Tips for Real Estate Investing
When flipping houses, real estate investors are buying properties for a low price, fix it up and resell it to make twice the profit of how much they originally bought it for. Say that you got the funds and don’t care to wait if the house sits in the market for quite a while, then this is a great business opportunity. If you’re rooting to this kind of investment, then you must make yourself mindful of the tips below.
Tip number 1. Find a cheap property – with how our economy as well as real estate market goes, you will find no shortage of sellers. Sellers are motivated for multiple reasons such as unwanted property, financial troubles, foreclosure, inheriting, divorce and so on. To do great when flipping houses, you have to watch out for these people and send them a letter showing how could you be of help to them. In addition to that, you will find tons of leads over the internet.
Tip number 2. Practice your negotiation skills – since motivated sellers want to sell their house fast and put all their problems behind, it puts you in a great position to negotiate if there’s equity in the deal. To ensure that the property is really a good deal for contracts, see to it that you’ve done analysis after negotiating for its price. Filling out these contracts are very simple but it can be confusing so you better ask your local realtors to help you.
Tip number 3. Find yourself an investor buyer – when you are dealing with investors, you have to work with cash house buyer companies. These companies are investors who are closing the deal with cash and don’t have to go to banks and apply for a loan. Flipping houses with cash makes the whole process go smoothly and fast.
But one question many people are asking is where they can find cash buyers. There are many sources where you can find reputable cash buyers like in foreclosure auctions, networking events or local real estate investors association.
Tip number 4. Assign the contract – you should assign your cash buyer a contract after finding one. All you have to do is to get an assignment form, fill it out, enter your wholesale fee and sign it. With the assignment of contract, it shows your right to purchase the property to someone else but you are not liable for it.
Tip number 5. Start with the title work – if you don’t want to have problems with the titling, then it is best to go to a title company.