Five Ways to Make Money on a Contra Costa County Investment Property!

There are lots of ways to make money Investing in Real Estate. Many people become focused on one or the other but really do not understand all the ways How to Make Money Investing in Real Estate.

Here are are Five Ways to Make Money on an Investment Property:

1. Rents. This is easy. You can still buy properties and get a positive cash flow after expenses.

2. Appreciation. This works for both the flipper who does rapid improvement and sells and the person that buys a property to rent for long periods of time. I posted on how to Quadrupole your profits in this area yesterday.

3. Earned Equity. OK if you have a loan every month you make a payment. Part of the payment goes to interest, but part of it goes to pay down the principal of the loan. Sense ideally the entire mortgage is being covered by the rents the portion paid towards the principal is like money in the bank.

4. Tax Depreciation: You get to depreciate the improvement on the real property. This can provide significant tax savings. There are ways to avoid the recapture on the capital gains tax when you sell too.

5. Other Income. When you own an apartment or rental property there is often other income from laundry machines, vending machines, video games, etc. in common areas.

When Investing in Real Estate it is important to look at all the dimensions of the investment. Get the Free Book of Real Estate Investing. Call 925-260-4321 or E-Mail me to get Investing Now!