Real Estate - Becoming The Ideal Agent Behind the success of a man is a woman, and behind the success of a real estate business is an ideal agent. Indeed, it's the human resource that is considered to be the most important factor for real estate business to succeed. Indeed, real estate can be ... Real Estate Investors - Red Alert Real Estate Investors - Red AlertHow's the real estate marketing doing? Is the huge jump in home prices that is evident in some areas symptoms of a value bubble? Good questions, yes?Two things to keep in mind when surveying the market: 1. All real estate ... Virtual Real Estate Virtual Real Estate--just what am I talking about here? If I look up "virtual" in the dictionary, it gives me words like near, practical, fundamental, or essential. It also lists actual as an antonym. Remember in school how we were required to use the new ...
3 Top Real Estate Investing Methods for Maximum Wealth
Real Estate investing can be used to gain wealth in three major ways –
1. Long-term Real Estate investing is most often utilized using appreciation as a planning tool.
Historically, Real Estate has doubled in value every 11 years (6% per year on average over the period).
Of course, not all areas have seen that much appreciation, while others (like sections of California and Nevada) have seen double or triple that rate, but overall, a 7-11 year cycle of doubling value has been the 'rule'.
So, a house worth $100,000 today will be worth $200,000 after 11 years (on average).
The best part about this plan (when it comes true) is that the debt on the house after 11 years will be less than the original $100,000 (because payments were made for all that time), while the property is worth $200,000.
The difference makes a great retirement 'nest egg'.
2. Instant cash is available in many types of Real Estate investing transactions where money is made within days or weeks (sometimes hours, and even minutes!) of the purchase.
These transactions are often referred to generically as 'flips' (a more detailed description of these transactions is given below).
When the money made from these transactions is used to reinvest in other ventures, the return rate highly exceeds any other method of Real Estate investing. The reason for this is that, on a property valued at $100,000, the purchase price is often 10-50% less.
With an example of 15%, the purchase price will be $85,000. Selling the property at a discount to another buyer for $95,000 will net well over $5,000 (after closing costs and all expenses).
The $5,000 used as investment money for another transaction will yield an additional discount on that property, and when you continue to 'roll' the money made from such real estate investing activities, you eventually lead to 'full cash' purchases, which is usually what is needed to acquire most 30% or more discounts from sellers.
This method of Real Estate investing (buying low, selling high and re-investing) yields extreme wealth – plus, the first property could have been done as a 'no money down' transaction!
Extreme wealth from nothing – where else can you find this except in Real Estate investing?
3. Cash flow properties are often used in cooperation with appreciation (one of the biggest benefits of Real Estate investing), however, is listed here as a separate system because many investors do not count appreciation into their calculations when purchasing a property.
Cash flow properties are those with some monthly income – that is, the difference between what is paid in and what is paid out. Traditionally, these are 'rental' properties, and bring in a constant flow of cash for the investor.
Sadly, many investors use this cash for their living expenses and never grow the wealth they could by simply reinvesting this money into another property.
Although slower than other techniques, this method of Real Estate investing can yield a very high rate of return for the careful investor.
About the Author Steve Majors - The Lazy Investor Profit from Real Estate Investing articles, information and news from one of the most creative investors on the planet ~FREE MEMBERSHIP~ http://TheLazyInvestor.com
Real Estate News
Investment Regimes for Indian Real Estate Sector Explored MarketWatch - 9 hours ago Just as water seeks its own level, global investment, too, is gushing into real estate in India; its meandering path is revealed in detail in the following ...
Realtors Say Foreigners Hold Key to Real Estate Revival FOXNews - 14 hours ago By Phil Keating American real estate agents say there's a surefire way to help the country's plummeting real estate market: Let foreigners retire here after ...
Real Estate Market Slumps, Showhomes Soars MarketWatch - 17 hours ago Like many companies in the real estate industry, Showhomes posted huge gains in the housing boom. In 2004, at the height of the boom, Showhomes helped ...
Moody's: Commercial real estate prices rise CNNMoney.com - 20 hours ago NEW YORK (Associated Press) - Commercial real estate prices increased in September, according to Moody's/REAL Commercial Property Price Indices, ...
