I asked Donna Bauer, our featured speaker at Traction REIA this month about how to have the ultimate in liquidity & passive cash flow.
(I’m especially interested in LIQUIDITY in the current environment)
Here’s what she said…
DONNA BAUER:
I think Notes are the ultimate passive income.
Passive income is one of my favorite benefits of notes. After you’ve sealed the deal, the heaviest lifting you’re going to do is lifting those check-laden envelopes out of your mailbox.
If that isn’t sweet enough, you can choose from a variety of scenarios as to how you want to receive your payments.
For example, many seller-finance notes are written for up to 30 years.
These will give you a steady income for a very long time.
But if you prefer to earn your residuals over a shorter timeframe, you can simply select a balloon note instead, or even buy a “partial”.
That’s one of the beautiful things about doing notes—you get to formulate your own game plan to fit your specific goals.
And for the duration of your residuals, your investment is secured by real estate. You’ll earn double-digit returns without the risk of stock market investing. In fact, I routinely earn much higher rates of return on my notes than I do on my traditional real estate investments.
No Cash? That’s no problem.
It’s very difficult or almost impossible to flip real property with no money in the bank. Repairs, rehabs, and contractors don’t come free. It’s much easier to flip a note with no money down. If you’re just starting out and need to use other people’s money, then I recommend you start with notes.
Another major benefit of notes is how they offer something that real property cannot: LIQUIDITY.
If you end up needing cash, then notes are much easier to sell than real property.
Let’s face it: life happens.
* You get married.
* You get divorced.
* You want to travel.
* Medical issues arise.
* The kids are ready for college.
* You decide to retire earlier than you initially intended.
* And the list goes on & on…
If you’re receiving payments on a note and you need cash, all you need to do is sell those payments to another investor for cash. You don’t even need to sell the entire note! You could just sell part of the payments to get the cash you need.
That’s what a “partial” is.
And this is the kind of knowledge I will drill down into at Traction REIA on Thursday March 18th & Saturday March 20th.
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TOM ZEEB:
Awesome Donna. We’re looking forward to your events.
Everyone can get signed up here. Works nationwide. Join us on Zoom from anywhere:
#1. Main Monthly Meeting
TOPIC: “Note Buying – Incredible Opportunities Especially During a Pandemic”
SPEAKER: Donna Bauer
Thursday March 18th ONLINE using ZOOM.
6pm Eastern
5pm Central
4pm Mountain
3pm Pacific
Works nationwide. Join us from anywhere.
#2. Training Intensive with Donna Bauer
TOPIC: “The NoteBuyer’s Stimulus Plan: Make Money From Home Doing Notes”
Saturday March 20th ONLINE using ZOOM.
10am to 2pm Eastern
9am to 1pm Central
8am to 12Noon Mountain
7am to 11am Pacific
Works nationwide. Join us from anywhere.
Tom Zeeb
President
Traction REIA:
12+ Year Recipient of the National REIA “Honors of Merit”
and the “Award of Excellence”
For Best Real Estate Investor Association!
