real estate investment advice and strategies

Real estate investing doesn’t come with a map, and the road to riches is often winding. That being said, there are things you can do to put yourself on the right path and ensure your best chances for success. Listening to real estate professionals and successful investors is a great place to start. 


1. Location Matters:- The old adage that location matters is most accurate when it comes to real estate investing. Before you fork over a down payment and put yourself in a significant amount of debt over a property, ensure that it’s in a good location.

2. Look for Wholesale Properties:- Investing in real estate is just like investing in the stock market in at least one way: you’re looking for the best deal. If you’re a savvy stock market investor, you probably won’t buy too many stocks at their high if you plan on holding them for a long time.

3. Understand the Tax Benefits:- The people who run our government want private investors to provide housing for people. That’s because they know that if private investors don’t provide housing, then the government will be responsible for it.
To that end, Uncle Sam offers significant tax benefits to real estate investors. The most significant benefit, arguably, is the depreciation write-off. When you buy an investment property that includes a building, you get to write off the depreciation of that building as a tax deduction.

4. Check Your Credit Report:- You’re more than likely going to need to borrow money to buy real estate. That’s why you should check your credit report before you begin investing in real estate.
If you have problems on your credit report that are mistakes, get those resolved as quickly as possible. If you have problems that are legitimate, then you’ll need to work to improve your credit.

Wrapping It Up:- Real estate investing offers the potential for fabulous returns. However, people have also bankrupted themselves investing in real estate. Be sure that you know what’s involved before you start.

5. Use the “1% Rule” :- If you’re planning on buying a property that you’ll rent out one or more tenants, use the “1% Rule” when you decide whether or not the property is worth the price you’ll pay for it. The 1% Rule simply states that an income producing property must produce 1% of the price you pay for it every month. For example, if you’re looking at buying a property for $150,000, then the monthly rental income should be 150,000 x 1% = $1,500.