Learning to invest in real estate can be very uncomfortable initially. You have to be willing to persevere through the real estate investing process while feeling unsure of yourself. It is completely natural to make mistakes when you are learning to invest. Just make up your mind to learn from each mistake and keep moving forward. To become a successful real estate investor, you also need to determine what you want to accomplish through real estate investing
1
List your real estate investment plans on papers. Studies shows that those who write down their goals have a much better chance of reaching them than those who don't. Is there a certain amount of money you need to make from real estate investment each month? Is there a particular number of properties you want to buy? Be specific in what you want to do through real estate. Each goal should be measurable and have a date as well.
2
Study the real estate market where you plan to invest. Start with a small area of a town or city (also known as a “farm area”) and concentrate your investment efforts there. Your goal should be to become an expert investor in your farm area. Once you are familiar with the property values, the length of time to sell a property, which properties sell fastest and which ones sit on the market too long, you can think about expanding your farm area.
3
Establish an exit plan for each property you are interested in buying. Before you even purchase a property, figure out what you will do with it. ? Do you want to buy and sell the property immediately? Or would you like to hold onto it long term? The price you pay for a property has a significant effect on whether you can sell it. If you purchase a property well below market value, you will have many options for your future plans on that property. However, if you purchase a property at market value, you most likely will not be able to sell it at a profit until several years have elapsed.
4
Assemble a team to help you with real estate investment. All successful real estate investors have other people helping them perform certain tasks. Basically, your team can help you bridge the gap between what you know and what you need to know. You do not need to know everything to become a successful real estate investor, you just have to know where to look and whom to call for assistance. Some of the people on a real estate investor’s team are appraisers, general contractors, lenders, real estate agents, a real estate attorney, title companies and marketing assistants. Appraisers help you determine the value of each property you want to buy. General contractors explain what repairs should be made to a property and the cost of those repairs. Lenders approve the amount they will lend on a property. Real estate agents guide investors through the process of buying, selling and evaluating properties. Agents help ensure that your documents are filled out correctly and prepare you for closing on a property. Real estate attorneys help to protect a real estate investor’s interests. Title companies assure that your purchased properties have clear title and make the closing a smooth process. You can hire assistants to help you market properties you buy and sell while investing in real estate.
5
Set aside some time to work on your real
estate investment goals. If you have two hours of free time per week, use that time to pursue your real estate goals. Be specific in choosing the days and times to work on your investment goals. During this dedicated time, you can read books, blogs, and articles related to real estate investing. You can also spend some time in active real estate forums learning various investment strategies from other investors. GOOD LUCK.
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