re you getting consistent recent years, private mortgage
10-15% or more yields from lending might be the perfect
your CD's, Stocks, Savings investment tool for you. As a
Accounts, IRA's and other private lender you can make a
investments? If not, read on... high rate of return on your
investment. How high? How about
Did you know that there is a very 10, 12, 15% ... and sometimes
safe investment that produces even higher!
consistently high yields while at
the same time provides security So how does this work? Real
and liquidity? I'm referring to estate investors often come
an investment secret that banks across great deals and they need
and financial institutions use. to get them funded quickly in
Smart people have been utilizing order to close the deal. We are
this investment for years. This referring to investors who buy
secret is very common in real run down properties at a deep
estate circles and has been going discount, fix them up and then
on right under your nose in every sell them for a great profit.
city in America. It's called These "rehabbers" need access to
mortgage lending. So how is that money quickly and can't wait
a big secret you might ask? The months for a traditional bank to
secret part of this is that you wade through all the paperwork.
can make this same type of
investment and make far more than Now you can get in on this
a regular bank does! lucrative business without even
picking up a hammer. Basically,
If you have funds to invest but you become the bank in a real
are afraid to try your hand at estate purchase. You lend your
the stock market because of the money on a piece of real estate
massive losses experienced in the same way that a bank does.
The difference is that you can estate for only 70% of what it's
make a lot more than a bank and worth. Should you ever need to
... your investment is much recover your funds you can take
safer! back a piece of property worth
far more than the amount that you
Since you have funds ready and put into it. This "equity
waiting to be invested, you are a cushion" allows you to sell the
real estate investor's dream come property, if necessary, and still
true. Investors are willing to make money. Even banks aren't
pay you high rates of interest that secure in their investments.
for quick access to money when Banks can get in trouble because
they need it in order to pick up they make loans at 90%, 95% or
a great deal. Plus, these even 100% loan to value ratio.
rehabbers typically only need to They leave no room for error.
borrow 70% or less of the house's
value in order to buy and fix it Most of these rehabbers only need
up. the money for a short period of
time. Since they are buying the
So how is this possible? These property to fix up and resell,
investors know how to spot they do not need a 30-year
properties that need work, and mortgage as a regular home buyer
how to find sellers who want to would. Therefore, you get your
dump their property and are investment capital back in a
willing to accept a deeply short period of time at a much
discounted price just to get rid higher rate of return than a CD
of it! held for the same amount of time.
What this means to you as the
lender is that your money is When investing your funds make
secured against a piece of real sure the transaction is set up
with an attorney or title can loan out these funds that
company. Never hand an investor a were previously unavailable for
check. Make sure the investor you to use, plus make them grow
gets title insurance and property tax-deferred or tax-free! While
insurance with you named as "loss there are limits to how much you
payee" to protect your can contribute to an IRA each
investment. Know what you are year, there are no limits to how
getting into and what the much your IRA can earn. You're
investor intends to do with the not contributing funds, now
property. you're investing those funds!
After providing the funds, you Private mortgage lending is a
will get a mortgage or trust deed great way to build wealth that
in first position recorded most people aren't even aware of!
against the property. You now Now you can take control of your
have used the same technique that IRA funds, pension plans, savings
the banks use except you are accounts and CD's and earn high
making a much better return and a yields safely and securely. While
much safer investment. others are complaining about the
low rates and losses they have
Want to earn 15% in your IRA or incurred, you can be earning a
pension plan? Making real estate consistent return of 15% or more!
loans is now a widely accepted
use for retirement funds. Now you
About the Author:
Steve Groom, http://www.HomeBuyersMD.com is offering for a limited time a FREE Special Report &/or audio CD entitled, "Here's a Safe Alternative to the Stock Market." Call the 24 hour message line toll-free at 1-800-761-3424, ext. 5 to request it, or get it now at his website.
Source: www.isnare.com
