About The Authors
The founders are real estate investors who specialize in
cash
flow real estate investments (residential income, apartments, retail,
office, hospitality, etc.). Together with investors, their
company has developed
an
extensive real estate portfolio with over $60 million assets under
management, in stable low-risk markets.
They
show clients how sustainable wealth can be achieved by sticking to good
fundamental investing principles. They are
coaches and mentors at heart, and are committed to their clients'
success.
Some
Facts You Should Know
A
typical investment property generates benefits to an investor in four
general ways:
* Cash Flow
* Appreciation
* Tax Benefits
* Principal Paydown
Net cash flow is the sum of all positive cash flows
from rents and other sources of ordinary income generated by a
property, minus the sum of ongoing expenses, such as maintenance,
utilities, fees, taxes, debt service payments, and other items of that
nature. One great measure of cash-flow property is that the monthly
rent is at least 1% of the purchase price. 37th
Parallel
Properties shows investors how to invest in properties with monthly
cash flow numbers far surpassing this measure.
Capital appreciation is the increase in market value of the asset over
time, realized as a cash flow when the property is sold. Capital
appreciation can be very unpredictable unless it is part of a
development and improvement strategy. Purchase of a property for which
the majority of the projected cash flows are expected from capital
appreciation (prices going up) rather than other sources is considered
speculation rather than investment. Appreciation is the
riskiest
of all returns
Tax shelter offsets occur in one of three ways: depreciation (which may
sometimes be accelerated), tax credits, and carryover losses which
reduce tax liability charged against income from other sources. Some
tax shelter benefits can be transferable, depending on the laws
governing tax liability in the jurisdiction where the property is
located. These can be sold to others for a cash return or other
benefit. . Imagine making 20% returns and paying no
tax
based on the benefits from real estate. 37th Parallel
Properties
shows their investors how to do it everyday.
Equity build-up is the increase in the investor's equity ratio as the
portion of debt service payments devoted to principal accrue over time.
Equity build-up counts as a positive cash flow from the asset where the
debt service payment is made out of income from the property, rather
than from independent income sources. The tenant in your
property
pays down your mortgage and increases your percentage ownesrship of the
property month after month.
Get instant access to the free report
above that shows you how. |
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