Possible Investor Lined Up, What Now?
Hello all,
Quick background info on me. I am 29, went back to school and will finish a degree in finance next year. Instead of studying I find myself constantly on this forum! It is hard to study REI while working towards my degree but unfortunately REI is more interesting to me! Here is my situation. I currently have about 10k saved in IRA and stocks. In the next several months our family is selling some farm land which will net me another 20k roughly. So within 4-6 months I will have about 25-30k. Also I inherited natural gas royalties which are currently paying about 2k a month. I am living off them while finishing school but they are mine for a lifetime as long as the wells keep producing. I currently rent. I have a friend in Texas who seems interested in helping me. He is retired and worth millions. I am going to go visit him in a few months and wanted to propose a deal to him. Problem is not sure what sort of deal WOULD interest him. Obviously he doesn't need the money. I was wondering what you experienced folks would do in my situation. I know if some of you had your hands on 30k you could do some great things with it. I am new to this and feel confused as to what would be a good first step. I assume buying my own home would be a start? Any advice would be greatly appreciated. I also have another post about some property in Texas I was considering to turn a quick buck. Love this website!!
I am also new to RE and I am trying to buy some farms or houses in Dallas aria... I don't understand why are you selling yours? Where is it? Maybe we can do some things. What do you think?
Sorry the farmland is in Indiana and is not soley owned by me. It is the families decision to sell and I have no options.
Many people who have wealth & invest with me, want something to give them more net income (think less taxes) with less work. They want more time to enjoy their lives & less time managing their investments, (unless they really enjoy working full time) Offer to pay him a return on money plus participation in the profits, on the money & or credit he loans to you, secured by the bargain properties that you find, fix up, & resell or rent.
The best thing to do is to ask him what he would be looking for.
Good Luck
Hey sanjosee,
How is in CA? Having a lot of fun?
In what kind of projects does people invest with you? let me know, I might be interested.
Quote:
On 2004-02-29 13:33, paleoman wrote:
Hello all,
Quick background info on me. I am 29, went back to school and will finish a degree in finance next year. Instead of studying I find myself constantly on this forum! It is hard to study REI while working towards my degree but unfortunately REI is more interesting to me! Here is my situation. I currently have about 10k saved in IRA and stocks. In the next several months our family is selling some farm land which will net me another 20k roughly. So within 4-6 months I will have about 25-30k. Also I inherited natural gas royalties which are currently paying about 2k a month. I am living off them while finishing school but they are mine for a lifetime as long as the wells keep producing. I currently rent. I have a friend in Texas who seems interested in helping me. He is retired and worth millions. I am going to go visit him in a few months and wanted to propose a deal to him. Problem is not sure what sort of deal WOULD interest him. Obviously he doesn't need the money. I was wondering what you experienced folks would do in my situation. I know if some of you had your hands on 30k you could do some great things with it. I am new to this and feel confused as to what would be a good first step. I assume buying my own home would be a start? Any advice would be greatly appreciated. I also have another post about some property in Texas I was considering to turn a quick buck. Love this website!!
Based on the income and the money you will have shortly I am not sure that you will need any help. I just want you to think about why you want to work with the family friend.
At the same time ask the other person what might be of interest to them. Are they only trying to help you get a first home or are they interested in backing possible investment deals? If they want to back deals, do they care more about income, capital gains, tax avoidance (legally), etc.? Then flip it around and find out what sort of deals would be bad or mess them up?
Two examples. Some say anything that creates current income, others want to avoid stuff that takes years to show a return as they are old.
If you are going to do deals, make sure you and they are aligned so you both win or you both lose. Even better is where they are a head of you (they get their funds back before you benefit, they get a slightly better return or better percentage of the deal).
If you can successfully make them money then there will always be more deals that can be done later. If you mess up that will be the end of your private funding and later deals will never happen. Make sure they win.
John