As you know, I buy lots of properties and we use them for our Path to Home Ownership program, where we help well-deserving individuals and families to end up with Home Ownership. When people sell us houses they are not just selling a house to us but they are also helping a family to end up with Home Ownership. What a NOBLE cause.
Anyway, you probably also know that I attract folks that give me money to buy these properties and in return, we pay them in an above-average way for the use of their money. Oh and by the way, yes their money is secured by the properties that we buy. Yep it’s collateral just in case things go south.
I called these individuals that trust me to do the right thing with their money, my Private Money Partners. The funds needed for purchase are wired from their Self-Directed IRA directly to my attorney’s trust account. I never touch the money nor do I even see it. We do this so everything is documented on the settlement statements and the legal documents are properly recorded in the county in which the property is located.
Always remember that while these transactions from my Money Partners originate from a series of general discussions and a handshake agreement (today we do fist bumps), it must be followed up and carried out with the proper paperwork and procedures so all involved parties can avoid exposing themselves to many unnecessary risks.
P.S. If you don’t have a Self-Directed IRA …take it from me…that’s something you need to seriously look into.
Peace and Prosperity!
********************************* If you are reading my blog for the first time, let me inform you that… My company buys single-family houses and I write this blog weekly which is primarily directed to educate 1 group of individuals:
Individuals who are losing their shirt as a result of the “roller coaster” volatility of the stock market and low paying rate of other traditional investments, i.e. people that are looking for an opportunity that’ll provide a secured place to put their money to get it working for them to earn better than average returns.
However, oftentimes, homeowners that need to sell their house, stop by to take a peek because they are curious and wondering how and/or where we get the funding to purchase houses. And if they stick around long enough, they begin to understand why individuals partner with us to provide the funding which empowers us to be able to purchase real estate on a continual basis. Simple, it’s because we teach them a secured way to earn better rates of return than they are currently earning.
So everybody wins. It’s a WIN-WIN-WIN !!!
Request your FREE Education Kit if you are interested in learning how passively investing in real estate may help place you in a better financial position.
Disclaimer: This site is intended for educational purposes only. I am not an accountant, attorney, or licensed financial planner. While the information I’m writing here is based on many years of experience buying houses that doesn’t really constitute professional advice (since everyone’s experiences and situations are different).