Making less money is better than no money. #realestate #money #realestateagent #realestateinvesting

18 Sept 2023 · 0 min

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0:21

A short spoken segment by Steve D Valentine about starting in real-estate investing using high-interest short-term financing. He advises accepting higher interest (e.g., 15–16% 'hard money') on early deals to avoid losing deals, noting that rates later fell to 6–8% and that investors should expect to "make less money" initially because of interest costs.

People get scared. Like, I found this really good deal, but this guy will only give me the money at 15% interest. Well, it's short term. Take it. It's short term, right? If that's where you have to start. I started with 15 and 16% hard money. Right now we're down to 6 to 8% on money. It took me a while to get there, but I had to realize when I bought a deal, I'm just going to make less money because of the interest rate.