Where to Find Investment Properties
Ask yourself, why are you trying to find investment property? It may seem simple, but you need to know the exact reason why you desire to enter the property market. You must know your risk profile, and establish your buying rules before you even look to find investment property. Without knowing these characteristics, you will enter the market without a real idea of what you hope to achieve, and you will get burnt.
Do you want to find investment property with capital growth, or positive cash flow? Do you want to renovate old, run down bungalow’s, or do you want to flip property? These questions are fundamental to you because your buying strategy will be different depending on your buying rules and your risk profile.
Property is a great vehicle to help you achieve what you want to accomplish in life, and I love working with property every day, because I understand its full potential, and I can use leverage to help me improve my lifestyle. Does everybody want to create a road to wealth for themselves right? As we know, a massive majority of people are interested in the property. Be very careful who you talk to about trying to find investment property though, as there are a lot of people who will try to take advantage of you. The property market is full of people who will burn you at the first chance they get, so if someone is talking to you about investment property, ask yourself if they have a vested interest in telling you what they are telling you.
Where do I find investment property?
It is a million dollar question, and it is a question you should stop asking people. Start looking for yourself. You will find great deals online, in newspapers and magazines. There are fantastic deals out there, and unless you are actively seeking to find investment property yourself, you will never be on the beautiful end of a good deal.
Consider this when trying to find investment property:
- Location. What drives people to a particular location? Does it carry a certain lifestyle with it? Is there any entertainment or shopping complexes nearby? Remember an investment property can only work well for you if you have people to tenant it. Just because you enjoy living in a remote area where you can ride horses, it doesn’t mean everyone else likes doing it too.
- Demographics – This gives a good indication of the typical sample of people who live in the area. So if you are trying to find an investment property in an area where there are primarily singles living, it may not be the best option to purchase a four bedroom house.
- Comparable sales of an area. It is essential as it is the recent and comparable sales which drive the market up and down, according to what is being bought and at what price. A comparable sale is something that has been sold in the last three months, which is very similar to the property you are looking at. This means that if you are trying to find investment property with three bedrooms and two bathrooms, then you need to be looking at three bedrooms and two bathroom properties within that area.
- What is the twist? The twist is the most important rule when you are trying to find investment property. The twist is something 90% of investors forget about.
So there you go, you have been given some tips on getting you started to Find Investment Property. The truth is, it doesn’t matter whether a property has two bedrooms, one bathroom, single or double lockup garage, north facing views, steel or timber-framed. There is money to be made in property. You need the know how. All the best with your property career!
CONSIDERING WHERE TO BUY INVESTMENT PROPERTY?
With the economy still struggling to recover, countless people are searching for revenue boosters. Real estate has always been and will continue to be, one of the best methods for building one’s retirement funds. Many, however, are confused as to where to buy investment property. Luckily, various destinations across the globe offer excellent opportunities.
America is, of course, one of the top countries in which to purchase quality real estate. The recession of 2008 is not entirely over yet, and many homeowners got foreclosed on. That is good news for an investor because these properties can be bought for a portion of the market value from the financial institutions.
Canada offers an excellent real estate investment opportunity as well. While Canadians did not feel the housing crash that the States did, you can get some excellent value for your money. With an exchange rate that is just under par, you may end up paying slightly less.
If you would instead consider tropical destinations, Mexico, Cuba, and Costa Rica are all excellent choices. A decent living can be made from renting villas or condos to travelers and vacationers all year long. You will likely need to hire a property manager to take care of things for you.
Consider your overall goals when you think about what type of property you should purchase. If you want to have a vacation rental, then a small villa, single family home or a condo may suit your purposes. A duplex or small apartment building may be a better option for year-round rentals or individual families. Flipping a property involves buying, fixing and then selling in a short period and requires less consideration of the type of dwelling; it’s more important to consider the price and the estimated cost to fix, as well as your overall profits.
It is imperative that you do your research before making any decisions. You should first visit with your mortgage agent or bank manager to find out how much you qualify for. Personally go and visit several different properties. Don’t make a final decision based on a magazine or an online ad. Also, be aware of any extra taxes or fees that are levied against non-residents.
Start small if you are getting into the world of real estate investing. Your first property should not be a ten-story apartment building. A basic local rental in a single-family home will help you understand what it’s all about and give you an idea of what being a landlord is like. It may be a couple of years before you can purchase that apartment building.
When you want to know where to buy an investment property, there are many factors involved in the decision-making process. Seek out other real estate investors and ask for their advice. Attend seminars, study magazines and conduct some online research. This can be a fantastic method of making an income, but it can be frustrating and challenging if you aren’t prepared.