Real estate investment is not mere purchasing and selling of real estate properties. It is much more composite. Jeff Adams provides scam prevention strategies to beginners in the field of real estate investment. Choose the strategy that you are comfortable with to prevent scams.
Buy and HoldThis kind of real estate strategy is nothing but renting out the purchased real estate property for a while. It isn’t hard to become a landholder. It is much easier than imagined. All you need to do is purchase a real estate property and advertise that you are renting out the real estate property. You can then sign an agreement with your new tenants. You need to make sure that you screen your tenants properly. Protecting your real estate property from any harm is your duty.
Flipping
Flipping refers to purchasing and selling of a real estate property without actually holding the possession of the real estate property. While flipping real estate properties, person who helps in assigning a particular real estate property to a person gets commission for the work. This is how many can be made in the real estate sector without any money down or credit checks. There is no need to apply for mortgage in this method as you never take the possession of the real estate property.
Only two things are needed to flip a real estate property. Finding an attractive real estate property and a buyer eager to purchase will help in making flipping of real estate properties easier. Though this sounds complicated, one can draw huge gains from this.
Rehabs
The most dangerous kind of real estate investment is Rehabs. Cheap, run down possessions are hunted and remodelled in order to derive marginal profits in this technique. This is the kind of strategy where many real estate investors fail. The property purchased must be really cheap enough to derive profits after paying for the damages and getting them rectified. Make sure the damage estimation that you do is only after proper assessment. If you don’t carry out this step properly, then you are bound to incur losses.
Commercial Real Estate Investment
Commercial real estate investment is a promising field that holds a potential to offer huge profits. Big factories, shopping malls, complexes, huge office buildings all fall in commercial real estate investment sector. These properties are always assessed by the rent generating potential that they possess and not by the value that would be bid by the buyers. These possess a great potential of generating income with the rent.
New Construction Site
The easiest and the reasonable way of getting a real estate asset are by purchasing a new construction site. The best way of making money is to be involved in the earliest phase of any real estate property development. If you keep a watchful eye on the market trends, you would be able to sell off your property way before the construction is over.
By following these simple yet effective real estate strategies, you can prevent yourself from landing on the wrong path while investing in real estate properties.
