REALTORS BUILD WEALTH
Real Estate Investing can be short or longterm investing or both.
"The wise young man or wage owner of today invests his money in real estate." - Andrew Carnegie, (19th century) Industrialist and Steel Mogul
Many buy Real Estate to help them pay the bills right now. Leasing out space or a spare room or even whole properties can be a great, mostly passive, second income.
Other investors build a real estate portfolio of rentable properties as a hedge so they know they will have income coming in after they retire from the career they toiled at for 30-40 years.
Realtors can help you find renters with good payment histories who can afford to pay top rent.
Many Real Estate Investors are in it to use their property investing as a tax shelter.
Yep, Real Estate Owners can deduct their mortgage interest. You can also deduct your property's depreciation, which is what accountant call the amount your property's building structures decrease in worth due to the usual wear and tare of aging.
Ask your Local Realtor about the many other ways a property owner can save on their taxes and keep more of their wealth by investing in property. Every town has its own set of tax rules for property owners. Your local realtor can make suggestions that can save you lots of cash.
NOTE: At the time of this writing, turning a property 'green' or converting the place to be more energy efficient will reap a home owner lots of financial benefits. There are state, national, and local tax incentives for making your property more eco friendly. You can often get rebates, grants and low interest loans for upgrading your windows and doors to be more insulated and for adding some solar panels on your roof. These opportunities change from location to location and when new political administrations take over.
Buying property can be used as a means of parking your extra money in a place that allows your money to grow at a much better rate than stuffing your money in a bank account that does not earn as much interest as the property's value is going up each year.
Just park money that you will not need to use for a while. Keep in mind that it takes time to sell a property so you may not be able to sell your property quickly if you need to turn the property back into money in the future. That said, Realty Investors who buy, hold and wait years for the selling prices of their type of property to go up, are some of the wealthiest people in the world.
All Smart Real Estate Investors Hire Realtors
A Realtor's goal should be to help people invest wisely in properties, PERIOD!
Forget all the emotional baggage.
Yes some properties are beautiful but that does not necessarily mean the place's value or future sell price will definitely go up as each coming year ticks by.
Consulting on Realty Investments is about performance.
Your client can see there is an impressive view of a snow capped mountain. They need you to tell them much more.
You are hired to assure your clients that their money is being well spent and will be safe.
"Am I parking my money in something that is going to grow in worth?"
"Your aunt's friend's friend of a friend told you about this investment opportunity?"
Timing is everything with realty investing which is why investors rely on counsel and suggestions from local realtors. If you can find your client a property that is under valued you both are ahead of the game at the start.
Buy Low + Sell High = WEALTH!
Realtors analyze. We research. We compile stats and draw educated conclusions. Without facts and data you are advising your client to invest blindly and deaf.
Do not guess with your money or with a client's.
TIP: Keep your client on track. There are lots of distractions that vie for an investor's time and attention.
Once a client commits to a money growing strategy, help them focus and stay the course. Know your client will be hearing about all sorts of get rich quick schemes. It is human nature to worry and second guess our investment decisions.
New real estate and other investment trends pop up every few weeks.
It is no good for you or your client, if you make your client a healthy profit only to have them lose it all on the latest investment scheme.
TIP: Keep your investing profitable but also FUN! Making money should be fun for everyone involved.
REMEMBER: Lots of money increasing methods sound fool proof until you look closely under the hood.
Always put your client's wellbeing first!
There are lots of different ways to make money with real estate here are 3 of the best property investment methods.
Buy property in a place that is off people's radar or has been neglected so it is priced cheap but the area is about to become a popular place to live: Often local governments announce that they have plans to revitalize a shabby eyesore neighborhood. This means they intend to pump money into an area via construction grants and low or no interest loans to redevelop the location. If you can buy property there before the construction starts your property will go way up in demand, value and price after the area is made more attractive to live or work in. Rents are high too in revitalized zones so there is no reason to rush to sell in order to cash in when you can profit for years and years by renting.
Buy a Fixer Upper: Real Estate is sold at a discount when it needs work. If you are handy with tools, you could spend weekends and your days off from your main job to work on fixing a place up. When you finally have your property in tip top shape you can decide to rent it or sell it.
Repurpose a Property: When an investor changes the use of a property to get a higher rent or a better resell price it is called repurposing. Often commercial properties like warehouses and abandoned factories are converted into artist style lofts or retail malls. Office buildings have been changed into condos. I've seen old firehouses repurposed and turned into bars, clubs and restaurants.
The idea is to buy a property that is not in demand for its original purpose anymore at a low price then with a little work you get it ready to be used as something completely different that is needed and wanted in the neighborhood.
The residents of the area actually wanting your repurposed idea helps if you need to get zoning approval. Zoning is what the government says a property owner has permission to do on and with the real estate they own in a particular area of a neighborhood. Zoning for example, prevents industrial factories from being build next-door to residential housing.
Repurposing Realty requires an Investor and a Realtor to use their imaginations to convert something worthless into something valuable.
It is often about creating high rentable assets by splitting up a single property into many smaller units to receive multiple rents coming in or many salable units from one. The many rents or many 'for sale' units add up to much more than the investor could get by renting or selling the place in its original single unit identity.
Repurposing requires much more creativity than just rehabbing. You are turning a place into something it was never meant to be while using the least expensive means possible. You are not tearing down and building new.
You are just making some tweaks and adjustments to get something much more special, useful and thus profitable.
Helping Real Estate Investors find lucrative profitable projects is one of the main things a Top Local Realtor advises on.
Realtors have to think about each of their individual investor clients goals.
Suggesting the acquiring of the right kind of portfolio of properties for each specific client's motives, agenda and investment savvy is very important.
Every Real Estate Opportunity is not a great fit for every property investor.
You have to match the properties to the investors' personality, their knowledge of investing, to their experience as well as taking into account their financial situation.
Realtors can make people wealthy using a lot of other property investing strategies too. Stay tuned for future Realtor Investment Guidance posts! Coming Soon!
The great thing about Realtors working with Real Estate Investors is that they often purchase expensive properties which means higher commission checks for you as a Realtor.
More importantly for Good Investment Realtors is that Investor Clients almost always use at least some, if not all of the money you earn them with their first investment to fund their next, second invest and then they often just let the money ride to fund their 3rd investment and forth and so on and so on.
Can you see why I want you to work with Real Estate Investors? Heck, you should also be trying to convince clients that never bought property as an investment before to try investing in realty, with your assistance.
You as Realtor will get constant deals and commission checks from each investor client who you keep focused. Help an Investor become successful and they will keep on rehiring you as they build their strong, ever growing portfolio of lucrative, profitable properties.
"The best investment on earth is earth" Realty Investor, Louis J Glickman
YOU WILL FIND MORE REALTOR & REAL ESTATE INVESTMENT INFO BELOW: Expand your education on these important Real Estate Agent Topics and gain Realtor Skills that paying clients are actively seeking right now.
Buy a How to Book for Realtors - Get some winning Realtor biz recipes!
Take a Course for Real Estate Agent Marketing and Build Your Brand thru Your New Business Savvy!
Sign up for some Realtor Mentoring by one of our Pros, each with a proven record of propelling Realtor Careers to the next level... STARDOM! We do more than just teach and show you how. We follow up too, making sure you are implementing your business lessons and winning in your local real estate markets!
Comments