Grant Cardone’s Advice on Becoming Wealthy With Real Estate
Speaker, business consultant and real estate investor Grant Cardone advises others on how to get into real estate with no money. His main advice on real estate investing? Buy apartment complexes.
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Why? In previous interviews, Cardone said, “I think that people don’t even want single-family homes anymore. I think the preferred way of living is going to be an apartment complex.”
The speaker’s real estate investing courses sales pages say they’ll teach you how to “increase returns, increase positive cash flow and assure a two-to-three-times increase in returns.”
Here are his tips on how to get rich by investing in real estate as a passive income.
1. Get Into Apartment Complex Investing
If you’re completely new to apartment complex real estate investing, Cardone’s book, How to Create Wealth Investing in Real Estate, is a good introductory guide into that niche. Cardone’s first apartment deal was in San Diego, California, for $1.9 million and 38 units. Cardone also suggests getting involved with investors like him in some of his videos. He’s looking to fund real estate deals with 200 units or more in an area with positive migration.
2. Look For “No Money Down” Deals
Or look for opportunities to put a little bit of money down. They’re all over the place, he says. You can get started with duplexes, fourplexes, vet loans, and single-family homes. But ideally, you’re buying apartment complexes. Some of them might be “almost no money down deals.”
3. The Real Estate Deal Itself Will Determine How Much You Can Get From the Bank
When you get the right deal, you’ll have money from a number of sources that can help fund that deal. It could be from several banks-a savings and loan, local credit unions, lenders, or perhaps a HUD loan from the U.S. Department of Housing and Urban Development.
4. Ask Family and Friends For Money
Approach your family and friends for a loan to invest in real estate. If your dad has $10,000 sitting in the bank and isn’t earning much interest on it, ask him for the money and explain that you can help him get 12 percent back on it in one year, Cardone suggests in a video.
5. Join a Real Estate Investing Club
These are where real estate investors who are serious about investing in real estate hang out. Get around people who are buying deals, funding deals, and investing in deals.
6. Get Involved in Syndicated Real Estate Deals
These are national. Syndicators in your market will have access to money to help you invest in real estate opportunities. They offer investment opportunities with larger deals, like apartment buildings and student housing.
7. Buy High, Sell High
Make premium investments and take big positions. Be prepared to pay premium prices for something you’ll reap the benefits from. If you buy small deals, they won’t make you any money
8. Invest With Cardone’s Company
In his book, Cardone suggests readers put money into a Cardone Capital fund for him (and his business associates to invest) to invest it for you. It’s like investing in a REIT (Real Estate Investment Trust).
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