Real Estate Deals Ten Myths

Real Estate Deals Ten Myths



Real Estate Deals - Ten Myths
Are high-profit real estate deals only for​ the​ wealthy? is​ it​ possible to​ buy with no money down? Do you really have to​ know the​ right people? Let's answer by looking at​ some of​ the​ myths of​ real estate.
1 .​
The good real estate deals are reserved for​ the​ wealthy .​
Of course money helps, but my first deal was a​ $3,500 lot - which I​ sold for​ a​ profit two weeks after I​ bought it .​
Smaller deals, using partners, low-down deals, or​ just putting aside $7 per day for​ a​ couple years until you have enough money for​ a​ downpayment - these are some of​ the​ ways to​ start with a​ little and​ invest in​ real estate.
2 .​
Zero down isn't possible .​
I​ sold a​ rental property for​ $1,000 down because I​ trusted the​ buyer, and​ I​ wanted the​ 9% interest and​ higher price .​
a​ cash-advance on a​ credit card for​ the​ $1,000 ($30 per month payments) would have made it​ a​ zero down deal .​
Zero down means none of​ YOUR money down, and​ yes, it​ happens.
3 .​
No money down is​ the​ best way .​
When you don't invest some of​ your own money, you have higher payments .​
You also spend more time finding suitable properties, and​ pay more for​ them (cooperative sellers naturally want more profit for​ their cooperation) .​
There are zero-down deals out there - they just aren't always worth doing.
4 .​
You need a​ lot of​ experience .​
It helps, but you get it​ by investing .​
Start with common sense, be willing to​ learn the​ numbers, and​ you can start where you are.
5 .​
Good investors have a​ knack for​ making money .​
Well, sort of​ .​
But more accurately, they just took the​ time and​ risk to​ learn the​ market and​ to​ continue their education.
6 .​
You have to​ know the​ right people .​
This is​ another partly true myth .​
It does help, so why not start the​ process? Talk to​ other investors, real estate agents, landlords, etc .​
7 .​
Great negotiating skills are necessary .​
Negotiating skills help with real estate deals? of​ course, but learn to​ run the​ numbers and​ make offers based on them, and​ you can be the​ worst negotiator and​ still do okay .​
8 .​
You have to​ have insider knowledge .​
Insider, outsider, whatever .​
You do need knowledge, but understand one deal, and​ you are on your way .​
Study, and​ study more, but the​ best insider knowledge comes from experience.
9 .​
Fixer-uppers are the​ safest way to​ go .​
Poorly planned fix and​ flips have bankrupted even experienced investors .​
Most poorly purchased rental properties will only eat a​ little money every month, and​ grow in​ value over time .​
Fixer uppers are for​ making money faster, not more safely.
10 .​
You need to​ make lowball offers .​
Low offers may help, but the​ numbers have to​ work, and​ you need a​ plan .​
You can offer MORE than the​ market price and​ make money investing in​ real estate .​
Just learn how to​ run the​ numbers before you do any real estate deals.




You Might Also Like:




No comments:

Powered by Blogger.