“So what methods should I use to mortgage out?” you ask. Here are seven practical, hands-on methods to use today:

1)Offer less than the appraised value of the property. Why? Because a lender may offer to lend you money based on the appraised value of the property. You then automatically have more money than you need to buy the property. This will be money in your fist - MIF = Money-in-Fist!

2)Get the seller to give you a Purchase Money Mortgage for the largest amount possible for the longest term (years) you can negotiate. Why use a PM? Because you may be able to get a Zero Cash deal. With your below-appraisal price offer and your PM second mortgage, you can generate thousands of dollars of MIF on even a small property.

3)Work with Private Lenders who believe in creative deals. With such lenders, your credit is less important than your inspirational approach to the deal and your creative ideas for the property.

4)Apply for the largest loan possible for the property you are considering when contacting first mortgage lenders. Why? The extra money is always useful for your business. Further, the interest you pay is provable and tax-deductible by your real estate business.

5)Ask for the longest term for your first mortgage loans. The longer the term of your loan, the lower your monthly payment. With higher Money-in-Fist, you can live a better life. And you can expand your business by buying more properties, mortgaging out on them as you have on earlier properties.

6)Ignore the negative thinkers in your life who say “Never borrow money; the interest will “kill” you. Not so when you’re in the real estate business! Everyone in real estate borrows money for business uses in their real estate activities. And never forget: THE INTEREST YOU PAY ON REAL ESTATE INVESTMENT IS PROVABLE AND TAX-DEDUCTIBLE BY THE BUSINESS!

7)Follow the Hicks principle in your real estate life, namely: If you can get a loan for your real estate deal that allows you to mortgage out, take the loan, even if the interest rate is high. Why should you take the loan? See Item 6 above. Further, you can almost always refinance the loan at a later date at a lower interest rate. So the high rate is usually only a temporary condition. In what other business can you get cash in hand plus a monthly income while having fun?