Walter's Reach 

   Though any property you buy is likely to hold it’s value, occasionally a property loses it’s value, and that cold hard reality is always lurking in our imaginations, most often making itself larger than it actually is.

 

   Change is indubitable and though economic conditions have risks of their own, the land you purchase in many cases is rather more valuable than the structure that may already exist. THAT is the secret to real estate as an investment—is the land worth the majority of the property you acquire. If not, you simply purchased a maintenance nest, and not property it’s very self, and in that case, you can expect to lose money year after year, season after season, for unless the structure has a historic element, it will never last the test of time.

 

   Investing has a few guidelines, the first is: having an expected return date. This is like your exit strategy, whereby you plan to sell regardless of the profit margin or the return on investment. This can be very important and highly pertinent, as every investor who does so professionally will admit to keeping the business far from personal sentiment. If you waiver on your strategy and your date-lines, you’re not business, you’re then merely a impulse shopper.

 

   Next is, what is the utility of your purchase. In other words, are you buying to live-in temporarily then flip the home, are you planning to purchase and rent it out, or are you planning to buy to strategically sell at an increase immediately?

 

   Two of the three options involve a return date, or rather should, as the latter most certainly does.

 

   When purchasing as a primary residence, the buyer has already increased their chances of a choice reward, as if you live in it, you’ll come to know all the strong points to leverage a sale. This makes the market your whale, and there’s nothing like selling a fish to a whale.

 

   If you rent it out, place first, close attention to the costs of the nearby rentals, and also the duration of the renters. Doing so can tell you what to expect, so far as, are there communal inefficiencies that limit the tenants from provisions such as rent. It will also help you understand the monthly values that un-doubtfully pay the mortgage until the resale has closed.

 

   You may find that the most expensive part of renting your property is preparing it for your new renters, as you need fresh paint and a clean floors the moment the renter moves in. Paint is rather expensive, as a professional job can cost you, easily, $500 per room.

 

   Consider offering 3-year leases at a percentage lower than your competition’s monthly rate, just to save $3-$5000 at the turn of every new lease. 

 

   Study your intended target market also, as perhaps you’ll rent to someone who plans to buy eventually, and chances may be, that they’ll enjoy the space you’ve provided enough for them to commit to the mortgage, which will allow you to attach a 20% transfer agreement, thereby allowing you an instantaneous profit while simplifying the tenant’s buying, plus you’ll not even need an agent, just a mortgage specialist who has the experience to lead you through it.

 

   If you’re investing to turn-over the property for a profit without renting it out or living in it first, you may find that it can help your ROI very much to buy more than one property on the same block, as once you’ve found your agent, you’ll find that when your agent leverages one property on another to their buying clients, to own both comparative properties can push up the values of each of them, the neighbors’ included.

 

   People move into neighborhoods for just that reason—the neighborhood. What makes one 4 bedroom, 3 bath home more significant than another? Answer: the space around it. Own two or three and use them to improve the whole picture.

 

   Lastly, I want to give you a pinch of inspiration: THERE IS NO BETTER WAY TO INCREASE YOUR CREDIT SCORE THAN AN IMMEDIATE PROPERTY MORTGAGE SUCCESS. So, don’t be afraid to buy and sell on a very small return the first couple times, as the interest rate you receive by the third successful flip will more than equal the ROI.

   Happy shopping to you, and remember, it’s the land and not the structure than makes you money.