I came up with the following rules of successful real estate investing over my many years of successes and failures. These are the same rules I follow today and share with our clients at Norada Real Estate Investments.
Knowledge is the new currency. Without it you are doomed to follow other people’s advice without knowing if it’s good or bad.
We are proud to announce that we have made the prestigious Inc. 5000 list of the fastest-growing private companies in America.
Inc. Magazine ranked Norada Real Estate Investments as #925 on its annual list of the top 5000 fastest-growing private companies in America. The list represents a unique look at the most successful companies within the American economy’s most dynamic segment — its independent small businesses.
Archimedes made the comment, “Give me a lever long enough and a fulcrum strong enough, and I can move the world.”
“Leverage real estate to buy more properties. Invest in real estate with leverage.” You’ve probably heard the phrase many times. Yet it is difficult to get a clear answer as to what it means. All the while, you’ll be told that learning how to do this requires paying for their book or seminar. We’re going to break the mold and tell you what leverage is before explaining how to leverage real estate to build wealth. Leverage is a method that allows you to control properties with little cash.
Starting A Real Estate Investment LLCThere are mainly two reasons why you want any kind of business structure:
Pay less tax, and protect your assets. LLCs can be especially helpful if there are multiple owners of a property. When you create an LLC, you’ll create an operating agreement that outlines the rights and responsibilities of each member of the LLC.
This can help you seamlessly manage your rental property business and also protect each member of the LLC in case of legal trouble.
Before you jump into creating your LLCs for your real estate holdings, there are a few things to consider. Do NOT make these three mistakes while creating an LLC for your real estate investment company.
You can calculate net operating income (NOI) for your real estate investment by using the generally accepted net operating income formula, which is your potential rental income plus any additional property-related income minus vacancy losses minus total operating expenses.
Keep in mind the net operating income formula can vary depending on who calculates it.
For example, most investors separate potential rental income and other income, but sometimes you will see them combined. Regardless, the generally accepted net operating income formula is your potential rental income plus any additional property-related income minus vacancy losses minus total operating expenses.
