Investing in Residential Real Estate Achieving Positive Cash Flow
When investing in real estate it is highly desirable to achieve positive cash flow on a monthtomonth basis This is true even if you are counting on property value appreciation to supply the bulk of your desired return on investment If you are losing money monthtomonth you may find all of your eventual profits eaten up by the monthly drain on your income This will be particularly true if there is a downturn in property values for a few years Worse yet you may tire of the month
Value Investing
By definition value investing is the process of selecting stocks that trade for less than their intrinsic value A value investor typically selects stocks with lower than average pricetobook or pricetoearning ratios Of course it is not nearly this simple Value investing is the corner stone of longterm growth Those who practice it survive the ups and downs of the market and are more likely to emerge wealthy than those who ride the market in principle due to the higher quality of th
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