In today’s post, Samantha Taylor of Mortgage Fit brings us 7 must know strategies for beginning real estate investors…
Investing in the real estate market can be a very lucrative form of investment, and you can do it, if you want to earn great profits. However, if you are just starting off, be aware of a few strategies before you begin investing.
7 Must Know Real Estate Investing Strategies for Beginners
1. Form a Good Team
When you are just beginning to invest in the real estate market, you should get good advice from people who are experienced in this field. You should build a good team to give you sound advice. Most of the mistakes people make while investing in real estate is due to bad advice. This can all be done away with if you choose the right kind of knowledgeable people for your team. Take your time and consider who you take advice from and who you don’t.
2. Educate Yourself Before Starting
It’s important that you know what you are getting into. Having a thorough knowledge of the basics of real estate investment is very essential. However, you should know much more than the basics before you invest. There are many lectures and seminars and books that can help you gather knowledge about how you are to invest and make profits in this market. You must be adequately aware about when to sell or buy or remodel your property.
3. Have a Sound Knowledge of the Market
Do adequate research about the market that you are dealing with. You must understand property values and market trends. One way to help build this knowledge is through your team, networking with other local investors, and actively looking at properties.
4. Make Contacts
It is very important to have a good contact base when you are beginning to invest in the real estate market. If you are attending any seminars or lectures on real estate investing, build some contacts there. Building contacts will help you in finding better loans and better rates when it comes to buying or selling properties.
5. Set Your Goals
Before you invest in any market, you should set specific goals. Determine your exit strategy and decide if want to sell your property or rent it. You must also determine how much money you will be willing to put towards your property and how long you are planning to keep it.
6. Learn to Survey Properties
It is essential for you to master the art of surveying properties. Not all properties can be profitable for you. Thus, you must survey properties in order to determine what repairs are needed. Get a professional to help with this process at first.
7. Learn How to Survey Locations
One of the most important things that you must consider when investing in real estate is the location of the property. This is essential because when you sell a property or put it up for rent, a much smaller segment of the population will be interested in buying or renting your property if it has a bad location (high traffic areas, loud areas, declining neighborhoods, etc).
These are just a few strategies that will help you get started investing in real estate.
Samantha Taylor is the Community Mentor of MortgageFit and has been contributing her suggestions to the Community since 2005. She’s also made notable contributions through the various articles written on different subjects related to the mortgage industry. Head on over to MortgageFit to learn more about Samantha.