Honestly, I don’t relish going all the way to my Fremont home when needed…
Better idea is to Invest in buying home and give for Rent. You can get monthly income and in future if you resale home also You may get good returns.
This realtor learned he should stay away from the real work.
On my first flip we had 4 partners. One was the realtor that found the deal. All he ever did was come by and smoke pot. We did all the work. We told him his share of profit would be zero. Most realtors should stay away from the job site. Something might fall on them…
Here is a flip in Tahoe. $50k profit potential in 8 months.
The flipper got a great buy. $290k market rate for $250k. Had to spend at least $50k plus $30k in soft/sales costs. So if he put $50k down 100% profit.
Sounds great but will have pay 3-40% ordinary income tax. Net say 60% profit.
If he paid cash and spent nothing and rented it would net $18k per year(plus rent increases every year) with $2k gross rent.
In three years the house would be worth $325k at 10% appreciation per year plus $60K in rent ( minus $30k in mortgages if under capitalized)
So $135k profit. $45k per year basically tax free with a 1031 at exit. So buy and hold makes more since.
Unless you can do 5-10/year and can max the velocity of money… and like paying a ton of ordinary income tax.
This is the best way ! Kudos…
Yicks, when Nasdaq starts writing about RE landlording, is it time to bail???
Hello guys, I want to invest my money in Real Estate business can any body give some advice to me, i am totally confused about it where to invest.
Can you provide more info about your target and esp money power?
It depends on your lookout, where do you want? Cash reserve…how much do you plan to spend? Are you a home owner, or ameteur looking for investment…? Do you like active or passive voice investment or trying to flip etc?
Information like this would help us be able to help you:
- Where do you live or think you want to invest if not where you live?
- What is your current living situation? Renting or do you own? If you own, you probably know quite a bit already, at least with respect to housing or RE in general.
- Unless you are a crazy, rich person do you plan to get a loan to finance the purchase? Are you pre-approved or do you know whether obtaining a loan would be easy/hard for you? Do you know your credit score?
- What is your tolerence for risk? Perhaps you are better suited for stocks than real estate, or not.
Ok, that should be enough questions to get you to tell us at least more specifically about your current status and where you want to go with this.