Stacks of One Hundred Dollar Bills with Small House.

What You Need To Know About Investing In Real Estate

Posted on Leave a commentPosted in Real Estate Investing

The idea of investing in real estate is appealing for those who want to make long-term financial gains. You might earn a lot of cash and possibly have a steady income thanks by investing your money in buying and renting multiple houses.

The question however, is what will you do when you aren’t successful with your sales & end up losing money?

You will face major problems and set-backs if you’re not prepared for this.

First things first, you need to know about investing in real estate. Investing in real estate can be profitable but it can also be extremely risky.

To those investors who don’t do their homework, study and learn from the masters, you’re running blind. And your money will wash away as consequence of not being prepared and without thinking ahead and not having planned your moves better.

Here Are The Things That You Need To Know Before Investing in Real Estate

Appearances can be deceiving

Don’t fall in love when you see a beautiful house sitting there when you’re not even sure if it’s going to be useful to you. Falling in love with a property can also cause an investor to spend a ridiculous amount of money, making it nearly impossible for them to make a profit out of it after the purchase. So, don’t become too attached to your property and be sure to have a clear head in deciding which building you are going to buy.

Always Be Prepared to Pay Both known and unknown losses

You have to make sure that you have enough money to pay everything. Investing in real estate isn’t cheap. The thing is there are problems that will happen all the time, especially when you least expect it. And this is often seen quite frequently with Rental properties. The reality is you never know how a tenant for example, is going to treat your property.

Sometimes you’ll be lucky to have a tenant that takes very good care of your property. Other times you’ll be less fortunate and get a tenant who trashes the place leaving you responsible for the clean up and maintenance costs. All of this must be factored in when having a back up plan to pay for the damages.

Know Your Limits

Now don’t be a fool and say you have this. Like you know you can do it or something along those lines because you love to think that you can do anything. Don’t kid yourself. You have to learn your limits. The can’s and cannots. What if you’re not handy with fixing a broken sink? Then you’re going to hire someone to fix it, another cost for you. You don’t want to be that person who lies to himself and ends up being miserable because you can’t admit that you’re not a jack of all trades. So know your limits.

Everything All Set?

Now you know. You got everything that you need and you feel like you’re ready to get started.? You have to plan first before you jump right in. Don’t leave anything out that might cost you money. Be sure that you’re all set and ready go. You already have enough information to begin investing and confident enough to make it work. After all it’s going to be worth it if you know how to play your cards right.

And above all else DO YOUR HOMEWORK.

Study and study and study and study. But don’t be afraid to put into practice what you learn.

After that it’s all a matter of figuring out the industry and learning what works best for you.

spouses-flipping-houses

The Spouses Flipping Houses Podcast: Sensationally Educational?

Posted on Leave a commentPosted in Investing Podcasts, Real Estate Investing

Doug & Andrea Van Soest were two aspiring entrepreneurs with an internal drive and motivation to escape the rat race. Never wanting to succumb to the life of a 9 to 5 day job, the energetic and enthusiastic couple devoted their early days to studying business and entrepreneurship from some of the greatest minds the world has seen today.

After having run a successful candy corn business the two found a passion and drive in the world of real estate, as they say the rest is history.

Doug & Andrea

doug-andrea-van-soestResiding in the Inland Empire of Southern California, Doug & Andrea have been running a successful Real Estate solution service helping home owners and landlords with their real estate troubles and problems.

While their primary business is revolves around property management, they’ve also found a passion in Real Estate Investing, buying and selling rehabbed homes all under the creative direction of Andreas artistic real estate visions.

The two were named a real estate power couple by meetup.com in 2013 and have since sought to expand their scope and reach just a little bit farther.

Instead of primarily focusing on helping landlords and home owners, the two have found an additional audience that are all interested and learning their primary focus in this business: real estate investing.

Spouses Flipping Houses is Born

spouses-flipping-housesIt was from this initial idea to help aspiring investors that prompted them to create a podcast specifically designed for the noobie investor. A podcast with no fluff, no filler, no sales pitches and no bait and switches. A true, legitimate source of information that was pure content for an ever growing audience all looking to get started in real estate investing.

Since it’s initial release to date, their podcast has had a collective download of around 15,000 downloads to their show. People from all over the world tune in to listen to the married couple teach them valuable, actionable information straight from the trenches of their real estate investing world.

Filled with how-to’s, step-by-step instructions and guidelines and advice on how to avoid pitfalls when getting started, this podcast is one of the best currently available.

Their no bs style and approach has really garnered the attention of thousands of people around the world and is continuing to grow this day.

How this can Help You?

Look, if you’re getting started in business, or real estate investing more specifically you’re going to need ALL the help you can get. There are plenty of mistakes in this business, that without the proper mentor to guide you, you can easily break the bank and lose everything you’ve got.

Doug & Andrea are viable mentors that anyone can get the straight scoop on what to do and how to do it. Especially since their target audience are beginner investors, you can expect Doug & Andrea to be there to guide you from beginning to end.

The best part is the two are extremely available to all of their audience.

Doug & Andrea leave no question or comment ignored and have a natural tendency to respond to every message or email they receive which is fantastic.

You can literally reach out to them with any questions and they respond in very detailed ways that I don’t think many other brands are doing. So major kudos to Doug & Andrea for being there for their audience.

With that being said, and with you’re understanding of who these two are, it’s time to check out their work and see for yourself whether the Spouses Flipping Houses Podcast is something that will benefit you.

real-estate-strategies

Property Management is requested in Real Estate Investments

Posted on Leave a commentPosted in Property Management, Real Estate Investing

You’ve thought about starting your own real estate investment business, but have you thought about how you would manage everything?

Once you start developing a hefty rental portfolio management can become a hassle and very difficult without some help.

real-estate-investorsRunning this kind of business is different than running a coffee shop or managing a corner store. It’s different because it requires other things than a usual business. You do know how hard it is to manage your own home, now imagine what it means to manage an apartment complex with two or three buildings and about 100 apartments!

Well, the truth is that this can all be solved really simply – you need a property management company or professional willing to take on these responsibilities. These are the people who know exactly what needs to be done in an apartment complex or rental property and they will get it done for you.

If you think that it’s hard to manage the utility bills that you receive each month, what would it mean to manage the bills for all the apartments from a complex or your entire rental portfolio?

Real_Estate_Investment-512That’s just a rhetorical question, and even if it is true in some aspects, there are also big differences between managing your properties.

A property management specialist is a person who has the credentials to take care of everything related to property management. You may be the owner of the building, but you will need someone specialized to take care of all the aspects that this business implies.

They will make sure that the leasing contracts are properly done and that the rent is collected in time from the tenants. They will also make sure that the bills are paid on time, and the tenants pay their own part of the bills. They will also make sure that other aspects are solved, like repairs or small maintenance procedures.

When you hire a property management company for your new complex of apartments, make sure you ask for their credentials and license. They are not allowed to practice if they don’t have a license, so it’s better to check them out before. Also, ask for a written contract where it’s stipulated every obligation that they have and what exactly are they offering for the price they request.

investorIt’s good to have a property valuation done before you hire someone to do your property management. This way, you will be able to present them with the written report and see what they can solve. Usually, there are repairs to be done and the property management specialist needs to know how to solve the problems. It’s not about doing the repairs themselves, but it’s about engaging the right person for fixing a problem – you might need an electrician, a plumber, a construction expert or any other specialist.

Property management requires a good amount of time to be spent in that apartment complex, so you need someone who is dedicated and specialized in this kind of work. For the money that you are paying, they need to take care of all the problems and present you monthly reports on how the money was spent and what they have done during that time.

Choose wisely when you hire a property management specialist, and you won’t have to worry about your investment or managing properties yourself!

Real Estate Investing with Pros and Cons

Posted on Leave a commentPosted in Real Estate Investing

If you’ve ever thought about becoming your own boss, becoming a real-estate investors apprentice is one of the best things you can do if you ever plan on getting into the business of real estate investing. The bottom line is that 80 percent of millionaires made their wealth in Real Estate according to a survey in 2014.

So real estate is definitely the business to be in if you ever plan on making some serious money. However, don’t imagine that it’s going to be easy. This is a business that needs to be handled and managed professionally. And to find the success you want, you’ll have to start thinking as a serious business owner intent on being successful.

We’ll start with the cons of this area, as this is what people usually fear:

When you decide to buy a real estate property for investing, you might finish the papers in time and want to quickly move to your next property. One of the things that people often find out is that their property needs a lot of repairs. This can be extremely expensive, and if it is not done right and the comparables aren’t worked out correctly you could potentially lose money if you invest more into the house than it’s worth.

For example, you may run into a client where they needed to sell their property in a hurry but are unable to do so due to the extensive repairs required. Your job as the investor is to be able to provide them a service where you’re able to cover all of these costs so they will be more likely to sell it to you since they won’t have to hire a real estate agent. Your job however is to determine whether or not the property is going to net you a profit on resale or for rental purposes. If not, you will lose money.

53b23bac7bd7199a06000108You may have to fix the pipes, the water supply, the AC units and so on. For all this, you will need to call for a professional property management company, as it’s hard to take care of all this yourself. However, this is a price that you’ll have to pay no matter if you have one property rented or the lot of them, so make sure you have enough money for this.

It may be some time before you’ll feel the cash-flow, so be prepared to sustain your investment from your own pocket if you don’t have financial backing from investors. Consider that you’ll have to pay the mortgage – if you’ve taken a loan, along with the rest of the bills – for proper management, water, and electricity and so on.

about-rightThe advantage of this kind of business is that there will always be people in need of a place to live. There are students, young people and even older people who prefer to pay rent than to buy their own house. The motives can be different, but the truth is that they are all looking for a place to call their own at least for a certain period of time, short or long.

You could be making a lot of money if you have everything set up in your property. This means that there has to be no problems with the water supply, with the electricity or with any other facility that you are offering.

If you have someone who takes care of the property management – making small repairs, paying the bills, collecting the rent or even finding people to live there, then your job will be much easier.

fix-and-flips-loans-real-estateWith a nice property, you could afford to pay for all of your expenses and even have some money available to use for yourself. It’s important to have a constant cash-flow, but you’ll have to maintain the building and pay for every repair or maintenance project that comes up.

The initial investment will be covered soon, if you offer a quality space for people to rent. As was said before, nobody wants to live in a bad place, so your services will be highly appreciated if you do for your tenants more than others do. This will also allow you to ask for a bigger rent, increasing your income.

Some companies like SCHB have mastered the real estate investment business and provide a wonderful service their clients in California absolutely love. They have learned to balance business with compassion and understanding from people in need.

If this is the type of business you would like to venture into, then being able to harness these skills is essential for success. One of their primary locales in California is Southern california. And they operate heavily by purchasing homes in los angeles fast for cash from people in need.