When I first started as a real estate investor, I thought I should buy as many properties as I possible can. A property allows you to make money with out any limit, but there are only two methods that are commonly used.
Method 1) Buy and flip: Find a TLC / Handyman Special / or a Total Rehab property then buy It very low and sell it higher including cost of repair and labor. And in this market if you search hard enough you can buy a short sale with little or no work needed. Method
2) Buy and hold: When you purchase a property hold it to generate income and appreciate in value over time. Real estate demand continues to grow as population continues to grow and people are willing to pay for place to live.
The two common problems investor doesn’t invest into Real estate.
Problem 1) Tenant problems is the biggest reason investor quit in real estate before reaping the benefit of investment appreciation. There are many avenues you can take to tackle this problem, hire a management company many big investor that buy 15 or more units use a management company. Want more for your buck; hire a small management company that is flexible with their fees: most small company is just starting off and wants more business. Another avenue is to hire a realtor to rent the property and to help in (problem with tenants, in the eviction, get advice , knowledge about the area, rental of apartment, or just maintaining a property) for very low cost but with much more benefit.
Problem2) Over spending on budget: When flipping houses many investor don’t know what to look for or even have budget in place. Understand that a investment needs to keep cost low but sell it quickly. My experience as an investor on flipping property was a eye opening experience and hit on my net profit. So hire a realtor that has good track record working with BUYER’S they know what a buyer looks at when buying a property. And don’t go over broad with high end product where houses in your market is selling with low end product example (crown molding, cherry hardwood floor, etcc) When flipping a property focus on, Kitchens – Bath room: now every property should have 2 bathrooms, and don’t forget to keep good layout of the property.
Hire a local realtor with 2 or more year of experience in the market, for investors this is best time to buy don’t miss this boat again. Start small with Buy and hold. Good Luck.
| MLS#: | 2831963 | Active | LP: | $1,100 | ||||||||||||||||||||||||||||
| Addr: | 594 Yonkers Ave | Area: | 7 | |||||||||||||||||||||||||||||
| PO: | Yonkers | Zip: | 10704-2699 | |||||||||||||||||||||||||||||
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| City/Town: | Yonkers | |||||||||||||||||||||||||||||||
| Village: | None | Sch Dist: | Yonkers | |||||||||||||||||||||||||||||
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| Level1: | Living Room, Large Bedroom, KIT, Bath | ||||||||
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| Attic: | Addl Fees: | No | HOA: | No | YrBlt: | 1900 | |||
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| Style: | Colonial | Color: | Exter: | Brick, Vinyl | |
| Sec Deposit: | $2200 | Complex: | Prkng Fee: | $0 | |
| Elem: | Yonkers | Prkng Incl: | No | Lot Size: | 0.110 acres |
| Jr High: | Yonkers | #Ass. Prkng: | Utils Incl: | Heat, Hot Water | |
| High: | Yonkers | Appr Req: | Yes | Model: |
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| Remarks: | East Yonkers/Lincoln High School Area Completely Renovated, Large One bedroom apartment. NEw kitchen/Bath, Just painted, hardwood floor, Only $1100. Cats OK. Sqft To be Verfied. |
| Agent Only Remarks: | Completely Renovated, Large One bedroom apartment. NEw kitchen/Bath, Just painted, hardwood floor, Only $1100. Cats OK. |
I watched the show once and thought the show should have more to offer but loved it not because they are doing anything different or better than most of the realtors. But to see that young agent can make that much of money fast. To see how we young realtor are using the technology and changing the why people will sell or buy their new homes. I am always up for new idea and new ways to list a home to sell.
But I noticed that cold call, referral, community work is the best way to get a lead. I also notice that your sale reflect how many listing/inventory you have.
The show, inspire me to talk to everyone about real estate. The other day me and my partner were in a pizza shop: we just start speaking to the owner about a deli for sale and how it's a great location for a pizza place. Let s see if he calls back.
I make it a challenge now to speak or approach everyone when I get a chance.
Make real estate fun, and easy!
New agent coming into the real estate industry thinking they can make 100k in their first year dropped out in the next 6 months. I notice that new comers think its easy and easy money. Some new agent I noticed do their full time job and practice real estate on part time basis. And I am not talking about all new comers just some that waste ever ones time.
From the beginning of the year I notice a lot of agent just dropped out. Some from our area that had 16-25 listing also had dropped out as well. That's a good commission one single family house in Westchester where an average home goes for $650k.
I love this industry and belief it's not for ever one. It took me 2 years just to start making Cold calls, I feel especially now anyone come on aboard just dropping out. New agent need to give it some time, and work hard.
What do you feel about the new agents, just come on aboard and dropping out within 2-6 months? Any advice for them!
When buy a real estate to pursue as a business, your making potentially financially-freeing decision. Owning a real estate is an excellent investment. It provides for a steady flow of income, but you should know several things before you buy. First buying a piece of real estate you're entering a world of renting.
Consider the Maintenance
When you buy real estate and decided to become a landlord, the cost of maintenance and up keep should consider. If you not a handy person or you don't have the time then you will need to hire someone to do that. Hiring a property manager, which will cost you 6% of the gross income you earn from your rentals.
Learn the Law
Rental in real estate vary from state to state, therefore make sure you are aware of the laws affecting you in your state. Although there are some variances in these laws, the basics are essentially the same; your tenant has all of the same rights of ownership except for the right to sell the real estate. In addition, as long as the tenant pays rent, he or she has the right to live on the property. At the same time, they do not have the right to damage the property in any way.The law requires that you keep the real estate in a "habitable condition." Although there is a bit of gray where this is concerned, the law is understood to mean that the real estate must have working locks on its doors and windows, the heat must work, and the roof cannot leak.
Know How to Find Tenants
Before buying a real estate make sure you have a good idea about to how you will get tenant. When choosing a renter and interview them, know the question to ask because there are several discrimination laws in place that limit the types of questions you can ask a potential renter.Before you purchase that real estate, set your standards so you know what you will and will not accept from a tenant and make sure your standards are all legal. Some areas to consider include:
Make sure your standards are clear to all potential tenants before you even begin the interview process.By carefully considering each of these factors before you make a real estate purchase, you will be better able to determine whether or not being a landlord is the right step for you
Building Wealth Together!! Real Estate is the easiest way to build wealth. Having the right agent is crucial. My experience speaks for itself. As a homeowner, investor and real estate consultant m
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