The Four Fundamentals of Successful Investing
Indeed, many achieve success accidentally. But most investors who profit from investing do so by implementing a strategic technique of investment wizardry that’s certainly not accidental, but one that is earned by mastering the fundamentals of a successful investment plan.
- Know what investing means
Knowledge is key! You must first educate yourself to achieve goals and avoid the pitfalls that bad investors sometimes make. Purchase online courses, go to seminars, read books, talk with investment veterans that have been through the process and learn from their mistakes.
Knowing what investment means and the do’s and don’ts will give you the confidence to take the first step in building your investment portfolio.
- Find your lending partner
Most investors find it difficult to qualify and fund an investment loan through traditional banking. Private Lending Group offers an alternative to traditional funding with a streamline process to qualify and fund loans rapidly.
Don’t stop there! Too often investors take the time to learn and find funding, but then, put on the breaks when it comes time to act. Find a partner, spouse, or other investor to keep you motivated to take the next step.
- Locate potential investment property
Locating an investment property maybe as simple as word of mouth or driving around town but often it requires a skilled listing professional to guide you in the right direction. Talk to a local real estate agent to find desirable areas that appeal to homeowners. Some areas to consider are those with good schools, nearby shopping, and low crime. Good buys and foreclosed homes in these areas may be hard to come by and require swift action. Make sure you have your lending partner in place before looking. This will eliminate a potential property “miss” when an opportunity is present.
When viewing potential investment properties, consider your rehab expense along with purchase price. Ideally, you want to purchase inexpensive properties that require minimal repairs for quick fix and flip returns. New paint, flooring, replacing appliances and curb appeal are rehab options that can keep your out of pocket expense down. The majority of the time structural defects and purchasing in an undesirable area will, not only, chip away at profits but keep your property on the market for years to come.
- Let buyers know you have a home for them to purchase!
You’ve found the property, received financing, and done the work – Get it sold! Buyers won’t know you have a property for sell and throwing a sign in the yard doesn’t always work to get the high dollars you desire. Write a colorful ad detailing all the wonderful upgrades, new paint, and neighborhood advantages then place it in your local newspaper and craigslist. It may also be advantageous to hire a realtor to assist you in listing your property. Perhaps, use the same agent that helped give you property leads early on.
Think outside the box…where do your buyers shop? Where do your buyers eat? Where do their children go to school? These are additional places you can place a flyers or ads to quickly attract a homebuyer in that area.
Private Lending Group is here to help you become a successful investor and can help with all your lending needs.
To apply for a loan for your next investment click below.