Archive for Upside Down House

How Do I Fix This Mess?

Posted on May 3, 2011 by

Upside Down HouseSince 2005, we’ve warned investors about the dangers of going to banks to get short-term financing on their real estate investing deals.  (By “short-term financing,” I mean any financing with an adjustable interest rate and/or a term of less than 30 years.)

For the past six years, Kim and I have financed our deals through owner financing or using private money lenders – except for two idiotic, short-term bank loans we foolishly did in 2008.

I’m a real estate professional who is supposed to know what he’s talking about.  So in 2008, when I claimed real estate values had bottomed out and that it was time to buy, I believed me. Read More→

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