Residential Back Flips Live Comfortably Buying and Selling Real Estate
Survive Todays Economy
Everyone wants to make more money and be able to live comfortably. In today’s economy this seems almost impossible. There is still a way to accomplish this and live very comfortably. This can be accomplished by personally investing in real estate property.
In order to make money in real estate you need to understand how investing in this market works. The first thing is to determine what your goals: making money, owning property for your own personal use, renting properties you own for a profit, etc. This is the hardest part of learning how to invest in real estate. Ultimately you will be selling and marketing your real estate investment to clients. With this in mind there are some terms you need to understand in order to be successful.
ROI: return on investment – this is how much you will make in profits from your investment.
Broker: an individual or company that will sell property for you.
Investor: individual or business that puts up financial interest (cash, credit, etc.) to make deal happen.
Real Estate Deal: completed transaction of property involved.
Deed: contractual paper that shows who has ownership of property.
Lender: bank or company financing the loan for purchaser.
Flipping: buying a property and remodeling it then selling it for a profit within a short amount of time.
In order to make money investing and selling real estate you will need to work very diligently on a daily basis in order to be successful. This can be done by driving around neighborhoods in your area, looking in the local newspaper under the real estate section or researching on line for properties. There is a great reward of becoming financially independent, even in today’s economy.
Let’s begin looking at what steps are required to accomplish this. There is no specific method to achieving this. There is also no magical trick to becoming successful; it does require hard work and patience.
First you need to determine what market you want to focus on you want to own real estate property and rent it out to other people. Do you want to flip properties as it is called by purchasing a home then remodeling it and selling it quickly to make a profit.
Second you need to know how you will fund this venture. Will you use personal funds, will you have partners, or will you secure financing. All of this needs to be considered before you purchase your first property.
Now that you have made a decision about how you want to start you will need to find properties. You can do this several ways. You can have a real estate agent help you locate properties to invest in. You can search the internet for properties, you can search for bank foreclosed properties, and you could find real estate property that is being auctioned off. You can also look through your local newspaper in the real estate section. There is many different ways to locate properties to invest in and then turn around and sell them for a profit. You will make money faster by purchasing and re-selling properties than by purchasing and renting real estate property. You also have to consider whether or not you want to build your net worth. Renting out properties you own also provides residual income on a monthly basis. As stated earlier though selling real estate property is where you make your money. This is due primarily you buy a piece of real estate property then invest money into the property which will potentially increase the value of the property so when you sell it you will make a profit and be able to do this again.
The best option is if you have liquid assets (accessible cash) in which you can buy the property outright.
Most of the time this is not the case so you need to either find a partner or secure a loan. This is the most difficult part of the whole process of making money with investing and selling real estate. Don’t let this stop you as it can be done. There are many avenues in which this can be accomplished.
Now you need to determine the best way to sell this piece of real estate property you purchased for a profit. You can enlist a real estate company (broker) or a real estate agent (representative for broker) to sell the property for you. This may not be the best solution as you will have to pay a commission to them for this type of transaction. You can list the house in the local newspaper, you could put a sign in the front yard, you can advertise you buy and sell real estate property on your vehicle. There are many ways to sell real estate properties as well.
As you can see this is a full-time career in itself. You can also do this part -time and make an excellent income. Buying and selling real estate properties can be very financially rewarding but it does take work and time. It is not an overnight success.