What To Expect When You're Expecting

For many people, there is just no appetite for real estate investment.

Yet for a small subset of buyers and investors, there is a growing interest.  

If you are considering foreclosure investing or are new to the foreclosure investment opportunity and expecting immediate satisfaction, you might want to think more in terms of dating and a pregnancy.

There will be good dates and there will be bad dates. There will be unsuitable mates and more unsuitable mates. And unlike the days of old when you purchased almost any property one week and sold it, some without any labor, the next week, there are new terms to this foreclosure game.

One of the most noticeable changes is the length of time you'll be with property, hence pregnancy. Expect full term and no epidural- at least when you start out. Some other insights to note are:

Know who you are getting into bed with. If you are going to be saddled with a partner and/or a property for months (maybe years), do your due diligence. Does the property or the partner come with more baggage than you should take on, especially when you are dealing with your first born? Does the property have another mortgage? Does your partner have a bad habit of bailing 1/2 way through your term? Does the property or your partner have any history of disease or tax debt?

Be specific. Know your market: both where you what to buy and where you want to raise your child. Are school districts important? Create and know your niche. Do you want to focus on single family homes in the western suburbs with good school districts. Focus on your first born, nurture her, learn from her, then think about the 2nd.

Don't overdo it. Using the example above, if your focus is single family rented homes, modern, kitschy and high end features, may not be your best option. Those imported wood floors will be easily scratched with big wheels and skateboards in no time.

Lastly, be realistic with your financial obligations. Don't take on full interior and exterior remodels starting out. That's like giving birth to a teenager.

Mostly importantly, it is a great time to invest in foreclosure properties. The success stories are there! The market is ovulating. But knowing the obligations and having realistic expectations is the key to a healthy, rich life. Focus on your first born, nurture him, learn from him, then think about the 2nd.  Who knows? One of your children may even get a college football or basketball scholarship down the road.