Increasing Your Income.

Have you ever heard about the concept or exchanging a non-income producing asset for one that does produce an income? Have you ever tried to implement the concept? It's really easy.

You can find many ways in which this concept can work. Bottom line is, however, you want to get rid of an asset which has value and turn it into income instead. Here's what you can do.

Assume you have a valuable asset such as a car, boat, plane, or art piece that you no longer want. You can try to sell it but you may find it hard to sell in a soft market. Instead you can place an ad in your local paper under "real estate exchange," advertising your asset and that you are willing to exchange it for a real estate note or notes or use your asset as a down payment on property.

Suppose we look at the real estate exchange first. There are people that are often in a similar situation and want to dispose of their asset or assets. It's possible they can't sell the note because it's too small or they haven't gotten a worthwhile offer. It doesn't hurt to ask.

If your asset has a lot of equity in it you can do a straight trade without having to discount your asset or the note holder's note. If you don't have a lot of equity in your asset, then you may want to negotiate a better deal for yourself. There are endless possibilities.

Now, suppose you'd like to use your asset as a down payment on a property. Don't do this unless the existing financing makes sense. In other words, you will only want to do this if the first loan is FHA or VA assumable or if the property is free and clear of any liens and the owner will carry the financing. Then you can try this technique. Put the property right back on the market but at a higher price. Advertise it as "owner will finance" and create a note. If this is done properly the property will sell quickly thus creating a note for yourself and an asset that produces income!