New Funding Resources 
Investing in real estate is a fantastic way to supplement your income or to build long-term wealth. Like with every other business though you’ve got to keep your eyes on the profit. When estimating rehab costs you need to account for three major components: the price you’ve paid, the costs you’ve incurred during the renovation process and the sales price that your property fetches on the market. Our previous blog installment highlighted common pitfalls in evaluating the after-repair value of the property. Today’s article is focusing on major mistakes in evaluating the costs of owning and rehabbing your investment property.
Managing Risk
Finding Real Estate Deals: Working With A Wholesaler
To be a successful investor you have to be a good marketer. Being a good marketer might mean different things to different people. For example, in real estate investing it might mean that you are cultivating a network of agents to dig for deals that fit your criteria. Alternatively, you might be a real estate auction pro investing time and effort bidding against other investors on the court house steps – hopefully wearing thermal underwear in winter. You might specialize in HUD properties and score good deals by watching your prospective deals like a hawk. Regardless of what you do, the outcome needs to be the same. You need to have enough marketing skills and real estate expertise to generate a consistent flow of quality leads.
Get The Right Kind of Insurance For Your Next Rehab
As a hard money lender in DC area, I believe that there are two key areas that every investor should continuously work at. The first one is how to make money. It includes how to find good deals, how to manage your rehab process and how to build a good team that will propel you forward. The majority of your time as a real estate investor should be spent on tweaking, improving and learning from your success and mistakes in this area.
Dealing with Risk in Real Estate Investing
One of the questions we get a lot, especially from new real estate investors is, “How do I deal with risk?” I wish investing was a sure thing, but there really is no such thing as a “sure thing.” There is always the possibility of losing money just like there is always a possibility of making money. It’s all about dealing with risk. But you can help minimize that risk by using experienced hard money lenders. Here are some other tips for handling risk in your investments.
