It can be difficult in this day and age for those who want to invest to find a business they actually can invest in. Truth be told, anyone can invest in virtually any business. But that doesn’t mean it’s a good idea. Many businesses in many different fields are risky investments. A risky investment can not only ruin a person’s finances, but their personal and professional life. This is why many people have started investing in real estate. A good real estate investment company is not a “hobby” company, but something that a person can build a career from. There are many pros of real estate investing, which is why, as you’ll discover below, people are jumping into this field now more than ever. At the same time, a real estate investment company can be a daunting thing for many businesspeople to confront. Many are confused about the different roles of a real estate investment company. The best thing you can do before embarking on this journey is learn a little bit beforehand. This can simplify the process and make your path to success much faster than it otherwise would have been. Let’s look into the basics of investing in real estate, and how you can make a success out of a real estate investment company.
Real Estate Investment: Where It Is Today
Some are hesitant about investing in real estate, simply because they have misconceptions about the state of real estate. For that matter, investing in real estate is much less complicated than it might initially sound. There aren’t a specific set of qualifications required for those who want to invest in real estate — you should simply know something about the market. For one thing, you should be certain about whether you want to invest in commercial properties or residential properties. These will sell at different prices, but also have vastly different markets and different expectations. This is a good time to get into either one, though commercial properties in particular have seen an increase in 2015 saw commercial properties traded at average prices that are 4.1% higher than those seen in 2014. Certainly, should you plan on investing, you should strike while the iron is hot, as it were. But if you do plan on investing, what can you expect to receive in return?
Real Estate Investment As A Career: The Reality
Some may think that they can’t make a career out of real estate investment — this is far from the truth. A total of 3% — that is, 28.1 million — Americans consider themselves real estate investors, and plan on buying within the next 12 months. 8% own investment property with no current plans to buy more. How much can you make? Well, the amount varies on your area’s market, what you’ve invested in, and much more. However, over a third of real estate investors make over $75,000 a year. That’s on investments alone; if you’re combing that with another income, your total income could be remarkable. But remember, this takes not only dedication, but courage. You do have to invest, after all!
Investing In Real Estate: Staying Competitive
If you want to be a competitive investor, you can’t do so slowly. You can’t stay stagnant; you need to increase your investments over a period of time. In fact, 39% of active real estate investors plan on increasing their investments over the course of the next 12 months. On the other hand, 26% of investors plan on maintaining the same level of purchases within the next year as they had in the previous year. When it comes to down payments, be prepared to have a significant portion ready. Right now, 51% of real estate investors finance their purchases through down payments of at least 50%. Finally, perhaps the most important asset to consider before getting into the real estate industry is a mentor. A mentor can guide you through the field, introduce you to new connections, and much more!