Profitable
real estate investing demands that you wisely purchase investment
property. If
you don't, it will not take long for you to be broke!
Profitable
real estate investing demands that you wisely purchase investment
property. If
you don't, it will not take long for you to be broke! The savvy investor
looks for opportunities through foreclosures, short sales, distressed
owners or distressed properties to name a few. The key principle is
that
the investor is seeking an opportunity to purchase an investment
property significantly
under market value.
How do you know if the property is
under value? You find this out by looking at the comparable properties
that have sold in the area recently. If you don't know how to do this,
obtain the services of a local real estate agent that works with
investors
and ask for them to provide comps to the investment property you are
evaluating as well as a market analysis of the area.
Just finding a property under value
is only part of the equation however. The better question to ask is
what is your goal for investing? Is it to gain appreciation, is it to
gain monthly
cash flow, is it to gain both appreciation and cash flow or is it
to wholesale
to another investor to put a few bucks in your pocket. This ultimately
determines the type of investment property you are seeking to purchase.
Once you have the end in mind, it is much easier to determine the best
approach to acquiring the type of investment property to meet your
objective.
Jay began his real estate investing career at the beginning of 2005.
He has been a full time investor since 2007. His business focus and
specialized knowledge is in rehabs, lease options, rentals, fix and
flips, discounted turnkey cashflowing properties for passive investors,
wholesale properties, self-directed IRA investing and basic asset
protection. In addition, he is a managing member in two commercial
projects. His expertise has been sought out as a consultant by
independent clients throughout the Midwest as well as California and New
York.
