Monday, April 4, 2011
Cash per Door
Lets be honest. one of the best indicators of a decent investment is not the NOI or the ROI. sometimes these can be manipulated. A great indicator is cash flow. This lets you know the actual amount that gets into your pocket. Even better is the cash per door. This not only shows the cash coming to your pocket but also how efficient the property is being managed.
Sunday, January 30, 2011
Money while you sleep
A very savvy businessman told me when I first started "you want to be in a business that deals with large amounts of money and makes you money while you sleep."
I took this to heart when I began getting my money into real estate.
I took this to heart when I began getting my money into real estate.
Wednesday, January 26, 2011
Multi unit investments
Purchasing a piece of real estate for an investment, a value investment, is different then buying one on spec. As an investor you must understand this fundamental difference. When you purchase these value investments it usually comes down to the multiple of the income or the inverse, the cap rate. Multiple units under one roof do a better job of keeping the expenses down, which ultimately gives you a better net and a more valuable building. Do yourself a favor and keep it under one roof.
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