If you have cash then buy real estate while its cheap and rent it out. I try to find major fixers and remodel them myself then rent them. These are usually foreclosed homes or REOs.
Example:
2 bdr/2 bath condo with flood damage. Worth 130-140K
Purchase price $80K
Escrow fees $1500
Remodel cost $12K
End Result $93,500
Rents for $1550
HOA/Prop Tax/Ins -368
Net Result Cash flow $1182
Thats a 16-17% Return on Investment. The problem is you need to search MLS everyday and make offers as soon as they get listed. This only works with cash deals. If you are getting mortgage loans to do this then you probably will not be positive since you have to pay interest up front.
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68 Camaro "Bloodline". OZMO Twin DBW LS3 with TSP 231/236 cam, Speedtech frame, Ridetech coilovers, Chassisworks G Billet/Fab 9, Asanti 19's, Fesler brakes, Carbon Anvil everything, etc.
[SIGPIC][/SIGPIC]
65 Fastback "Maddo" @ Meanstreets Performance. Ridetech, crate 306/T5, tubbed, Forgeline
Last edited by John510; 12-15-2011 at 12:45 AM.
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