Showing posts with label cash real estate investors. Show all posts
Showing posts with label cash real estate investors. Show all posts

Monday, September 5, 2011

Tips On Selling Raw Land

Raw land refers to a piece of land that has no buildings and improvements. This type of land is very difficult to sell. Here are some methods that could help in selling your raw land.
Know Your Buyers
Before selling your raw land you need to be sure of what types of buyers are going to be interested in your raw land. It will help in determining what kind of advertising you need. If you are selling land to people with commercial interests then focus on people involved in real estate and developers. By understanding the intention of various buyers you will be able to make the most convincing sale to them.
Subdivision
If you have piece of land which is large enough then you should consider subdividing. For this purpose you need to hire a surveyor. He will help you in determining the boundary lines of your land. This way you can easily go through the legalities of your land and future parcels with clear division already detailed. After a subdivision you can sell the desired piece of land and keep the rest.
Auctions
You can consider selling land through an auction if you are interested in selling your land quickly and possibly taking a loss on the property. Through conventional channels you may not get the high price of your land and there is no guarantee with an auction that you will get the best price either. However the competitive nature of auctions lends itself to this kind of bid war. You can even sell your land through online auctions. For this purpose, you need to make a video of your land instead of picture and put it on the web. Pictures can’t give the real sense of raw land.
Real Estate Investors
One of the fastest ways to sell your land quickly and with the least amount of hassle is to find real estate investors that perform this type of transaction regularly. Commonly people hire real estate investors to sell their lands because it is the easiest and fastest way to sell your raw land. Real estate investors usually pay around 20% of the market value for a property.

Monday, May 23, 2011

Sell Land to Private Land Buyers for Fast Cash

Many people buy land when their financial condition is good and they are dream about building a home or developing the land. But this uncertain economy has left a lot of these dreams unfulfilled. Some people inherit raw or vacant land. This vacant land usually becomes a source of expenses rather than profit due to taxes and maintenance. In both of these cases you could sell your land and make some easy cash. When you are looking for a guaranteed selling option, it is best to sell your land to private buyers or investors.
The benefits of selling your land to private land buyers or investors over selling your land on the traditional real estate market are : you don’t need an agent in this deal and you won’t have to pay any comissions like when you sell on the MLS or via a realtor; if your land is on the market for a long time, then the maintenance cost can be burdensome; more over, you will have to be available for your buyers all the time.
If you want to sell your land for fast cash and don’t want to or won’t have the money to pay comissions to a real estate agent, then may be you should look for a private investor or private land buyer.
As selling your land privately does not involve traditional real estate market paper work hassles, it saves your valuable time and resources. Although you are not going to get the highest market price when you sell privately, the deal is usually closed within a short time (7 days). Investors and private land buyers usually pay around 20% of market value, as they have to pay for taxes and maintenance on the property. Also they often have to pay off liens on properties.
All you have to do is deem your land profitable to investors. Just remember one thing : don’t let a private buyer or investor charge you for quotes. Get a cash quote for your land in writing with no obligations attached and at no charge.

Saturday, April 16, 2011

Sell Your Land Despite an Adverse Economy

What can you do if you have inherited some land, and are neither an investor nor a speculator? Is today’s precarious economy leaving you short on ready cash? Have you inherited some farmland, but are a city dweller?

Most folks in the above situations try first to sell the land on their own, but have little success. Maybe you haven’t gotten any responses to ads and flyers; maybe you don’t have the specialized knowledge for successful negotiations. Maybe the land is somehow encumbered. No matter what the problem, you are left holding land you would rather trade for some good, hard cash. Lucas Properties LLC is just the place to turn to for a solution!

Whether you are aware of it or not, there are people out there who are looking for safe places to invest their money. Perhaps they are looking for a place to live. Perhaps they just don’t want to invest in stocks or bonds, given the current state of the economy. Perhaps they are looking for some un-built, unspoiled land for a permanent weekend getaway. Perhaps they want to develop the land. Whatever the reason, these men and women want to buy land, and they want to buy it now. Our network of real estate investors is made up of people who have decided that, when it comes to their money, land is the way to go, and they are looking to purchase properties like yours. Even better, they have cash! We will match you with someone who wants to buy exactly the type of property you are offering, and who is ready to lay down his or her cash.

Empty lakefront parcels, vacant suburban acreage, farmland (worked or run to seed), city lots, or beach lots sell more quickly, and for better prices, when the negotiations are conducted by a professional service. Our professional service will evaluate your land, and match you up with a buyer who wants to close quickly and will pay you the worth of your property. Further, unlike realtors, we do not ever charge a fee for those wanting to sell their land.

We all know that time is money, and these days money is king. The network of serious real estate investors we have built are looking to purchase properties with the least amount of delay. Just like you, they desire fast, problem-free closings.
Call us today, and we will waste no time in getting potential buyers in touch with you. No matter what size your land is, what type of land it is, or the reason you want to sell it, let us help you turn that vacant parcel into ready cash, so that you have some financial breathing room.

Thursday, November 4, 2010

Buying Land As An Investment

Some of the highest returns in the real estate investment market come from buying vacant land. Purchasing vacant land is a speculation and comes with risk. Buying vacant land can be compared to buying small cap stocks in terms of the stock market. Compared to large cap companies, small cap companies fail more frequently. However, the ones small cap stocks have consequently shown better overall returns. Not only are they taking a risk, by buying vacant land, but they need cash and plenty of time to wait for the return. If cash and time are plenty, and the investor knows the risks, then buying vacant land as an investment may be right for them.

However, just as with stock portfolios, if an investor is looking to buy vacant land as an investment needs to diversify by not buying in only one area or one city. Any real estate investments, location is critical when buying vacant land. An investor should buy vacant land that indicates it will have future development. Investors look for long term value, but they also want property that produces cash flow. While fortunes have been made from buying vacant land, many investors have made little to nothing on their vacant land purchases too.

Investors should evaluate early on the development potential of any vacant land they are considering such as the soil, terrain and access. They need to determine if it will be suitable for building once any expansion reaches it. The fewer challenges land has the better for investment. Ready to build land will be more valuable further down the road

Areas that are better located for future infrastructure expansion and near major employment centers are areas that investors should consider first. Any barriers such as mountains and rivers that may impede development can be cost prohibitive. If development has already reached the river bank, or mountain side, then the development may start elsewhere.

Investors always keep in mind that is possible for vacant land to produce income. The new investor shouldn’t listen to those who say this can’t be done. Recreational purpose is always in need of vacant land and could produce income while the investor is waiting for the future development to take place. Renting the vacant land to hunters or fishermen or even turn it into a camp ground or off-road vehicle track are possibilities for income. By look at what activities that are in demand and a good fit for the property an investor has possibility of income. Investors who can think outside of the box are limited only by their imagination.

Wednesday, July 28, 2010

Struggling Financially and Own Land? We Can Help

There are many Americans struggling these days to make ends meet. If you are one of those Americans strapped for cash and you have a piece of vacant land, you have the answer to your problems right there! No matter how you came about owning the property or why you need to sell, there are people out there with cash in hand that want to buy that land.

Did you buy the property years ago with plans of building a place to retire? Is it on a lake with plans for family vacations that never happened? Or maybe you inherited the land and have no use for it. Don’t keep something that you don’t use when it can bring you the cash you need to survive now! You’re paying taxes and upkeep of a piece of property that has more value for you in cash than it does just sitting there.

For as many reasons you came to own this land, there are just as many reasons why you need to sell. Maybe you or your spouse has lost a job recently and but the bills keep coming. Maybe somebody in the family has suffered health problems recently and insurance is not paying for everything, so the medical bills are adding to the usual bills. Even divorce can put a person in need of selling property for the settlement.

By selling that land, you can get cash that will help you pay your bills and get ahead of the game. You won’t have taxes to pay any more or worry with the upkeep of the land either. Think how much money you will save by not having those expenses!

You can improve your cash flow by selling that property that is a useless burden to you and your family. When time is running out for you and you need cash now, there are networks out there of real estate investors that are eager to buy land. By selling to a real estate investor you are eliminating commissions, fees and have a better chance of getting top dollar for your property.

Sunday, July 4, 2010

A Preferred Funding Option Comes From Private Money Lenders

For real estate investing to pay off big it requires money that is equally as big. This sometimes can become a road block that will stop many real estate investors. When the only thing that is standing between you and a real estate deal is money, consider a private lender. There are many private money lenders out there. You just have to know where to look for them and how to sell them on your investment.
Private money is a quick way for real estate investors to acquire the money for real estate deals. Private money lending is the way to go for those searching a financing option that will allow them to purchase, rehab and resell properties. The lending criteria will be looser with private money lenders than with standard financial institutions.
Private lenders main concern is how you will pay the money back and what can they expect from their investment in the way of profits. When you have equity in the property with a solid plan set to pay back the loan, you will have a better chance of being approved for a private money loan. There are private investors who are eager to get into the real estate market but lack of knowledge keeps them from pursuing that direction.
To start your search for private lenders ask a mortgage consultant. Since they're already in the industry they will connections to private money. Find a real estate investment club (REI) for another possible source. You can also find private money from friends, family members, colleagues, or from business contacts and acquaintances.
Private lenders can come from all walks of life. Inquire with portfolio lenders, real estate brokers, REO agents as well as institutional investors. Once you find a private lender you should keep their info on hand, who knows when you might need it, right? Having more than one in your rolodex can’t hurt either.
Once you have identified these people, how to approach them is a developed but necessary skill. You don’t have to be charismatic. Just knowing what to say and having the skills to make a presentation is all you need to get this venture going.
Remember, you the investor does not necessarily need to have any money to your name when you have the skills needed that brings together a successful, profitable sale that makes money for others that have money but not the skills you have.
Raising money to fund your real estate investments allows you to move forward down the road of financial independence. Along the way you not only can increase the wealth for private investors, but create a name for yourself. Your job finding future opportunities will get easier as you go. Learn a few skills and make a lot of money, not bad huh?

Saturday, January 30, 2010

Financing Foreclosure Purchases

With the onslaught of foreclosures on the market, many real estate investors have found these properties are great investments. They have also learned that getting financing for them may not be easy as lenders are tightening their practices.

To avoid traditional financing, a few real estate investors count on turning the properties they buy over quickly and will use high limit credit cards to finance their investments. This can be risky and the investor that does this could find themselves in trouble fast. Other investors are becoming partners by putting their monies together. This allows them to act quickly on foreclosed properties and then they split the profit when the property is sold.

Some banks offer a low line of unsecured credit to investors, considered a business loan not a mortgage loan. They are short term repayment versus long term as a mortgage loan. This gives the real estate investor operating capital and is paid off as soon as the property is sold.

Going through hard money lenders is another option. They do not have the strict lending standards as banks. The interest rates are higher with hard money lenders, but they are short-term solutions that experienced investors use to turn a property around quickly. This type of loan is repaid in full when the property is re-sold.

FHA loans are a financing option when purchasing foreclosed properties. This type of financing is not good for those who buy and then turn over the property quickly. For a first time buyer, this is great finance method to get a good price on their purchase. If a foreclosure needs a lot of work the FHA loan can be used to fund the repairs. This can increase the value of the home for resale. A FHA loan is a long-term investment and can be a great start for new investors.

If an investor is planning on a quick turnaround, a discount mortgage is a good option. This type of mortgage has flexible interest rates, meaning that the rate can go up in the future. If the initial rate is a good rate and the investor is comfortable that they can sell the property before the rate goes up, this method is a good option. However if a quick sale is not possible it is wise to refinance with a traditional mortgage with a fixed rate to protect their investment.

Become a hard money lender or buy wholesale properties as a real estate investor!

Thursday, November 26, 2009

Tips for Motivated Sellers for Fast Cash Sales

There can be many reasons for selling a house fast for cash such as a job transfer, a job loss or a divorce. Most times, the people involved are not prepared and have no idea how to go about a quick sale.
The transaction of selling a house fast and for cash doesn’t have to be difficult. We have formed a guideline that can help you sell your house fast if you have found yourself in one of these positions.
First question you need to ask is what should I price it at? The next question will be what is it worth and how do I find that out? You are going have to do some homework to get these answers.
You will need to look at the comparables in your neighborhood. Find the lowest price a house sold for and find the lowest price of current listed houses. You should sell your house lower than either of those houses in order to be aggressive and start getting offers fast.
By using the internet or local phone book you can look up real estate agencies in your area. Tell them you are thinking about putting your house on the market and would like to see comparables for the area. Don’t go to an agency that is more than 2 miles away, stay in your area. Ask them to send at least 10 comparables so that you can see how the market is in your area. They are going to be helpful because you could be their next client, even though you definitely don’t want to list your property with an agent. Such sales are never fast as most take almost a year to make a sale and you lose part of the sale money in commission to the realtor.
Keep in mind to sell your house fast, you are going to have to price it aggressively. Where do you find buyers that make quick decisions on buying and have the ability to do so?
You can drive around your area and in busy intersections find signs on telephone poles that say we buy houses and write the phone number down and give it a call. Or use the internet to find real estate investors that buy houses for cash. In today’s economy and with the high number of real estate scams, it is beneficial to seek out a group of local real estate investors and these investors will make selling your house fast for cash quick and easy.

Tuesday, November 3, 2009

When You Are Facing Foreclosure

Contrary to popular belief not everyone who is facing foreclosure is in the situation because of a liar’s loan or poor money management. Job loss, divorce and even unexpected medical issues can put otherwise responsible homeowners at risk of foreclosure. Even more common today, you will find homeowners whose home values have been negatively affected by a high number of foreclosures in their area and combined with rising fuel costs and increased job loss, holding onto their home just seems impossible. So what do you do when you are facing foreclosure?
Step one is to take a deep breath and call your lender. Let the crazy thoughts of walking away from your home fade to the last resort pile. Or at least before you make this your plan, take the time to re-evaluate your budget and determine if you can afford to keep it. Clear your mind and get a picture of how long your financial problems will last. You will need this information to negotiate with your lender anyway, so take some time to get a clear picture of your financial future in your head before you make any calls.
It can’t be stressed how important it is to talk to you lender about options first when you are facing foreclosure. Ignoring the mail and not answering calls is definitely not the best approach. Lender have been very willing to work with homeowners during these trying times, but the first step to making a change is to make yourself available.
There are still situations that can’t be remedied. It is at these times that you need to execute some serious damage control and do your best to protect your credit and your future. If your lender is unwilling to negotiate or you are unable to come up with a new payment that fits your budget, you are going to need to come up with alternative options for selling your home to cut your losses.
The best way to get out of your house and still have some cash in your pocket is to seek out a distressed property solution that will buy your house fast and for cash. This solution usually comes in the form of a network of real estate investors who purchase homes in any condition for cash. Although you generally won’t get full market value for the home you may be able to recover what you owe on the mortgage or close to it. The best part of dealing with real estate investors to sell your house is that the process is fast. Because there are no realtors, no commissions and far less paperwork, the process of closing the deal goes quickly and generally without incidence.
Don’t let foreclosure ruin your financial future. Know what to do when you are facing foreclosure and find the best solution for your situation.

Sunday, October 25, 2009

A Good Rental Property

Investing in real estate is always an excellent option, especially with today’s unimpressive stock market performance. Whether this will be your first rental property or your tenth, the process of finding a good rental property can be quite a daunting task.
When shopping for income properties, there are some basic features to consider with each and every option.
• Property taxes exist in every state and need to be planned for accordingly. To generate income from a rental property, you must be aware of your property tax requirements. The town office will have tax history information on a property.
• Future developments for the area are going to directly affect the success of your long term rental property plans. Check with your municipal planning department to determine future development plans for the area. A solid growth area will yield excellent rental property investment returns.
• If there are a high number of rental listings in the area and most are vacant, you may be looking at a rental investment property dead zone. If vacancies seem to fluctuate or are seasonal, then you will want to be sure that you can cover the costs of maintaining the property during the off-season.
• Check the monthly rent amount of other rental properties in the area. Even if your property is nicer, it is unlikely to rent if it is drastically more than other rentals in the area. Minimally, the amount you charge for rent will need to cover your mortgage payment, taxes and other expenses. You will also need to consider if the area has planned growth that property taxes will increase in the future and the amount you charge for rent will as well.
• It is of the greatest importance to understand your target tenants and choose your neighborhood and style of rental investment property accordingly. If you want to attract tenants with children you will want a property with a nice yard and in the good school district. Use the available amenities to determine who you want to rent to and if it is the right investment property to buy for renting.
• Two other rates to consider when reviewing the potential of your rental investment property are the employment rate and the crime rate. Your future tenants are going to consider both before calling you and you should do the same before you invest your money in a property where jobs are scarce or crime is a problem.
• Talk to other renters in the area. No one will give you more of the truth about the area than other renters living there. Homeowners are generally more “in love” with where they live.
• Single family homes will generally attract more long-term renters. Often times these renters are more financially stable and therefore pay their rent on time and keep their utilities up to date.
Finding the best rental properties in any city can take a lot of footwork. You may be tempted to work with a real estate agent, especially if you are new to rental property investing, but often time’s agents make buyers feel pressured to make a purchase and when you are getting into real estate investment, it is important to take your time and consider your purchase thoroughly. A better option is to work with a network of real estate investors or join a cash home buyer list. These networks allow their members complete discretion over their purchases, no commissions are involved and the properties are generally available at well below market value.

Monday, October 12, 2009

How Fast Cash Home Sales Offer Aid for Homeowners

Between the rising unemployment rates, declining economy and stricter lending practices, it is getting harder and harder for sellers to find buyers for their properties. Many buyers are either unable to qualify for a mortgage or are still weary of investing in real estate, so even when you have a equitable property for sale, you still aren’t getting any bites. Placing your house on the traditional real estate market for full “market value” can mean a long wait with no leads and often times, no sale at the end of a long selling season.
For many sellers, a fast cash home sale is a more appropriate game plan for selling a property. Most cash home sales are offered by real estate investors and investment groups. When you sell your house for cash, you can expect a speedy closing process, no additional losses due to realtor commissions and cash in hand to move forward with your life plans.
Sellers generally pay a commission to realtors for marketing their properties through the multiple listing service and other real estate advertising avenues. This commission can cost the seller a portion of their profits from the sale, not a pretty prospect when it is money that you need and that is why you are selling. If you list your house as “for sale by owner” and seek out real estate investors who are willing to purchase your house for cash, you can eliminate this additional profit loss due to commissions.
The best part of dealing with cash real estate investors is that the process of selling your home is fast. Closing generally happens within weeks instead of months. As a seller, you don’t have to wonder if your buyer’s financing is going to fall through or if you are going to have to negotiate for days over repairs. Most cash home buyers will purchase properties in “as-is” condition and they already have the cash available to purchase your home.
Most sellers quickly realize that the market is flooded with properties and they aren’t expensive ones either. Between the high number of foreclosure properties and REO properties hitting the traditional real estate market, one has to work pretty hard to make their home out shine the competition. Or you can take the easy road and sell your property quickly to a cash real estate investor.
It is always important to investigate any company who offers to buy your house fast for cash. Take the time to review their website and be sure that they are offering a legitimate solution to your problem. If there website only offers sales pitches, it is likely that this is not the right cash home buying company to go with. There are several reputable companies and private cash investors out there, make sure you don’t fall for a real estate scam by asking lots of questions and getting your offer in writing.

Monday, September 21, 2009

Stop Foreclosure By Being Realistic and Selling Fast

If foreclosure is in a definite in your future, you are probably realizing that you need to sell your house fast. Trouble is, in today’s buyer’s market making a home sale can take longer than average. Your first realization should be that you will have limited control over most factors in the sell my house fast process but knowing what you can do will have a positive effect on how fast you sell your house.

If you want and need to sell your home fast to avoid foreclosure, you have to price it to sell. Overpricing a property house will immediately loose the attention of a huge amount of potential buyers. If it’s priced too high, buyers that generally make lowball offers will likely pass it by thinking there is no way you’ll come down in price that far.

When it comes to the time where you have to sell your house fast, you have to realize from the get-go that you are not getting your equity back. Even if your neighbor sold last year and got a good profit, your situation is not the same. You are trying to avoid that credit stigma of foreclosure and need to sell your house fast to do it. Be proactive and apply for a short sale approval from your lender. Get that paper work started and in place as soon as possible. Your lender should tell you upfront the price will they accept for your property.

If you want to try your luck on the traditional real estate market then you will want to find a realtor that knows the foreclosure process and how to sell a house that is about to go into foreclosure quickly. They should be able to furnish you a comparative research of houses sold in your area in the past 30, 60, and 90 days. This will give you an idea of what price to list your house bearing in mind that the lower you go, the quicker you will likely make a sale. You can take the number from your lender and your market analysis and probably drop another 5% to achieve your ideal asking price.

Waiting for a house to sell on the traditional real estate market can take a long time and this is time that your lender is not likely to wait for their past mortgage payments. For this reason, many sellers opt to go the ‘for sale by owner’ route and attempt to market their property on their own. Another option to sell your house fast is to find a cash home buyer or real estate investor in your area who will make you a fair cash offer on your home.

It is important to have your bottom line number in mind when dealing with real estate investors. Before you make the call, make sure you have taken the time to review what you need to make in the sale to come out without the scars of foreclosure looming for the next seven years. Be realistic and even you can sell your house fast for cash.

Sunday, September 13, 2009

How to Sell Your House Fast

When it comes to successfully selling your house, homeowners need to make an important decision if they want top dollar or if they need to make a fast home sale. Although the condition of a house can be an important factor on the traditional market, it does not have to be the most important and deciding factor in all types of home sales. For home sellers who want to sell their house fast, there are cash home buyers and real estate investors ready to make you an offer and to buy a house fast.

One of the greatest benefits of dealing in fast cash home sales is that the condition of the property is not an issue. Cash home buyers and real estate investors are not going to haggle over repairs. They have experience in assigning an honest value to a property in “as-is” condition and usually only make one cash offer; their final and only cash offer. What a seller needs to realize is that if they want top dollar, then selling on the traditional market and making repairs themselves may be the better way to go.

If you are going for the fast home sale, you will need to do some serious calculations to determine just how much you will need to make on the sale of the property. If you were trying to make a profit, then a fast home sale may not be the best option for you, but if you don’t owe anything on a property, just need to move it quickly for personal reasons or are facing potential foreclosure then going for the “as-is” sale to a cash home buyer could be just the right price you were looking for.

Real estate investors that buy for cash aren’t looking for the great curb appeal or updated kitchen. They have cash to invest and want a quick closing. If you are looking for a fast cash sale, you need to be prepared to move quickly, but there are a few tips that can make selling your home to investors even more appealing and may earn you a few extra looks from first time buyers interested in short sales at the same time.

First, clean out the clutter. Make it easy for any buyer, whether investor or traditional to see what they are getting for their dollar. Nothing too elaborate, just make it easy to see its potential. Second step is to advertise locally. Send out an email to family and friends and put a listing in your local paper for a cash home buyer. Better yet, use the Internet to advertise on your social networks.

Bottom line, when you need to sell your house fast, you are looking for a real estate investor or cash home buyer and in this type of transaction the buyer won’t be looking for charming curb appeal, beautiful wood floors or granite countertops. They are looking for a good price.

Wednesday, August 26, 2009

What To Do If You Can’t Sell Your House

Selling your house is just like selling anything else and usually you have to make your product, in this case your house, stand out from the competition, often spending a lot of time and money to do it. The trouble today is that the housing market is completely saturated in homes for sale and foreclosures and when you are looking for a distressed property solution, you usually don’t have much more than elbow grease available to spruce up your property and make a sale.

Not being able to sell their homes fast by conventional means, a lot of homeowners will just walk away from their houses making selling even harder for the next guy by increasing the number of foreclosures on the market. Many homeowners are finding themselves without options for getting out from under their house.

There are still other options to stop foreclosure, to save your credit and in some cases even let you avoid moving costs and that is to offer your house to cash real estate investors that intentionally avoid the hassles of the standard mortgage process. There are networks of cash home buyers that will purchase your house fast for cash so you can get on with life and out of debt quickly.

As a seller, you will get a lump sum of cash for the fast purchase of your home in any condition. There are also investors who may allow you to rent back your home for an agreed upon period of time. It is always best to consult with a lawyer and ask the appropriate tax questions. Dealing with an experienced cash real estate investor will also prove to be less confusing and time consuming, but most importantly, you have an option that will won’t cost you your future.

Tuesday, August 18, 2009

What To Look For When Investing In Rental Properties

When it comes to cash real estate investing, it can be hard to determine what exactly it is that you want your long term investment to accomplish and how much is too much work to get there. Generally, investors that deal in cash real estate investments are looking for a way to get the highest and fastest return on their venture and a rental property definitely fits such criteria-if it is in the right condition at the time of purchase. Experienced real estate investors buy and sell rental properties based on their return on investment potential.

Many real estate agents and brokers have the mindset that rental property investors are only going to want a property that is in prime condition, but this is not always the case. A cash real estate investor will look at a property and assess what is needed to bring it up to a rental standard. It is the potential income stream of a rental property that truly makes it a worthwhile investment.

It is important for cash investors to “run the numbers” when it comes to a rental properties potential. Will the cost of rehabilitating a property allow for enough of a rent increase to make it a solid return in investment. This takes a consideration of other rental amounts and conditions of other rental properties in the area.

When you are considering investing in rental properties, there are a number of factors that are not always important. A beautiful, immaculate rental property may not offer a high enough return on investment to make it profitable, while a rental in need of basic repairs could be the big cash real estate investment opportunity an investor is looking for.

Friday, August 7, 2009

Is Real Estate A Good Investment?

You could play the stock market or invest in certificates of deposits or bank bonds, but with interest rates so low on these investment options, the return on your investment can take years to realize. Investing in real estate is the growing trend right now. With all the foreclosures and short sale properties, cash real estate investors are considered smart investors. No other investment will offer the benefits that are available to them.

A cash real estate investor has 5 different ways to make money:

· Appreciation – nobody’s making land anymore. So any land you buy is going to do nothing but appreciate over time. Even when there is inflation, land will appreciate in value.
· Leverage – when you are purchasing land, banks will loan you from 90% to 100% of the money for that purchase. This is because it’s not going to go anywhere, they can foreclose and repossess it. Giving them leverage to resell it higher than you owe on it.
· Equity Income – when you make a payment on your house or your car, you know a that part goes to interest you’re being charge and the rest goes to the principle of the note. While a real estate investor knows he won’t see that money every month, he does know that should he sell the property, he will see that money at closing.
· Control- as a cash real estate investor, you can control the performance of your investment. With real estate investment, regardless of other market conditions, you control your investment. If you become a landlord, you control the value. Raising the rent is obvious, but offering incentives and bringing in long term tenants is a theory for long term monthly cash flow.
· Cash Flow – a real estate investor will rent a property out in an amount that is higher than what he paid for the property. This produces a monthly cash flow. Unlike other investments, a cash real estate investor will benefit from a larger percentage of cash-on-cash return.

If you have some money that you’re looking to invest, invest in something that everybody wants and nobody is making more of! Learn how to become a cash real estate investor as part of our distress property solution for home owners that need to sell their house fast for cash.