The IRS will allow you to use the land as long as it is not in your IRA portfolio. Though you cannot reside on the property, you can rent it and place the collected rent into your IRA retirement account. When the time is right, you can take those earnings as a distribution. To make things even more complicated, you cannot rent the real estate to your spouse, ascendants or descendants, but you can rent to a brother or sister.
So now how can this be good for a purchaser? Well, to start off it is meant for those who either have good credit but not enough for a down payment or those with bad credit but with the money needed for a down payment. In short, they can’t get approved for a decent mortgage because of their situation. So they benefit in at least 4 ways. First, instead of wasting their money on rent they can build equity from day 1. A portion of their rent and all of their down payment will go towards the principle of the house. Second, if the housing market collapses, they are not obligated to purchase the home and can avoid the financial burden by renting elsewhere.
Usually, there’s a lot of mystery about wholesaling. But it’s pretty easy when you think of it in these terms: You are the middleman. It’s your job to find a seller, put the house under contract and assign a contract to a buyer – nothing else.
A bit of spackle and a fresh coat of paint is probably the most important, easiest (and cheapest) interior improvement you can make. A carefully painted room will open up, and brighten your chances of a sale.
And unless you are in Texas where Lease Options are against the law, you could probably do a Lease Option and structure it in such a way that when the market comes back up they could purchase the house that they are renting from you at a later date.
Depending on where you look for foreclosures, some homes have sold for 10,000 or more. This is staggering to think the original value of the house was around 90,000 or more. This was a real estate invesment.
Become a member of a real estate club. A real estate club will teach you a little something valuable in the industry and get you into contact with some very important people. A virtual real estate club which could be joined online can be a solution to time constraint in joining a physical real estate club.
Do a quick research on the investment groups concerned with real estate within your area. You can do this through an online search. Finding your right guy will be faster if done on the net although, there are investment groups not found on the Internet. An one-click search engine will reveal a lot of appropriate groups within the city. It is much appropriate to find a group within your area before looking into the bigger picture. This will help you ease out your options.