When you rely on institutional financing you are at the mercy of the economic climate the country is in at that time.
Something You Need To Pay Close Attention To
Banks have depositors. People put money into bank accounts. That’s the money that they lend out.
Here’s the problem. As of this writing, the average 5-year certificate of deposit (CD) is 1.40%. Passbook savings are paying one quarter of a percent interest.
What the Banks are doing is borrowing money from the depositors at a quarter percent interest and lending it out at 4 to 6 percent interest.
So what they’re doing is profiting the difference in the percentages. That money is going into their coffers and very little is going back to the depositors.
It’s called Arbitrage.
Now we know why banks and insurance companies have the tallest buildings in every city.
There’s a better way. I teach others that want to learn that better way to earn above average profits on their money. I show them how to make their money work for them instead of them working for money.
Each of your dollar bills should be like an employee working for you.
I can help. Let’s talk!
********************************* 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, often times, 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).