3 Real Estate Investing Strategies that Always Work

three real-estate investing strategies that always work in any timeframe any marketplace any area there are a lot of myths and real estate investing and one of them is that the most successful real estate tycoons are perfect at timing markets they're great at buying properties when the markets really low and then when the market shoots up they may they sell those same properties while that may happen on occasion the vast majority of the most successful real estate entrepreneurs they apply specific strategies that always work and these three I'm going to share with you are among the three most popular that produce consistent results regardless of the timing and also for you personally think about this for a moment when you are doing your best financially it's usually in a good economy when the economy's strong usually real estate prices are going up like they are right now at the time of shooting this video so how can you time it where you buy all the real estate when the market is low and then you resell in the markets high it doesn't make any sense does it because you're typically not in that kind of personal situation where you can take advantage of something like that furthermore we're not really good as human beings at predicting the future I've got a great video called are we in a real estate bubble and if you haven't seen that video yet I encourage you to watch it in fact I shot that video in 2016 and it's more applicable today than ever before and what it proves is that we are terrible at predicting the future so knowing when we're at the bottom or knowing when we're at the top is something that is that is more like a pipe dream than a reality and lastly the reason why it's so important that you understand these three strategies is because regardless of whether you have money in your pocket at that time or not and in regardless of whether you can time the market as you get older you get smarter you get more experience you gain wisdom knowledge and understanding so with each passing year you're better equipped to be a better real estate investor and so therefore when you want to apply the wisdom you have gained you need to apply it at that time not wait and or not somehow get a time machine and go back in time does that make sense all right great so these three strategies are gonna transform if you're not already doing them the way you look at real estate investing because you can apply them at any moment in time and if you get better and better and better at them over time which you should then you'll become more and more successful make sense well hey by the way I'm Phil offski with freedom mentor calm I've been a full time real estate investor my entire career and I am also mentor and coach to many of the most successful real estate investors all across North America by the way if you want a free copy of my best-selling book how to be a real estate investor this one you get it in the top right corners of these these videos and I am so passionate about sharing what I have learned over all these years because I know it makes a huge impact on y'all's lives and I appreciate it when you drop comments the deals you closed and the money you've made from watching these videos because that's what I'm doing it for I want you to be more successful I want you to be rich and very very happy all right so moving along here to be happy with real estate investing you've got to be successful in any market condition so with the three strategies the first one is pretty obvious and that is I'm going to say rentals now I'm gonna go one step further not just renting real estate I'm specifically talking about residential where people live in the property because people always need a place to live good times and bad times in fact when markets go down typically more people rent now in this particular case in point here in the United States in 2018 we've seen a trend where there's more renters than owners than ever before and that's partly because the millennial generation and that they are buying less homes in or they're waiting longer to buy a home rentals and residential will always work now obviously you've got to be strategic about that you have to buy the property right you have to have a certain amount of rental income so you can pay the taxes and the insurance and all those things I've got a great video on how we personally turn single-family homes in the cash flowing machines there's a video link right there and that takes you in depth on what we're doing to really put house income on steroids but the bottom line is this will always work good times and bad you can buy rental properties when the markets at its peak yes you can in fact I've got a video on that as well how to buy real estate and in a hot market so you can still make money if the numbers work and this one right here has made as many or more millionaires than any other strategy or technique that exists out there alright great so rentals but then we go a step further here because it's not just rentals problem with rentals is you need money you need money for a down payment in some cases money to fix up the house in some cases money just in the form of a almost like a line of credit so that if the tent doesn't pay you and you have to pay the eviction costs and the attorney Lee and legal fees so rentals are great so long as you got some money and some credit and all that kind of good stuff but what if you don't what if you're first getting started well that's where wholesaling comes into play wholesaling and if you've never heard that phrase real simple it means you put a property under contract direct from a seller not it's not listed on the MLS you went directly to a seller it was an off-market deal you put it under contract and then you're gonna resell it to either a retail buyer in or a an investor and so the idea is you're getting the the property under contract wholesale and then your quote selling it retail and this is also going to be single-family homes our SFR single-family residence sfh so this right here is working incredibly well right now as in the end of 2018 this is a huge strategy some of the most successful real estate investors in America that are doing over a hundred deals a year they're doing less and less renovations right now in more and more whole sales and here's why it's because all of the television shows in HDTV and maybe all of these YouTube videos that ones that put out all of the talk about the success people can have in real estate investing there's a lot of newbie real estate investors diving in plus because of the shakiness in the stock market over the past 12 months a lot of people have made good money they are getting older they're in their 50s they're in their 60s and they want to invest their money wisely and what happens is they think of themselves well real estates the key because I see it on TV they see all these people making money they have money they're concerned about stock market and what what might happen to their money if they invest it there so there's a lot of a lot of I'm gonna call them and you've heard me say this before sucker buyers for lack of a better word these are the people that are willing to pay the most for a property above any professional investor and anyone else I read a statistic that over 90% of real estate investors of single-family homes only do one deal ninety percent so what that means is the ten percent of the ones that are doing dealer after deal after deal the other ninety might lose money or might not make much money and so if ninety percent are always new right that is that is this group this is the ninety percent these are the deals you wholesale to that's why you hear me say in other videos we don't build a buyer's list before we do wholesaling we get the deal first and then we wholesale it because we're looking for the sucker buyers that are only one-time shots they're gonna come in buy one house they go fix it up themselves and realize it's a lot more works a lot harder than they thought it was and then they go move on to something else in life so wholesaling will always work because they'll always be new people wanting to buy houses to fix them up furthermore houses are always going to be deteriorating always houses they the roots have to get fixed the the the look of the house with its cabinets the countertops the paint colors the floor styles those go out of style eventually so single-family homes always have to be remodeled on a consistent basis and if they're not well then they become more difficult to sell and that's my that whole silly category that make sense so this is universal there'll always be people coming in looking to buy real estate thinking they can get rich quick as PT Barnum once said a sucker is born every day so wholesaling will always work we stick with single-family homes with that yes you can try that with condos townhomes and other aspects of real estate but single-family homes is where you get the the core of these sucker investor buyers and it's also the most plentiful property out there so it creates the best alchemy for wholesome so the other thing that's always and it's a corollary of this is doing a rehab and resale that's where you're buying the house fixing it up and reselling it and the reason why that that always exists is primarily as I talked about how it's the real estate is always deteriorating and typically once someone becomes a homeowner and you if you don't a home you know what I mean once you move in you get all your stuff in there you're not apt to go and fix everything quickly not only is it expensive but it's a difficult task you have stuff in there so the majority of people that buy homes don't continually fix them up to keep them at the the same market standard at a house that was looking to be result furthermore there's always going to be deals and I've talked about this in other videos but you have to understand that what creates the best deals for real estate investing are things completely ignorant of the market itself it's what I call personal issues okay a perfect example of a personal issue that is occurring in abundance right now is when a grandfather a grandmother passes away and deeds or wills the property to a grandson or a son or daughter what happens is that is a personal issue has nothing to it the real estate or whether the markets good or bad it is that someone passed away and they handed it down to someone to it to an heir and a lot of times those heirs are broke and may want money and they want it now and maybe the house because it's an older individual they haven't fixed up the in a long time the countertops were from 1970 the Catholics are from 1965 the house is old outdated and these heirs don't have the money to come in and fix up the house so it's a personal issue and that's a personal issue that's always going to exist will always be people passing away right and and typically older individuals live in their homes long enough and they're not fixing them up all the way so it creates this this consistency that always exists now sometimes I get the question will Phil you know if I'm in a market where the real estate is is no longer red-hot and markets are seeing enough properties on the market longer how do I buy a property and make sure I don't get burned if I'm doing rehab and resale and there's a couple of things first of all it's very important that you move quickly if you can't move quickly if you don't have your contractors lined up if if you're not in a realm where you can get it fixed up and get it back on the market within a month or two you want to consider wholesaling see if you have to go out and get a bunch of permits and the government is going to take months sometimes to approve things that will slow down progress dramatically and if you sit on a property for six months we don't know it's six months from now brings I have no idea so you have to be careful about sitting on a property long but when I say quickly and I've talked about this in other videos I'm not just talking about the speed at which you fix it up I'm talking the speed at which you sell it you need to put it on the market for as low of a price as you possibly can so you can generate instant offers it's got to be fast the rehab and resale will always work consistently for the next 500 years and at this YouTube video so around 500 years from now they can watch this and you'll see that it's true but it doesn't work well if you move slow now you can sometimes get lucky if the market continues to go up which many of you have gotten like you've been doing this business the last three or four years it's been a really good time because you can make a lot of mistakes and then the real estate market has continued to go up in most places so youyou've been able to fix your own problems but now we're looking at in some markets where in certain upper price points things are not quite like that anymore builders have built enough in Nitori no longer is it red-hot I'm thinking of certain markets in the West where literally things have leveled off once you get up above the affordable houses now affordable housing which is in a rarity in many parts of America that is still super red-eyes I mean really really hot but when you get up above that and it's more on upper-class houses that's when you're starting to see a lot more inventory they're not moving as quickly so you do have to be careful with rehab and resells which is nice about wholesaling is you've got a lot less risk there and the problem with wholesale these don't get as much money now you typically you take a fraction of the overall net profits whereas when you buy a property and a wholesale or you buy a property needs to get fixed up and you rent a mini and you resell it you're selling to a retail buyer retail buyers pay the most money so you make more profit here this has less risk but these three right here and you do these two together which is what we we teach in our apprentice program and you build up enough capital and then we teach how to do this right so this creates the cash this creates the long-term wealth and these three strategies combined this is what's made me an absolute fortune it's made my apprentices an absolute fortune as well all right well thank you so much for watching this video I'm Phil I'll see you again with free of mint or calm like I said before you get access to my my best-selling book how to be a real estate investor absolutely for free on these videos if you've got questions comments put them down below I try to carve out time out of my schedule to answer those and if you want to become a market-leading first-class very wealthy real estate investor consider my apprentice program or my coaching team and I we work hand in hand and turn you into a money-making machine and it's been an amazing 2018 I haven't put out as many videos this year because I've been doing so many deals and I'll hopefully find a way to carve out more time out of my schedule to put more of these videos together thanks so much for watching I'll see you on the next video

Channel: Phil Pustejovsky

Views: 269,065

Rating: 4.7971148 out of 5

Keywords: Phil Pustejovsky, Freedom Mentor, Real Estate Investing, Investing Strategies, Investing Techniques, Wholesaling, REhabbing, Fix and Flip, Flipping Houses, Single Family Rental Investing, Rentals

Id: 1AhwzI5yCCQ

Length: 15min 14sec (914 seconds)

Published: Fri Dec 14 2018