STRATEGY
JUMPSTART
3Ways to Jumpstart Your REI Strategy
CASH, SWEAT EQUITY, AND THE RIGHT FINANCIAL PARTNER
by Bruce McNeilage
rom my very first rental home purchase to my latest build-to-rent subdivision, I’ve always lived by an important axiom. The best way to make money is by using other people’s money. It’s also the first piece of advice I give to any small investor starting out in the real estate investment world. Finance as much of those early investments as possible. Keep as much cash in your pocket as possible, and if you can trade sweat equity for another investor’s cash, do it. F
perhaps a small multifamily apartment building? Having a clear vision for what you want to purchase is the first step to knowing how much you need to put down and how much you need to secure from a bank or private investor. It’s also important to know your long-term goals. It’s easier to flip a single-family home than it is a multi- tenant rental property. If a quick flip is the goal, stick with the single family home to start.
DON’TTIE UPYOUR CASHWITH AHUGE DOWN PAYMENT
START BYKNOWINGWHATYOUWANT An important first step is to know what type of property you want to buy. Is it a single-family home, a duplex, or
Once you know your goals and the type of property you’d like to obtain, then you can lay out your finance
64 | think realty magazine :: october 2020
Made with FlippingBook Online newsletter