Many Californians are moving out of the state and going to Oregon. When this market turns around (which it will by mid-2009, you could even be up a lot more than what I’ve mention before.
To begin, it is very important that you utilize your knowledge and expertise on the matter of purchasing property investment. What are you knowledgeable about? Single family homes? Vacation homes? Multi-family buildings? Commercial properties? It is best to focus on the one you are most familiar with to ensure higher returns. It is important that you know all the rules and regulations concerning a particular property type, so you lessen the risk factors.
You’re energetic and enthusiastic. If a full day’s work means more than eight hours to you, real estate investment might be the career for you. Renovating houses can take its toll on your body and mind. You need a positive “can-do” attitude and the ability to see things through to completion. There are no nine to fivers in real estate.
So now how can this be good for a purchaser? Well, to start off it is meant for those who either have good credit but not enough for a down payment or those with bad credit but with the money needed for a down payment. In short, they can’t get approved for a decent mortgage because of their situation. So, they benefit in at least 4 ways. First, instead of wasting their money on rent they can build equity from day 1. A portion of their rent and all their down payment will go towards the principle of the house. Second, if the housing market collapses, they are not obligated to purchase the home and can avoid the financial burden by renting elsewhere.
Then if there is no immediate interest, they will hold a few open houses where stranger after stranger walk through your home with no guarantee of an offer or one that you’d consider. You might then lower your price incrementally week after week until you finally sell at market value (the market — buyers — are telling you what it’s worth via their purchase offers).
As in the past few years people have faced so much of tumult due to economic instability, investment in real estate is the only way that is providing people with a secure and stable income. Therefore, you have more prospects to grow if you are into the real estate business. You have even more chances to make money in real estate without leaving your home than any of your friends who toil all day in corporate world to keep their jobs secure.
Maybe I’m wrong; perhaps these zero-cash-down deals do occur (I am not privy to all the universe’s information). But I would wager that they don’t occur nearly as often as the get-rich-quick seminars would have us believe.
REI can get you real fatigue. It is a lethargic time-consuming process that makes you feel almost laid back. You need to plan and have those instincts to get going with your property. You will learn more on about making you REI more time efficient in later part of the chapters.