Real Estate Meeting - Self Storage
Al went to our Real Estate meeting, which was all about Self Storage investing. I want to give a shout-out to Garnet Mierau and Brian Williams from Kamloops. They gave an excellent presentation and organized a great event.
The highlight of the lessons taught were:
When investing in self-storage, above all else, location is key. One of the most compelling facts is that you must have a great location with high visibaility. Here are some other related items of note:
- You do the research for the storage property you are interested in by calling for price and vacancies
- You can use Google earth which will give you exact measurements of the property
- Make sure you have an experienced realtor on your team to help you through the process.
Are you familiar with Re-Advancable Mortages? Well, if you have equity in your home, with this type of mortgage it allows you to pay the principle and interest just like any other mortgage but with 75-80% LTV (Loan to value) as an equity line of credit attached.
The Smith Manoeuvre
Then, you can make the amount be a line of credit for use of paying off debts; or, if you are Canadian, you can use of the Smith Manoeuvre and invest the line of credit in something that will produce income. Robert Klein from "Financial Stuff.ca" in our Business Accelerated Network Group (BANG) gave an awesome presentation on this mortgage strategy.
Next month we will be sharing how Rick Seutter (who organizes the Cash Flow Game Nights) gets money for real estate deals.
Many blessings your way, Al & Shelley