I figure I’ll make a post about this because I went to a free workshop last night and I want to get peoples opinions. Basically this company is asking for $9,800 dollars, that is not a typo, to teach you how to buy distressed properties, rehab them, then either find tenants or sell them at a profit. There are other techniques to this that they won’t give away in the workshop but it’s the general idea. I know it sounds like a scam but I actually think that if you had a lot of free time and wanted to pursue the idea that with dedication and motivation you could turn a decent profit. The upfront money doesn’t bother me so much, I just don’t think I can find the time with working the business to give it my full effort. However, I will call them back and go for the interview to get some more information and see if it’s a viable business plan.
An amusing antecdote. At the seminar the guy puts up a “finance” problem. He says you want to buy a house for 100,000 dollars. You put 20,000 dollars down and get a loan from the bank of 80,000. You end up selling the house for 200,000 dollars. You pay the bank back the 80,000, what is your ROI? Just to note, I’m the youngest person in this workshop by about 20 years and probably one of the only ones who finished college. The bro in front of me is an obnoxious redneck who loves to answer all the speakers rhetorical questions. Anyway, I answer 500% because you put 20,000 down, you make 100,000 on the deal and make 500% on your money disregarding the interest you would have had to pay on the 80,000. Everyones astonished that I was able to figure out this brainteaser and the bro gives me a $50 dollar gas card. At least the trip wasn’t for nothing.
Just to finish this post I wanted to list a song that doesn’t grows old on me.