Real Estate Investing is a tricky business. The most common concern I hear from people is how to start. While you can get a ton of advice to answer that question, I’ve found the best system is just keep it practical. The first thing you will need is a reliable realtor. If your an investor your time is spent managing your money, not finding properties. Realtors (should be) experts on the local market, and also have access to pre MLS listings. This makes them a very valuable resource when finding properties to purchase. If you don’t currently work with an Investment Realtor, give me a call. I am a realtor and the partial reason is more exposure to investment properties!
Amount the first things you need is determination. When you decide to start investing, then do it! Oftentimes in life we stumble across a great idea and then struggle to follow through. Real Estate Investing is an amazing investment growth market so follow through! I’ve personally found that being accountable to multiple people is very motivational. If you have your Realtor looking for the right property, and your accountant’s blessing on the funds, it keeps you moving towards the path of investing.
Once you have found an investment Realtor, your accountant gives you the thumbs up, and you’re determined to move forward, you need to find a bank. The bank you choose will work in tandem with your realtor to provide expert advice on the properties your hoping to invest in. The bank can also alert you to potential mortgage rate changes and help find the best way to submit for a loan. The more help the merrier!
Today’s last tip is really simple: look for better return rates! Often overlooked this should be a no-brainer. Most Realtors and investors will tell you to aim for a 1% return. It is possible to get much higher returns in our current market you just need to look for the right deal! With enough people in your pocket it will be easy to find a higher return rate on a local home.
These few tips will really help you begin the journey. In the coming weeks I will add to this column the more intricate aspects of Real Estate Investing. No matter where you start keep excited! Real Estate Investing is fun and can be extremely profitable if you do it right!