Casey Ryan Richards

HUD Homes Half Off" by Larry Goins Larry Goins is a consultant out of North Carolina. He buys homes off of HUD and flips them for a profit. This book is a how to guide for doing what he does. Here are some highlights: * HUD homes are available at HUDHomeStore.com * HUD organizes their listings in a way that gives you all the information needed to make an offer. * When you make an offer you will have an answer the next day. If rejected, you can submit a new offer. * You might need to make 100 offers to get a good deal, but you can get steep discounts on properties (50% or more). * There is less competition with HUD Homes. Larry Goins buys these houses dirt cheap and then resells the either to investors or to consumers with seller financing. In the case of seller financing he charges 3-6 times the price he paid for the house. For wholesale properties he puts a premium on the property around $10,000. He sells those properties at InvestorsRehab.com. * HUD delivers clear tit...

"What Every Real Estate Investor Needs to Know About Cash Flow" By Frank Gallinelli   Frank Gallineli's book "What Every Real Estate Investor Needs to Know About Cash Flow... And 36 Other Key Financial Measures" is highly technical, but very interesting. I found it helped me by explaining the math behind the deals in plain English.   The book is divided into two parts. The first part covers the basics of real estate investing and an introduction to the concepts that need to be understood. The second part covers individual calculations such as compound interest, cash-on-cash return, and internal rate of return. It is best kept as a reference, so my notes are limited:   How to make money in Real Estate: * Cash Flow - also called "net spendable cash", this is the left over money each month after all of your bills are paid. * Appreciation - the growth in the value of the property over time. * Loan Amortizat...

"The Real Estate Rehab Investing Bible" by Paul Esajian   Tags: Flip This House, Paul Esajian, House Flipping, Investor Rehab, Finding Investment Houses, Fixing Houses, A&E   In "The Real Estate Rehab Investing Bible" Paul has created a seven stage system for finding, funding, fixing, and flipping homes that doesn't involve picking up a paintbrush. As he puts it "by getting your hands dirty, you slow down the opportunity to get your money back sooner." Instead, he teaches how to put your money to work to maximize returns.   One of his suggestions is to create a network of people involved in real estate.. This included mortgage brokers, agents, lawyers, contractors, investors, city officials, and others. You can meet them in person at auctions, REIA meetings, home builder association meetings, landlord association meetings, and home or trade shows. Online you can meet them at Meetup.com, Yahoo Groups, Fa...

"Principles of Real Estate Syndication" By Samuel Freshman   Tags: Real Estate Syndication, Apartment Complexes   A real estate syndication is a collection of two or more investors that pool their money to purchase real estate. Typically, one party if the syndicate is active in the investment and the rest are passive. The active investor may received an override or management fee in addition to any cash return from her investment.   Freshman lays out seven reasons why people invest in real estate syndicates:   * Spendable Cash Flow * Tax Advantages * Gain from Equity Through Leverage * Hedge Against Inflation * Appreciation Capture * Low Risk * High Yields   The lead investor (Syndicator) can be involved in issuer functions "which involve acquiring control of the property and formation of the entity which is to own the property" and/or dealer functions "which concern the marketing and sale of...

"Nashville Capitalization Rates" by Casey Richards   I've been curious for some time about what factors go into determining the market cap rate for investment properties here in Nashville. When I first arrived in the city back in 2004 it wasn't at all unusual to see cap rates above 10%, but recently the rates have started to creep downward. Today rates on a duplex in the metro area will range from 7-9%. However, if you were to pack your bags and head just a few hours West, you could still achieve those double digit cap rates in Memphis. This lead me to dig deeper to figure out what factors drive the prevailing cap rate here in Nashville and across the country.   My research lead to me something called the derived cap rate. It ends up that you can dissect the cap rate using this approach which splits it into two parts. The two primary factors are financing and equity.   Most investment properties are purchased using a mortg...

"Investing in Duplexes, Triplexes, and Quads" By Larry B Loftis, ESQ   Tags: Duplex, Triplex, Quadraplex, Florida Real Estate   I don't usually read books published in 2006 because they are clearly outdated. Tax laws have changed at least twice and we had that little 2008 incident, but the title "Investing in Duplexes, Triplexes, and Quads" caught my eye and I figured I would give it a try.   The reasons Mr. Loftis gives for believing in the power of multifamily residential properties mostly still applies today, but it is interesting to hear him tell stories of appreciation in Orlando, Florida in 2006. Cheaper down payments is one benefit that still exists (if you live in the unit). FHA will allow an owner-occupant to put down 3.5%. Affordable purchase prices is also mostly still available. Right rent range, rent safety from vacancy, immediate cash flow, cash back at closing, economies of scale, fixed rate mortgages,...

"How to Make Big Money in Small Apartments" by Lance Edwards   Tags: fourplex apartment, real estate investor, small apartments, multifamily apartments   This was a great book full of ideas for purchasing multi-family units centering around no money down strategies. He had many interesting ideas to raise fund funds or purchase properties to numerious to note. Here are a few highlights:   Rasing Private Money Formula:   Part I - Finding people predisposed to invest in real estate (seller, IRA, auctions, real estate clubs, etc)   Part II - Give the lender the ability to gain control if you fail to perform.   Part III - Use insurance like Key Man and Business Income Lose to make the investment low risk. You can also use the reputation of a management company to makeup for your lack of experience.   Part IV - Give them a high return through interest rate, equity, or a hybrid of both.   Mo...