Build a Junker Empire
by Bryan Wittenmyer
The real secret in the trenches is there is big profits to be made buying,
fixing, selling, and renting junker properties. No one likes to admit they own
junkers; the truth be known, many, if not most, full-time investors (especially
professional landlords) wheel and deal in junker properties. You know, the ones
in lower-income, slighly distressed areas.
It is all about cash flow. Remember the old saying: It's the books, not the
looks.
I spent many years deliberating over whether or not to begin buying so-called
junkers. The bookstore books said don't buy in these areas. Only buy in pretty
areas. There is some truth to it, too. Better areas are easier to manage and
they appreciate.
I am by nature an observer. I noticed many professional and full-time investors
were buying in these areas. If these were "bad" investments, why were the pros
dealing in them? Simple. The risk is higher, but the market rewards professional
buyers/investors with great yields.
These areas (not slums or hard-core ghetto) are lucrative to the hands-on
buyer/manager. Houses and apartment properties can be purchased with 100%
financing for 40 cents on the dollar. I know countless people who have built
their own 30 or 40 house empires with junkers over a relative short period of
time. They cash flow, too!
It is kind of like fishing. If you want big fish, go for the carp and catfish.
Yes, they're a little rough, but the quantity and sheer fight of these fish
create avid fans. Same thing for low income stuff. Forget about showing these to
friends for applause. If cash flow is what you want, these are the deals.
This is not for everyone, but for the tough-minded individual who is not afraid
to get their hands dirty. I can assure a fine living can be made wheeling,
dealing, renting, lease-optioning, wholesaling, and land-contracting.
More to come on "junker" empire building...
Bio:
Bryan Wittenmyer has been investing in real estate for the past 15 years. He's
not the new kid on the block. In the past five years he has written extensively
in the real estate field. His articles have appeared in Creative Real Estate
Magazine and the Real Estate Entrepreneur. Bryan served on the board of
directors of the Real Estate Investment Association of Berk's County for 3
years.
Although Bryan hasn't attended formal university studies, he keeps himself
educated reading a plethora of books, newsletter, journals, and listening to
hundreds of audio tape lectures. He jokingly considers himself to be an
information junkie. You can also benefit from his years of practical business
experience, having managed several income stream businesses, ranging from
automobile debt instruments to appliance paper. He also has bought numerous real
estate debt instruments - he knows the income stream business.