Real Estate Capital

Real Estate Investing: Raising Real Estate Capital

By November 22, 2012 April 18th, 2019 No Comments
[Part 1 of 4]

Any mistake in the four stages of real estate investing can turn your investment dreams into a nightmare. We will discuss each of these areas in detail in a four-part blog post series.

The four broad stages of Real Estate Investing:

  • Raising Real Estate Capital
  • Making Real Estate Acquisitions
  • Real Estate Operations
  • Real Estate Liquidation

Investment Problems

After taxes and other expenses, most doctors find it challenging to save more than $50,000 a year. If you are doing better than this, congratulations, you are ahead of the game.

Because most lending these days requires 25% or more down for investment property, most health care workers feel limited to Residential Property investments. These properties are either single-family homes, duplexes, triplexes, or quads.

While one can make money in the right circumstances with these types of investments, many roadblocks to prosperity exist.

  • The inability to access non-recourse lending
  • Lack of economies of scale
  • Lack of access to the best property managers
  • The effects of the residential market cycle
  • The effects of the comparison appraisal model on the value of your investment

Raising Capital: A combined effort

What many physicians and other health care workers may not realize is that they can combine their money with others and purchase larger commercial properties as a fractional owner.

This type of real estate investing can largely remove many of the problems listed above, allowing for larger more consistent returns.

Its Your Wealth and Your Retirement, Why not Make it Abundant?

P.S. Next post, “Real Estate Acquisition: Your Real Estate Investments.”

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Dennis Bethel

Dennis Bethel

After 18 years of working in the trenches of a broken health care system, Dennis Bethel, M.D. extricated himself from medicine utilizing the power of passive income from real estate. Now he helps others conquer their number one financial fear, cut their biggest expense, and tame the greatest threat to their careers.

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