There are 6 principles that will ultimately help you know how to hack a real estate where you can do it with no money and no credit. My name is Kris Krohn and I buy a house just about every single day without money. without credit and heck I’ve got a team that’s doing all the work for me. So. I’m going to share with you all those hacks and how ultimately you can get in the game regardless of your financial situation. I talk a lot about doing real estate deals that don’t require a lot of money. Some of them don’t require any money at all. They don’t necessarily require money, they don’t necessarily require cash.
They don’t necessarily require credit. And many of you are always asking, “Kris, tell me more about that. Give me more information.” Today, I want to dive deep and give you really a deeper understanding into what resources there really are and how to use them in which combination to ensure that you can buy real estate successfully. And so, what I want to do first is I want to talk about 3 categories the first one of you is I want to talk about hidden assets. Now, asset means money that many people have. And whether you have it or someone else has it, you need to understand this knowledge bank. People have these assets that they could put into real estate all day long but they just don’t feel like they have money for real estate. And here’s where it’s symptomatic.
There’s no money in the checking account. So they’re like, “Kris, I only keep enough money my checking account to cover my bills. I don’t have a… I don’t have a 20% down payment on a house.” But then I’ll ask, “You have money in a 401k?” “Well, yeah. But I can’t touch that.” “Are you sure?” “Well, I’m money in an IRA but I can’t touch that.” “Do you have equity in your home?” “Yeah, but I can’t touch that.” And all the sudden I find out, “Wow, this person has money that they can put into real estate. They just haven’t been cared for give them permissions.” They don’t actually know that they can use that money and actually put it into real estate. So, hidden assets, there’s 2 really big categories. One is qualified funds which is like a 401k or an IRA or an annuity. And the other category is equity. And this is where it’s like, “Well, I have property and it’s paid down.” And maybe it’s half paid off. So, it’s worth 100,000, I owe 50,000. It’s like, you have 50,000 of equity, you might be able to pull 20,000 out and put it in a property. When we talk about doing no money down, this isn’t necessarily no money down if it’s coming out of your pocket. But if you have a partner that is using the money this way, then that is a very true no money down strategy.
So, that’s just the first thing that I would be aware of. The next thing that I would be aware of is another category called OPM. Now, OPM stands for other people’s money. It is not opium. It is OPM. Other people’s money really comes in the form of “I could actually borrow money from somebody or my favorite, I can partner with somebody.” Here’s the difference between these 2: With OPM, if you’re just borrowing money like a hard money alone like I will borrow from you and pay you interest, that works but it can be a little dangerous. Because if you’re new to the game of real estate, you could get upside down just from not having realistic expectations. Partnering means you’re going to give way more away and they get way more upside. But then if you did something where you were a little off and you’re in your new experience, you’re also going to shoulder that together. So, partner is a really great way for new people to go even experienced people. It’s something I still do to this day. I’m giving up a lot more than I need to but I love creating wins for other people. So, it really does work. See, if your hidden assets, you have your OPM. And then the other thing to mention here is what I call OPC. Which is other people’s credit. Because most banks will allow you to buy up to 10 homes on credit.
Once you get past that or if you don’t have good credit, guess what? You’re going to need a credit partner. And a credit partner is someone that you pay money upfront to rent their credit and then down the road, the property gets released from the credit and they get a little bit more money. My credit partners usually make 3, 4, 5 grand per home that they do with me. So some people with great credit. Literally work with me and make 15-20 grand by just leveraging a credit and never put up a dime. They think that’s a win and I think it’s a win too it’s awesome. So, as we have this conversation of how do you do no money down real estate, I’m… I’m now about to put this all together in a system. But I want you to really understand the moving pieces because I use all of these on an everyday basis. So, now that we have this, here’s what I want to kind of add to our map. I want to add 3 steps. The first step is that you’ve got to get out there and do a deal. Now by the way, if you need help on doing a deal, just look at the link below. I have all sorts of free tools and resources available. Every quarter, I put on a 4-day training event where people mentor with me and I teach them how to do no money down real estate. I teach them how to find the money.
It’s a phenomenal training. And so, step one is one way or the other get out there and make a deal happen? And you’re saying, “But Kris, I need money.” Good. Are you going to borrow it? Are you going to partner with someone? Do you or someone you know have a 401k, IRA or equity? That’s all forms of money that are available to you. The second step is once you have done a deal is then you’re looking for a track record. And a really pretty subtract record, it really means that you’re doing 5 deals. You see when you do your first deal most people are like, “You’re going to lose all your money.” You do the second deal, they’re going to say, “You got lucky.” You do the third deal and they start saying, “Hmm…” Because three is a pattern and they recognize that. When you do your fourth your fifth one, they start building confidence in you because you didn’t get lucky. And you’re duplicating it enough that they’re like, “Wow, this there’s something to this.” My money is now available to partner with you.
That’s really how it often happens. Once you have a track record, then the most exciting step happens. You get access to unlimited resources. And I tell you what I mean by that. We live in a world today where people’s 401ks and home equity are producing 3, 4, 5 percent a month for them. It’s not good. 3, 4, 5 percent and it’s not going tO compound into anything meaningful. And they know it. When you get a track record they start noticing that you’re making 20, 25, 30 percent a year on your money, guess what they start thinking. With that track record, they’re like, “I’ll give this kid money and we’ll split the difference.” And that’s how you get unlimited resources. There’s so many people that are just dissatisfied with the 401ks and IRAs and they should be. They’re never going to be enough. They’re not giving people what they really need.
It’s not a real investment. But you become now an alternative to them and a very meaningful one. So, what I wanted to kind of just share here with you and help you understand is that once you realize that your just deal making and putting assets together, then doing the deals and doing it multiple times, eventually get to a point where you can have everything you want. Right now in my world, I’ve lined up daily deals, I have a team of 200 experts that do it all for me. They take care of them manage them I have partners that come and bring money to me. They use their credit or somebody else’s credit. You put it together and now I’m just I’m doing deals all the time. And I love showing other people how to do that just like I’m showing you how to do that right now. For this to really come together and make more sense, make sure you do have a copy of the road map.
The Straight Path To Real Estate Wealth is your handbook, it’s your guide to how I do this and how I create this wealth and how I get those high ROI’s. So, read the book. You can also talk to a member of my team and say, “I want Kris to be my mentor. I want some hands-on help from somebody to walk me through this.” And we can provide that for you as well. Thanks for watching today hopefully that was helpful in this conversation and look forward to sharing more with you on tomorrow’s video