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Real Estate Investing Strategies
from:Real estate investing is a great way to make some extra money and diversify your portfolio. Before you lunge in and purchase your first investment property it is a good idea to have some real estate investing strategies in mind. Savvy real estate investors look for properties that are below market value. A good way to find these is to look at buildings that are foreclosures. Some buildings that have been foreclosed on will be ready to rent or resell immediately at a profit. Other buildings may need renovations or updates in order to sell them. Working with a trusted real estate agent who specializes in foreclosures, knowing what types of real estate you are interested in investing in ahead of time and making the best deal you can is the best way to come out ahead.
Common real estate investment strategies
Before you begin investing in real estate learn the various investment strategies. The most common strategy that real estate investors use is the one that can lead to the most problems. That real estate investing strategy consists of buying properties which the investor believes will soon increase in value due to market-wide appreciation. Although this strategy can be used successfully, it is based on pure speculation and can fail. There are three investment strategies that can be used and are based on facts instead of speculation. The first is known as the bargain purchase. Investors who use the bargain purchase method when choosing a property pay twenty percent less than market value for the property. This allows them to make up to a twenty percent profit using this real estate investing strategy and is a great strategy to use when purchasing foreclosures. The second strategy is known as the increase value strategy. Using this strategy the building would be purchased at current market value. There must be some improvements that could be done within a six month time period that would increase the value of the building by twenty percent for this strategy to be successful. Finally, many real estate investors use the double digit cap rate. The double digit cap rate strategy is used for buildings that have a capitalization rate of ten percent or more. A capitalization rate is the net operating income from the property which is then divided by the purchase price. These are harder to find unless the market is depressed or you are looking into small market niches. Whatever type of real estate investing strategy you choose it is wise to have a real estate agent on your side who can help you make the right decisions and tell you of any new listings, including foreclosures that you may be interested in.
Real Estate Investing Specific links
Real Estate Investing News
Large Investors Choose to Swim on Their Own - Wall Street Journal
 IPE.com (registration) | Large Investors Choose to Swim on Their Own Wall Street Journal Put off by high fees and disappointing performance of so-called pooled funds, major institutions such as Harvard University's endowment, Canada Pension Plan and Abu Dhabi Investment Authority are building in-house real-estate investment divisions to ... Rental property still a good bet for investors Local knowledge and market selection is key to European real estate investment Money Guru | A bubble is being created through speculative pricing |
Real Estate Investing Opportunities to Buy Investment Property Now Offered at ... - Seattle Post Intelligencer
Real Estate Investing Opportunities to Buy Investment Property Now Offered at ... Seattle Post Intelligencer Real estate investing opportunities to help investors buy investment property are now offered at JacksonvilleWealthBuilders.com. Completely renovated homes with signed lease tenants are offered to help kick start real estate investing careers for ... |
Syndicated Mortgage Investment Company offers brokers and investors secure ... - PR Web (press release)
 PR Web (press release) | Syndicated Mortgage Investment Company offers brokers and investors secure ... PR Web (press release) With our extensive background knowledge and track record in real estate investments, we provide investors with solid alternatives to their financial portfolios offering high yields with real estate security. May 24, 2012, ONTARIO, CANADA – Specializing ... |
How New Short Sales Rules Impact Buyers and Will Make them Wiser and Richer - PR Web (press release)
How New Short Sales Rules Impact Buyers and Will Make them Wiser and Richer PR Web (press release) Thinking about investing in a rental property, experts say low home prices combined with low interest rates make this the best time in years to become a real-estate investor. What's more, the real-estate market is starting to recover: US houses lost ... |
Smart investors can make money from real estate, even in tough times - PR NewsChannel (press release)
Smart investors can make money from real estate, even in tough times PR NewsChannel (press release) In “Cash Flow Now: How to Create Multiple Streams of Real Estate Income” (ISBN 1470118467) Jim Ingersoll reveals how investing in real estate can build your financial future. Even though the United States is in the worst economic recession since the ... |