The Cost of Closing a Deal

Most people romanticize the idea of buying and selling and forget all the fees associated with the closing cost.

While I don’t want this to discourage you in any way, it’s important for you to be fully educated on all parts of a real estate deal.

This is the overall reason why Cardone Capital is so beneficial to so many.

It eliminates all the tedious aspects of closing deals!

No one likes to read the fine print but we’ve got you covered.

At the end of the day, the reality is you don’t make money until you close the deal.

If you are going to dive into smaller unit deals, you should know that it is best for you to flip the deal right away. I also highly recommend you don't live on the property if you are the one managing it.

While you may think living in your deal is a way to save yourself money, it’s actually more of a double-edged sword.

In my opinion, it’s all right to be the landlord but NOT the manager.

Here are some examples of closing expenses:

• Rent ready
• Rent lease charge
• Prepaid rent
• Security deposit
• Clubhouse equipment
• County taxes
• Broker fee
• Insurance
• Bank attorney fee
• Policy extended

It’s imperative to count these expenses and keep them in mind during the closing of the deal.

Remember, the word count comes from accountable.

It’s up to you to hold yourself accountable for all parts of the deal, which is why again, Cardone Capital is so easy to work with.

If you go back and research local records of what properties went back to the bank after the recent economic recession you will notice it was all small unit properties.

The thing is, you can’t hold onto little numbers for the long term. The bigger units are able to make a quick comeback during recessions.

Multifamily units are the single best vehicle for everyday people that don’t have degrees, don’t know how to code, and don’t know how to create online funnels.

Through Cardone Capital, you have the opportunity to begin investing despite your level of understanding about the industry.

We also offer and encourage the opportunity to gain that knowledge necessary for you to be savvy enough to discuss these deals with us. The more we can connect with each other the more efficient all deals will be. Learn more HERE

We are transparent and want you to be an active partner with us. You don’t need to wait to invest or wait to make your money. Happily invest while you study the moves we make.

In other words, you can actually have your cake and eat it, too. Grow your bank and brains at the same time! 

In due time, you’ll really understand the value of depreciation; the beauty of being able to write off income like it’s not income.

All of our investors get to take advantage of that.

Simply put, my advice to you is to go where tenants cannot drag you through the court system!

—Grant

P.S. Controlling the appreciation of a property is also another successful way to manage your asset.

While natural appreciation of a property is always a plus, a good property manager knows that forced appreciation is also a great way to make sure your property value is perpetually growing.

This can be done by gradually increasing rental rates while decreasing expenses over time.

This is the beautiful part of owning rental property; you can control the properties' success through methods such as forced appreciation. 

You are essentially improving the value of a property through rent increases.

Learn more about how you can get started with investment properties HERE

ABOUT GRANT CARDONE

Grant Cardone is a NY Times Best Selling Author, Entrepreneur and Private Equity Manager with $1.2 Billion in Assets Under Management. In addition to this, he is known as the #1 Sales Expert in the world today and was called by Forbes Magazine one of the top CEO's to follow on Social Media. He currently owns and operates 7 companies that do $150m in annual sales and he recently launched the Grant Cardone Foundation, whose mission is to impact the lives of children who grow up without Fathers.