subject: San Francisco Discount Realestate Selling: Make Your Money Grow [print this page] The real estate industry provides investors different ways to make money. One way to make money is to go through the traditional route of selling your home to a buyer and another way would be to have a san francisco discount realestate fixed up and then sell them in the real estate market. The most popular way to make money in real estate now-a-days is either renting houses or giving rent-to-own offers on houses.
Let's talk about buy and sell strategies for property investment. Investors usually make their profit by buying low cost homes at wholesale price and reselling them at a higher price to other buyers. The property can remain in the investors' possession for a period of a few days up to one year, before you find a buyer. Rehabilitation of a san francisco discount realestate and assigning a contract are the two most popular buy and sell methods among real estate investors.
Assigning a contract involves having to get in contact with homeowners selling affordable homes fast, and once you get in contact with them, you can get them under contract with your agreement to purchase. Having the homeowners under contract will make it easier for you, the investor, to look for a buyer who will give the earnest money that is needed for the right to buy that home. If you have several buyers and if you have a well-developed network, this is probably the best method for you, if not, then, renovation might just be what you need. The investor would have to buy a dilapidated house and have it fixed before putting it up for sale in the real estate market.
After you get used to the process, renovation may be a more straightforward method of earning income for investors but flipping is even simpler. Investors have probably heard about this strategy, but it primarily involves buying a home that's only in need of cosmetic repairs and fixing those to look great for the traditional home buyer. House flippers really only want to hold a house for a few months at most. This being the case, these investors are always watchful of their time and budget.
Becoming a landlord and rent-to-own schemes are buy and hold strategies that are being done by property sellers. When you become a landlord you fix up the property, but you only rent it out to tenants to bring in monthly income. This strategy will give an investor regular earnings but you will be more involved with home maintenance as a landlord, so the rent-to-own method may be a better option for you. You also earn a monthly income under the rent-to-own scheme but because you have an agreement with the tenant that he/she will pay off the house in the future, home maintenance issues will be taken out of your hands.
This is how an investor earns income in real estate, specially if they are making use of the rent-to-own strategy. It's up to the investor if he wants to do flipping or if he just wants to rent out the san francisco discount realestate. I sincerely hope that this has been very informative to you and you will now understand how that investor is earning his income by means of what you are paying for your new rent to own home.
