Purchasing property may look easy on the surface, but once you get down to the details it can be a tedious process. Anyone can purchase a property, but it takes skill to acquire a property that has the potential to grow in value. It is common to consult realtors when looking for properties, but with a little research you can be as effective as a top tier realtor. To pinpoint which properties have that potential it is necessary to look at location, price, and structure.
I’m sure you have heard that annoying repetitive quote that realtors on Million Dollar Listing always use, “Location! Location! Location!” It is annoying but if you take this advice, you cannot go wrong on purchasing your property. If you purchase in a well known and populated area, not only will your business thrive but your real estate value will also thrive. The combination of consistent business sales and continued real estate appreciation puts a business owner in a wonderful financial position. It takes skill and time to find the right location, but it takes expertise to find the location that no other investors are aware of. Purchasing real estate in a location that has yet to hit its real estate boom is the quickest way to become a millionaire. The Jersey Shore, for example, was a well-known area in the early 1990’s but had not hit its real estate potential. Land owners and business owners saw their properties increase almost 150% in ten years! This is a perfect example of location, location, location!
Price is the determining factor in almost all purchases we make. Investors are limited by the amount of capital they have to invest. Do not be discouraged if you are limited. There are still opportunities to make a huge profit off of your real estate investment. If you are truly in love with a house and cannot afford it, get a mortgage, flip the house, and pay for the mortgage and house upgrades with the money you receive from rent! Nothing is guaranteed in life and you may find some trouble acquiring renters, but this is a safe way to own a new home and improve your credit and make some great money.
Structure should be the determining factor if the location and price are in your range. Get a plumber and electrician to look at the pipes and wiring to make sure everything is in tip top shape. What may seem like an easy fix can turn out to be an investment killing problem. If the electrician and plumber give you the go a head, flipping the house will be the most difficult part of this operation. Don’t worry about making the house perfect. New paint, floors, doors, windows, and fences can give you the fresh look you need. Make sure you cover all potential hazards in your investment home. The last thing you want to do is become liable for injuries or death on your property. Install aluminum railings along all staircases, balconies, and porches. In legal terms, as a land lord you need to take your duty of care seriously. If you don’t take the right precautions to avoid injuries for your tenants, you can be found liable! This includes safety measures like fire extinguishers, smoke alarms, locks on doors, and locks on windows. Make sure you take your duty of care seriously to avoid any unwanted legal action.
Once you are finished with your new investment home, list it with your local realtor or save some money and rent it yourself. This investment will be a life changer, allowing you to bring in easy guaranteed income for the rest of you life! Make sure you spend a significant amount of time preparing for this financial move.
About the Author
Former real-estate professional looking to help others make ideal property investments