If you are thinking about investing in real estate but don’t have the cash, you might be wondering how to compete without cash in Metro Detroit but still invest. Fortunately, there are 3 pro secrets that you can use to still do deals! Keep reading to find out what they are…
Real estate investing is a great way to break free of the frustrations of Wall Street investments, get out of the rat race, and start building your financial future.
However, for most people, their ability to invest in real estate is only as good as their access to capital. They think that once they run out of money, they’ve run out of options. But nothing is further from the truth. Here are 3 secrets that the pros use when they want to compete without cash in Metro Detroit.
Strategy #1. How To Compete Without Cash In Metro Detroit – Seller Financing
Most people think of buying a house out-right from the seller by handing over money to the seller so they can hand over the keys to you. However, this is not the only way to buy. Many investors work out seller financing terms, which work just like a mortgage but without the bank!
The seller hands over the keys and you pay the seller a regular monthly payment until the house is paid off. Sellers love this because they get a regular income… you just have to ask because not all sellers are aware that this is an option.
Strategy #2. How To Compete Without Cash In Metro Detroit – Barter
Here’s another unusual strategy that can work – you can barter. Let’s say you have a seller who is looking to sell their home and downsize so they can retire. You don’t have to just pay them money if you don’t have any, maybe there’s a different option. For example, if you already own a small apartment building, they might want to move into that and the money you would pay to buy their house would just go toward their rental payment.
Or, maybe you have some money but not enough to cover the purchase of the house – perhaps you can help them move and clean up or fix up their new house. There are many different services that you can barter with sellers, just find out what they want.
Strategy #3. How To Compete Without Cash In Metro Detroit – Partner With Others
The most powerful strategy is to partner with others and use a concept called “Other People’s Money” (OPM). It works like this: you find the deal and then you find someone who has money and wants to invest. Then you act as a “middleman” to help them acquire the deal, and you work out the terms so you benefit too. For example, they might own the asset but the two of you split any rental income earned from the property.
Using just these three strategies, many investors have discovered how to compete without cash in Metro Detroit. It’s easier and more common than you think!