-2008 standards and tighten up the underwriting of ARM mortgages so that the adjusted payment (based on current interest rates) is used in the calculation of the debt ratio.

Why should the banks agree to do this?  First, they’ve written off these loans already.  Second, divesting themselves of these non-performing assets will increase their borrowing power.  Third, they are not going to recover any amount of their investment any other way, because these unoccupied homes are rapidly declining in value due to vandalism, and neglect.

This is a Perfect Solution, because it would remove the non-performing assets from the lender’s books and restore them to solvency.  Second, loosening up the credit requirements (which did not cause the problem in the first place), would stimulate commerce, and loan approvals which would increase the banks’ income.

And Best of All, it would stimulate the economy by restoring credit availability without costing the government or taxpayers a dime!

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I got an email from a subscriber that asked: “If a investor can give you 100% money to invest in real estate. What is the best JV arrangement you can offer him to have a workable and sweet agreement acceptable to both parties? (investor is sophisticated accredited investor).”

This is a great question, and there are 2 issues you need to address to raach an answer:

1. What are the expectations of the lender?

2. What can your deal afford to offer?

The first question is easy.  Just ask the lender!  They’ll usually tell you.  Find out what kinds of returns they’ve gotten on other investments they’ve made.  Also, establish their risk level.  For example, someone who invests in start ups may have made a killing on one particular company, but other companies may have been a total bust.

It’s not likely you can offer 10 fold returns on a real estate investment if your investor is funding the total acquisition cost.  This is why it is important to establish with your investor, what their return and risk balance is.  Real estate has less risk and more security (when you know what your doing), than most other investments.  (Return OF investment is important to all investors).  And you can add an ”equity kicker” to your offer to increase the return for the investor.

However, how high you can go, or how much you can sweeten the pot depends on your deal.

To decide this question you need to consider:

1. The cashflow and profit generated by your transaction projected over the time until you pay off the investor.

2. The financial risk - that is, in the worst case scenario, you should be able to still pay your investor what you promise.  This is critical, because losing money for an investor is going to put a mighty big dent in your ability to raise money from other investors.

This is not a trivial exercise.  To project your return from the deal, you have to factor in rental increases, expense inflation, all the operational costs including managing the property, appreciation rates, carrying costs, selling or refinance costs, etc.  And you should make conservative assumptions.

The second and more difficult challenge is factoring in the financial consequences of what happens when things don’t go according to plan.  Like, what if you have to evict a tenant(s)?  What if the renovation takes longer and costs more than you predicted?  What if the property doesn’t appreciate as much as you’d hoped?

You cannot afford to look at your deal through “rose-colored” glasses.  You need to have a “Show Me the Money” attitude.  In other words, what do the numbers show when the deal is subjected to various “worst case” scenarios. 

And, finally, once all the numbers are in front of you, you have to decide how much you’re going to want to take away for yourself.  Once you have your bottom line, you can calculate the maximum amount the deal can pay your investor.

Now, all these analyses and calculations are probably daunting to most investors.  Especially the work of making the risk analysis.  However, there is one piece of software that can reduce this entire task to a 5 min exercise.  Just plug in the numbers and read off the results. 

It is an expert system we’ve developed, called the Deal Evaluation Tool.  It is the result of our 10 years experience doing all types of real estated deals, and conversations with many experts.

I use it for every opportunity that comes across my desk.  After fine tuning it with a nice return for us and our investors, and taking account of the risks, I use to to make offers, and negotiate deals.  With it, I am always in a strong negotiating position, because I know my bottomline and when to say “Deal or No Deal”.

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You may have heard, the President signed the “Economic Stimulus Act of 2008″ into law.  Basically, it’s a big hand out to Fannie Mae, and Freddie Mac.  The Banks that caused the whole mortgage meltdown in the first place, are also likely to scoop up some of the cash.

But how will it affect us investors, let alone the homeowners?

Well, for starters, homeowners are still screwed.  You see, the act allows Fannie Mae to underwite mortgages to a higher amount, and it raises the limit for FHA loans requiring a 3% down payment.  Sounds, great, right? 

But think about it?  If you’re selling home and requiring your buyer to obtain financing, what is the major challenge?  It’s not the down payment or the limit on the loan amount–it’s the buyer’s credit qualification.  And as you are probably aware, banks have raised the bar considerably.  The minimum credit score is much higher, stated income loans and no doc loans are virtually non-existent, debt-to-income ratios are lower.  That has pretty much eliminated a large chunk of the buyer pool.

So, selling to owner-occupying buyers is going to remain difficult, and if your potential buyer has to sell their current residence before they can buy yours- well… Let’s just say I would NOT advise a seller to allow a financing contingency in the purchase and sale agreement.

Now, how about another benign sounding provision–a hand out to cities and towns with high foreclosure rates to buy up REO’s, fix them and sell them.  It’s obvious, that if you are an investor competing against one of those grants, your out of luck.  Banks of course, are going to benefit, because they’ll be able recoup practically all their costs on these bad loans, with free money.

And what else will happen?  These grants are going to depress property values in any area they are used.  Why, because the government entity is going to be motivated “as a public service” to sell these houses cheap, so more of their residents can own the American dream.  If you’re in the real estate buying mode, wait for the drop before you buy.  If you’re in the selling mode, you are just going to have to wait even longer to cash out your equity.  Be sure you have a positive cashflow, because you’re going to be waiting for quite a while.

So, as usual, the government has meddled with the economy using our tax money, to support the big campaign donors - the banks and the mortgage establishment.  Everybody else, is just SOL.

The solution to the housing crisis is one heck of a lot simpler and straightforward.  To slow down the foreclosure firestorm, give all homeowners with adjustable mortgages the right to negotiate loan modifications to convert to fixed rate, retroactive to the beginning of first adjustment period.

Second, and most importantly, is get the lending institutions to roll back, some of their stiff borrowing requirements.  The lending criteria were not unsound in the first place.  It was the banks own underwriting sleight-of-hand, that caused the crisis.  Because, they allowed the borrower to qualify for the mortgage based on the artificially lowered 1st year (or 6mos or 2y) payment, instead of the rate when the loan readjusted.  This allowed them to collect big loan origination fees from people who couldn’t possibly afford to pay the mortage payments once they adjusted.

Of course, to implement this, banks would have to admit to their greed and avarice that caused the problem.  That ain’t gonna happen.  Speak about “truth in lending”! Ha.

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WIIFM

This acronym stands for “What’s in it for ME”.   And if you want to interest anybody in your project, it is the first question in their mind that you have to answer.  It’s not about your deal, or how much you know.  It’s about them and what they want.

Remember Dale Carnegie’s famous book “How to Win Friends and Influence People”.  It was published in the 1930’s and is as true today as it was then–because it talks about a fundamental truth of human nature!  After all, what you are looking to do with a private lending prospect is to:

1. “win friends” - that is build their trust

2. “influence them” to invest in your project.

Well, it is part of human nature to ask “What’s in it for ME”.  Even altruists, and saints ask that question same as a business person or a wealthy person.  The only difference might be what they consider a good reward to be.

So, in order to communicate with anyone, you have to first get their attention, and keep their interest.  And the  best and simplest way to do that when you want their money, is to tell them what their going to potentially get if you listen to you.

You could start off a conversation by saying something like, “Joe, Do you have an IRA or other investment capital, that’s not earning 15% and secured by real estate?”  Of course you will modify this depending what return your planning to give, and what security (if any) there is for the investment.   Or you could try: “Pam, would you be interested in earning 15% on an investment secured by real estate?”

Now, if the person says no–end of conversation.  However it’s been my experience that most people will at least want to hear you out.  And, of course, it’s much easier talking about your deal to someone who is already interested, than someone who’s resisting or bored.

Now, a lot of students ask me “how much should I offer a private lender”.   Well, the only true answer is that depends.  The key is to know what kind of return the person is normally getting from their investments, and what would be a significant improvement over that. 

For example, with friends and family who I would generally classify as unsophisticated investors, their investment experience consists of savings, CD’s, stocks and mutual funds.  Savings and Cd’s don’t even keep up with inflation.  The stock market has been rather pathetic over the last ten years producing a measly 2.5% annual return.  So for these private money prospects, a 10-15% return should sound pretty good.

For more sophisticated investors and high net worth individuals, a higher rate of return is expected since they have many more investment options. 

However, there is one more key consideration:  How much can your deal or project afford to pay an investor.  If you are offering regular interest payments is the cashflow sufficient so that you can pay your investors, even in the worse case scenario.  The answer had better be yes.  More on that next time.

By the way, if you want to learn everything you need to know for private lending success, I’ve created the absolute best and most comprehensive funding manual you will ever see called “Show Me the Money“.  It contains step by step instructions on how to get money from private lenders, high net worth individuals, lines of credit, financial institutions, buyers, sellers, notes, and much, much more.   And, it’s a ridiculously low investment (for now!).  Click here and Get in NOW.

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I saw an article in a recent issue of Forbes about guy who is buying foreclosed properties at the steps.  The article relates how he bought 2 properties worth $725K for $400K each using $120K in savings and $680K from a line of credit.  He sold the homes 6 weeks later for $689K each, and netted $485K from the total transaction. 

Not bad for 6 weeks work.  Now this guy had a credit score of 819, which allowed him to get preferential treatment from the bank offering the 680K mortgage.  The article didn’t say what his income was.  However, you can see what a really good credit score can do for you.   Now, most folks don’t have credit scores in that range, but I know where you can go to raise your score to that level and you don’t have to do a thing except fax in credit reviews that you recieve in the mail (you also have to stop doing any stuff that’s ruining your credit, like paying late, etc.).  For those of you that want to check it out, go to: http://www.investorwealth.com/credit.

Now, as big money goes, the $800K that this guy used, sounds like a lot, but it really isn’t.  Let’s suppose you really wanted to flip houses in bulk.  After all, most real estate investors know how to do this.  They just don’t have the money.

Well, suppose you found some private lenders, that you agreed to pay 15% for the use of their funds and that money would be paid back in 3-6 months.  That’s a pretty awesome return on their investment.  Furthermore, why buy properties on the steps?  It’s hot, sweaty, takes a lot of time, and your carrying around big cashiers checks you may or may not use.

Better, call the banks directly and ask for the REO department.  Now, if you want to buy a single house, they may not be interested.  However, if you want to buy say 10 per month, that will not only get their attention, you can probably get an even better discount.  In fact, a colleague of mine is doing exactly that, and picking up homes at 40 cents on the dollar.

Now suppose after all is said and done, he makes $100,000 per house and is selling them well below market.  That would net him $1 Million per month!  Great plan–yes?  If your buying 10 homes at $200K each, that’s $2Million per month of funding.  So all we need is the money.

Unless you’re fantastically wealthy this is not a game you’re going to be playing with your own resources.  You’ll want to be talking to high net worth individuals like angel investors, private fund managers, and financial planners with high net worth clients.  For some this would still be too small an investment.  And there are others that would be excited to participate in the opportunity.

Want to get stared.  There’s some groundwork and preparation you’ll need to establish yourself as a credible investment option to these sophisticated investors.  Doing so, is a pretty straightforward process.   

To get started I highly recommend you get your hands on my “Show Me the Money” training manual.  There are several chapters devoted to raising private money, including millions from high net worth individuals.  Just use this link or click on the icon on the right side of this page.

Do this right and the current foreclosure crisis will make you one the high net worth individuals your desiring to borrow from right now.

Posted to Angel Investors, Business Lines of Credit, High Net Worth Lenders, Multiple Funding Strategy, Private Lending
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This credit crisis is really hitting home with real estate investors and other business owners.  Even though the banks caused it by making ARM loans to borrowers who they knew couldn’t afford it.  Instead, they’ve tried to shift the blame by coming down hard on the very people who could help the situation.

Unfortunately, as business people we must remember the Golden Rule of Financing: “He who has the gold, makes the rules.”  In other words, it’s a waste of time and energy to try to convince a loan officer to bend the bank’s rules–it ain’t gonna happen.

Instead, let’s imagine we’re playing a real life game of Monopoly.  You can’t change the rules, but you can come up with a winning strategy.  Well, I have found out about a winning strategy, that you are going to just love!

I was talking to some friends of mine about the situation, where deserving business could not even obtain lines of credit, even with good credits scores.  And they told me about a “back door” around the credit crisis problem.  I don’t know how long this “back door” is going to stay open.  As more businesses learn about it, the lenders may crack down on it.

Anyway, I’m going to let you in on it, because anything I can do to help legitimate business raise money is my mission.  So, if you’re needing some spendable cash for your business, you should really check this out.

Now, before you click the link below, I want you to read this carefully.  There is a very specific and precise system for getting around this back door.  So, when you go to this site, you must follow the steps exactly.  Don’t try to take any short-cuts.  And once you start filling out the applications, you must complete them within 24hrs–otherwise you’ll lose out on the potential of having $10,000’s or even $100,000’s by next week!

And some of these cards offer interest-free grace periods for up to a year.  So, if you are interested in obtaining Business Credit click this link.  And Good Luck.

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In real estate, you don’t get what you pay for.  Instead, successful investors pay for what they get.  This is especially true for buying income properties. 

I saw a recent article with the headline “Office Fundamentals weaken in the 2nd Quarter (2008)”.   The article went on to point out that the vacancy rate in office buildings nationally was increasing due to decreasing demand even with low delivery of new space.  And that surburban offices are feeling the biggest crunch.  In fact, an accountant friend of mine, just gave up his surburban office in favor of his downtown office.

Obviously, this is a symptom of a weakened economy, brought by greedy banks that caused a mortgage crisis and credit crunch that are percolating through the economy.

Does this mean you should not invest in office buidings.  Not necessarily–especially if you only pay for what you are buying. For example, if you are considering a half-empty office building only offer a price based on the income from a half-empty building. In fact, considering the trend in office occupancy is negative, it is crucial to examine the stability of the current tenants in the property.

Also, just like we advise investors in single family homes to build a buyer’s list, buyers of commercial property need to created a “tenants list”. You also need to expect that in a buyers market, your prospective tenants are going negotiate harder for greater concessions, and lower rents.

You’d better take all these factors into your projections and factor them in to your offering price. Now, you may be thinking, “but, Richard, if I do that, who’s going to take that deal?” Hah. The answer is only the sellers who are motivated to do business with you on your terms. If not, NEXT! At least you’ve saved yourself the financial stress of a money-sucking investment.

I know it can be quite a chore to go through the complex analysis of the kind I’m suggesting. Well, I’m happy to say, you can cut the time to minutes if you use my Expert System, called the ‘Deal Evaluation Tool.’ Not only can you project for up to 10 years in the future, the profit, and cashflow of any type of property, and model any kind of scenario of financing, rent, and occupancy changes, etc. You also get expert advice on the amount of financial risk you are taking. A rosy profit picture isn’t worth much if the chance of failure is high. Anyway, if you want to get a copy of this amazing tool, just click here. (or you can get it for Free if you are a member of our Inner Circle).

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