Top Dos & Don'ts of Real Estate Investingby Athena Paquette Cash Flow Academy in Real Estate, Online cash flow
Just like any other investment, Real Estate also has some dos and don'ts that every Real Estate investor should follow. Knowing them can better your decision making ability & keep you from losses -most of the times!
Sure, there's no map to real estate investing success. However, there are certain things that you still can do to put yourself on the winning side and create wealth by investing in properties.
To get you in the mindset of success, in this article, we've gathered top 3 dos & 3 don'ts of real estate investment world that can take you a long way.
#1 Find Properties in Emerging Areas
With more and more youth searching for places to live, study, work & make their dreams come true, the opportunities are endless for you. Find real estate in your neighboring areas that are emerging fast and have the potential to offer excellent rental properties at reasonable costs.
#2 Understand the Market
Being a real estate investor, it's critical for you to know the real estate market values. Once, you understand the market then only you'll be able to purchase the right land, on right price at the right time. Keeping yourself up-to-date with current trends to consistently forecast and stay ahead of your competitors can also help you become a better real estate investor.
#3 Know the Tax Laws
Tax laws play a critical role in real estate investments, and we all know that!
Thus, real estate investors must be updated with the latest tax laws. It includes the simple tax laws along with other critical statutes and activities that involve Tax.
For example, whether the new tax code permits residential real estate owners to deduct personal property costs & benefit from bonus depreciation rules? You’ve got to know these things.
#1 Don't Over-Renovate
When it comes to renting a house or selling the property at a reasonable price, people think it's about perfect renovations and countertops. However, if you want to be in budget and still make a profit, don't over-rehab! High-end houses should have the nicest countertops and fixtures -agreed. On the other hand, the lower-end homes don't need the most expensive curb appeal. Just ensure that your house looks decent and modern. It's OK to be in the budget.
#2 Don’t Over-Leverage
Keeping some of your properties cleared and some financed is the key to not going broke by taking the risk, while still stretching your rental resources. Learn how not to over-leverage yourself with cash flow training courses for short term investment in the cash flow statement.
#3 Don't Overlook Crime Rates
Crime rates in an area can scare your potential tenants or buyers. So, always research the area's crime rates before planning to buy a rental property in the same. Especially if it's the first property that you're planning to buy, be extra careful. Otherwise, you'll have a hard time finding buyers or new tenants.
Knowing and following the dos & don'ts can better your decision making & keep you from fraudulent “get-rich-quick” schemes. It’s also suggestible to go under a training program like Cash Flow management program. This type of cash flow training courses helps you generate good cash flow investments while making money for your future.
Created on Aug 16th 2019 04:45. Viewed 315 times.