WORST Way to Invest in Real Estate



http://www.freedommentor.com/worst-way-invest-in-real-estate Discover the WORST way to invest in real estate. This is the other side...real estate investing gone bad.

Comments

  1. Many of the bad deals can be avoided by: 1) Not using debt to finance property 2) If you do use leverage, make sure you have plenty of reserves on hand 3) Doing your due diligence to know it's a great deal 4) Do not be an out-of-state absentee landlord 5) Invest only in what you know / can understand.
  2. I'm in the middle of a nightmare right now. I have a mobile home on an acreage and hired a property manager to manage it for me. Its walking distance from where we live. The P.M. rented the place to a mechanic who works on car at my rental and see's nothing wrong with doing that. I really concerned about the liability that could fall on my shoulders. I can't seem to find any laws that specifically say businesses can't be operated in a residential. zoned area. I'm in Oklahoma, would love to hear feedback Cathy
  3. Have a warning for tax lien and deed investors. Its not just useless slivers of land you need to worry about.

    What about land you cant build on because of zoning issues, or wildlife protection (some rare bird was noticed)?

    What about in some counties you need to buy 2 lots of land because you need two to build on. I forget where this happens, but there is a location where a single lot is only X amount of square feed is not considered enough to build on, so you must have 2X lots of X amount of sq feet side by side. Go buy a lien or deed not knowing that and try to get rid of it after - as you said, your stuck with the maintenance on that.

    Google Maps and other maps...Very helpful right? Well there was a story where from the front, using google street view, everything looked perfect. But when you physically drove to the house and walked around to the back yard, there was a giant hole in the back wall, and the whole house was not structurally sound. You'd never know this just by looking at google maps. This is relevant for the online auctions.

    There really is a whole bunch of gotchas that you better watch out for with tax lien and deed investments. Not to mention that if you don't follow the time frames and notice periods exactly, and it ends up in court, most courts will find against you and you will loose your property. You literally could have just been doing someone a favour by giving a few extra weeks or months and as a result, loose your entire investment. They really are not as legally secure as they make out (for example, first position liens are not always the first position, and bank loans don't always automatically loose to tax liens - they have been successfully defended in courts and investors lost to the banks even though all paperwork and timeframes were correct - it was just a clerical error on behalf of the bank that happened to be noticed a year later after the investor did all the work).

    I see more and more every time I research on google or tube.

    Now I have a question, on the deeds and liens? Given any of the above examples, you decide not to pay the property taxes and it goes back to the tax lien or deed office. Is it true that once you have had a tax lien or deed against you, you are not allowed to invest in them again? I heard this somewhere along the way but was not sure and so wanted to confirm if its true. Because if this is true, then it is immoral and unethical for the government to be selling such land lots and expecting people to pay taxes on them.

    Phil, real big fan of your videos. Love the no nonsense, no bs approach. I have purchased your book, its a great read.
  4. Phil I'm a season real estate investors, I pretty much know just about everything about real estate investing from houses to multi units, lately I have been doing buy and hold for me and some friends. I'm focusing more now on building marketing funnels with my marketing company, I appreciate your video teaching and I like to think that you are one of the best if not the best in helping people understand real estate investing the right way. Thank you for that..
  5. I have your book..... Great information! Time to start applying it!
  6. God bless you my friend. I'm also in the middle of an auction fiasco.
  7. I'm not sure why but I find you attractive 🤔
  8. I had 2 houses rented and they lost their jobs. One took 5 months to evict and 2 months more to rehab. I ended up BK!
  9. From TORONTO, CANADA.
    I purchased a condo style "stacked Townhouse" (Neighbors @ 2 levels above me, and 1 level below me, as well as other units on either side) on a very COLD January week, the upstaire's owner turned off their Heat as his unit was vacant, and in a matter of a week the pipes burst and 7 units were flooded, including mine.....at first the property management did not want to fix the issue, stating that all of the unit owners should go after the owner that had caused the flooding to occur..........Long story short, after the 7 unit owners threatened legal actions, the Property management ended up fixing the Units back to their "Basic Builders Specification", this meant:
    -NO Hard wood flooring (ONLY Cheap Carpet)
    -No Hard wood Kitchen/bathroom Cabinets (ONLY Cheap Ply wood)
    -NO special fixtures/lighting (All back to Basic Specs).

    Needless to say i only had this place for 11 months when flooding occurred & was out of my house for over 2 months due to water damage until it was all done. I sold it immediately since all the finishing inside were fresh.....Thankfully i actually gained ($$$$$) on top of my initial investment due to the CRAZY TORONTO Real Estate Market.

    My lessons learned from this is to NEVER purchase a Stacked Townhouse/Condo in which others reside above and below your unit as well as either side.....Now i Own a Fully Detached house outside of town and i do NOT have to pay the High Management Fees, not to mention the Growth in yearly value of my current house has been much more than any Townhouse/Condo in the Greater Toronto Area (GTA)
  10. very well do you have any trainings on that subject to prepare for the worst ways to invest in real estate ? What I'm also saying is that Phil I would like for you to mentor (guide) me the right way because I feel you're the right person that can probably educate me the best ?
  11. Wow thanks for giving me insight on the worst way to invest in real estate on not getting involved in deals you don't understand. It's kind of creepy because it kind of makes me feel like I shouldn't pursue the real estate business . How could I be confident in the real estate business enough to know that I shouldn't get hit with penalties from the city and or county
  12. Thank you for your videos and your help. Excellent teaching and guidance.
  13. HEY PHIL!! I bought my first fixer upper in Nashville. Had is almost done... Then my neighbors tree fell through my house and almost killed me. Then a BAD contractor who took the tree off my house put a Lien on my property. YAY! So I have to take him to court. Then, right before Christmas, I got robbed!!! YIKES! Dude was smokin crack in my basement... Yep. So, police caught him, thanks to my Detective, and now I have to Prosecute him in Court. FUN! I have been out of my house for 8 months now. At least when I move back in I will have a new house. Crazy times man. I love your videos btw! Please comment.
    Dan
  14. Great videos, I  made mistakes too....
  15. my tax liens went bad , the metinnite  court ruling moved the goal post for tax lien buyers to benefit the big banks.
  16. Great Info👌
  17. In Most cases people(specially new entrants) get in to deals thinking they know everything, and only realize they did not know something when the some thing happens that takes away everything leaving heart attacks
  18. HORROR STORY: My parents own a duplex near downtown Los Angeles. We had a family friend who became a tenant, and we had given her a great deal on rent. We got paid for a while, then suddenly she had a work injury and asked us to go easy on her rent payments. After some time, she was months behind. Just before we evicted her, we discovered that she was subletting to roughly 8 people (in her 2 bedroom unit of the duplex) and collecting money from them, but still not paying us. My dad had to go to court 4 times to secure a judgment in his favor. She kept stalling and refusing to show up. So much for a family "friend." It would have been better for her to own up to her situation and just move someplace cheaper for her. Being a single woman with no kids, there was no need for her to rent this space to begin with.
  19. Don't get involved in deals you don't understand!!!
  20. What does his funky last name mean?


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Duration: 16m 39s

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