Real Estate Information

Luxury Real Estate Information


Rancho Palos Verdes, California Homes
Palos Verdes, California Homes
South Bay, California Homes
Luxury Mexican Beachfront Homes

Featured Properties


Oceanfront Estate Near Trump National

Related Information


Loan Information
Real Estate Information
Mortgage Refinance Information

5 Rock-Solid Real Estate Investment Strategies


Investing in real estate is more complex than simply buying and selling homes. To help new real estate investors to decide which strategy might work for them I put together 5 rock-solid strategies. It is up to you which strategy you feel more comfortable with.

1. Buy and Hold

This real estate investment strategy is commonly known as rental properties. Becoming a landlord is easier than you think. You buy a property, you advertise it as "for rent" and you sign a contract with your new tenant. That's where the love story ends. You need to know a lot about your duties and your rights as a landlord or you will find yourself in trouble.

Screening your prospect tenants is your first line of defense. Protecting your property from damage is your first duty. I might paint a little bit dark picture of being a landlord. But dealing with tenants can be the most frustrating job you ever had. Do yourself a favor and visit a bookstore or library and get as many books on landlording as you can get. Armed with this knowledge you will be able to create a positive cash flow and a long term relationship with your tenants every time you put the "For Rent" sign in the yard.

With the buy and hold strategy you basically have 3 income streams going at once.

Amortization; while paying your mortgage you also lower the amount you owe.

Appreciation; while owning the property it increases in value.

Tax incentive; as a landlord you will be able to deduct your investment cost over several years. (See you tax advisor for professional advice).

Based on this information you can easily see that even if the rent doesn't cover 100 % of your mortgage payment you will still be able to create a positive cash flow.

2. Flipping

This is the art of "buying" and "selling" real estate investment without actually taking ownership. In a flip situation real estate contracts get assigned and the person who assigns the contract to someone else typically gets a commission for their services. That's how you can make money with real estate without credit checks or no money down. Because you never take possession of the property, you don't need to apply for a mortgage.

You only need 2 things to be able to flip a home. First, you need to find an attractive property that will sell very quickly. Second, you need to find a buyer within a very short period of time. Typically 2-3 weeks. Then you simply flip the contract to the new buyer and you will collect your commission at a so called "double closing".

This sounds complicated at first, but with a little bit practice you will be able to create a nice income from this. By the way, this is the preferred concept of most real estate "gurus" who appear in late night infomercials.

3. Rehabs

Rehabs are the most risky form of real estate investments. You hunt for a cheap, run-down property and you hope that your preliminary remodel cost estimates will leave enough room for a nice profit. Well that's the theory. Most real estate investors are failing with this type of strategy.

You either didn't get the property cheap enough to make a profit or the damages are more extensive than estimated which will offset the cheap purchase price. To make matters worst. If during the rehab phase of typically 3-4 months the market is going south all bets are off. Trust me, I made my share of experiences with this and I told myself, never again.

4. Commercial Real Estate Investment

What comes to your mind first when you think of commercial real estate investment? Big factory complexes, shopping malls or maybe huge office buildings. Well, my answer is much simpler. Anything bigger than a 4 unit apartment building, some call it fourplex, is considered commercial. The great thing with commercial real estate is that the value of the property is determined by the rent income it generates and not by how crazy people are going with bidding on residential real estate.

Theoretically there's no such thing as sellers or buyers market for commercial real estate. I wrote a complete article about the pros and cons of commercial real estate. So I keep this brief. Personally I love commercial real estate. Of course, commercial real estate is more or less off limits for beginners, because commercial real estate lenders want to see some form of prior experience in real estate investments. However, if you got some experience, go for it. As an added benefit; the competition is far less.

5. New Construction

This is the most affordable and easiest way of real estate investment. Getting into the earliest phase possible of a new development is a sure thing to make money. Keep an eye on the market and you will be able to sell your new home before construction is finished. The construction companies don't like this, so they limit the number of homes an individual can buy. Even so, keep one or two homes constantly under construction and you will make some nice profits. Of course this works only in a sellers market. Stay away from this strategy in a buyers market or when you see big changes in the local real estate market.

Sincerely,
Peter Dobler
(c) 2005

Peter Dobler is a 20+ year veteran in the IT business. He is an active Real Estate Investor and a successful Internet business owner.Learn more about real estate investments at http://www.suncoastrenttoown.com or send a blank email to mailto:suncoastrenttoown@getresponse.com


MORE RESOURCES:
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news


Mansion Global

Vietnam: The Next Frontier in Asia's Luxury Real Estate Market ...
Mansion Global
Activity in the luxury real estate market is surging in Vietnam, mirroring a booming economy that posted a 7.38% year-over-year increase in GDP in the first ...

and more »


RisMedia.com (press release)

Traditional Real Estate and the 'New Normal'
RisMedia.com (press release)
Christina Pappas: Everything old is new again. The saying comes from the lyrics of a Peter Allen song originated nearly 40 years ago, but the words were never truer than they are today, especially in the real estate industry, which has changed and ...

and more »


Wall Street Journal

Lawsuit Accuses Westchester Real Estate Firm of Conflict of Interest in Home Sales
Wall Street Journal
The suit takes on a thorny issue in real-estate transactions known as “dual agency,” when the same brokerage firm, and sometimes the same agent, represents both buyer and seller. These arrangements create a conflict of interest that can compromise the ...



Meet the Inman Innovator finalists: Most Innovative Real Estate Team
Inman.com
Chris Suarez, Xperience Real Estate: Chris Suarez built his business on his deep experience in real estate law and real estate sales, and he's crafted his team strategy around one-on-one agent training that helps elevate agents' strengths and minimize ...



The Columbus Dispatch

Real-Estate Matters: Age shouldn't sway couple from purchasing their first home
The Columbus Dispatch
Q: My husband and I are both in our 60s. Because of various circumstances — job losses and helping our sons through college — we never brought a house. But now we are in a position to buy our first home and have about 20 percent to put down.



Meet the Inman Innovator finalists: Most Innovative Real Estate Team part 2
Inman.com
Kristan Cole Team: Alaska is a destination real estate market, with clients from all over the world, and Kristan Cole's team has figured out how to leverage this international interest to its advantage. Cole's team sells in multiple Alaskan cities, and ...



Real estate transfers: Reported July 15, 2018
Herald-Whig
Real estate transfers recorded in the office of Adams County clerk and recorder. Quincy area. Quincy Park Foundation Inc., property in Quincy, to Quincy Park District. Douglas Falk and Lisa Falk, property at 611 Sycamore, to Felicia Wires and Raphael A.



The MReport

Non-Resident Foreigners Sold $10.5B of US Real Estate in 2015
The MReport
There's international appeal in U.S. real estate, and, according to recent IRS data, certain countries seem especially smitten with it, Zillow Research reports. Back in 2015, non-resident foreigners sold $10.5 billion of U.S. real estate, trouncing the ...



Buffalo News

Erie County Real Estate Transactions
Buffalo News
Following are real estate transactions over $5,000 as listed in records of the Erie County clerk's office for the week ending June 8. AKRON • 13 Marshall, John R. Schrock Sr. to Courtney L. Flick, $195,000. • 206 East Ave., Karen A. Sowinski; Karen ...



6abc.com

Vigil held for slain real estate developer Sean Schellenger
6abc.com
At a vigil for slain real estate developer 37-year-old Sean Schellenger Sunday, long-time members of the Point Breeze community told Schellenger's family how he grew to become like family to them. They said Schellenger went beyond building homes, ...
Murder Charge for College Student in Stabbing of Philadelphia Real Estate Developer Near Rittenhouse SquareNBC 10 Philadelphia
College student charged with stabbing Philly real estate developer to death: What we knowPennLive.com
Cops: Real estate developer fatally stabbed by man on bikeBeaumont Enterprise
CBS Philly -Philly.com
all 48 news articles »

Google News

home | site map
© 2006 TIGER MEDIA