subject: Is It The Right Time To Invest In Real Estate? [print this page] Many individuals are encouraged to get into real estate investing today. Given this, many start to wonder: is it really the right time to invest in real estate? In this article, REIWired, shares with us some tips on how to invest and succeed in the real estate business amidst our current global economy. If there is one thing constant in the trend of real estate, it is the fact that the market changes constantly and in order for you to succeed, you should be able to adapt to change in line with market fluctuations.
REIWired listed down some strategies, which investors may want to consider for effective investing in todays unstable market.
Buy and hold This technique is considered as one of the oldest strategies in real estate investing. It has made many millionaires today as compared to other approaches in the industry. The idea for this trend is to buy low and sell high. The current financial situation that we have gives us the best opportunity to buy the lowest value of properties. It is very critical that we know the local rental rates. All properties should be cash-flow positive and we should all allot budget for ongoing maintenance and repair.
Short sales REIWired says that we have many homes facing foreclosures along with banks who struggle to remain profitable. This means that the opportunity for short sale transactions is great. While yes, negotiating short sales can be a very tedious task, it also offers a very remarkable potential for good profit especially if you are patient and persistent enough to wait. The even better fact about short sales is that the barriers that you need to overcome when you enter the business are low. It takes very little amount of money to start working on short sales.
Fix and flip If you find the right property to buy, you can make good money with fix and flip. However, you need to manage your construction budget and timeline effectively. More importantly, you should learn how to price the property correctly. Keep in mind that competition in sales is very intense especially now that there are hundreds of other properties being listed on sale.
According to REIWired, our current financial situation offers opportunities for almost all types of investor. As long as you know how to find the right niche and as long as you wear your never-say-die attitude all the time, good rewards should await for you in the long run.
