Real Estate Investing - The First House Purchase

Real estate investing usually begins with the purchase of a house, rather than raw land or commercial property. The purchase of a relatively inexpensive house for rental or fix-up purpose is usually lower risk than any other type of real estate investment. And the return on investment can be quicker than from any other type of real estate investment.

Even with the previous acquisition of one or more personal residences spread over past years, the thought of buying a house as a real estate investment can be intimidating. Even though a personal residence acquisition is usually identical with a real estate investing acquisition, the two are seldom envisioned as similar. True, the ramifications of real estate investing property is different. Investing in houses must involve different considerations, such as improvements, usage, and re-sale. But the actual purchase does not differ from the closing procedures for a personal residence.

The first house in a real estate investing career can be scary because it is the beginning of a new business venture. The would-be real estate investor usually recognizes that mistaken judgment can have disastrous consequences. The lack of experience prompts misgivings about the unknown. Genuine confidence is necessary to make the decision to follow through after the preliminary analysis is completed. In fact, it seems to me that real confidence - in contrast to egotistical bravado - is a personality ingredient prerequisite to entry into a real estate investing career.

I was admittedly fearful as I bought my first investment house 25 years ago. I had little valid instruction in making that first purchase. But I was driven by an intense drive to actualize a career I had envisioned for some time. I was like so many would-be investors I have encountered during the intervening years. They keep walking around the pool, dipping their toe into the icy waters, afraid to suck up and take that mighty leap out into the pool's cold water. But after I bought that first investment house, I bought another and another. Each acquisition got easier and easier. I bought $1 million in properties the first year, and another $1 million in properties the second year. By that time, I knew I was on the way to success. Acting on my fears led to faith in my abilities. And faith and fear cannot remain in the same mind at the same time.

The greatest challenge in my real estate investing career was the purchase of my first house. It might be your greatest challenge, too. But know-how can displace the intimidation, and lead to positive satisfaction in real estate investing.

Phil Speer, Ph.D., started his real estate investing career without the availability of credit or cash. Using only a $10 bill, he purchased $1 million in properties in his first year, and had accumulated $10 million in properties by his fourth year. His net worth was $2 million in only his third year of investing. He was featured in a Wall St.Journal editorial as most successful investor in the Nothing Down Real Estate Movement, and was honored with a Caribbean cruise as top investor of the year. In his hometown of Nashville, Tennessee, he has been a businessman and Human Resources Consultant for 30 years. He is an author, speaker and seminar director. To learn how to profit in real estate investing, even without cash or credit, read his report athttp://www.CashinHouses.com/. Subscription is free to his Fix-up Ezine - http://www.AAREIT.com/.

More than 40 states signed onto a proposed $25-billion deal with major mortgage servicers over faulty foreclosure practices. New York, Nevada and Delaware joined California in holding out for better terms.

More than 40 states signed onto a proposed $25-billion settlement with major mortgage servicers over faulty foreclosure procedures, but California, New York and other key states were still not among them.

California has until Monday to share in a multi-state deal with banks to obtain mortgage relief and reforms. Atty. Gen. Kamala Harris, who walked away from talks last year, says the door remains open.

With a Monday deadline at hand, California officials have resumed direct talks with the Obama administration about joining a multibillion-dollar, multi-state mortgage settlement with the nation's largest banks, a source said Sunday.

The talk show host pays $12 million for the 4,088-square-foot house with four bedrooms and four bathrooms. The ocean-view home sits on 1.26 bluff-top acres with beach access.

In one of the more talked-about transactions in town, actors Brad Pitt and Angelina Jolie have sold their Malibu beach house to daytime host and comedian Ellen De Generes for $12 million.

The four-bedroom, five-bathroom house built in 1920 for industrialist James Wigmore lists for $2,875,000.

A decorative cast stone entrance opens to this restored Spanish Colonial Revival-style house in Pasadena's South Orange Grove area. Built in 1920 for industrialist James Wigmore, the house retains such original details as coffered wood ceilings and arched doorways.

They don't believe they can sell their property for what it's worth, so they're spending money on making their homes more comfortable.

Do you fit any of these descriptions?

A biennial research report by the National Assn. of Realtors indicates that a handful of real estate agents and brokers and their clients either don't know the law or don't care to follow it.

When it comes to lawsuits, real estate agents and brokers tangle mostly among themselves.

The president aims to help about 3.5 million people with good credit who are unable to refinance at historically low rates because their homes are worth less than their mortgages.

 

The White House hopes to help millions of homeowners lower their monthly mortgage bill with a $5 billion to $10 billion plan to set up a streamlined refinancing program for people who are current on their payments.

The Standard & Poor's/Case-Shiller index of 20 large U.S. cities fell 1.3% in November from October as foreclosures continue to drag down the housing market.

Three straight months of home-price declines in the biggest U.S. cities showed that foreclosures remain a significant drag on a housing market that is entering its fifth year of deterioration.

L.A. Clipper Chris Paul may be quick down the court, but he moves pretty fast when it comes to buying multimillion-dollar real estate too.