Don't Wait to Buy Real Estate. Buy Real Estate and Wait!
Real estate is a commodity that will never go untouched. People will always need a place to live and do business. Real estate is a necessity. It is one of the best investment strategies when it comes to building wealth. Investing in real estate can be fun, scary and expensive. There’s a bit of an art and a science to finding the best investment properties. You’ll need time to learn, research, build a good plan and of course some expert advice on your side.
Here's what you need to know to find the best investment properties in your area.
Decide what type of real estate investor you want to become. Do you want to buy, fix and flip? Do you want to become a landlord? Do you want to become a Realtor? There are so many ways to get involved in real estate. You just need to decide how you want to get involved and work towards making it happen.
It's important to Build a network of support. Get out and network at industry events and with industry professionals. Make friends with real estate agents, mortgage brokers, bankers, credit specialist and property managers. They will become invaluable to you in starting and building your business. This network of people will help you find the best deals and opportunities on and off the market. Stay in touch with them, connect and share information you find. Always be willing to collaborate. Teamwork makes the dreamwork in this business. This network of professionals can also be a valuable source of information with expert advice once you find the property you want to buy. Need one on one coaching to help you get started in real estate? Let chat here.
Make sure your finances are ready to go. When a great investment opportunity presents itself, you better jump on it. You must have some skin in the game financially or with time. Investors want to make sure you are all in. If you have to get your finances in order, get approved for a mortgage, seek out a hard money lender and gather the capital to make a down payment. Great deals don't last long. They come and go. When the market is hot, money will be your friend.
The best investment on earth is a piece of land with equity in it.
Know how much you have to spend and be able to quickly assess the value of a property. Know that depending on your goals for the investment property the value may change. For example, if you’re planning on owning the property for long term and renting it out, you can take repairs and rental profits into consideration when evaluating whether a property is worth the investment. It's important to understand how to average profits and losses as it relates to real estate. Having a CPA (Certified Public Accountant) can be an asset.
Make sure you also have your legal ducks in a row. If you’re buying a foreclosed home, you will probably need an attorney or a real estate agent and/or a mortgage broker on your team because there will be some negotiating with the bank. This is a different process than buying from a traditional seller. While it offers financial benefits to purchase this way, it requires some additional expertise to make certain there are no liens or other liabilities that can counteract with your financial goals as it relates to the property. Foreclosure homes can be bought for pennies on the dollar in most markets.