Creative Real Estate Investing

You are in good company if it is for investment purposes that you have recently purchased some real estate. Recent reports point out that nearly 25% of these purchases are made by those who have done so just for the sake of investment purposes. If you hope to “flip” the property there are 4 things you must be aware of that can put a crimp on your profits.

Kent Swig

1. Property Taxes. Hold on to the property for a few years and you may have to go through a rise in property taxes especially if reevaluation of your taxes takes place during that time. Taxes have grown by almost 100 percent in just 5 or 6 years in some hot real estate markets.

2. Renovation Expenses. You may have purchased a “fixer upper” at a bargain rate. Once your project is complete will you be able to recover the expenses and make a profit especially if the value of your renovated property is above those in your neighborhood? In addition, can you withstand a correction in real estate values?

real estate agent Kelowna

3. Insurance and Mortgage  Costs. If you do not occupy the residence and have tenants then you will have to pay more for homeowners insurance. If you are providing funds for the property you will be aware that your mortgage rate is also higher.

4. Rental Pressures. A market saturated with rentals means that the rents that you can charge will be lower than what you were expecting to receive. To be a landlord in some markets it is essential for you to get special licensing. In other markets the legal rights of tenants mean you could have a lengthy and expensive battle in ridding yourself of a bad tenant. Will the lower income levels coupled with additional expenses drag your investment down?

toronto condo for sale

Of course, you can limit your risks [and costs] by doing the majority of the upgrades yourself, appealing excessive property tax increases, and finding for yourself a trusted and dependable tenant. It isn’t easy flipping a home, but with a lot of pluck and determination it can result in strong profits for you.

Finding decent deals takes aptitude, comprehension, expertise, and time?lots and lots of time.

Because of this, loads of investors are rather glad to purchase a property ?wholesale? from other investors.

Take into account the following: investor A is a newer investor and has more time than money. Investor B is an more experienced investor and has more funds than time.

Investor A can put in his time constructing systems to find sellers, looking at houses, running comparables, and making offers ? most of which will be turned down. The end result of all this legwork will be the infrequent good deal.

Investor B is more concerned in preserving his time for other pursuits because he already has a strong capital foundation and probably has grandchildren vying for attention. He?s in spite of everything a buyer however, but he?s no longer interested in doing all the legwork.

By functioning together, investor A & B can truly do extremely well.

For investor A, he?s now open to achieve as many deals as he can discover, with no apprehension for running out of capital. Why? Because he?s going to take a small, faster profit when he sells his deals to investor B.

Reflect on the fix-and-flip model that is used by many. If investor A was to bind up all his cash and time in a single fix-and-flip, the risks are substantial. His capital is in jeopardy and he?s not out looking for new deals. If the scheme goes south or doesn?t sell, investor A has essentially taken himself out of the game until the house sells.

Most flippers expect to earn at least $30,000 per deal and expect that it?ll take 4-5 months per agreement.

On the contrary, the wholesaler needs no capital and takes almost no risk, other than his time. Instead of managing a rehab, his duty is to repetitively tie up properties and then turn over those contracts to other investors that want to do the rehab.

Taking the wholesale approach will permit the new investor to execute a agreement a month with a wholesale fee of $5-10K per deal. Basic math will tell you that over the same 4-6 months, the proceeds potential is at least equal to the rehab-to-retail transaction; albeit with largely less risk!

As you can understand, wholesaling can be a very good transaction for the investor who has the time and the links to get it done. I ought to also point out that while I have inferred that wholesaling is for younger investors, the reality is that it can work awfully well for any investor eager to allocate the time to searching for deals.

So, the next time you own a house under contract that you are thinking of rehabbing-to-retail, perchance you may want to deliberate wholesaling it for a good fee and instantly setting out to find one more contract.

Get more information about san diego california homes for sale and san diego foreclosure.

Get valuable suggestions to vacation home – welcome to your individual tips store.

Why is India investment property so attractive? Of all the talked about and said to be strongest future economic powers which include Brazil, Russia and China, only India is set to sustain strong and high growth into the later half of this century with its economy expected to be bigger than Japan by 2023 and by 2042 even bigger than America.

India’s largest cities New Delhi and Mumbai, will be the world’s second and third most populated by 2015 and therefore will see massive increases and amounts of retail sales potential.

The government in India has taken extensive steps to help and encourage the growth of the economy. A selection the steps taken to encourage and enhance domestic demand over the last decade are -

1. Regulation Reforms spuring economic growth.
2. High investor confidence driving Foreign Direct. Investment (Foreign Direct Investment) in all sectors
3. Consumerism encouraged to drive domestic demand
4. Trade & investment economy has been opened up
5. Less bureaucracy & dismantled controls
6. Inverstment from the private sector is actively encouraged thereby helping to reduce public sector monopolies.

Economy growth:

India is the 7th largest global economy in terms of Gross 9.40% Domestic Product (GDP) and has increased by 8% a year for the past 3 years. The World Bank forecasts growth of India’s economy in the next financial year is at 5.8% while the global economy is expected to be only 0.9%.

The growth of Indias economy is being driven on by continued performance of services sector. India should be expecting growth in industrial production of up to 10%, up from 8.3% in 2007, with the India food market to grow 2 fold by the year 2025 revenues expected to increase to US$5.37billion in the next 4yrs from US$1.6billion in 2008.

Real estate Investment Hotspots

These Strong economic indicators are helping to make more attractive the property investment market in India, some of the most current popular investments include Mumbai property and the surrounding areas like Panvel.

Known as Bombay before, it is the capital of Maharashtra and is known as the commercial capital of India. Originally a cluster of islands the city has become an exciting business hub, housing corporate headquarters of many Indian companies and as such is a hot spot for Mumbai property investors.

Panvel property is also very popular as the city is in the Raigad district in the Indian state of Maharashtra and is a gateway of Konkan region.

Panvel is located just 20 km from Mumbai and 15 km from Karjat a strategic location benefiting from infrastructure growth plans and is therefore set to emerge as a key satellite township to Mumbai and therefore a thriving property investment market.

Why stocks and bonds for investment vehicles? Why leave cash in the bank at such little interest..when you can own a piece of paradise as investment?  Many investors wanting good opportunities are continuing to seek offshore, island properties especially in locations that have an already established pattern of success. This certainly describes the real estate in Turks and Caicos Islands.

The high end Turks and Caicos beachfront condominium market is found mostly along  Grace Bay beach in Providenciales where one can currently buy a studio in a beachfront resort for $US259,000. Or how about in beautiful North Caicos choosing a 2 storey, 2 bedroom condominium looking out over the pool to the beach for as little as $US250,000.

For a completely carefree investment, think of buying a Turks and Caicos beachfront lot…or a building lot that has a close proximity to a popular beach…or a choice oceanview lot that will appreciate over time. There are no land taxes in Turks and Caicos, so once the lot is purchased and the stamp duty paid, there are no further ongoing costs. One can hold the land investment for future capital gain, (there are no capital gains taxes in TCI either) or one can hold the land for building a home for retirement in the future. The country of Turks and Caicos is a British Dependent territory with a registry office that details any and all mortgages, charges, rights of way, etc on title. Upon registering the property in the registry office, title is guaranteed by the Crown.

The Island of North Caicos is a one minute ferry ride from Parrot Cay and the private residences of Bruce Willis, Donna Karan, Christie Brinkley and Keith Richards among others. This is the island of the rich and famous… North Caicos right now has a small population of about 1800 residents but now that a ferry is running daily between Providenciales and North, that is about to change. A beachfront lot on North near Parrot Cay would have a price of about $US500,000 while oceanfront with ironshore could start at $US175,000.

The other side of Parrot Cay is Dellis Cay, now being developed and managed by the Mandarin Oriental – choices of condos and villas here start at $1,700,000.

Middle Caicos Islands has about 275 permanent residents. This island is the most historic and dramatically beautiful of the chain of islands, so untouched and pristine with miles of perfect beach and rock formations. An acre of beachfront here can be found for under $US400,000.

The current turmoil in the world economy and especially in the United States  has created unbelievable opportunities for investment here in Turk and Caicos…opportunities at prices that we have not seen for 10 years and will not see again. “They don’t make any more beachfront” so it is good to get in now for short, middle or long term investment..There are many good choices to suit any investment budget.

Turks and Caicos is a well know and popular vacation destination. The International airport at Providenciales receives guests daily from all over the world who come to rent a villa, condo or hotel and to enjoy the wonderful beaches of these islands. The TCI weather is almost always perfect and the currency is the convenient American dollar. There are warm and friendly people, state of the art communication service and a low crime rate. Check it out! Book a business trip or a vacation to this exotic destination and find for yourself the different investment choices in these islands.

Why not think about it. Live the dream. Find your own piece of paradise!

Email from Dr. Daigle, EasyHUD.com:

Hey Andrew!

Let me start by saying -

I NEVER PROMOTE COACHING.

Why?

I’m just way too skeptical of most of the “rei gurus” out there.

(Although, it is one of the most surefire routes to taking
action and making deals)

I know there are more than a handful of you guys who really
do want a coach.

Someone who not only has the real world investing
experience to take you through your first successful
deal…

But who equally importantly someone who genuinely cares
about YOUR success as a real estate investor.

That’s why I wanted to introduce you to someone very
special.

His name is Peter Vekselman -

Peter Vekselman has been investing for over 12 years -

He has turned over 1,200 properties!

And he has raised $millions$ in private investing dollars.

So if you’re looking for experience, this guy has it in
spades!

Not only that – I can personally tell you Peter Vekselman
is a rare find.

He not only knows his business, but he cares about YOURS.

A real standup guy who wants to come along side you and
ensure you succeed.

So if you’ve ever thought about or wanted an expert real
estate investing coach to personally take you through deals
- this is great opportunity.

Again, I strongly encourage you check this out.

CLICK HERE NOW:
www.CoachingByPeter.com/jmma

Learnin’ & Earinin’,
Dr Daigle
Owner/Editor, EasyHUD.com

PS – Again, this is the FIRST time I have ever promoted a
coach.

So you know I wouldn’t be sending you this – unless I
genuinely believed this guy was the real deal and able to
help you.

Find out more abut why Peter is justified to coach the
EasyHUD community:
www.CoachingByPeter.com/jmma

EasyHUD.com

2257 N Loop 336 W
Ste 140, Box 130
Conroe, TX
77304
US