I Want to Get RICH in Real Estate!

I want to make some money, lots of money. And, I want to invest in Real Estate. Can these two thoughts still marry? It all depends on where you want to invest, but if that place is Houston, Texas, the answer is absolutely!

I have worked with many investors over the years and it seems they all had different ideas of how to achieve this. There are several ways to go about this actually and the first thing you need to decide is how fast you want to achieve your goals. There are two main concepts to mull over. Is this something you want to invest in and cash out in the near future or is this something you want to invest in for the long haul?

If your answer is cashing out in the near future, you should consider a flip. A flip is buying a property under market value, performing necessary repairs and then reselling at market value to realize a profit. There are several things that you must consider when thinking of taking on a flip. Do you have cash to buy the home? If not, will you be financing the purchase conventionally or with hard money? If you are financing, is there a pre-payment penalty for paying off the loan quickly? Do you have the cash on hand to pay the contractors as the work is completed? Do you have a project manager to oversee the renovations or repairs (this would mostly apply if you are not local)? Do you have the ability to hold on to the property for at least 6 months? When it comes to flipping, some lenders for the potential buyers will not allow too large of a profit if you are selling in under 6 months. In almost all cases, I have seen them ask for receipts as proof of the repairs completed in order to calculate your profit. These are all things that must be considered and working with an experienced Real Estate Broker (like myself) can help you maneuver through this maze.

If your answer to the above is investing for the long haul, you have the potential of realizing even more of a profit through the bounty known as appreciation. It's going to take an understanding of the market you are investing in and a healthy dose of optimism for the future real estate and financial markets. We have certain areas of town in Houston that can realize an excellent appreciation on a yearly basis. These areas tend to be centrally located and close to a town's epicenter. You will need to be able to manage these properties efficiently and have a cash reserve for repairs that may arise. A local property management company could help with this undertaking and make it a not so painstaking venture.

Now, let's make some money!

As always, I'm only a phone call, email, text or twitter away!