Owning a second home in the mountains or on the beach can be a wonderful experience. However, in most cases, it can be more of a liability rather than an asset. An asset is something you own that creates cash flow for you. In the case of a vacation home, especially if you leave it […]
Increasing the velocity of your Real Estate with a Reverse Exchange
Real Estate Exchanges have been the main stay of building real estate portfolios for years. The main reason for the popularity of Exchanges is it allows you to trade one real estate investment for another, while deferring taxes on that transaction. This enables a more rapid increase in portfolio size, since more equity can be applied to the […]
Increasing the velocity of wealth with a college condo, Part 2
In my last article, Part 1 of “Increasing the Velocity of Wealth With a College Condo,” I discussed how purchasing a condo or house for your child to live in while attending college can be a worthwhile investment and can provide financial benefits and other advantages for your college student. As you evaluate this decision, […]
Increasing the Velocity of Wealth with a College Condo
When a child is born, parents begin to wonder how they will pay for college in 18 years. As with any investment that grows, the sooner you get started, the better. Parents start to save for college a variety of ways. Maybe open a Colorado 529 account or buy a home designated as a college savings account. Once […]
Increasing the Velocity of Value in an apartment building with income multipliers
The Value of an apartment building is based on income produced by the property. Once you know the income of the building, you use either the Gross Rent Multiplier or the Capitalization Rate to determine value of the building The multiplier number is determined by the market. In other words, what are investors paying for income streams from […]
Increasing the Velocity of your wealth by transferring your investment from Single family to multi-family homes
Investing in single family homes is a great way to get started in investing in real estate. Once you build some equity in those investments, it might not be a bad idea to look at transferring that equity into multi-unit buildings. Doing so, will increase the velocity of your real estate investment. The first reason […]
Increasing the velocity of your wealth with real estate depreciation
Depreciation of real estate is a tax concept designed to promote investment in real estate, thereby increasing the supply of housing. Bottom line, real estate depreciation can save you money at tax time, increasing the velocity of your real estate investment.(Photo: Pexels). In the U.S., real estate is known for appreciating over the long […]
Increasing the velocity of your money with home equity management
Home prices have increased across the country since the end of the recession in 2012, through the COVID-19 pandemic, and now continuing in 2023. Colorado and the Front Range have seen even more appreciation than the national average. Huge increases in home equity and low-interest rates make it very tempting to pull equity out of […]
More on increasing the velocity of your money by using Your IRA to Invest in Real Estate
(Photo: Pexels). Retirement plans such as IRAs, SEPs, and 401ks are often thought of as limited to investments in stocks or mutual funds. However, if you open a self-directed IRA account (SDIRA), your retirement plan can hold real estate as well as real-estate related investments, such as notes. Anyone can use their retirement plan to […]
Increasing the velocity of real estate wealth through leverage
When investing in real estate, it makes the most sense to get a loan for a good portion of the purchase price. The concept of leverage is what is known as using “other people’s money” or OPM. When investing in real estate, it makes the most sense to get a loan for a good portion of […]