Investing in real estate is generally considered a solid way to invest your money. Everyone needs somewhere to live, after all. Just because it’s a good way to invest doesn’t mean that you can go into it without a plan. There are a few specific things that you’ll need to incorporate into your investment plan to make it a successful one.
What You Need to Incorporate into Your Investing Plan: Know How to Identify a Buying Opportunity
You can find houses for sale pretty much anywhere. Not all houses are good investment opportunities though. To identify a good buying opportunity, think about how you intend to invest in the property. Someone who uses a fix-and-flip strategy to invest in real estate may need something different from someone who is investing by renting properties out to tenants. Learn what specific things you should be looking for depending on your investment strategy so you can find the right buying opportunities to build your portfolio.
Know When to Sell
Sometimes the best move you can make is to sell properties from time to time. Figuring out when that is can be tricky, but it’s part of how you cut your losses and protect your investment portfolio. Of course, how you choose to go about selling a property can impact your bottom line as well. Selling for cash helps you save on real estate commissions. Given that commissions can come to 5-6% of the sale price of the home, you could save yourself a few thousand dollars that way. Some cash buyers choose to use real estate agents to help them purchase properties, but not all do, so they may be better buyers for you.
What You Need to Incorporate into Your Investing Plan: Have a Property Management Strategy
While some investors choose to not hold onto properties for long before selling them, retaining properties for an extended time is an essential part of the investment strategy for others. If that’s how you’ve chosen to invest, you’ll need a strategy for how to manage your properties. You could handle property management yourself, or you could outsource it to a professional property management company. Which option is best for you may depend on things like how many properties you have and where they are located.
Successfully investing in real estate is rarely something that happens by accident. It takes careful planning and strategy. You need to know how to identify good buying opportunities, when to sell, and have a strategy for how to manage your investments in between buying and selling. There’s more to putting together a solid real estate investing plan than just that, but those points can give you a good foundation to work from.
Check out this article on why an HOA can be a great choice for an investment property!
See you at a meeting soon!
The Southwest Florida Real Estate Investment Association is the leading source of SWFL real estate investing events that provide investment education and networking in southwest Florida. We analyze the housing market and foreclosures and provide information, education and networking events in order to build a network and knowledge base for investors and potential investors. Our members include real estate agent, brokers, investors, hedge fund managers, rehabbers, wholesalers and more.
Our SWFL REIA General Meeting is held in Fort Myers where we provide education on hot topics in investing and an opportunity to enjoy the camaraderie of your fellow investors. You’ll get a chance to ask for advice from successful real estate professionals and even make a few deals on your latest projects.
To become a member, anyone can register as an individual, a couple, or a corporation. Being a member opens the doors for endless networking opportunities, advice from members with decades of experience, new ideas from entrepreneurs, camaraderie with those just beginning, and deals and contracts done in the meeting room. For those interested in Cape Coral rental property investment and/or Fort Myers rental property investment, SWFL REIA will be able to provide a network to help launch a successful investment career.
The SWFL REIA is known and respected as a source of current, actionable and useful information about the housing market in the area that we meet.
We meet twice a month.
One of the premier sources for real estate investing networking and education is the SWFL REIA. In the real estate world, the SWFL REIA is different in that they do not do information product sales. Their meetings are focusing on the best ways of investing in real estate by collaborating with other property investors who are sharing their experiences.
We look forward to meeting you at a meeting soon!
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