How Do I Get Started?
The best way to get started is to start with a plan. Not just an investment plan, but a life plan. Grab a notebook and start jotting down all of your hopes, dreams, and goals for your personal, professional and investment life. Not all of these goals need to be tangible for today; they should be goals for tomorrow and in as many increments as you can dream.
I know what you're thinking. How does this apply to purchasing real estate? It applies because when you purchase a piece of real estate it's important to know if you are looking to flip it, hold it for the short-term or hold it for a longer term, which can be very useful when it comes time to obtaining a mortgage. It's also important to know if you need a strong cash flow producing property or if the equity gain will be sufficient with a break-even property.
If you are looking to purchase an owner-occupied property, it's important to see what you can personally handle. Can you live with a roommate or neighboring tenants who will help defray my mortgage costs? Your answer will help you determine the type of property you are looking for: single family, single family + accessory apartment, or multi-family. It's important to have an investment that makes financial and personal sense. If you can live with several roommates near a college campus and generate lots of cash flow, then a single family with lots of bedrooms may be right for you. However, if you need more personal space and quiet, perhaps a single family with an accessory detached unit is the best route for you to take.
Once you've got an idea of where you want to go, it's time to gather as much information as you can on the area in which you want to invest. A great place to start is a local Realtor who is part of the area Multiple Listing Service. This is a service run through your local Board of Realtor branch and lists all of the properties for sale by Realtors. Use their expertise to understand which areas are hot and which are not and why and then form your own conclusions. Let your Realtor know what type of property you are looking for and price range. Then go and see as many properties as you can, but please be respectful of their time and resources. The next step is to make reading the classified section of the paper each day. There are many deals to be found with For Sale By Owners (FSBOs) as they many not know the true market value of their property.
Now you are starting to form some idea about your market. You can now compare apples to apples and will have more ability to spot a real deal when you see it.
In the next section, we will look at how to spot various deals. So until then, keep researching, reading and learn everything you can! Your pocketbook will love you for it!
YOU CAN DO IT!
Copyright 2006 Machree Quaker
For more articles, blogs and information click on the following link:
http://blog.myspace.com/thecree
Seminars
At Barqua, we aren't here just to help you sell, purchase or rent your dream home or investment property. We're here to share our vast knowledge so you can buy, sell and rent RIGHT!
We have a variety of seminars coming your way that will help first-time buyers wade through the process of buying a home, introduce you to various grant and loan programs and even help the seasoned investors with tips, tidbits and 1031 Exchanges.
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Manhattan - Time/Location Coming Soon!
