The Renegade Real Estate Investing Newsletter
"Cutting Through the Real Estate Investing B.S."
This FREE Real Estate Investing Tips newsletter is your window into the world of real estate investing. You will never get closer to the real action than learning straight from two Canadian brothers, Tom & Nick Karadza, who are actually implementing the strategies they talk about!
In this weekly publication you will get access to our real world guides, trends, tips, strategies and "how to" information that is being implemented "on the streets" with real people, right here in Canada.
To access the full list of articles visit: www.TheRealEstateRenegades.com
It is published every Thursday, if you have been forwarded
this email and would like your own copy click here to
Thursday January 31st, 2008
In this Issue:
- Renegade Commentary: I Just Met "The Millionaire Next Door"
- Featured Article: Canadian Real Estate Investments: Stories From "The Streets"
The next FREE Real Estate Training Workshop:
Our next real estate training class is on Saturday February 23, 2008
at 10am in our Oakville offices. In this class you will learn how to profit from Real Estate without having to rehab and renovate distressed homes and create steady monthly income for yourself.
You'll also learn about actual real life success stories of investors doing this right here in your own backyard. To get all the location details and hold your spot (because we regularly fill the class!) visit:
I Just Met "The Millionaire Next Door"
One of the strategies we follow is to find growing neighborhoods, buy solid real estate
and then maximize its revenue using some sophisticated (but straightforward) strategies.
Pretty simple really. No "late-night-get-rich-while-sitting-on-your-couch-quick-stuff", just the fundamentals.
There are several ways to do this (a few of which we only share with our investing members!) but
recently someone tracked me down for an appointment in our offices that took the "buy and hold"
strategy to the extreme.
This gentleman was approximately 70 years old. He walked in with a plain pair of jeans, slightly
rumpled shirt and jacket that had seen a few winter storms.
In the early 80's he purchased 9 properties just north of Hwy 401 in Toronto.
He was the classic "Millionaire Next Door" as described in Stanley & Danko's book, titled, oddly
enough The Millionaire Next Door.
He held them during the mid 80's boom. He held them through the early 90's crash.
He held them when tenants wanted to buy them from him.
He held them when he had vacancies. He held them when they were fully occupied.
He held them even though his peers didn't have any properties.
He just held them no matter what.
I gathered that today his real estate was worth somewhere around the 4 million dollar mark.
It was generating between $15,000 and $20,000 in cash flow a month.
And now he is planning to pass this on to his family.
Not bad eh?
Sometimes it's easy to over complicate things.
And it can be easy to look for that next book, that next article, that next class that provides the
"silver" bullet strategy that will make you rich.
Now there's no doubt there is opportunity in real estate to make big money quickly and the good
news is that even if you screw up you can make money slowly in real estate too.
I've said this before:
There's no single strategy, there's no single book, there's no single answer.
They way to make money is real estate is to buy one property, learn from the mistakes that you're
going to make with it, and move forward to more and bigger opportunities.
Will you become the next millionaire next door?
Until next time...be a Renegade!
Tom & Nick Karadza
"The Real Estate Renegades"
Real Estate Investing Step-by-Step:
To learn more about our investing approach and the system we use
with our members you can request a copy of our FREE Report to be
mailed to you. In it you will learn:
- How you can turn 3 Single-Family homes into 24 homes without investing any additional money by having homes buy homes. EASY WEALTH!
- How you can create Income for Life in just ONE hour of spare time
a day! This means NO FIXING UP DISTRESSED HOMES!
To request your own complimentary copy of our investing in "Nice Homes
in Nice Areas" report go to www.LeaveWorkOneDay.com and fill out the form
at the bottom of the page.
Canadian Real Estate Investments:
Stories From "The Streets"
You know I see a lot of real estate articles that focus on the "Top 10 Mistakes" or the "Most Important
Numbers You Should Know" or "Accounting Essentials".
Basically, a lot of theory. And I'm guilty of writing these things
But when you're starting out sometimes real stories from real investors give you the most
And its because most people spinning out these real estate investing articles
don't actually work directly with any investors...so there's a gap in the information.
Let's park the theory and get to the real stories of real investors in the real world.
The stories that come from only working "in the trenches" and "on the streets" and getting things done.
Ready? Let's go...
The Case Of "I Want To Sell It!"
We were working with one investor who purchased a great single family home investment property just outside the Greater
Toronto Area and wanted to sell thing darn thing two weeks after buying it!
If she tried to sell it at that moment she would likely have lost at least $15,000 because of the commissions
and closing costs involved, no laughing matter.
See...when the real emotions of fear and anxiety kick in all those great books that teach real estate investing (think Rich Dad, Poor Dad or Millionaire Next Door) get thrown out with the trash. Emotions are powerful things and you need to fight to keep logic from escaping you when this happens.
This investor closed on the house and then didn't do very much of anything to get a tenant to rent
out the place. She actually did place one classified ad for one day, and that's it.
Well I can tell you from direct experience that one classified ad for one day is a good start
but it's not enough.
The crazy part is that off that single ad she had a call from someone interested in the home but she turned them down because they didn't sound like a good fit. Huh?
The fear of having a mortgage payment approaching and not having a tenant in the house was apparently too much to bear and she started acting irrationally.
So we stepped in and settled her down. Asked her to focus on the little things.
Forget the big picture for a moment. Forget building your empire. Forget equity build-up,
possible appreciation, tax deductions, cash flow, forget it all.
We just asked her to focus on one baby step at a time.
Place an ad for your house. Answer the calls. Get people to the house. Get applications. Accept a tenant.
That's it. Don't focus on the mortgage payment. Don't focus on any "what if" scenarios that are
likely not going to happen.
Don't go and shovel the driveway 7 times a week (shoveling doesn't make you money - getting a tenant
into the house does).
And as soon as she focused on the little important activities things began to flow.
Calls came in from her ad. She met people at the property.
And you know what...within one week of "re-focusing" on the activities that make money, she got a tenant.
She even managed to collect a few thousand dollars right up front.
Job well done.
For the full article click here to continue reading...
Successful Investors "Spill the Beans"
My son came up with the idea of having some of our real estate investing
clients "spill the beans" on a teleseminar call. He thought it would
be a great idea if you could hear from others how they are creating
wealth for themselves. Well, we couldn't agree with him more ;)
We did it and even helped him set up a website to share it with you.
If you want to eavesdrop on how people are making money in real estate right
in your own backyard visit www.MyDaddysTeleseminar.com and
you'll get instant access to a recording of the call right now!
About The Real Estate Renegades
Tom Karadza & Nick Karadza run the Income for Life real estate investing
system for their members throughout the Greater Toronto Area.
They have been called 'Real Estate Renegades' because they are implementing
real estate investing strategies that were once thought to be impossible by
many 'industry professionals'.
They are authors of the book "Income for Life for Canadians", to be released
in January 2008....it's coming off the printer's presses next week!!
They also offer FREE real estate investing classes, FREE reports, coaching
and mentoring, and other resources to help both beginner and experienced real estate investors achieve ultimate success. Learn more now at:
You can meet them in person at their next FREE Real Estate Investing Class, "How to Invest in Nice Homes in Nice Areas" by signing up here: www.CanadianRealEstateTraining.com
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Copyright 2008 Karadza Publishing Inc. All Rights Reserved.