Think long term strategy. Many people want to invest, but in reality only want to look at investment properties. They have no real clue as to what they should do. In fact they have no plan. Like any business you need a plan.
Think long term strategy. Many people want to invest, but in reality only want to look at investment properties. They have no real clue as to what they should do. In fact they have no plan. Like any business you need a plan.
There are several approaches to investing in houses, and one of the main ones is buying and holding for the long term. They rent them out to well qualified tenants. Those renters pay down the landlords mortgage every month year after year.
Long term rental properties are a good way to provide a stream of income in later years. A professional agent can be a power boost to your investment career. Their knowledge of subdivisions, homes and values can help you buy great homes that will appreciate as your renters pay off your mortgage. Owning several of these free and clear when you retire is a no brainer in my book.
Re-habbing properties is another great property investment approach. I didn't learn this until I was older after I had become a real estate agent. We bought run down properties and repaired them ourselves. Once we got them into great shape we sold them off again, using the profits to fund another deal.
There are many ways to sell properties. Today they call it flipping. Like in flip that house. This is one way to get investment capital without taking money away from your household income. Plus you could turn it into a rental if the NOI (net operating income) works for you.
Ok you don't have the money to invest in a flip. What do you do. You wholesale a property to another investor or retail buyer. Find a great property and get it under contract. Then assign it to someone else for a little higher price.
With this approach your not really in the deal and have no risk, other than losing your fee, if the deal falls through. It is a great technique to build up your investing capital so you can use one of the other techniques. There are many investors who simply do wholesale.
The trick here is to do it on a consistent basis. These three techniques can make you very well off in the long run. By combining the three investment techniques you can develop money to invest, provide current income and invest for the long term stream of income.
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Thinking about real estate investing, then definately check out Tommy's interesting no cost article 7 steps to real estate investing,and buying a home
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