A Mortgage Payment Is a Wonderful Thing
"Say what?"Yeah, I hear you, but let me explain.
Stick with me though because I'm going to deal with reality.
That means I'm going to talk about the bad news, a little history, and then the good news! FIRST: The Bad News.
Let's acknowledge that, at times, in the hustle-bustle of life, a mortgage payment can feel burdensome.
Even in the best of times, it's one big bill in the pile that you have to pay every month.
We also know that the headlines are depressing.
Depressing headlines add to the depressing of people which depresses consumer confidence which adds to depressed real estate sales which depresses prices which depresses values which cycles back to depressing headlines.
Gosh, it's just plain depressing! Some of us are struggling with mortgage payments on real estate that is currently appraising for less than we purchased it for a couple of years ago.
You can count me in this group with one of my properties.
The worse news is the folks that are losing their properties to foreclosure or even bankruptcy.
These are terrible, painful circumstances to go through that need to be acknowledged.
My heart goes out to these people.
Yes, there are these problems and others to be sure.
They are unpleasant.
Investing in real estate does have risk but then again, so does getting out of bed.
Yet, most of us get out of bed anyway and keep on keeping on.
Why?Because, even though we do risk experiencing bad things, there is more reward from getting up and living life than completely avoiding it.
The same thing is true with investing real estate.
A Little History Throughout the whole of humanity's existence, very few people have been able to own property.
Only the few, rich and/or powerful people owned real estate while most folks languished in poverty.
Most of these people had no possibility of ever bettering their situation.
Generations of people, for thousands of years, had little or no hope of bettering their situation.
Property was a source of wealth and power that was not available to the masses.
A few centuries ago, the most powerful invention in all of history started to develop.
It came to be known as capitalism.
As with all inventions, it has it's good aspects and it's bad.
The over all effect of capitalism however has been overwhelmingly positive.
It has allowed the mass populations of societies that employ it, to enjoy benefits once reserved only to a very select few.
Out of the creation of the capitalist system has evolved the modern day economy which includes the real estate, credit and financing systems as we know them.
Finally, Some Good News! Land is still the major source of wealth just as it has been throughout all of history.
Yet when most of us start out on our own, we don't own any.
Unlike most of our ancestors however, we are able to do something about it.
The ability to participate in prosperity and create wealth is relatively easy for us.
I'm not saying it is never difficult, but I am saying it's fairly simple.
Work to make money.
Spend less money than you make.
Save and invest your money.
Pay your bills on time and build your credit.
We have great systems in place to accomplish these things just as we have a great system to acquire real estate.
It's the modern mortgage system and millions of folks have, do, and will continue to use it to own history's biggest source of wealth.
Even with foreclosure rates high right now, they still account for less than 1% of all mortgages.
That means that 99% of mortgages are current.
Those are pretty good odds.
More Good News, Every Problem Is An Opportunity! As discussed earlier, real estate prices are depressed right now.
Just as the stock market is destined to rise when it hits low points, the real estate market will do the same thing.
That means that today's problem of low values is a big buying opportunity!The glut of homes on the market will eventually dry up and prices will rise.
Those who invested during the depressed market will make a lot of money.
That's how the rich get richer and the poor get rich too! "But I Don't Have Much Money!"The Best News! The best thing about investing in real estate is you don't need a lot of money to do it.
It's nice to have it but it is not necessary.
The system is set up so that you can "leverage" a little money to make a lot of money.
The tool used to "leverage" your money in real estate is mortgage financing.
Honestly, you don't need to have a lot of money to buy real estate, you need the right tool.
You can be buying your first home or your fifth.
You can be buying to stop paying rent or to have someone pay rent to you.
In any of these cases it is not necessary to have a large down payment.
Some things however are necessary.
Your credit is important.
The better your credit the easier it is.
Knowledge is important.
You don't need a P.
H.
D.
in anything to do it but the more you understand about real estate, financing and money management the better off you are.
Are positive results guaranteed?No, but if you do nothing it is guaranteed that your results will not be positive.
However, if you learn about the tools of financing, are responsible with your finances and then take action, you can stack the odds greatly in your favor.
For those who take the proper steps to leverage their resources to create real estate wealth, a mortgage payment is a wonderful thing! Copyright Stan Kazwell Jr.
Stick with me though because I'm going to deal with reality.
That means I'm going to talk about the bad news, a little history, and then the good news! FIRST: The Bad News.
Let's acknowledge that, at times, in the hustle-bustle of life, a mortgage payment can feel burdensome.
Even in the best of times, it's one big bill in the pile that you have to pay every month.
We also know that the headlines are depressing.
Depressing headlines add to the depressing of people which depresses consumer confidence which adds to depressed real estate sales which depresses prices which depresses values which cycles back to depressing headlines.
Gosh, it's just plain depressing! Some of us are struggling with mortgage payments on real estate that is currently appraising for less than we purchased it for a couple of years ago.
You can count me in this group with one of my properties.
The worse news is the folks that are losing their properties to foreclosure or even bankruptcy.
These are terrible, painful circumstances to go through that need to be acknowledged.
My heart goes out to these people.
Yes, there are these problems and others to be sure.
They are unpleasant.
Investing in real estate does have risk but then again, so does getting out of bed.
Yet, most of us get out of bed anyway and keep on keeping on.
Why?Because, even though we do risk experiencing bad things, there is more reward from getting up and living life than completely avoiding it.
The same thing is true with investing real estate.
A Little History Throughout the whole of humanity's existence, very few people have been able to own property.
Only the few, rich and/or powerful people owned real estate while most folks languished in poverty.
Most of these people had no possibility of ever bettering their situation.
Generations of people, for thousands of years, had little or no hope of bettering their situation.
Property was a source of wealth and power that was not available to the masses.
A few centuries ago, the most powerful invention in all of history started to develop.
It came to be known as capitalism.
As with all inventions, it has it's good aspects and it's bad.
The over all effect of capitalism however has been overwhelmingly positive.
It has allowed the mass populations of societies that employ it, to enjoy benefits once reserved only to a very select few.
Out of the creation of the capitalist system has evolved the modern day economy which includes the real estate, credit and financing systems as we know them.
Finally, Some Good News! Land is still the major source of wealth just as it has been throughout all of history.
Yet when most of us start out on our own, we don't own any.
Unlike most of our ancestors however, we are able to do something about it.
The ability to participate in prosperity and create wealth is relatively easy for us.
I'm not saying it is never difficult, but I am saying it's fairly simple.
Work to make money.
Spend less money than you make.
Save and invest your money.
Pay your bills on time and build your credit.
We have great systems in place to accomplish these things just as we have a great system to acquire real estate.
It's the modern mortgage system and millions of folks have, do, and will continue to use it to own history's biggest source of wealth.
Even with foreclosure rates high right now, they still account for less than 1% of all mortgages.
That means that 99% of mortgages are current.
Those are pretty good odds.
More Good News, Every Problem Is An Opportunity! As discussed earlier, real estate prices are depressed right now.
Just as the stock market is destined to rise when it hits low points, the real estate market will do the same thing.
That means that today's problem of low values is a big buying opportunity!The glut of homes on the market will eventually dry up and prices will rise.
Those who invested during the depressed market will make a lot of money.
That's how the rich get richer and the poor get rich too! "But I Don't Have Much Money!"The Best News! The best thing about investing in real estate is you don't need a lot of money to do it.
It's nice to have it but it is not necessary.
The system is set up so that you can "leverage" a little money to make a lot of money.
The tool used to "leverage" your money in real estate is mortgage financing.
Honestly, you don't need to have a lot of money to buy real estate, you need the right tool.
You can be buying your first home or your fifth.
You can be buying to stop paying rent or to have someone pay rent to you.
In any of these cases it is not necessary to have a large down payment.
Some things however are necessary.
Your credit is important.
The better your credit the easier it is.
Knowledge is important.
You don't need a P.
H.
D.
in anything to do it but the more you understand about real estate, financing and money management the better off you are.
Are positive results guaranteed?No, but if you do nothing it is guaranteed that your results will not be positive.
However, if you learn about the tools of financing, are responsible with your finances and then take action, you can stack the odds greatly in your favor.
For those who take the proper steps to leverage their resources to create real estate wealth, a mortgage payment is a wonderful thing! Copyright Stan Kazwell Jr.