Now, if you were to actually buy a house or other real estate and close on it, you would have transactions costs. There would be more transaction costs when you sell to the next investor. Then there would be more transaction costs when he sold the property to the final buyer. As you can imagine, these costs would mean that you have to buy really cheap to leave room for a profit for you and the next investor.
And here’s the best part: since I had found a real estate agent who also invests, I was also able to use the resources that she uses in her deals. So I now had access to a great Real Estate Lawyer as well as a mortgage broker, along with a recommended property inspector. That saved me loads of work and time. My power team was now complete!
Abogado de bienes y raices Step One: Get an offer. It may sound elementary, but if you already have someone lined up to buy the property at the lesser amount, you are essentially offering the lender a bird in hand–as opposed to those elusive two in the bush. Yes they will still have to think about it. A lot. But having an “upside down” property on their books is problematic for them. This is why the short sell process is even possible.
Know however, that you need to take some risk. Generally, low risk equates with low returns. Some people are so paranoid they never move on anything. Outline a risk/reward ratio that is acceptable to you and get going. The risk of doing nothing in your life is the highest risk of all.
Make sure that anyone you are dealing with – from a real estate agent to a affordable attorneys near me who prepare qdros – has the right qualifications for their job. If you are dealing with a buyer, make sure that they are honest about their employment and credit history. Scam artists will often invent elaborate backgrounds in order to gain your trust. If you detect the lie, you can detect the fraudster, so do your research.
The best thing to do is to start small, especially if you will be purchasing from foreclosure sales or if you will be purchasing tax sale properties. You will want to purchase a small parcel of land – just to see how the whole process works. This way, you are getting your feet wet without having to spend a lot of money. Once you get the hang of it, you will move up to the bigger and better real estate.