The Path:
Step 1: Purchase Your First Home.
This is the MOST important step toward building Wealth with Real Estate. You MUST own at least 1 property to get started. This is also the step we receive the MOST help from lending institutions.
It is up to US to take full advantage.
Your first home does NOT need to be your Dream Home. Best advice Real Estate advice is “Don’t wait and buy. Buy and wait.”
You don’t need the most stellar credit nor the largest down payment for your first home. It doesn’t need to be the best home ever, it just needs to be bought at a great price with some built in equity and a great chance of building more over time.
If you are preparing to purchase your first home or are ready now :
Step 2: Use Equity.to Invest
You have two options after you are a home owner: The first option is to remove some equity from the current home. Equity is the difference between what the home is worth and what you owe the bank. If you purchased your home at $450,000 but it is worth today $500,000, that means you have $50,000 worth of equity. You can choose to cash that (it is re-added to your mortgage payments) and use that money as a down payment for your next property: investment property This option allows you to your first home and buy a second one.
The second option applies if you bought a fixer upper or got a really great price or just rather sell. You can sell your first home (after x amount of time) and use your gains to buy an investment property.
An investment property is one where the mortgage is paid by the tenants (through rent), also gives you positive cashflow AND has built in equity from the beginning (this is where your agent comes in negotiating prices).
If you want to learn more about how to use your equity to buy more properties without cash:
Step 3: Buy Your Dream Home
Everyone’s path is different. Some of us purchase our dream home first or right after our first home. This is simply a suggested path to building long term wealth with real estate. The Key Strategy is this: Buy properties that help you build your net worth, increase your monthly cash flow and appreciate in value over time. Then sell or use the equity from one or more of your properties to buy yourself that “ Dream Home” and have the cash flow pay for it!
I want you to know I am here for every single step of the way. Contact me today and together, we will get you to the next stage in YOUR path.
If you are ready to buy your dream home now:
“I am in your Realtor, every step of the way. Contact me for all your real estate questions and needs. We are in this together.”
