A Lesson on “Good Debt” Vs. “Bad Debt”
Monday, August 24
“Good debt” is defined as debt incurred to finance something that goes up in value over time, produces positive cash flow, or contributes to your overall financial health. Examples of good debt would be an investment in your primary residence or rental income property. In some cases, student loan...
Should You Pay Off Your Loan Faster?
Wednesday, July 29
The answer to this question is not the same for everyone and is largely dependent on where you are in life and your finances.Typically when you are in your 30’s, 40’s, and 50’s (the high income-producing years), you benefit from the leverage and the tax shelter of having as many homes as you can ...
Investing is a Business, Not a Hobby!
Thursday, June 11
I often see first-time investors make the tragic mistake of using emotion to get in the way of them making money in real estate. After I purchased my third rental property in Phoenix, AZ, I was approached by a woman who said to me, "Why on Earth would you buy a property in Phoenix, it's so hot ...
How to Avoid Renting to Poor Quality Tenants
Thursday, May 28
Cash flow projections can look good on paper, but in the final analysis cash flow will be dependent on the quality of your tenant, vacancy factor for the area, and ongoing maintenance of your property. The time you spend on property selection and managing your property manager will pay you big di...
How to Handle an Eviction and Why it Pays to Have a Property Manager
Thursday, May 21
WHAT IS THE BIGGEST FEAR FOR MOST FIRST-TIME LANDLORDS? The answer is usually along the lines of, “What happens if my tenant doesn’t pay the rent?” We’ve all heard horror stories about lengthy, drawn-out evictions. The good news is that evicting tenants for non-payment is rarely necessary with pr...
5 Ways to Reduce Vacancy to 30 Days or Less
Wednesday, May 13
Here is a simple formula that summarizes how to reduce your vacancies: Good Property Management + Proactive Owner = Reduced Vacancies You spend a lot of time and money, selecting just the right property in just the right area. You should give equal time to learning how to manage your proper...