It seems this sub is preoccupied with the markets. Why don't we talk about some other options.
I've recently began looking at split-profit houses. Many construction companies ride thier line of credit as hard as they can. So hard, in fact, that They are willing to split the profits with private investors. In essence, the investor takes out a construction loan and finances the construction of a house. The builder typically takes care of all the details. Better yet, construction loans are typically paid interest-only and you can often roll that forward as well. As long as you could affortd the mortgage payments should the market go south (in which case you now own a rental, which isn't bad if housing goes south). Most houses are going to get about 20% markup, from which you get half. The beauty is in earning the money just by using potential credit you are letting lie fallow. Of course this is a better strategy in some markets than others.
What else do you guys do outside of the markets? What would be a good hedge to pair with this against a housing downturn?
Submitted January 14, 2018 at 09:35PM by Warpimp http://ift.tt/2B3kv5C
