Most people probably think of the DOW or the stock market when they hear “investment”. Investing in real estate is where many large profits can be made. Profiting from properties can be a worthwhile experience. You could be an expert in no time.
Always do your research, check out locations, and know about the market that you are getting into. Look at between 50 and 100 properties in a location you desire, and create a spreadsheet with each one. Individual facets you need to note are market prices, rent expectations and renovation costs. You can use this information to figure out which investments would be good and which ones would not.
The price you pay for a house is just the beginning. There are closing costs, legal fees, staging costs, and other items that can greatly affect your profits. As you work on your numbers make sure that every expense is accounted for on your margin sheet.
Make sure you choose areas that have a buzz around them, especially if you can tell that early on. This is imperative because it will be easier to sell the property. Also, try to find properties that are easy to maintain.
Be leery of properties where the price is too good to be true. Tempting prices often carry a hidden cost later since no one is interested in buying. You want to purchase properties that will ultimately get you the best return for your money in the shortest amount of time.
If you are buying an investment property, be sure to hire a good handyman. If you don’t, you may end up having your profits eaten up by expensive repairs. A dependable handyman will also come in handy for after-hours tenant emergencies.
Real Estate
If you are serious about real estate investment, don’t be deterred by your lack of experience or pushy agents. Check your options and consider the benefits you could reap for you and your family. Investing in real estate can be a good idea, so do not ignore this chance!