Real estate investing, even at today’s standards, is still one of the most attractive ways to make good money on a part time basis. Believe it or not, some people are making even more money in today down market than the times where prices were booming. Many of the so called ‘investors’ have got out of the business which leaves many great opportunities still on the table. You have to realize that making a profit in real estate investing is possible no matter what part of the cycle we might be in.
The key to investing in any market is to find a method that works for you and stick with it. I know some who have made a lot of money with the buy and hold strategy. Others are buying real estate for the rental income. With the price of rent going up, it has become easier to find properties that cash flow. The key is to know the market, trends and future possible development.
So how do you go about finding properties that are good deals?
You may see a lot of ads on the internet telling you that there is a fortune to be made in foreclosures and auctions. While there is definitely money to be made, this method is probably the most risky also. When buying at an auction, you are buying ‘as is’ so you better do your homework. You don’t want to be stuck with a bad deal. If you do go the auction route, it is best to partner up with someone who knows the ropes and can help you along the way.
By Nathan Dean