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WHAT IS A SPLIT-LEVEL HOUSE AND SHOULD YOU INVEST IN ONE?

Are you considering investing in Real Estate and torn between bungalows, two-story houses, and split-level homes? Purchasing a property can be an overwhelming process with critical decisions to make. Many investments require careful consideration regarding the type of house being purchased. Split-level homes are one such variety that has gained popularity over time, due to their unique design and multi-functionality. As such, split levels can be a great fit for a real estate investment portfolio.

THE F.I.R.E. PLAN – A STEP-BY-STEP GUIDE TO REACH YOUR FINANCIAL POTENTIAL

Some people might think that financial success just boils down to buying low and selling high. While the timing and a bit of luck from buy-sale transactions are part of the equation, long-term financial stability and freedom also depend on the long-term ownership of assets such as real estate. There’s no question that successful Real Estate Investing requires thoughtful planning and execution. But it can be tough to know where to start. Think you’re stuck in a financial rut? MY SMART COUSIN can help get your life back on track. With our track record as an experienced Real Estate Investment Coach, we teach aspiring and new real estate investors, with a particular focus on Black and Brown folks and women, how to buy a house for the price of a car, as we have done dozens of times. In this blog post, we’ll walk you through the basics of the F.I.R.E. planning method, providing you with a step-by-step guide to reaching your financial potential. So whether you’re just starting out or you’ve been investing for a while, read on to learn more! WHAT IS THE F.I.R.E. PLANNING METHOD AND WHAT ARE ITS BENEFITS? Any financial planner worth their salt will tell you that one of the most important things you can do for your future is to start saving for retirement as early as possible. The earlier you start, the more time your money has to grow and recover from financial downturns. However, for many people, the thought of retirement and legacy wealth seems like years into the future, and they simply can’t imagine putting away money for something that feels so far away. This is where the F.I.R.E. planning process comes into play. F.I.R.E. stands for Financial Independence, Retire Early. In other words, the F.I.R.E. method focuses on positioning you to achieve the kind of enduring financial freedom that allows you to cut the working cord now, not years into the future. The major benefits of this method are: ·   It allows you to map out a path to financial independence so that you can retire early. ·   It takes into account your current income and expenses and forecasts how much money you will need to save and/or generate each month in order to reach your goal. Spoiler alert—you will not be able to rely on reducing your expenses to achieve financial independence. Asset building, such as through real estate investment, will be key. ·   It provides advice on investing and offers other tips for achieving financial freedom, based on your lifestyle goals, expenses, and liabilities. While it may seem like a daunting task, with the help of the F.I.R.E. method, you can make your dream of early retirement a reality. HOW TO CREATE YOUR OWN FIRE PLAN? If you’re looking to retire early, it’s important to have a plan in place. Creating a F.I.R.E. plan can help you get specific about how much is enough to replace the income you’re currently making, through investments and entrepreneurship. Here are a few things to keep in mind when creating your own F.I.R.E. plan: ·   Determine your current financial situation. This includes understanding your income, expenses, debts, and investments. This will give you a baseline to work from as you create your plan. ·   Set your goals. What is your target retirement date? How much money do you need to have saved? What lifestyle do you want to maintain in retirement? Answering these questions will help you create a plan that is tailored to your specific goals. ·   Create a budget. Once you know your current financial situation and what your goals are, you can start to create a budget. This budget should account for both your current and future expenses. Make sure to include some flexibility in your budget so that you can account for unexpected costs. ·   Find ways to save money.  In order to retire early, you’ll need to save as much money as possible. One easy way to do this is to automate your savings so that a fixed amount is deposited into your retirement account each month. ·   Invest wisely. In addition to saving money, you’ll need to invest wisely in order to reach your goals. This means understanding the different types of investment options— from real estate investing, to stocks and bonds— and choosing the right mix of investments for your needs. It’s also important to periodically rebalance your portfolio so that it continues to align with your goals. Creating a F.I.R.E. plan can help ensure that you are on track to reach your goal of financial independence and retiring early. By following these steps, you can create a personalized roadmap that enables you to live comfortably today while moving your retirement date ever earlier. STEP-BY-STEP GUIDE TO REACHING YOUR FINANCIAL POTENTIAL Achieving financial success doesn’t happen overnight. It takes time, discipline, and a commitment to learning and growing. However, if you’re willing to put in the work, it is possible to reach your financial potential. Here’s a step-by-step guide to help you get started: ·   Set realistic goals. Determine what you want to achieve financially and develop a plan to get there. Remember to be realistic and patient; wealth accumulation takes time. ·   Stay disciplined. Once you have a plan in place, stick to it. Discipline is key when it comes to money management. ·   Make learning a priority. Financial success requires continuous learning and growth. Seek out resources (books, articles, courses, etc.) that can help you become more financially savvy. ·   Take advantage of opportunities. When presented with an opportunity that you’ve thoroughly researched and has the potential to boost your financial situation, don’t hesitate to seize it. ·   Be patient. Rome wasn’t built in a day, and likewise, a foundation for lasting financial success can’t be rushed. Couple patience with consistency; eventually, you will reach your destination. FAQs ABOUT THE F.I.R.E. PLAN AND FINANCIAL PLANNING IN GENERAL If

HOW TO DEAL WITH CRITICISM AS A REAL ESTATE INVESTOR

When you’re a Real Estate Investor, criticism is part of the job. Whether it’s from family and friends or complete strangers, you’re going to hear negative feedback. It’s important to learn how to deal with criticism in a healthy way so that it doesn’t affect your investing goals. As an Investor, do you face criticism? Don’t worry, MY SMART COUSIN is here!  We can help by providing expertise and resources for budding Real Estate Investors and homebuyers of all stripes–especially those looking to buy a house for the price of a car. As an established Real Estate Investment coach, with a particular emphasis on Black and Brown folks and women, we develop investment strategies specifically designed to meet your unique needs. Criticism, whether from others, or as a drumbeat of self-doubt that can come from within, is part of the growing experience, both in business and in life. In this blog post, we will be sharing a few tips on handling critiques in a constructive manner. CRITICISM IS A NATURAL PART OF ANY BUSINESS- LEARN TO EMBRACE IT It’s inevitable. No matter how great you are at what you do, there will always be someone who criticizes your work. And as a Real Estate Investor, you’re bound to face your fair share of criticism. Whether it’s from a tenant who’s unhappy with the condition of their unit or a friend who has questions about your investment strategy, it’s important to learn to extract any nuggets from the criticism and use them to improve your business. While it’s easy to get defensive when confronted with criticism, try to take a step back and see it from the other person’s perspective. Oftentimes, criticism is based on valid concerns that you can use to improve your business. For example, if a tenant complains about the condition of your property, that’s an opportunity to ensure that you are complying with the landlord-tenant requirements for your jurisdiction as well as to make necessary repairs and improvements. Or, if a neighbor has noise complaints regarding your tenant, view this person as your eyes and ears on the ground and enlist them to contact you first rather than calling the police so you can try to resolve the issue.  By taking the time to listen to criticism and address legitimate concerns, you open the door to turning even the most negative feedback into a positive result. USE CRITICISM TO IMPROVE YOUR SKILLS AS AN INVESTOR No one likes being criticised, but it’s an essential part of becoming a successful real estate investor. By seeking out feedback from experienced investors, you can learn where you need to improve and make the necessary changes to become successful. It’s important to remember that not all criticism is created equal; take the time to find helpful, constructive feedback from people who have your best interests at heart. With their help, you can make the changes necessary to take your investing career to the next level. FINAL THOUGHTS Criticism is a natural part of any business, but it can be tough to deal with when it’s directed at you. As a Real Estate Investor, you need to learn how to embrace criticism and use it to improve your skills. Don’t take the criticism personally – it’s not about you, it’s about the deal or property. Analyze the criticism and see if there is any truth to it. Respond politely and professionally. Doing this will help you grow as an investor and develop resilience in business. Do you face criticism as a real estate investor? How do you handle it? YOU CAN ALSO READ: SPEC HOMES: IS BUILDING A SPEC HOUSE A GOOD INVESTMENT? FOLLOW US: @MYSMARTCOUSIN

SPEC HOMES: IS BUILDING A SPEC HOUSE A GOOD INVESTMENT?

Homebuilding is on the rise and, as a Real Estate Investor or homebuyer, you may be thinking about whether investing in a spec home, that is, a custom home that is built to your specifications, is a good idea. There’s no doubt that buying a that’s already built and pre-owned is cheaper than building one from scratch. However, there are a few compelling reasons why building a custom home might be a good investment after all. In this blog post, we’ll take a closer look at what spec homes are, and consider the question of whether to build one based on current market conditions. We’ll also discuss some of the pros and cons of investing in spec homes, as food for thought, should you be considering this path. So, if you’re thinking about becoming a spec home builder, or just curious about what they are, keep reading! MY SMART COUSIN provides expert guidance on how best to get started in Real Estate Investing today and every day. We all know that becoming a property investor is no easy task. There are so many things to be taken into consideration, and the process can often seem daunting for beginners! Whether it’s purchasing your very first home to live in or investing in a property to begin your dream of owning a portfolio of investments, MY SMART COUSIN has your back as your seasoned Real Estate Coach, guiding and assisting you every step of the way. Whether you’re thinking about what type of property interests you or how to establish your budget, we help aspiring investors, with a particular focus on Black and Brown folks and women, find and invest in properties. WHAT ARE SPEC HOMES, AND WHAT ARE THE BENEFITS OF BUILDING ONE? A spec home, short for speculative home, is a property built without a specific buyer in mind. Builders typically construct spec homes in areas where they think there will be high demand for new homes. When building spec homes, investors must move on two parallel paths, both deploying a strong sales force to sell buyers a concept of their soon-to-be dream home, and working with general contractors to quickly build homes that will be appealing as-is to future buyers. The name of the game with spec homes is to sell the home as quickly as possible after it is completed.

FAIR MARKET VALUE: DEFINITION & CALCULATOR

Home buyers and investors often hear the term “fair market value” when talking about buying or selling a property. But what does it mean? Fair market value is defined as “the price at which a property would sell between a willing buyer and seller, neither being under any compulsion to buy or sell and both having reasonable knowledge of the relevant facts.”  But if you’re thinking about buying or selling a property, it’s important to have an idea of what fair market value is. And luckily, there’s an easy way to calculate it.  We understand that buying a house can be stressful and overwhelming, especially if you don’t know what to do. MY SMART COUSIN is here for all your Real Estate needs! Whether it’s finding an affordable property or helping with financing options so the process goes as smoothly as possible – as a Real Estate Investment Coach, we’ve got just about everything covered at this one-stop shop. We offer tailored solutions to every individual, with a particular focus on Black and Brown folks and women, in every aspect of investing, and particularly for those seeking to Buy a House for the Price of a car, our personal favorite to buy a property!

WHAT IS THE BEST TYPE OF MORTGAGE FOR A NEW REAL ESTATE INVESTOR?

We’ve all heard the old saying “ buy low, sell high. But what does that really mean? It means getting a great deal and then turning around so you can pass those savings on to your customer! MY SMART COUSIN helps as an experienced Real Estate Investment Coach position Black or Brown folk (especially women) to purchase their investment property quickly and knowledgeably by leveraging our skill set which has already helped many like ourselves achieve what everyone deserves – ownership of their own home! With our strategies and guidance, we help them buy a house for the price of a car. Are you thinking of investing in real estate? It can be a great way to build wealth over time, but it’s important to choose the right type of mortgage. So, what’s the best type of investor mortgage for a new real estate investor? Read on to find out! WHAT IS AN INVESTOR MORTGAGE AND HOW DOES IT WORK? An investor mortgage is a type of loan that is designed for people who are looking to purchase property for investment purposes. The key difference between an investor mortgage and a regular home loan is that the interest rate on an investor mortgage is typically higher. This is because lenders view investment property as a higher risk than a primary residence. As a result, people who are looking to take out an investor mortgage need to be prepared to make a higher monthly payment. However, the potential return on investment (ROI) can be much higher for an investment property than a primary residence, making an investor mortgage an attractive option for many people. WHAT ARE THE BENEFITS OF USING AN INVESTOR MORTGAGE FOR A NEW REAL ESTATE INVESTOR? When you’re first starting out as a real estate investor, it can be tough to get approved for a traditional mortgage. That’s where an investor mortgage comes into play. Investor mortgages can be particularly helpful for new real estate investors, and they offer a number of benefits. YOU CAN ALSO READ: FEE SIMPLE OWNERSHIP VS. LEASEHOLD: KEY DIFFERENCES FOLLOW US: @MYSMARTCOUSIN

WHAT IS THE GROSS RENT MULTIPLIER (GRM) IN REAL ESTATE?

If you’re a real estate investor or just in the market to buy a home, then you’ve likely come across the term “gross rent multiplier” or GRM. But what is it, exactly? And what does it mean for you? When you’re buying a property, one of the most important things to understand is your potential return on investment or ROI. This is calculated by multiplying the annual rent by the gross rent multiplier (GRM). At MY SMART COUSIN, we want to help you make your first step in real estate investing as straightforward and painless as possible. As seasoned Real Estate Investors and Investment Coach, we lead aspiring homeowners and investors, and especially Black and Brown folks and women, through the process of implementing real estate investment goals. We develop custom-designed strategies and roadmaps that are tailored to your particular situation and interests. And if you’d like to buy a house for the price of a car, our personal favorite way to invest, we’ve got you covered there too. In this blog post, we’ll break down everything you need to know about GRM and explain how it can help you make better investment decisions. Stay tuned! WHAT IS THE GROSS RENT MULTIPLIER? The gross rent multiplier, or GRM, is a tool that investors use to estimate the potential return on investment for a rental property. To calculate the GRM, you simply take the purchase price of the property and divide it by the annual gross rent. For example, if you purchase a property for $100,000 and the annual rent is $10,000, the GRM would be 10. Or said another way, if you purchase a house for $100,000, then it would take you ten years to reach breakeven on a rent revenue basis. However, it’s important to remember that the GRM is just an estimate and doesn’t take into account other factors that could affect your actual return, such as vacancy rates, competing for rental options for tenants, and market conditions. So while the GRM can be a helpful tool in your investment decision-making process, it shouldn’t be used as the sole deciding factor. HOW IS THE GRM USED IN REAL ESTATE INVESTING AND ANALYSIS? The gross rent multiplier helps investors quickly get their arms around the potential value of a property of an income-producing property. Generally speaking, a lower GRM indicates a better deal, as it means that you are paying less for each dollar of rental income. Or said differently, it is taking you fewer years to recover your investment cost through rent revenues.  In addition to being used as a valuation tool, the GRM can be used to compare properties against one another. For instance, if one property has a GRM of 8 and another has a GRM of 12, then the first property is considered to be a better investment because it has a shorter breakeven period and requires fewer investment dollars per dollar of rent revenue. While the GRM is not a perfect measure, it is a useful tool for taking a quick snapshot of the value of an income-producing property. WHAT FACTORS INFLUENCE THE GRM FOR A PARTICULAR PROPERTY OR MARKET AREA? There are a variety of factors that can influence the GRM for a particular property or market area. · One of the most important factors is the current state of the housing market. If there is high demand for housing, the price of entry for an investment property will generally be higher, leading to a higher GRM. · Another important factor is the location of the property. Properties in desirable areas will often sell for a premium, resulting in a higher GRM, which may outweigh the value of the higher rental income. · Additionally, the size and condition of the property can impact the GRM. Larger properties or those in better condition will often sell for more, resulting in a higher GRM. · Ultimately, the GRM is impacted by a number of different factors, all of which should be considered when evaluating a potential property purchase. WHAT ARE SOME OF THE PROS AND CONS OF USING THE GRM IN REAL ESTATE INVESTING DECISIONS? The GRM is a powerful tool that aids in making real estate investment decisions. THE PROS · The GRM can be used to quickly and easily compare different properties. ·   It can help you evaluate whether a property is a good investment, · It can provide valuable insights into the market.    THE CONS · The GRM does not take into account all of the factors that affect real estate values. It is important to remember that the GRM is just one tool, and the number should not be followed blindly as a rubber stamp of whether the property is a good or bad investment. YOU CAN ALSO READ: CAP RATE EXPLAINED AS WE BEGIN EYING 2023, AND WHY IT MATTERS WITH RENTAL PROPERTIES FOLLOW US: @MYSMARTCOUSIN