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Louisiana Real Estate For Sale-How To Get Your Finances In Order To Invest
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How to get your personal finances in order to become an investor in Louisiana real estate? Before you can think about investing in this volatile real estate market you must be financially ready.


When it comes to Louisiana real estate and investing in land, houses, or even commercial properties the first thing that must be in order is your finances. It was not but a couple years ago you could be leveraged up to your eyeballs and still get all the bank loans you could stand, those days are gone forever. New bank regulation have killed the speculative Louisiana real estate market, no matter what the President says itís the federal regulations even more than banks being scared to loan money that has crippled the Louisiana real estate market. I hate to be the one to bring the bad news if this is the first time you have heard it but bank lending like it was three years ago is probably gone forever and if not for good certainly for quite a few years.  


What are the steps in having a good looking financial statement that will make a bank loan you money. Today banks will look at your liquidity much harder than they did in the past, you will need a financial statement and a balance sheet along with three years tax returns. Now what will they be looking for to say yes or no to your loan request? I will make this very simple because I think it has become this way, debt and cash. If anything is king right now it is cash, you can forget leveraging your way into a deal now days, be prepared to bring minimum 20% to the closing table but in some cases it could take as much as 40% and yes that sounds crazy to be required to have 40% down payment to buy a chunk of Louisiana real estate but you could be asked for that much depending on the bank you go to and what shape they are in financially. 


What steps to take financially while you are looking for your first piece of Louisiana real estate? Lets start with credit cards, revolving debt will kill your attempt faster than anything, make sure you have less than 30% debt to available credit or this one thing will probably stop your loan before it goes any further. Over all debt will also sink your loan, if you have a house loan, car loans, credit cards, tractor, and furniture and so forth you have got to clean this up. Take a look at your house, how is your equity position here, can you take out a second or better yet refinance and payoff credit cards and any other debt you have out standing with these proceeds, if you can you need to do it and consolidate all debt into one loan.


If you really want to become an investor in Louisiana real estate for sale I suggest getting your financial house in order, if its not you will get shot down before you get loan process started. 


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