Difficulties of being low on cash

[Chris E.]

I've seen it happen several times, I'm sure we all have. Just recently I was at a sheriff sale where a 2500sq ft river front ranch on almost a 1 acre lot was up for sale. Saw it the night before and did a little research. Tax assessment was a little under $220,000. Looked like a nice house outside. Didnt see the inside. Amount owed was just under $200,000. Bidding opened at $120,000 and nobody bid on it. Sad when you don't have the money to take action. There were only 4 or 5 people there and no one bid on any of the properties they had.

Some day...Until then Im forced to stay looking for sub $50k houses

[Michael Evans]

You just have to learn how to use leverage and how to have it available. There are several ways to have it available: a line of credit, a group of private money investors lined up waiting for deals, hard money lenders, etc. I recommend that you establish a system and a plan for how you are going to execute each real estate deal.

When it comes to investing, money management best practices tells us that before you enter into any investment your multiple exit strategies have already been determined. So it's not a question of how or when you're going to exit an investment. The question is when are you going to enter an investment. Because once you enter you just follow your exit plan.

Stay Blessed!