Home » Real Estate

Finding the Right Property to Invest In

Aug 17, 2007
The first important lesson for starting out in real estate investing is to know the market.

Where are you investing?

It's important to know the market in order to determine if the property in question is in fact a deal or not. For instance: Is the area seeing a lot of sales, or are the properties lingering on the market a long time? Even in a soft market, there is still the potential for profit. This is because there are always sellers. The idea is to find the motivated sellers that will really be looking to unload their house. A profit can be made in any kind of market. Being prepared and knowing all the information from the get-go is crucial to earning the full profit potential.

What features sell?

As mentioned above, regardless of the market, people will be selling and buying houses. After further investigation of the market, note which features sold the property. In the case of finding the fixer-uppers, the hot-points are the cosmetic things, nothing structural. Making structural repairs can drastically cut into any profit. Still, it's the types of things that attract buyers which need to be incorporated into an investment strategy.

Enhancements like replacing walls, plumbing, structural beams, sub-flooring, and electrical systems can certainly be done and have been done by investors. Some things to look at are condition of the house's exterior, or aluminum siding, areas that can be converted like splitting a 2-car garage into a one-car garage and an additional room, and things like odors, bad decor, and overgrown gardens.

It's important to note however, that the successful investors tend to be the ones with many years of investing under their belts; it should not be done by anyone brand-new to real estate.

The bottom line: an ugly house could be your cash cow.

Fixer-uppers are that way because they need work. Maybe the yard is overgrown and in disarray. Cosmetic repairs can be simple enough to do. Investors should embrace the garbage-filled houses, stained carpets and nasty odors. These are all things that can be easily fixed and which will turn a nice profit when complete.

Be wary of what people say.

It's good to have a second opinion before making any investment. This is especially the case if you're just starting out in real estate. The seller or agent for the seller will be biased if they really want to get rid of a property. Investors looking at these "handyman specials" need to be cautioned as the seller may be very motivated to dump their property and problems in your lap. This is why it's so important for investors to have inspectors, contractors, and plumbers in their real estate arsenal of tools: they will know if the seller or agent is on the level about the property's "downsides".

It's the alternative methods, the "thinking outside the box" that will make it possible to create an instant income stream.
About the Author
Discover exactly how Sal Vannutini combined two of the easiest (yet brutally powerful) real estate investing strategies and made an insane $31,510 Profit In Just 49 Days... And How You Can Do The Same!". Visit www.FixerUpperFortunes.com.
Rating:
Please Rate:
(Average: Not rated)
Views: 146
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Accounting
    • Credit
    • Currency Trading
    • Debt Consolidation
    • Insurance
    • Investing
    • Leasing
    • Loans
    • Mortgage
    • Mutual Funds
    • Personal Finance
    • Stock Market
    • Structured Settlements
    • Taxes
    • Wealth Building
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources