All Forum Posts by: Account Closed

I am a full on Newbie still. So take my advice with a large grain of salt.

As far as cash on cash return at 20% down on each scenario I come up with the following for year one:

22500 (.2) = 4500 (Down payment)
1200/4500 = 26.6 % Cash on Cash Return

360700 (.2) = 72140 (Down payment)
1200/72140 = 1.6% Cash on Cash

I forgot the difference between ROI and Cash on Cash. For for cash on cash in year number one scenario number two looks bad.

I need to look ROI up again. I'm just typing here to give myself a refresher. I may be off on something here. It feels like I am. I'm sure someone will chime in with a solid answer.

William -
I will probably hit the real estate investment club of los angeles in Sept. It's monthly; the second Tuesday of the month at the Radisson in Culver City.

It's on this site, and you can also find it by Googling "Real Estate Investment Club Los Angeles"

Glen -
Thanks for taking the time to post and share some deals.

Todd -

I'm mapping out my next education move, too. Though I will probably not go with any Rich Dad products.

I think Rich Dad Poor Dad was a good motivational book. It does a great job at inspiring unsavvy investors to get a financial education. But I think for getting the actual education I'd speculate there may be better (lower investment cost yet higher return) avenues.

I love the power of the Internet for getting feedback on this stuff. I think everyone with a blog should post a link to this thread with the keywords along the lines of 'Rich Dad Seminars' as the anchor text. That will probably get this thread close to number 1 in Google's search results, then we'll get tons more feedback.

I'd love to hear more about this topic. I will seek out more threads. Randy thanks for all the information. I've been considering William Bronchick's land trust system. I have a lot of research to do. And I am still determining whether or not I want to use Land Trusts.

I was frustrated with Adwords . But then I was running an ad based revenue model. I don't think Adwords can return close to break even on just Adsense. It may be possible. It didn't work in my sector the way I and others' implemented it.

Ironically, in my day job, I work for a online ad agency. We specialize in PPC advertising. I am a software developer. I build software that hits the Google Adwords api and automates bid management, ad campaign management, and tracking, for multiple Adwords clients. The company I work for has tons of clients, and not one of them has strictly an ad based revenue model. They all have products or subscriptions. Or else them paying us to handle PPC advertising for wouldn't make them money.


I can see Adwords doing well for a single owner/one site if you have a lot of time to devote to it in the beginning, and a subscription based revenue model, or a product to sell. It's really hard to make work on an ad based site.

I do see successful ad based sites running Adwords. But they have the time to do a lot of tracking, data mining and crunching to know what to bid and when and how frequently to run the ads. And they have successful traffic streams already in place.

It's all possible, and passion for the project helps. But it's not as easy as 4 Hour Work Week makes it sound. Just like REI. A lot of work in the beginning.

Originally posted by Wheatie:

This is a "wrap" mortgage. You're wrapping the existing mortgage with a new one.

The risk, whether or not the existing mortgage is a "subject to" mortgage, is that's you're violating the due on sale clause. With a subject to you're violating it twice, once when its sold to you and a second time when you sell it to your end buyer. So, the biggest problem you'll hit is getting the original note called. If that happens, you'll have to get your end buyer to refinance and pay off the original note. You can't refi, because you don't own the property.

Scary stuff. We always hear gurus claiming that "there is no due on sale jail" and that the loans never get called because interest rates are low. I wonder if they'll start getting called if rates go up.

Has anyone here been in a situation where the loan was called?

My traffic was not good enough. It was covering my hosting, so that's good.

I believe to generate real revenue on an strictly ad based site - at least $1500 or more per month - the site needs to get at minimum about 100K unique visitors per month in a targeted niche. But it has been a while. I could be way off. That data easy to find with a google search.

Hopefully the traffic is low cost or free. Most ad based revenue sites need organic search engine love to do well. There are exceptions. I wasn't a fan of internet marketing. But people that like it can make millions. Like any successful venture, with lots of work it's totally possible.

Google Analytics does a decent job of tracking where visitors are coming from for free.

Originally posted by Glen Andrews:

I started out over 13 years ago buying rental property the wrong way. (Using my money and credit) I then spent over $30,000.00 dollars educating myself. I made $321 thousand dollars in my very first year after being educated.

This is great!

Can you tell us about the deals you did in that one year. Specifically: How many deals. The type of properties, how you structured the deals, financing, exit strategy, and how you pulled your cash.

I'm not looking for 'how-to' stuff. I'd just be interested in hearing about each deal. Or even the specifics (with numbers ) on just one deal: The most profitable single deal you made that year.

I agree about education. I believe we pay for education one way or another as many others have stated.

I don't think anyone here is telling anyone else not to get educated.

Originally posted by Jeff Tumbarello:

Originally posted by Matty M:

I like commission junction. (cj.com) You pick the advertisers and you have the option of the ad opening a new window when clicked. I get the most revenue from them.

I am going to remove Google adsense from my site. The revenue stream dropped when they changed the hot areas of the ads. I may check out adbrite.

But overall I'm not focused much on my web venture, and haven't been for a while, so I may not be the best source of advice.

I just logged into my CJ account, got a 98.00 balance, Its pretty cool. :cool:

Nice! I love that feeling.

I had a good month, though I view my last web venture as a failure. Well, that's not true, It is a success in education, actually. I definitely learned a lot.

I had 185.00 from CJ showing this month. But that is unusual this year. Last year at this time I'd get about 150 per month from CJ, and another 100.00 from google. This year I"M about about 17.00 per month from Google. CJ is lower, too. It is neglect of the site causing lower traffic. But the proportion of how much lower google is than CJ implies that change they made also had an effect.

With CJ it's just one ad from one advertiser that's doing the trick.

My uniques dropped from 10k per month last year to about 4k per month now. There does appear to be a small glimmer of hope based on some white hat seo efforts I did about 4 months ago. And if that shows more positive results, I may do a redesign and enhance functionality. But overall I'm more focused getting this REI thing down, and working on my unrelated site would detract from it. I'd really need some Google love to consider directing my energy back into the site. The current algorithm over there is thinking about it.

I like commission junction. (cj.com) You pick the advertisers and you have the option of the ad opening a new window when clicked. I get the most revenue from them.

I am going to remove Google adsense from my site. The revenue stream dropped when they changed the hot areas of the ads. I may check out adbrite.

But overall I'm not focused much on my web venture, and haven't been for a while, so I may not be the best source of advice.