As Franklin Cruz explains, there are a lot of different areas within real estate investing to choose from. The important piece to remember is to pick a niche and start working on it consistently for a few months before branching out further.
Franklin elaborates on how you can start small in real estate investing and slowly grow your business as you become more confident and knowledgeable in your work.
Mike: Welcome back to the FlipNerd.com REI Classroom, where experts from across the real estate investing industry teach you quick lessons to take your business to the next level. And now, let’s meet today’s expert host.
Franklin: Hey. How are you doing? This is Franklin Cruz. I’m going to be your host today in the REI Classroom, and today we’re going to talk about a million ways to make money in real estate investing.
Mike: This REI Classroom real estate lesson is sponsored by UglyOpportunities.com.
Franklin: Now, I do have a little bit of experience in real estate investing. I’ve been doing it for 16 years. I know, I don’t look like I’m 75 years old. It’s just good lotion. But I would say is, I’ve made money every single type of way you could possibly think of in real estate investing and I’ve lost a lot of money as well. So I promise you, I’ll only tell you the right ways, not the wrong ways.
So the first thing is this. In real estate investing, one thing that people don’t realize is that anything is possible. Write this down. If you’ve got a crayon or something like that, you can. Anything is possible, nothing is impossible, as long as two people agree and sign in a transaction. That’s the words from my mentor that taught me. And he always said, “Nothing is impossible, everything is possible, as long as two people sign and agree.”
That’s true. In real estate, there are so many different ways. There’s lease option, rent to owns. There are so many different ways to make money, wholesaling, wholesaling lease options. There are rehabs, there’s retail, there’s new construction, there’s old construction, there’s commercial, there are deposits, there’s creative financing, there’s deal structuring, there’s private money, there’s lending money, there are auctions, there are wrap mortgages. There are so many different ways, mobile home parks, analyzing, consulting.
There are so many different ways to make money. Here’s the catch. Start making money, at least consistently, over at least a three-month timeframe on one stream of income in real estate. That’s right. I told you the truth. Start making money, at least for the next 90 days, with one stream. Once you really feel that you’ve perfected it and that stream is coming in, slowly but surely it’s coming, then you’re allowed to go to the next stream.
What I find in real estate investors and just a lot of people who don’t know anything about real estate, what they do is this. They have one business card and on that business card, it says, “I do mortgage lending, I do consulting, I’m an appraiser, I’m a real estate investor, and if you have any kind of referrals let me know.” Man, what the hell is that? They’re like, “That’s crazy. No.”
What you want to do is, it’s just like a rated R movie. You know specifically, if you go in to see a rated R movie it’s rated R, period. There’s G, there’s PG, then there’s PG-13 and there’s rated R. There’s four choices. I’m going to wrap this around so you can understand what I’m talking about. You know specifically what you’re going to see. The same thing, people need easy, simple choices. If people are confused, they’re not going to do it, or they’re going to think that you’re not legal or something else is going on.
So remember this, whenever you’re having a conversation or whenever you’re actually thinking about real estate, how many streams of income that you can make money, think of this one analogy. Are you going to a rated R movie or a G movie? Just make a choice. Same thing in real estate, make a choice specifically what stream of income that you’re going to start making money, and then just go for that consistently, at least for 90 days.
Talk to you soon. See you in the next class. Again, my name is Franklin Cruz. You can find me at FranklinCruz.com. See you.
Mike: HomeVestors, the “We Buy Ugly Houses” folks, is a franchise system of hundreds of real estate investors that have purchased over 65,000 houses. If you’d like to learn more about the most powerful real estate investing system in existence, whether you’re a pro looking to take your business to the next level or whether you have no experience at all but a burning passion to be successful in real estate investing, please visit FlipNerd.com/ugly to learn more.
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