How to get rich in real estate International Finance Panic! - Presentation Jens Naussed 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Did you know?? More millionaires got rich through real estate than through any other way! Real estate values always go up in the long run! You can buy real estate without having any money! Everybody can get rich with real estate! 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Really that easy? 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Agenda Three mistakes about real estate Mistake number 1: Buy an old house Mistake number 2: Buy a new house Mistake number 3: Take out a mortgage Critical review of the text Conclusion 2009-05-13 How to get rich with real estate Jens Naussed

Three mistakes about real estate 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 1: Buy an older house 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 1: Buy an older house A common reason for buying an older house is that they have „character“ But it has a lot negative sides: Old houses will probably need renovation sooner or later and hence high capital requirements are necessary 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 1: Buy an older house Most older houses are mostly built out of wood Which makes them fragile for termites and other critters An antiquated electrical system Also this may call for renovation sooner or later The plumping system consisting of pipes made from material no longer considered as safe 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 1: Buy an older house Windows that cannot be opened Old heating system Air-condition that is not installed properly => An old house is full of costly defects that need to be repaired sooner or later 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 2: Buy a new house 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 2: Buy a new house While old houses fall a part over time, new houses do this immediately This has several reasons: Materials: Modern houses are built of wood, but today it is even flimsier than in older times Quality of the builder The US license for house builders is very (or better too) easy to get 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 3: Take out a mortgage 2009-05-13 How to get rich with real estate Jens Naussed

Mistake number 3: Take out a mortgage There exists a huge amount of different mortgages in the market But it does not matter which one you pick You make your monthly payments and in the end you still owe the same amount of money 2009-05-13 How to get rich with real estate Jens Naussed

Critical review of the text The author has a very negative view about real estate and I cannot agree with much of what he is writing: My personal opinion: Real estate was always one of the safest investments someone can make If you buy an old house you should make sure that it is in a good condition and calculate the costs that are following carefully 2009-05-13 How to get rich with real estate Jens Naussed

Critical review of the text When you build a new house: you should carefully choose the house builder Did the author understand how a mortgage works? He says that you make monthly payments and your loan does not get less, it does not matter how long you are paying it 2009-05-13 How to get rich with real estate Jens Naussed

Critical review of the text Here is the way a mortgage (annuity loan) works: Your monthly payments are the same over normally around 30 years The payments include interest and amorization In the first years the interests are much higher than the amorization but over time this changes and your amorization becomes the bigger part of the payment because you pay interests on the money you owe Hence the more you pay back, the less interests you have to pay 2009-05-13 How to get rich with real estate Jens Naussed

Critical review of the text Annuity loan: 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Conclusion The author gives an overview over the most common mistakes you can do with real estate The view he is taken is very negative and he does not provide an accurate picture about the positive sides 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Conclusion The author‘s opinion from the text: Never invest into real estate because you will definitly lose your money My opinion: Investigate the market carefully and calculate all costs that might follow and you have a safe investment that has good chances to go up in value over time 2009-05-13 How to get rich with real estate Jens Naussed

How to get rich with real estate Jens Naussed Questions? 2009-05-13 How to get rich with real estate Jens Naussed

Thank you for your attention 2009-05-13 How to get rich with real estate Jens Naussed