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Beginners Real Estate Investing Guide
Real Estate Investing - Ask
Questions Before Making an Investment
First Time Real Estate
Investor
Real Estate Investing - Planning
Your Investment Strategy
How to Find Real Estate
Investment Properties
Getting a Professional Home
Inspection
Large Profits From Inexpensive
Real Estate Repairs
Real Estate Investing - Costs
and Fees
Real Estate Insurance
and Risk Management
Real Estate Investment Risk
Part 1
Real Estate Investment Risk
Part 2
Getting The Best Return For
Your Investment
Creative Financing
For Real Estate Investors
Real Estate Investment Tax
Considerations
Real Estate Rental Properties
- Great Investment or Nightmare
Real Estate Foreclosures - Great
Deal or Headache
Flipping Real Estate for Profits
Slow Return On Real Estate
Investments
Negotiating for the Best Possible Real Estate
Deals
Real Estate - A Time to Buy and a Time
to Sell
Creating Your Real Estate
Investment Strategy
Investing and Growing
Your Real Estate Portfolio
Commercial Real Estate
Investing
Real Estate Marketing
Understanding Real Estate Law
Do You Need An Real Estate Agent?
What The Real Estate Mortgage
Lender Sees
Do You Have A Career In Real
Estate?
Rural or Urban Real Estate
Investments?
Real Estate Investing on the
Internet
Real Estate Investing
- Property or Paper? |
Real Estate Investing - Introduction
Real Estate Investing - A Time To Buy and A Time To Sell
There is a time for everything, and buying and selling an investment such
as stocks, bonds, and mutual funds is no different - and this includes real
estate investments. But there are some differences to consider. When selling
things such as stocks and bonds, it takes just a few minutes, and can usually
be done by calling your broker. Buying and selling real estate can takes
months, or even years!
With most investments, you want to buy low, and sell high, and then buy again
when the price is low. Again, with stocks and bonds, when buys and sells
can be made with a simple phone call, or a few clicks of a mouse, this isn't
a problem, but in terms of real estate, buying and selling takes alot of
time and documentation!
Stocks are generally all alike - and on paper - even though they are priced
differently. But when you are talking about real estate, while it is often
bought and sold on paper, it is very real, and therefore, very unique from
other properties - and other types of investments.
Selling real estate usually dictates that you must find a new residence.
It may also require you to wait for a new investment opportunity to become
available, or to buy back into an investment at a higher price. While you
may pay as little as $10 for the cost of trading a stock, the costs associated
with buying and selling real estate are much greater!
When considering real estate investments, it is a good idea to think of it
as a long term investment. You can't get in and get right back out, in most
cases, and expect to profit. The real estate market changes, but those changes
are drawn out over a long period of time. For instance, there may be several
years where it is a seller's market, and then several more years where it
is a buyer's market. You may want to buy during the times when the buyer's
have the greatest advantage, and hold onto the investment until seller's
have the greatest advantage again.
Obviously, you will want to acquire property for the lowest possible price.
This may include finding foreclosures, or looking for property that is
undeveloped, or requires a great deal of repairs. Finding such properties
can result in paying anywhere from 25 - 35 percent less than the current
market value for a specific area. Check your local newspaper, and visit your
local courthouse to get listings of properties that are being foreclosed.
Areas that have become economically depressed, but have the potential of
turning around, are good sources for finding property at low prices. Just
remember that depressed areas don't always turn around! Before you purchase
property in this type of area, do extensive research to determine whether
the cheap property you purchase today will really be valuable to you in the
future. Keep up with political policies that include urban renewal programs.
If you don't mind getting your hands dirty, and you know how to make repairs
- often major repairs and remodeling - or you know somebody who can do this
type of work for you that doesn't charge too much, you could purchase property
that needs a great deal of repair. Not only does the disrepair make the property
cheaper, but by making the repairs, you can increase the value of the property
by 10% or more.
Remember that everything requires money. You will not only need investment
capital to purchase the property, but you will also need working captial
to make needed repairs, and to pay the costs associated with owning the property,
such as mortgage payments, taxes, and insurance premiums.
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Beginners Real Estate Investing Articles
How to Advertise a Rental
Property
How to Build Equity
in any Real Estate Market
How to Find Motivated
Sellers
Developing a Profitable Real
Estate Investing Strategy
Bird Dogging: Getting Started in
Real Estate Investing
Buying Your First Home
Using Lease Options to Purchase Real
Estate
Real Estate Foreclosures
Increase Your Net Worth Through
Real Estate Investing
Interest Only Mortgages
Real Estate Investing
No Money Down Real Estate
Investing
The Power of the Lease Option
Real Estate Investing Tips
Real Estate Investments
Refinancing Your Mortgage
Loan
Paying Your Mortgage
Selling Your House without a
Realtor
"Subject To" Real Estate
Financing
Using Trusts as a Real Estate
Alternative
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