5 comments about Insider Secrets to Financing Your Real Estate Investments: What Every Real Estate Investor Needs to Know About Finding and Financing Your Next Deal.

1. I decided to read this book after reading What Every Real Estate Investor Needs to Know about Cash Flow by the same author. His books are fabulous. Not enough real estate investors read them. In addition, industry professionals such as brokers, appraisers, and lenders would benefit by reading it. I think the information in this book is extremely important because financing arrangements can make or break the returns for the property. Not many investors may realize this, but debt service is the biggest expense item. If you get this one right, you have a chance to reap some benefits of owning properties. If you are a real estate investor and do not understand what loan-to-value and debt coverage ratio are, then this book is for you.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



2. I already have real estate investments and I was looking for books on the 'next step' for my financing needs. This was not it. I give it credit for being a good 'nuts and bolts' book. It is NOT one of those 'you can do what I did' fluff books. The title is 'Inside Secrets'. I would re-title it 'Critical Fundamentals'. It's great information, but I don't recommend it if you already have your feet wet in real estate investing.



3. If you are new, this book might offer more insights, but for the experienced investor there was very content to justify buying it. The only gem I took away from this was preparing a presentation binder on a property for a bank when seeking financing.



4. This is much better than his cash flow book. Really provides insight about the borrowing process and what lenders expect. Great for understanding the terms. Covers Loan to value, Debt Coverage ratio, Different types of lenders and uses. He compares zero down deals, all cash deals, and the mix of both and points out the real deal of all the scenarios. Also gives good instruction on how to be prepared when going to a lender.
   
   This book is not motivational type at all. Just facts and info about what I mentioned above. It made a lot of things very clear to me. A must read if you are not familiar with the loan process and terms.



5. Buy this book and the "What every real estate investor needs to know about CASH FLOOW" by the same author, you are well armed in the field of commercial real estate. Both books are easy to read and you will learn a wealth of practical information that can be put to use immidiately. I don't normally write comment for books I purchased, but these two books are special. It is my way to say thanks to the author.

5 comments about And Then the Roof Caved In: How Wall Street's Greed and Stupidity Brought Capitalism to Its Knees.

1. The author has done a good job in this book.He shows that mortgage and real estate brokers, rating agencies,Fannie Mae,and numerous commercial banks simply caved in to the pressure from the giant Wall Street investment banks,who are no longer with us( Goldman Sachs and Morgan Stanley were allowed to save themselves and get bailed out by the taxpayers of America when Bernanke let them convert themselves into becoming commercial banks),desire for subprime loans that they could use to play derivative games with through the process of securitization.
   
   There are several errors in his book.First,it is not possible for low interest rates to cause bubbles unless the banks are loaning the money to speculators and house flippers.The banks themselves are the ones who determine to whom they will lend or not lend. Alan Greenspan,Ben Bernanke and Tim Geithner can't force any bank to make a loan if the bank chooses not to do so.It would have helped the exposition if the author had been familiar with the analysis of Adam Smith and J M Keynes in The Wealth of Nations (1776) and the General Theory (1936),respectively. A low interest rate policy will only work if the loans are directed to Smith's "sober people",the middle class small businessman or woman.Otherwise,instead of positive economic growth over time one will get bubbles.The bubbles are always started by what Smith called "projectors" or Keynes called " Wall Street speculators".However, in order to get their bubble going,they need bank loans so that they can leverage their debt and make money using other people's money.
   
   Second,the author does not appear to realize that Wall Street funded Presidents,like Carter,Reagan,George H W Bush,Clinton,George W Bush and Obama, appointed economists and lawyers from the investment and commercial banking industries who gutted and took over many of the government regulatory agencies.This is obviously not government " of the people,by the people,and for the people " but government by Wall Street cronies.This is why Theodore Roosevelt formed his third party in 1912 and ran for President - to promote good government free from corrupt ,on the take toadies and lobbyists from Wall Street .The best example is the stuffing of Fannie Mae with executives fresh from speculator activity on Wall Street by Clinton and Bush.The idea that the government bureaucrats were bumbling fools who were independent of Wall Street is an error that should be avoided.
   
   Overall, I recommend this book.



2. I think this is a good book about part of the story about how the "roof caved in." It tells the personal stories of a few of the people involved in the housing boom and bust -- borrowers, brokers, the lenders, Wall Street, investors, the rating agencies, and a hedge fund manager.
   
   The book starts with a sketch of the events of September 2008 when Lehman Brothers filed for bankruptcy, the credit market nearly froze and the federal government took ownership of 80% of AIG. Faber asks how it happened. He says it began with the burst of the tech stock bubble of 2000-2001, September 11, and the actions by the Federal Reserve -- led by Alan Greenspan - to try to contain the damage. Interest rates for home mortgages became quite low and Americans went on a home-buying binge.
   
   Faber tells the story of an immigrant who bought a house way beyond what he could afford, with the help of a mortgage broker and probably fraud. He tells a similar story of a woman in the Los Angeles area. The story moves on to the brokers who sold these subprime loans and the Wall Street firms that bought the mortgages, packaged them into securities, and then sold them to investors around the world.
   
   He tells how in earlier years Fannie Mae and Freddie Mac dominated the mortgage market with tight lending rules. Then scandals involving these GSEs (government sponsored enterprises) came to light, credit standards became very weak, with subprime brokers and Wall Street firms leading the way.
   
   Faber seems eager to put most of the blame for the boom and bust on Wall Street. Note the book's subtitle. On page 66 he makes a bumbling attempt to absolve Fannie Mae and Freddie Mac of "promulgating" the financial crisis. Then on page 78 he notes that Freddie Mac's chief risk officer warned the CEO in 2004 about buying mortgages issued with lax lending rules. Faber adds that Fannie and Freddie plunged deep into the parts of the mortgage market they once avoided, as revealed by a congressional committee in 2005 chaired by Henry Waxman. Faber can't have it both ways. Fannie, Freddie, FHA, HUD and Congress were deeply involved in causing the crisis. For example, see Gasparino's book The Sellout or the Village Voice article by Wayne Barrett, August 05, 2008, available online.
   
   Faber tells the story of a town in Norway that invested in CDOs (collateralized debt obligations) to try to bring in more revenue for its government. The folks did not know what they were buying and the CDOs plunged in value. These CDOs were not made from mortgages, but similar stories with mortgages are plentiful.
   
   Faber tells the story of Kyle Bass, a hedge fund manager who predicted plummeting house prices and made a lot of money based on his predictions.
   
   As other viewers have noted, there is a video, House of Cards, which can be seen online and tells the same story with a little less detail.



3. This book, by CNBC's David Faber, provides an analysis of the global financial crisis that commenced in 2007. The cause of this crisis, as written by Mr Faber, is a combination of greed and regulatory failure.
   
   David Faber traces the lineage of the subprime mortgage industry, and tracks it back to the aftermath of the September 11 2001 attacks when interest rates were lowered to try to help the American economy to recover. The lowering of the interest rate apparently enabled a drop in lending standards which allowed people to take on mortgages they couldn't afford.
   
   The causes and consequences of this collapse are covered in this book. While reading ex post analysis may be cold comfort to many, seeking to understand the various factors involved is important in order to try to prevent such an occurrence in future. I think that this book provides a good starting point for those of us who seek to better understand what went wrong, and why. The subprime mortgage industry failure may have originated in the USA, but its impacts are global.
   
   Jennifer Cameron-Smith



4. This book reads like a personal memoir of the credit crisis, and as such lends color and depth to several episodes that Faber witnessed from his front row seat at his network. It provides a timeline and touches on most of the issues central to the crisis. The book is an entertaining and very quick read or listen. Credit to the author for a cogent and concise description of credit default swaps(CDS's), collateralized debt obligations(CDO's), and, most importantly, synthetic CDO's. I like David Faber. I think he has maintained a high degree of journalistic integrity even as his `Old Guard' network colleagues have gone in a different direction and that integrity is evident in this book.
   
   This book is, however, disappointing on a number of important points:
   
   Alan Greenspan. Every crisis needs a culprit and the more neat and tidy the assignation of blame, the more popular the scapegoat will be. I do not get the sense in reading this book that Faber is among the most rabid of Greenspan bashers, but as a reporter, I expected a more thoughtful account of his unique encounters with the former Fed Chair. `The muffin encounter' , Chapter 4, illustrates well the cult of Greenspan that arose during the heady years of his tenure. The investigative reporter might have questioned the reasonableness of this cult of worshipers turning into an angry mob calling for the chairman's head, maybe identifying an overshoot of negative sentiment just as there had been an excess of enthusiasm in the boom years.
   
   Were he to do so, Faber might see beyond the pat reasoning where the fed's failure to regulate an out of control mortgage market distribution system is the proximate cause of the bubble. This view is naïve in the extreme and one of the more disappointing aspects of an otherwise comprehensive survey. There is room for a substantial debate on the reasonableness of how tighter regulation might have helped the US avoid the crisis--Faber lays out many of the reasons why this would not have worked--but a nagging question presents itself, If tighter regulation of the mortgage market was the fix as Faber suggests, why has it not been implemented since the crash. Moreover, why is the current chief regulators and politicians not only not enacting tighter mortgage market regulation, preferring, as Greenspan did, to allow the markets to self regulate this issue, but instead moving in tandem to urge banks to lend and lend some more. Greenspan is getting a bad rap for not doing what his successor is not willing to do now, and that is because it would not have worked then and it would be counter productive now. As Faber recounts of his interview with Greenspan, and I paraphrase, `Is it really necessary to legislate against practices which are decidedly contrary to sound business practices?' And if the answer is yes, even in retrospect, then the real story lies in identifying the source of this paradox and the moral hazard it implies. Faber's treatment of this truth is downright derisory.
   
   Faber describes the evaporation of risk premium in the market, but not in the context of the dilemma facing the fed in the years leading up to the crisis. Greenspan's "conundrum", the once famous now forgotten phenomenon does not figure into Faber's presentation, and nothing could be more central to the story. Current rationale a reduction of risk premium as measured by yield spreads are symptomatic of that deflationary forces, which in turn are best combated through an easing of monetary policy and general liquidity suggest the Greenspan's approach was correct or at least in keeping with the mode, and that his mistake was in not appreciating the scale of the problem. Faber should have at least given him credit for that.
   
   AIG and Hank Greenberg. This treatment was a little disappointing particularly since Faber spent so much time reporting on this story. Spitzer made sure that Greenberg would be punished for his misdemeanors, while his successors Sullivan and Willemsted, as well as all of the shareholders of AIG, would be punished for his felonies. I kept hoping Faber some of the more salient issues surrounding AIG and their role in the early stages of the crisis. When did AIG begin writing credit default swaps? What was the total liability of these contracts, real or notional, at the time Greenspan departed? How were the premiums booked? How were the reserves established before mark to market was implemented? Did these contracts and the accounting have anything to do with AIG's superior performance over the period of time leading up to Greenberg's departure, particularly given the low interest rate environment and the soft insurance rate environment? There is a story there and Faber seems to have left that for another book.
   
   I recommend this book as a very accessible, at times colloquial review of the credit crisis of 2008. More comprehensive and academic accounts include When Markets Collide by Mohammed El Arian and Animal Spirits by George A. Akerlof and Robert Shiller.



5. AND THEN THE ROOF CAVED IN: HOW WALL STREET'S GREED AND STUPIDITY BROUGHT CAPITALISM TO ITS KNEES tells of the realities behind the current economic crisis, detailing what happened to cause the greatest economic collapse since the Depression. It comes from an award-winning correspondent who has covered Wall Street for over two decades and is packed with firsthand accounts of the bankers who have contributed so heavily to this disaster. Any business library needs this.

5 comments about Investing in Income Properties: The Big Six Formula for Achieving Wealth in Real Estate.

1. This is a good book on commercial real estate investing. It introduces readers to many different types of income properties, and describes how to get them financed and how to analyze them. While there are certain advantages to real estate, such as control and leverage, no investment is risk-free or recession-proof. There is no such thing. The best way to make money in any investment is to buy it at a reasonable price. I don't care whether your investment is in stocks, bonds, or real estate, if you overpay, you will lose money. Many are learning this lesson the hard way because stocks and real estate prices have recently plunged. With that being said, I think that this is a perfect opportunity to buy both stocks and real estate because investors are fearful sitting on the sidelines hoping for the economy to recover. When it does recover, the deals will be gone. Commercial real estate suffers from lack of financing availability, which makes it extremely attractive to those who are able to get financing. Follow this book's advice, but remember that when you are buying a piece of real estate or a stock, you are buying into a business. With real estate, you have the control so you will be running it yourself. With stocks, you have no control so you better pick a company with good management. Either way, you must buy at a good price, and when the business operates and makes good money, the value of your investment will go up and you will make a profit.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



2. As a commercial real estate professional with over 20 years of appraisal, lending, brokerage, and advisory experience, Ken Rosen's "Investing in Income Properties" is one of the better reads on the subject that I've found in quite a while. Whether you're a novice trying to break into this dynamic and potentially profitable industry, or a seasoned income real estate investment pro, there is something here for everyone. His "Big Six" formula reads much like a due diligence checklist on what to consider when potentially purchasing an investment property, and he addresses strategies for the most typical property types - retail, apartments, industrial, office, and more. The book also addresses the fears and uncertainties associated with purchasing investment real estate. There is also relevant discussion about the importance of - and how to build - a team of professionals such as brokers, lawyers, appraisers, accountants, property managers, lenders, and others that are instrumental in the acquisition and ownership process. Rosen also warns of some of the pitfalls and how to circumvent them.
   
   One of Rosen's most interesting concepts is what he refers to as "infinity returns", whereby an investor's original equity investment can be recouped from a property without selling while at the same time retaining cash flows, both of which allow for future acquisitions of real estate. Every type of income-producing property is discussed, with varying strategies for each. But, by far the greatest gems in the book are the case studies. The author takes the reader through critical aspects of prior deals he's done, and provides real world insight on what to do - and what not to do. There's over forty years of commercial real estate experience packed in this book, and based on that alone it's worth the price.



3. When I came across Ken Rosen's book, "Investing in Income Properties", I immediately ordered it for three reasons. First, I am a firm believer in continual learning from many sources. Second, because I was aware of Ken Rosen's real world real estate success. And third, because investing in income properties has given me a very secure and comfortable lifestyle at a young age.
   
   The real treat came when I read this incredible book. I have always believed that learning from the mistakes and successes of others is the fastest and most intelligent way to succeed yourself. With that in mind, and being a private, independent real estate investor, I have always wanted to sit down with other successful real estate investors to "pick" their brains for the valuable insight and wisdom that can only come from years of real life experience. Well, reading Ken's book provided that the valuable insight and wisdom. For anyone with real life experience as a direct investor in real estate, you will immediately relate to and benefit from the content in Ken's book. More importantly, for a beginner in real estate investing, it provides a framework from which to gain a broad understanding of the subject and practical steps on getting started towards real estate investing success.
   
   This book is not only great fun to read because it flows like a real life conversation with a truly successful person in the real estate field, but it will also teach you real life situations, unlike most other real estate books written by authors whose primary profession is "writing" books instead of "living" the information that their book contains.
   
   When you read Ken's book, you will immediately realize that he is not "talking" the real estate talk. He has actually "walked" the real estate walk in a big way and has personally achieved great real estate success, and he is willingly sharing with you his years of real life experience so that you too can live your lifestyle dreams with real estate investing.
   
   Don't miss this book.
   
   Charles A. Guerra
   Real Estate Investor- Miami, Florida



4. I am a 30-year old experienced real estate professional that was thoroughly disappointed in this book. I'm a commercial real estate analyst for a national firm in a large U.S. city. I also own five rental properties of my own. It is rare that an "entry-level" book such as this will catch my attention anymore. However, as it had a one-page write-up in the National Real Estate Investor magazine, it caught my eye. Looking further at the reviews on Amazon.com, I saw 19 reviews - all were 5 stars. So I purchased the book.
   
   However, it is disappointing. For one thing, the author makes the claim that commercial properties are recession proof. Really? For the un-initiated, commercial properties are typically purchased based on cap rates. You'll take the Income that a property produces and divide it by an appropriate cap rate to determine what you will pay for the property, or what market value for the property is. As a result of the current credit crisis, risk has been re-assessed and cap rates have risen significantly across the board.
   
   There is no doubt that cap rates have risen. Take for example a property that produces an annual income of $100,000. If you use a cap rate of 6.5% (fairly typical about a year ago), the result would be a value of approximately $1.5 million. Cap rates have risen consistently approximately 200 basis points over the past year. That same property would sell today w/ a cap rate of 8.5%. Using this cap rate results in a value of approximately $1.2 million. That is a value loss of $300,000, or approximately 20% of your value. Typically an investor would put 20% down. So if you bought this property a year ago w/ a 20% downpayment, your investment today would be gone and you could potentially be bankrupt. Does this sound like an investment that is "recession proof" to anyone?
   
   I know my comments here sound like I am a nay-sayer. I actually am not. However this authors angles on things are simply not accurate and are clearly written to an audience that can't counter the author's points. It may be a good read for someone looking to learn more about the real estate industry. However, anyone with any existing knowledge and experience in the industry should skip this one.



5. I have been a Real Estate Broker for 30 years and I just finished this book, "The Big Six Formula". This should be required reading for anyone in the Real Estate Business or in college. The book clearly demonstrates Mr. Rosen's expertise in the field and his ability to communicate to his readers. I particularly liked his candid sharing of his successes and his failures and his dispelling the myth that you can get rich in Real Estate fast and enjoy large cash flows with no money down. Coodo's to Mr. Rosen, I hope his book hits the top ten in 2009.
   
   Respectfully,
   
   J.E. LeMieux
   R.E. Broker

2 comments about The Handbook of Commercial Real Estate Investing: State of the Art Standards for Investment Transactions, asset Management, and Financial Reporting.

1. This is a top notch book about commercial real estate. It covers topics such as value creation, demand drivers, underwriting, disposition, management, and due diligence. But for me what I liked about this book was the author's description of the major players such as life insurance companies, foreign investors, REITs, and pension funds. In addition, he describes different objectives that these players have. Individual investors have totally different reasons why they invest in real estate versus institutional players. For example, for years, pension fund managers have been investing mainly in traditional asset classes such as stocks and bonds. Now, with the change in demographics where people are living longer, these managers are looking for financial products that also generate current income with little appreciation. This is where real estate comes in. From my experience, institutional investors are not motivated the same way individuals are. For example, when individual investors sell their properties, they are trying to get top dollar, where institutional investors do not care as much. Their main concern is to look good in front of their bosses, board members, and shareholders. I highly recommend this book to serious real estate investors and professionals.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



2. For the well heeled reader interested in diversifying into real estate, McMahan gives many valuable guidelines. Covering topics like how to do due dlligence when scoping out a property, or how to have valid tenant leases that protect your interests. In both these examples, he suggests that you consult real estate professionals who specialise in such matters. In general, for many aspects of owning commercial real estate, you can find people who are qualified to perform these duties for a suitable fee.

5 comments about The Part-Time Real Estate Investor: How to Generate Huge Profits While Keeping Your Day Job.

1. While many authors may try to persuade you that you can make millions of dollars working a few hours a week and enjoy the rest of your time, the author of this book does not make this promise and I appreciate that. While this book is for people who want to start in real estate and keep their job, at some point you might want to make it a full-time career, but you need to realize that it will take a lot of hard work to get there. He says when the time comes to quit your job, you are more likely to work longer hours for yourself than you did for someone else. So don't think that initially you will be able to set your own hours like you always wished.
   
   Whether you invest full-time or part-time, the author says that real estate is a business and you need to treat it as one. So get nice-looking business cards, a website, business attire, and a clean and well-maintained car. I don't think that you will be disappointed reading this book.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



2. OK, I've read the book. Its still 4 stars. The best part is the explanations and uses of subject-to and land contracts. Each allow you to sell a house to a sub-prime borrower for a higher interest rate and protect yourself by keeping the house if the borrower defaults.
   
   He really missed the possibility of home prices cratering. My wife and I are looking at homes in an area where some are selling for about half of what they sold for two years ago.



3. I ordered this book and 2 other books with about the same basic thing. This book didn't really have any weak areas. It's also informative enough for full-time investors. It was pretty good at not using terms are jargon that beginners couldn't understand. The book was pretty good at slowly bringing you into the world of real estate investing and not leaving you in the dust.



4. Overall a good book and very motivational. Needs to dedicate more time on danger of overleveraging and borrowing too much.



5. You gotta love a guy who opens a book about part-time real estate investing with the information that he hasn't "had a real job in 15 years." Dan W. Blacharski then proceeds to explain in exhaustive detail how you, in 15 years (perhaps less), can write the same sentence.
   
   Among the many things you'll learn from reading The Part-Time Real Estate Investor: How to Generate Huge Profits While Keeping Your Day Job is the fact that while the shortest distance between the two points (idea and success) isn't really all that long, the actual path can be long and winding and you should, first and foremost, prepare yourself for a less than instantaneous journey.
   
   "There may well come a point when you will be working only a few hours a day and taking in millions," he writes, "but that point is not today. It will take a lot of hard work to get there."
   
   You will also learn that in many ways, bankers and real estate agents are not going to be your best friends in this investment endeavor of yours. In fact, Blacharski will explain, they will often be at odds with your goals. Real estate agents earn commissions from the sale of a home and are likely, therefore, to view alternative methods of purchasing real estate with considerable skepticism. Banks are in business to make money. They are not in the business of making you money, so like the real estate agents, they will tend to view any creative financing ideas with the same sort of skepticism. Alternative methods of purchasing real estate and creative financing ideas are the backbone of the method(s) that Blacharski details in the book.
   
   He walks you through it all, clearly and concisely, detailing all of the alternatives and creative financing arrangements that are available and desirable to the potential, part-time real estate investor. What seems clear is that many of the people who've trod this path (i.e., those who've made initial investments and parlayed the profits into millions) did so by using some combination of the techniques outlined in this book.
   
   What is not so clear is whether you, dear reader, will be able to do the same thing, especially if the plan actually entails maintaining a full-time `day job' while you explore the possibilities inherent in real estate investment. To his credit, Blacharski makes no claim, offers no guarantee and doesn't climb on a media soapbox claiming that you're going to be a success through the simple application of the principles he outlines. He tells you upfront that it's going to be hard work and in many cases, will involve failure. He recommends that you absorb such failure and soldier on, using each instance of failure as a lesson learned, not to be repeated.
   
   If there's a concern about how this information is laid out for you, it's that it has a tendency to come at you like a comfortable shower, which is all well and good, as long as you don't have to pay strict attention to and retain a specific memory for each drop of water that lands on you. It's just a lot to absorb in a single setting, or two even, or even the amount of time it would normally take you to read a book. Without a photogenic memory, you're going to have to go back and re-visit the concepts and specific details of each situation in order to effectively utilize the strategies and tactics that Blacharski has outlined in this book. Some of it, of course, will come with experience, but even initial experiences with this investment route will need to be supported by a strong knowledge base that can't realistically be learned simply by reading the book.
   
   This is not necessarily a bad thing. The devil, as we all know, is in the details, which, no matter how clearly Blacharski outlines them (and he does do that), will still be your responsibility to execute. Bearing this in mind and being aware that this book is a blueprint, not the finished `building' of wealth that you, as a potential part-time real estate investor, are seeking, the 290 pages of clearly articulated and well-written information are well worth your time.

5 comments about Making Big Money Investing In Foreclosures Without Cash or Credit, 2nd Ed..

1. High level talk mostly,more like a informercial than anything. You basically paid for this book to read ads about his other books, semiar, coaching program etc. Few executable techniques, nor useful resource like sample contracts, check list. One has pay dear to get them as seperate package.



2. I have this book it is one of many in my arsenal of books. Peter Conti Covers a variety of different strategies. Definitely a resourceful book for newbies who like to devour information. Just do it Real Estate Investing is the way to go!
   
   Chiconya Washington



3. This is a remarkably bad book. The advice takes the form of vague concepts - there's not one practical course of action laid out in this book in a usable form, but you'll get a lot of anecdotal ramblings about the author's big successes exploiting one-time opportunities in contrived scenarios. Legal considerations? Nope, look elsewhere.



4. There are many good ways to buy properties in this book but, some seem a little sketchy. They really push keeping the houses for your future, but do you really want to be a landlord, I don't and would rather sell and move on, who wants to deal with that. I have friends with properties and it is a constant pain in the b..., if you don't know how to fix small problems yourself you will be constantly hiring someone else to fix them and there goes all your profits. Peter never talks about taxes either rather painting a great picture of profit, yes he does talk about writing off the interest, but never about Capitol Gains tax that you will have to pay when you sell the house no matter how long you own it, you don't have to pay it if you live in the house for two years but if you rent you will. There is defiantly money to be made now and in the coming years and I will use some of the resources (They give you access to there wed site for free) and ideas in this book to make some money, but think long and hard were you buy (neighborhood etc.) and if there is really enough profit in the property after you pay your real estate people, Taxes and other expenses. Good luck!!!



5. This book was very easy to read, understand and to comprehend.
   The author explains things very well and in laymen's terms.
   I highly recommend this book to anybody wants to get a headstart working with foreclosures

5 comments about Trump University Real Estate 101: Building Wealth With Real Estate Investments.

1. I read this text in a few days. I was not impressed. All it did was provide a general overview of real estate. I would recommend "The Real Estate Game" as a better general overview. If you want to learn intergral components buy the California Real Estate Principals book. That provides more case studies. Trump was wealthy and invested his money. Every few years his business goes bankrupt and he bails. That initial capital development is the key. Gather some investors that believe in you and your goals and then go from there.



2. This is a real estate book, but it differs from others that try to target an audience that is only interested in getting rich quick. There is money to be made in real estate especially now with the current climate in the economy. As the author says,
   
   "This perfect storm of tight money and excess property supply (especially foreclosures) has created perfect opportunity for you."
   
   And let's not forget what Warren Buffett said:
   
   "Buy when others remain fearful, sell when others become greedy."
   
   Even though there are opportunities, readers should be realistic about how much money they can make. This book not only teaches investors about real estate, but also about how to have the right mental attitude to succeed in real estate. This investment philosophy is simply real estate value investing. It means that investors should buy properties at the right place, right time, and right price. This is very similar to Warren Buffett's style of investing in stocks where he buys great companies at the right price. I highly recommend this book to any real estate investor.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



3. The delivery time was little excessive but the book is excellent- very well written and understandable. The book inspires me.



4. This book offers very basic, albeit solid advice for beginning investors. For most of you out there, the contents of the book are common sense, "I could have thought of that" answers. The main failing of the book is that the authors do not give enough detalied concrete examples of past deals and projects that made them money, just broadview hypotheticals. It's practically worthless for any investor with half a brain.



5. This book is a great start up book for investors just getting in the game. What I liked most though it's not like most real estate books where they tell you how to do it.
   They
   dive into the why you do it and the core principles you need to have in order to invest in real estate. The book also shows that real estate is a serious business. Take your time reading this book and grasp the core principles and habits that they are talking about.

5 comments about The Automatic Millionaire Homeowner: A Lifetime Plan to Finish Rich in Real Estate.

1. This is a good "breadth" level book for people looking to buy a home and build wealth through real estate - it covers a lot of different topics related to building wealth in real estate, though it doesn't really dive as deeply as needed. In terms of the pros, I think David is clear that flipping or getting rich quick is not viable in the long run. He also recommends safer mortgages. I think, however, the right combination to get you to buy a home is to read 2 books:
   
   1. The Total Money Makeover by Dave Ramsey - this will tell you how to get your life in order so you can maximize your savings and cut debt, based on the income you already make today. It is important to first correct your spending habits before people venture into buying a home, which for many, will be the largest financial purchase they will ever make.
   
   2. Home buying for dummies - once you do get your finances in order, the dummies book, I felt, is a more useful guide to get you to buy a home.
   
   This book has it's merits, but I wouldn't buy it. I would recommend borrowing it from the library and getting through it in about 4-5 hours.
   
   Hope this helps.



2. David Bach is very much a traditional investment adviser. He believes that over the long haul one can make a fair amount of money by saving and holding on to your investments. In this book, he makes a strong case that, by buying homes to live in, buying up, and obtaining rental properties, you can do very well for yourself. Ultimately, you can become a millionaire.
   
   Still, had you followed Bach's advice in 2005, when this book was written, you would likely be deeply in debt now with no chance to even refinance and take advantage of lower rates. That is because the real estate market was in serious straits in 2005 and Bach, despite his reservations about 0 down mortgages (30% of the market the previous year) and interest only loans (a similar percentage) was overly optimistic about real estate. As an investment, it had "never" experienced a year over year decline, he noted, citing national figures. (Nothing like 4 consecutive contrary years to suggest a problem with the initial stat!) Sure, if you are able to hold on through the current economic crisis, then in a decade or so, you will come out ahead, but in the meantime, it would help if your investment advisor could tell the difference between cycles in real estate and a bubble brought on by irresponsible government policies and banks that were more than eager to accommodate them. Indeed, Bach suggests that one of the reasons real estate will continue to go up is because subprime mortgages are so common now (2005). Talk about a serious misreading of the market!
   
   But once you get past the hype, a fair amount of the advice in this book is valuable. Bach does give good suggestions for saving up a down payment, finding a good mortgage and a good real estate agent. The book is strong on negotiating favorable mortgage terms, weaker on negotiating a good closing price on the house you decide to buy. And he also is helpful when it comes to assessing the various purchase options you will face.
   
   But even in this more reasonable part of the book, Bach is somewhat superficial when it comes to explaining how you can profit from homeownership. He correctly notes, for example, that you can deduct the interest you pay from your taxes. But he does not note that to do this you will need to itemize instead of taking a standard deduction. You will almost certainly come out ahead, but it should be noted that in foregoing the standard deduction you are, in effect, not getting to write off your full interest payment. Similarly, his description of real estate profits is a little superficial. Let us suppose, he suggests, that you buy a house for 200,000 with 40,000 down. If it appreciates 10%, to $220,000, you can sell the house for a "50%" profit minus your payments. But realistically, your payments will eat up most of the profit. Real estate historically appreciates at 6% per year. So figure about 20 months to get your 10% appreciation. Now, you have paid 20 months of payments, which at 5.5% comes to $1,134 a month. You have already spent the full appreciation (and then some) in payments, with only minimal progress on your principal. And you still owe your agent her commission.
   
   So the question comes up, should you buy a house at all? The best answer is "maybe." If you are going to do so, now (2009) is probably a good time, if for no other reason than you face considerably less downside risk than you did in 2005 and the Obama administration is going to kick in a "free" $8,000 tax credit. Since you can expect other expenses to rise over the next few years, I strongly recommend getting what you can. But remember, rent buys you more than just a place to stay. It buys freedom to move at the drop of a hat which is something home owners definitely do not have, especially in this economy. So in the final analysis, don't expect homeownership to make you an automatic millionaire. But it may provide some security, especially if you lack the discipline to systematically save in other ways.
   
   The bottom line, use this book to help you purchase a first home, IF that is what you want. But take the investment advice that is scattered throughout the book with a certain degree of skepticism. It is not so much "wrong" as it is incomplete, and the years since 2005 have highlighted the weaknesses of these arguments.



3. This is a fantastic book whether you own or are purchasing a home. Mr. Bach has some great tips to help you out along the way. I would highly recommend this book to anyone and everyone who wants to "finish rich".



4. I am glad to have bought the book because it had some good points but nothing that I couldn't have found on google myself by doing a search.



5. This book is a 5 star book if you are looking for a book to inspire you to be a first time home owner. 80% of this book explains the entire process of how to become a homeowner, it would have been very helpful to me before I bought my first home 16 years ago. He explains mortgages and how they work, what kind of real estate agent to use and what to look for in making your choices. 20% of this book explains why it is important financially to own your own home. For example: Homes rise in value on average 6% a year. So if your home is valued at $100,000 it will grow in value by $6,000 a year. This can add up quickly in equity and will turn out to be one of the greatest investments you have ever made. David Bach believes that home ownership is essential to becoming an automatic millionaire. This book briefly discusses how wealthy you can become by keeping your homes as rental properties as you trade up to larger homes. This book is not about "flipping" properties it is about owning them for the long term. I would highly recommend a beginner in real estate or personal finance to read this book it will be very useful, however this is not for current home owners or real estate investors. I will be giving this book as a gift to my children when they turn 18. Owning a home is essential to financial success, even though I am uncomfortable with Mr. Bach's advice to leverage debt for multiple houses. My first starter home made me $40,000 in 10 years when I sold it, which was a huge contributor to my net worth. If you want to build wealth buying your home is essential along with your 401K contributions, and living as debt free as possible. With the current horrible housing market this is the best opportunity to buy in decades. Pick a starter home in a growing area and watch its value grow while you lock in payments that do not increase with inflation. Live the American dream, buy your own home.

5 comments about Buying Real Estate Without Cash or Credit.

1. Because of books like this, plus Robert Allen, and Carlton Sheets, I'll be in bankruptcy court soon. But hey it was an adventure. I got a great book out of my ups and downs in real estate investing in Akron Ohio. HOUSES OF CARDS recently won and IPPY award. If you want to follow the advise in this book I think you should read mine first! It shows a more realistic view. I own 12 single family homes, have a half a million in debt and it took me eight years!
   
   Pamela Frost
   Houses of Cards



2. I was not familiar with the "no cash" side of real estate investing so I bought this book to learn a little more about it. I would say I got an brief overview of the system and I found it interesting which is why I gave it three stars.
   
   This book is more a fairly-clever sales pitch intended to lure you into their outrageously expensive boot camps than an educational piece. If you're hoping to learn how to buy real estate without cash or credit, you're not going to get that from this book. There's absolutely nothing about how the contracts work which leaves the book's information worthless.
   
   There was also a line towards the end of the book that made me uneasy. It said something about them going in on investment deals with their students. I really hope they aren't charging people these absurd fees for a weekend boot-camp and then taking portions of any profits. That just doesn't seem right to me.
   
   I also found the parts of the book somewhat insulting. I think a lot of the content was intended to make me feel too stupid or too scared to do this type of investing without their help. I think this was more a tactic to frighten me into paying for the boot-camp. A tactic that I didn't appreciate.



3. Great book! It is very well structured to guide anyone looking into investing in real estate. I've read so many books that tell you why you should invest and give you a lot of fuss just to motivate and inspire you but this book actually goes into how to get started and structure deals. It is exactly what I was looking for. I'm about half way into the book and I love it. I'm middle class and only 20 and I am now very confident into kick starting my real estate career. I wish you all the best!
   
   Hector



4. After reading the second book of the series, about advanced strategies and getting alot of good tips, I decided to go back and read this book. Before buying, I was aware of alot of the negative feedback by people who had higher expectations from the author or did not like his couching of advice in fictious character role playing, but after kicking the tires in this industry for a couple of years, I have learned that you are not going to find one source that says it all and boils down everything you need to do and know. As others have said Real Estate Investing is not difficult but it is involved and is a continual learning process.
   
   Even Richard Kiyosaki's series of books make you read through chapters and chapters of earlier year reflections and stories to whet your appetite before getting to ROI calculations and other meat. So I think David and Richard's approach is not without merit. The book explains the procedure in plain English. I think it is not a one stop solution but rather complements other Real Estate Investing sources.



5. I'm not quite sure what to think after reading this book, and then visiting John T. Reed's web site and reading his comments about some of the techniques this book is recommending.
   
   I was getting excited by this book, until I started to think about it a little. How are they making this money? By dialing the phone off the hook, making hundreds and thousands of calls, until they find someone naive enough to be taken advantage of! (or at least, that's what it seems to me, in my personal opinion). The authors insist that they are advising people to negotiate win-win deals, and I think that's laudable. However, it doesn't seem as if some of the examples they cite, and get so excited about, exemplify the win-win deal, or any principle of "fair exchange".
   
   Mr. Reed doesn't review this book in particular, but I would strongly recommend you search-engine your way over to his website for a taste of his contrarian opinions on these "real estate riches" gurus in general. While I believe he may be a little strident in some opinions, he makes some excellent points. Reading his website right after finishing this book really gave me pause -- and made me think anyone who tries these "no cash or credit" techniques had better have good legal representation and advice, beforehand! Again, just my opinion.
   
   Reading the book gave me the inspiration to "think out of the box" on how to go about this type of investing. But Mr. Reed's website gave me an equivalent dose of caution, common sense, and reality that I think is actually quite lacking in this book.

5 comments about Investing in Fixer-Uppers : A Complete Guide to Buying Low, Fixing Smart, Adding Value, and Selling (or Renting) High.

1. This book was ok, but could have been better. Most of the content seems geared more tword people who are interested in buying multiple rental units like apartements. Not family homes. Plus the material seems outdated as he recommends scouring the claffied advertisements for properties to purchase.
   
   At the beginning of the book, the author recommends marking up the book with a highliter. I would seriously discourage that in case you wish to resell the book.



2. I picked up this book because I read the author's other book, Start Small, Profit Big in Real Estate. Neither of the books is about flipping properties. Their strategies are to purchase ugly and rundown properties that nobody else wants to buy, fix them, and rent or sell them. The author argues that buying ugly properties is profitable because other investors are not willing to buy them, which in turn creates fewer buyers who bid for these properties. Once these properties are fixed up, they can either be rented or sold more easily because people like to live in a clean environment.
   
   - Mariusz Skonieczny, author of Why Are We So Clueless about the Stock Market? Learn how to invest your money, how to pick stocks, and how to make money in the stock market



3. This is a great book that will pay for itself! I do not see why people are complaining that this not a flipper book - because it's obviously not a flipper book in any way! The title clearly says Investing in Fixer-Uppers : A Complete Guide to Buying Low, Fixing Smart, Adding Value, and Selling (or Renting) High. It does not say buy a piece of trash, paint, and sell it to the next gullible sucker. (i.e. the mentality of most get-rich-quick flippers nowadays.) This is a buy and hold for huge profits book. If you want a flipper book, then search for flipper books. If you want to retire one day soon (or at least know you can!), then stop watching the Flip This House TV shows with grossly inflated profit margins, and buy this book! Don't believe everything you see on TV.



4. I can't agree with those who criticize this book for being like all other real estate investment books. This book is a breath of fresh air from many other real estate books! The author actually offers practical advice from his experience, and its written in a readable and humorous manner.
   
   In particular, the author's description of the Haywood Houses purchase on pagers 16 to 25 is a good example that addresses many of the issues that new (and experienced) investors face, such as:
   
   1.) Where do you find your investment houses? Jay found his in the newspaper. I found my first investment property in the newspaper also. It was a great fix-up bargain at $85,000 in 2002, and is a great rental property now, bringing in over $200/month;
   
   2.) What do you do when you find a good property? Jay says "act quickly" when you find a property in neglect. Jay says houses in neglect are worth big bucks for us do-it-yourself fix-up investors. Jay's list of what constitutes an ugly property, including "unsightly yards, no painting done for years, broken down fences, unsupervised dogs & cats." This list should be taped on our walls to constantly remind investors what we are looking for;
   
   3.) Fixing people problems. The property was overrun by scary looking people with tattoos who drank beer and worked on junk cars. The owner wanted out. Jay fixed the sort-term people problem in exchange for receiving valuable long-term benefits.
   
   This is a useful book that I keep handy.
   
   
   Terry Sprouse - author of the book, "Fix 'em Up, Rent 'em Out: How to Start Your Own House Fix-up and Rental Business in Your Spare Time."



5. I have read this book 5 times now, and am putting his strategies to good use. Using Jay's strategies, I just fixed up an older house in my neighborhood. With 3 month's part time work, (I also teach 3rd grade) I now have 28k in equity, and 209.00 per month positive cashflow. The house was even owner financed, 2% down, and deferred payments too! (Jay's strategies). Next week, I will close on a second rental property for $46,500, and it appraises for $65,000. Some folks say Jay is too folksy, but he can be as folksy as he wants to be if his strategies get me $46,000 in equity in less than 6 months.