Real estate investing is one of the most attractive ways to make money (that is if you do it right). In addition, real estate investing can be a lot of fun. Many people make real estate investing their core career and, in fact, make a lot of money this way.
Real estate investing is truly an art, and like any art, it takes time to master the art of real estate investing. The key, of course, is to buy at a lower price and sell at a higher price, even after paying all the expenses involved in both (buy/sell) transactions, to make a profit. Generally, it is believed that real estate investments only make sense when interest rates are rising. However, profits in real estate investing are possible at almost any time (as I said earlier, real estate investing is an art). Here is a list of tips that can make real estate investing profitable.
- 1) Look for public auctions, divorce settlements and foreclosures (bank/FHA/VA): Since quick settlements are the preferred option here (not price), you may be able to get a property at a much lower price than the prevailing market price. You can then arrange to sell it at market price in the short term. However, make sure the property is worth the price you pay.
- 2) Look for older listings. Those old listings that are still unsold may provide you with good real estate investment opportunities. Just take an old newspaper and call the seller. They may have given up hope of selling the property altogether, and after some negotiation, you could get the property at a really low price.
- 3) Hidden treasures. A house that looks very old (and dirty) may scare off buyers. But it could be your chance to invest in real estate that can generate good profits. So, explore such properties and check if spending a little money on them can make them shine. You can get them for a very low price and make a huge profit in no time.
- 4) Work with a lawyer. There are many attorneys who handle property sales on behalf of sellers or in special circumstances (such as the death of the property owner). They may sometimes want to dispose of the property fairly quickly and therefore sell it at a low price. Be the first to take advantage of such real estate investment opportunities and enjoy the profits.
- 5) Pay close attention to announcements in the newspaper. Property sales due to death, divorce settlements, urgent cash needs and other reasons are often announced in the local newspapers. Keep track of such real estate investment avenues.