Just because real estate prices seem to have hit a temporary ceiling in many countries around the world, that doesn't mean that profits from property investments are hard to come by.  

Even during a real estate market slowdown, stagnation or depression; profits can be made locally and overseas.  This article shows you the top ten tips that real estate investors apply to their property portfolio building strategy to ensure success from their investments. 

1) Research the curve - What I mean by this is, are the prices rising, are the prices falling or have they reached a peak in the area in which you wish to invest.  You need to know where the curve of the property market cycle is at in your preferred investment area. 

2) Get ahead of the curve - As a basic rule of thumb, it would be ideal for a real estate property investor to attempt to buy ahead of the curve.  For example, in a rising market, try to buy homes that are in up and coming areas; ones that are close to locations that have peaked or close to locations that are experiencing some sort of redevelopment.  These areas will most likely become the next big thing and those who buy before the trend; will stand to make the most monetary gain.  And in reverse, as a market is stagnating or falling it would be good if an investor targets those areas that enjoyed the best levels of growth, yields and profits very early on in the previous cycle due to these areas being more than likely to turn profitable as the market rises again. 

3) Know your market - Who are you buying property for?  Think about your market before you make a purchase.  Are you looking to rent out the property?  If so to whom - a growing family or a retired couple?  Or are you looking just to rehab a house and resell for profit?  Know what your intended market is looking for in a property and ensure that is what you are going to be offering them is what they want.

4) Think outside of your comfort zone -  There are emerging real estate property markets around the world where certain economies are going from strength to strength, where a growing tourism sector is pushing up demand on real estate or where constitutional legislation has been or is about to be changed to allow for foreign freehold ownership of property for example.  But don't forget that you don't have to go overseas.  You can always look in another state too; but as with both, you would need to invest into a property management company if you look to let out.  Still, look further outside your comfort zone, think outside the box and diversify that real estate portfolio for maximum success. 

5) Purchase price - As my mother always said; "Don't eat with your eyes".  You think you can handle that second dessert, when in turn you should've had just one.  Don't think that you can buy a $500K house, only put 20% down and rent it out for the whole $3110 payment; when you have a $1500 mortgage yourself.  This wont be realistic!!  Make sure that if you invest in a property, you can afford paying both mortgage payments for a period of time; just in case.

6) Entry costs - Research fees, charges and all expenses that you will incur when you buy your property.  They can differ from state to state.  Know how much you will have to incur and factor this amount into your budget to avoid any nasty surprises and to ensure your investment will become profitable. 

7) Capital growth potential - What factors point to the potential profitability of your real estate property investment?  Which economic or social indicators exist to suggest that property prices will increase?  Think about what you want to gain from your investment and then, do that research to find out whether your expectations are realistic or not.

8) Exit costs - If you will incur substantial capital gains taxation liability or if you sell your property investment for profit, will that render the investment profitless?  Will there be a capital gains tax, or is the area capital gains tax free?  DO THE RESEARCH!!!!

9) Profit margins - What level of capital growth can you realistically gain on your property investment or how much rental income can you generate?  Work out these facts and then work backwards towards your initial budget to work out your potential profit margins. 

10) Think long term - Unless you're buying property with just the intention of rehabbing it for resale and profit;  you should view real estate investing as a long term investment.  Real estate is a slow to liquidate asset; cash tied up in the property is not simple to free up.  Think long term; if you buy a house, plan to keep it a while so that you can earn that equity and in the end.......Make a Profit.