Hard money lenders are a helpful resource for real estate investors
You’re a real estate investor, in the market to make money.
Sometimes things go wrong that are out of your control. Deals fall through, properties need unexpected repairs, tenants don’t pay, financing goes south.
But there are also real estate investment mistakes made by even the most experienced of investors that can be avoided with a bit of planning and savvy.
Here are five steps to real estate investment success.
#1: Know your contractor
Trustworthy contractor relationships simply take time to establish. No matter how much you research or how many referrals you get, you can’t assume your contractors will produce up to par the first time out. Be clear about project scope, be present throughout the job, and be sure you’re covered with rock solid contracts.
#2: Prepare for the long haul
Rental properties are not short term investments. Don’t expect to get in, get out, and see an immediate return. Do your homework, know your market, be willing to invest both time and dollars up front, and be ready to stay committed to your property investment for the long term.
#3: Do your investment search homework
Relying solely on a real estate agent to find your rental investment property can limit your options. Agents are a terrific resource – but think creatively and you’ll open up other opportunities. Look at all possible sources, from Craigslist to personal networking to print and online ads, to find your ideal property.
#4: Do the math
It may seem obvious, but be sure you’ve crunched all the numbers and know all the risks vs. reward as an investor. Costs, market values, profit calculations – finances are the most vital part of the real estate investment process, and you are your own best advocate when it comes to your investment.
#5: Just Do It
Real estate is one of the best investment opportunities available. If you’ve done your research well and know your market, the biggest mistake you can make is to hesitate. Think you don’t have the funds? Talk to a hard money lender. Give us a call at Gregory M. Russell to learn about hard money loan options and how we can help. We offer fast, convenient equity loans to qualified investors throughout Washington, Oregon and Idaho. 1-888-477-0444.
Follow these five tips to avoid common investment pitfalls, and you’ll be well on your way to a successful return on your property investment.