UlTImATE SUccESS GUIdEQuestion 3: How many hotdogs can Takeru Kobayashi eat in 12 minutes?
Answer to question 1: Trick question. If you picked home “A,” you
would be correct based on the snippet of info provided, but this “high
cash flow home” sits in a high-risk neighborhood, in one of the worst
school districts in U.S. history. Home “B” will generate a higher return
on cash, long term, with a lot less hassle.
Answer to question 2: Home “A” will build wealth faster. 2006 prices
offer zero indication of future values. We’ll cover why “peak pricing”
is not relevant as an indicator of growth in the pages ahead. There are
much better ways to determine if a property is truly discounted when
you buy it.
Answer to question 3: It doesn’t matter! It’s not an important ques-
tion...just like many of the questions real estate investors use in their
hunt for profitable cash flow properties. Arm yourself with quality ques-
tions and you will be better prepared to make money in real estate safely.
That’s what you’ll learn in these next few pages: better questions. I’ll
share with you the basics of buying like a billion-dollar private equity
fund: a road map to identify markets with high growth potential and
healthy cash flows: yields that dwarf traditional paper investments.
“It is better to know some of the questions than all of the answers.”
~James ThurberBelow are the seven steps to make money in remote (not local) real es-
tate markets. In the pages ahead, we’ll dive into details of step 1. I call