6 Facts About Houses Everyone Thinks Are True

A Guide For Real Estate Investors

Because there are so many properties in foreclosure, short sale,and bank reo’s, now is the perfect time to start your business in real estate investing. With so many properties available in the market, it is sometimes confusing and challenging to know which on of them you should invest on. In this article, allow me to give you some helpful tips that you may use as your guide when planning to invest on real estate.

1. The location of the property should be good.

If you want to be successful in the real estate business, keep in mind that location is the key. It is never a wise idea to purchase a property that is located in a declining area just because the price is very low. The best properties to purchase will always be houses near schools, markets, hospitals, malls, etc. Remember that it is a lot better to pay more for a property in an excellent location compared to a house that you will get for a bargain but will be very difficult to sell.

2. You have to be patient.

If you are planning to enter the real estate business, you have to understand that this is a long term proposition. No one becomes successful in just a single day. To be successful in the real state business, you must remain dedicated, patient, and hard working. It is advisable that you hold your properties for at least a year before finally selling them. This is the easiest way to reduce the capital gain taxes.

3. Stay away from properties with a lease option.

It is never a wise idea to rent a property with a lease option to buy. This goes for both sellers and buyers. Studying the entire process of renting a home with a lease option to buy will make you aware of the fact that you will lose money.

4. Buy properties near your home.

When planning to invest on real estate, it will benefit you a lot to purchase a property near your home. If you know a lot about the area, you would be able to sell your properties a lot easier.

5. Research on the properties you are planning to purchase.

A single mistake in real estate investing is very costly. This is why you must do your homework. Now that most people can already access the internet, this task should be a walk in the park. It is very easy to find resources on the internet that will provide us with the information we need. Doing your homework and learning more about the business will make you a more confident and wise real estate investor.

These tips may be simple but they are very effective when it comes to finding success in the real estate business.

5 Key Takeaways on the Road to Dominating Properties

Guide to Buying a Home

The growth of online real estate information has made it considerably more convenient to be an informed consumer when buying a home. Buying a home, especially for the first time can be intimidating, because the decisions you make along the way could save you – or cost you – a lot of money. However, it surely does not have to be a scary or difficult experience. If you want to buy, and get it for the best possible deal in today’s volatile property market, then preparation is important. With sufficient time, care, and research, you can effectively manage the home buying process. Below are some of the most essential factors that you should to remember if you are considering buying a new home.

Find a Real Estate Agent

Real estate agents are a crucial aspect of the selling process, and can give you amazing insights and experience. They also help you relieve some of the stress from the process – allowing you to focus on the more essential things. You want an agent to have intimate knowledge of the area and houses in your range and comprehend what kind of market presence they have. Keep in mind that you are fundamentally picking a stranger for an extremely important task – one that requires trust, expertise, and adaptability. Your expectations should be very exacting because you are about to purchase one of your biggest assets.

Fight to Obtain the Best Price

Ask potential agents which homes they have negotiated in your area, how they will ensure that you will find your ideal home, what their fees entail, and how quickly their last 5 to 10 listings sold. Search for customer feedback. Do not trust agents who will lock you in for 6 months with a listing contract. More importantly, choose an agent like the Mohr Realty Group who will fight to get the deal that’s best for you, not the one that’s easiest for her.

Think of It as an Investment

When you purchase or put up a house, and rent it out to tenants, that property starts to give you rental income (monthly or yearly based on the contract with your tenants). Moreover, rental income is believed to be passive income and is thus not subject to self employment taxes. If you are aiming to decrease your tax burden, you should invest in several rental properties. Real estate is usually held as a component of a bigger portfolio, and is usually considered as an alternative investment class. Due to the high demand for accommodation and increasing inflation, rent prices are always getting higher. Higher rent prices mean more income for you as the landlord.

Reference: The Beginners Guide To Properties (Chapter 1)