Real Estate Investment Philosophy
Well, we have run into a sticking point in the real estate business because of our income and the fact that our W-2s come from our corporation. No bank would touch us. No lender would talk to us.well, they talked but said they couldn’t help. If we had a traditional job making a lot less money for some other company, we would qualify for a loan with no problem. Even our bank that we have all of our business and personal accounts with doesn’t want to touch us. Not even for a HELOC. How is that for customer service??
Fourth, weigh your options for rental demand. One indicator of good property returns is when the rental demand is sufficient for the property, or commensurate to the value and worth of the UK investment property for sale. Usually, rent is much higher when the property is in a densely populated location. Countryside properties usually have substantially less rental income potential.
With the advent of the Internet, searching for estate property has become a lot easier. A few clicks of the mouse is all that you need now to narrow down your choice of real estate.
As a real estate agent, you can make money in real estate without leaving your home. It is a best option in today’s economic situation. The main reason behind this is the fact that real estate invesment gives you a sense of security. It is not as volatile or erratic as that of share market. Thus, you can be assured that in real estate business you reap benefits more than in any other kind of investments.
You should be clear about the kinds of materials that will be used in construction, the presence, type of or absence of any features or amenities (e.g. heating, air conditioning, recreational facilities, access for the handicapped, landscaping, parking, etc.). All of these can be crucial to the ultimate value of the property. Also be clear about any zoning issues or legal permits that may be needed. The developer is responsible for securing these, but make sure this is all covered.
At the end of the 10 years, you sell the building for ,000,000. That may not seem like a great deal to some, but if you’ve already recovered your 0,000 in cash flow and paid down your mortgage by 0,000, you’re walking away from the closing with a check for 0,000 plus the 0,000 you already got back. My simple math may be wrong, but you more than doubled your money.
The IRS will allow you to use the land as long as it is not in your IRA portfolio. Though you cannot reside on the property, you can rent it and place the collected rent into your IRA retirement account. When the time is right, you can take those earnings as a distribution. To make things even more complicated, you cannot rent the real estate to your spouse, ascendants or descendants, but you can rent to a brother or sister.
You’re a people person. When working in property investments, you will have to deal with people from all walks of life – contractors, agents, brokers, and lawyers. Being a people person means you’re comfortable with all types of personalities. You’re able to keep an even keel through intense meetings and negotiations.