Tuesday, June 28, 2005

Wannabe Millionaires

Dear Readers,
There was an interesting article at CNN Money about the current No Money Down Real Estate Mania. With the real estate craze going on, more wannabe millionaires than ever are flocking to the gurus to teach them how to get rich with no money. These gurus make it sound like you can do deals with no money, no job AND no (bad) credit. Sadly, many of these "students" are sorely disappointed at the difficulty and complexity. No money is one thing, but a job and decent credit helps immensely. It has been done, and can be done... but it's not as simple as they make it sound! The truth is, it's easier to do no money down deals in a slow market when buyers are not so plentiful.

I work "creative financing" deals with investors... but it's not easy. There are no money deals out there, but not everyone has the temperament or ability to actually carry through, and when you're a new investor it's difficult to come across as credible.

This kind of reminds me of the Gold Rush Days. It wasn't the miners making the money, but the guys selling the picks and shovels. Do you see the correlation here?

Anyway, good article. I recommend reading it.

Have a great day,

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