I was a wannabe real estate investor for several years, watching from the sidelines. I finally got the nerve to go out and test the market after many hours of studying and reading. The information and encouragement at CRE Online has been invaluable.
I ended up finding a condo in a nice complex (pool, tennis court) that needed some cosmetic work (paint and paper). I bought the place for $39,500 and found a mortgage broker who got me a 30-year loan with only 10% down. I borrowed the $3,950 down payment using my low interest (11%) credit union VISA card. Total payments including taxes, condo fees, mortgage, insurance and credit card payment comes to $650.
I am renting it out to a young professional for $765; an immediate cash flow of $115. In four years when my credit card payment is paid off, my cash flow will be $218. And this does not take into account annual rent increases. None of my friends are telling me now that you can’t buy with a positive cash flow! I am looking for four more like this so I can supplement my income in four years by $1,000 a month.