How to Buy Apartment Building with No Money Down?

How to Buy Apartment Building and Make Passive Income with No Money Down and No Credit?

Internet is full of courses and programs like How you can buy a Rental property with no money down and even no credit at all. Well, This is a good thing in short term but it’s not a good for long term.

These Real Estate Gurus argue that, They will teach you to acquire a rental property without any down payment. And you can start building your passive income stream right away.

But well, Let me tell you that this is extremely risky. You try to understand the concept of down payment. You should give as much as possible down payment initially to reduce the monthly installments and interest on your borrowed money.

Because in the long run, even a small amount of borrowed money can make a huge difference. Now, suppose what if you somehow manage to acquire a residential apartment with no money Down? What do you think that, Is it a Smart idea? Well, of course not. Because even a small fraction of interest rate changes will put you in the situation of Negative Cashflow and that is very dangerous.

The fun about investing in the real estate is a Positive Cashflow. Everything we do in the real estate or any other investment is to maintain the Positive Cashflow. But with no money down deals, it is very difficult to maintain the positive Cashflow.

So I advise you to out as much money as down before entering into any real estate deal.