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Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
Accelerate Your Financial Independence
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Accelerate Your Financial Independence

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How to combine short-term and long term real estate investing. …

How to combine short-term and long term real estate investing.
Methods to accelerate and optimize your investments.

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  • 1. Accelerate Your Financial Independence Dani Beit-Or June 2011
  • 2. Part A <ul><li>Back To Basic </li></ul>
  • 3. Benefits Of Real Estate <ul><li>Mortgage Miracle </li></ul><ul><li>Leverage </li></ul><ul><li>Tax Benefits </li></ul><ul><li>Deductions </li></ul><ul><li>Side Business </li></ul><ul><li>Occupation Fuel </li></ul><ul><li>Solve Many Financial Challenges </li></ul>
  • 4. Part B <ul><li>Accelerating </li></ul>
  • 5. Scenario #1
  • 6. The Property House #1 <ul><li>Single Family in Metro Phoenix </li></ul><ul><li>Purchase Price: $75,000 (Total costs) </li></ul><ul><li>3 Bedrooms, 2 Bathrooms, 1500 Sq. Ft., 2 Car Garage, Built in 2003, Good School District </li></ul>
  • 7. Financial Assumptions <ul><li>Purchase price: $75,000 </li></ul><ul><li>Loan 80%: $60,000 </li></ul><ul><li>Down-payment (20%): $15,000 </li></ul><ul><li>Interest rate: 5% </li></ul><ul><li>Annual rent income: $11,000 </li></ul><ul><li>Expenses:Annual mortgage payment: $3,000 </li></ul><ul><li>Annual expenses: $2,800 </li></ul><ul><li>Net cash flow: $5,200 | $430 Month </li></ul>
  • 8. Option 1 <ul><li>Get $430 cash flow per month or $5,200 per year </li></ul><ul><li>Payoff mortgage in 30 years or sell property at some point </li></ul>
  • 9. Option 2 <ul><li>Take $0 in cash-flow </li></ul><ul><li>Apply mortgage acceleration technique </li></ul><ul><li>Pay house in 12 years </li></ul>
  • 10. House #2 <ul><li>Same financial details </li></ul><ul><li>Bought 1 year after house 1 </li></ul><ul><li>Gets paid off after 11 years with the help of house 1 </li></ul>
  • 11. Scenario #2
  • 12. Financial Assumptions <ul><li>House # 3 </li></ul><ul><li>Purchase price: $80,000 </li></ul><ul><li>Rehab costs: 15,000 </li></ul><ul><li>Holding costs: $5,000 </li></ul><ul><li>Total: $100,000 </li></ul><ul><li>Selling price: $125,000 </li></ul><ul><li>Selling expenses: $12,500 </li></ul><ul><li>Net price: $115,000 </li></ul><ul><li>Net profit: $12,500 </li></ul><ul><li>Duration 5 months </li></ul><ul><li>ROI: 12.5% | 25% annually </li></ul>
  • 13. Investor Versions <ul><li>Real Estate Investor 1.0 </li></ul><ul><li>Real Estate Investor 2.0 </li></ul><ul><li>Real Estate Investor 2.5 </li></ul><ul><li>Real Estate Investor 3.0 </li></ul>
  • 14.  
  • 15. Short-term Engine No land-lording In and out in a short period of time Greater unknown factor Long-term Engine The Power of leverage Slow and requires stamina Your Real Estate Engines
  • 16. Real Estate Investor 3.0 <ul><li>Acquisition: </li></ul><ul><ul><li>Auction </li></ul></ul><ul><ul><li>Owner </li></ul></ul><ul><ul><li>MLS </li></ul></ul><ul><ul><li>REO </li></ul></ul><ul><li>Exit: </li></ul><ul><ul><li>Flip </li></ul></ul><ul><ul><li>Lease-to-own </li></ul></ul><ul><ul><li>Owner financing </li></ul></ul><ul><ul><li>Rent </li></ul></ul>
  • 17. Contact Info Dani Beit-Or @simplydoit [email_address] simplydoit.net
  • 18. Questions

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