Real Estate Investing 203 – Shifting Classes or Uses

Back in Real Estate Investing 101, I briefly mentioned “Shifting Classes” after the Buy & Hold strategy. There are a few different ways to shift classes and uses that can build value for investors.

Residential to Commercial

One of the most common ways to increase value while shifting classes or use is to have a property re-zoned from residential to commercial usage. A property that is located on a busy street would be a prime example. The busy street lowers the value for a residential property because of the noise and associated traffic. It is even more true of a corner lot. So, this busy location is a detriment. Continue reading Real Estate Investing 203 – Shifting Classes or Uses

Real Estate Investing 202 – Buy and Hold Strategies

Digging a little deeper in Buy and Hold strategies

In Real Estate Investing 101, Part II, we covered buying and holding property for long term appreciation and wealth building. This is by no means a get rich quick scheme, but is one of the most proven ways to build wealth over time.

Finding an appropriate property

Just like with flipping, property is a required ingredient. In fact, the same sources will work for buy and hold strategies as for flipping. The primary difference is that buy and hold strategies are generally a little less stringent on cost control, as well as condition. One can be in the property for a little more money because there isn’t a short term margin to mind. REOs (bank owned property), pre-foreclosure, short sales, older homes needing updating and strong but ugly properties are still the best options. Continue reading Real Estate Investing 202 – Buy and Hold Strategies

Real Estate Investing 201

Digging a little deeper into Flipping. In Real Estate Investing 101, Part I, we covered buying a house to resell for a short term profit. In this lesson, we’re going to delve a little deeper into flipping, run a scenario, and examine ways to maximize profit, while minimizing risk and making it happen fast.

Finding an appropriate property

Obviously the first ingredient in a profitable flip is the property. Despite what one may see on TV, it takes a little while to find good candidates. The various types of properties that may make good flip candidates are foreclosures or REO (bank owned properties), fixer-uppers, older homes that need updating, and ugly properties that are otherwise in good shape. Cost is obviously important, but condition is also very important. Continue reading Real Estate Investing 201

Real Estate Investing 301 – Advanced Strategies

In Real Estate Investing 101, Part I we covered buying a house to resell for a short term profit, while minimizing risk and making it happen fast. We delved further into flipping in Real Estate Investing 201.

In Real Estate Investing 101, Part II we covered buying and holding property for long term appreciation and wealth building. We also touched on class shifting to increase value.

Real Estate Investing 202 continued on the Buy and Hold theme and offered deeper insight into making it profitable. In Real Estate Investing 203, we looked at shifting property classes for highest and best use, while increasing property value and return.

This time, we are going to look at investing from a different perspective. The previous articles have been about buying property “wholesale” and selling it “retail”. But, there is another way to buy property that may be more efficient as well as more profitable. Continue reading Real Estate Investing 301 – Advanced Strategies

Finding Your Investment Property Part #2

Investment PropertyI previously wrote about finding your investment property and this is part two of this series. Part one talked more specifically about my trip up to bend Oregon and how I was looking for vacation rental properties.

To me, vacation rental properties can be a lot more profitable and enjoyable because you also get to enjoy using the property as well as renting it out. There are downsides of course to buying a property you plan on renting out such as faster wear and tear, people not treating the property very well, having things broken or repaired. Having said that the good news is these people renting out your property are paying down your mortgage and usually at a nice nightly premium price. Continue reading Finding Your Investment Property Part #2

Real Estate Investing – Don’t Get Ripped Off

ripped offReal estate investing can be simple in theory. You buy rental properties for a price and terms that provide positive cash flow, or you buy a home which you can fix up and sell for more. In practice, though, applying these simple principles involves a lot of educated guesses. Nobody really knows precisely what a house will sell for once it is fixed up. You also can’t say for sure how many vacancies you’ll have in an apartment building.

Fortunately, with real estate investing experience your guesses get better. But then there are the tricks and outright lies that some sellers will throw in your way. Bad information makes good guesses difficult to make. How do you protect yourself? Watch for the following dirty tricks that some sellers have been known to use. Continue reading Real Estate Investing – Don’t Get Ripped Off

Are You Stuck on the Fence? How to Get Started in Real Estate Investing

I received an inspiring email this week from somebody we’ll just call Jack. Jack is a senior in college and already reading up on real estate investing (very nice) and has the passion and motivation to take the next step. He’s asked me for help and doesn’t quite know where to start so I’m going to answer his questions within this blog post.

His email goes as follows: Continue reading Are You Stuck on the Fence? How to Get Started in Real Estate Investing

Property Alert – Trump Ocean Resort in Baja, Mexico

trump-logo2.gifSome of you may have already heard about this but Donald Trump has done it again. He broke ground on a luxury condo hotel resort in North Baja, Mexico and his buildings will be the tallest on the entire Baja.

In fact, the first building, called the Lobby Tower, set a record for the highest single-day residential sales in Mexico at $120 million. While those of you who acted quickly were able to secure units, some of you were shut out, and the least expensive units were, of course, the first to go. Continue reading Property Alert – Trump Ocean Resort in Baja, Mexico

Gold Nugget Real Estate Investing Articles – CRE Online

gold nuggetThere’s a site out there called CRE Online which is a great free resource with a wealth of information at your fingertips. They provide real estate investing articles written by the most successful investors in the country.

Some of the writers on this site try to plug their books, others are just offering up free information from their past success. Either way, it’s a site worth checking out. The site is in dire need of a redesign (it’s circa 1995) but some of the content is golden.

The 5 Fastest Ways to Find Your First Real Estate Deal

There are literally dozens of ways to find motivated real estate sellers but to get your feet wet, I’m going to list five quick ways to find a real estate deal. Most people will read this list and say “yeah right that won’t work” but I’ve followed these techniques and it actually does work.

What do you have to lose in trying anyhow? This gorilla marketing approach gets your name out there and begins your lead generation campaign and gives you on the job experience. Continue reading The 5 Fastest Ways to Find Your First Real Estate Deal