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3 Tips for Purchasing Real Estate Investment Property in the Current Market

By
Services for Real Estate Pros with SimplifyEm

Foreclosures and REO’s are bringing many investors out of the woodwork - and some of the new investors who are novices are making many mistakes in selecting and purchasing of undervalued residential real estate.

RealtyTimes published an article that discusses a situation where a novice investor purchased a property and outsourced property management to a property manager. The property had lots of defects and improving the property to get it ready for rental proved expensive for this investor. The investor was blaming the property manager for the expenses.

Before becoming a Do-It-Yourself or absentee landlord, the 3 tips that investors should follow for success are:

1. Understand the market you are purchasing your investment property.

2. Be clear of your end goal and write it down

3. Calculate the costs of owning the investment property

These key rules will help you make good decisions when you are purchasing investment property.

Comments (11)

John Pusa
Glendale, CA

Hi Niman,

Thank you for sharing an informative and educational article.

John Pusa

Oct 29, 2009 11:37 AM
Niman Singh
SimplifyEm - Fremont, CA
Property Management Software

Hi John,

I'm happy to share!

Oct 29, 2009 11:43 AM
Diane Rice
Rice Prprty Mgmnt & Rlty, LLC, South Holland, IL - Lansing, IL
SFR, SRES, CNC

Good list with TRUE facts!  We do see many investors thinking WE as their PM  should magically make it happen for them.... WRONG!  Thanks for your contribution Niman!

Oct 31, 2009 11:38 AM
Anonymous
David hogard

I just came across to your blog and reading your blog these tips are very informative to people.people are knowing that when purchasing  real estate investing property in the Current market.

 

http://propertyinvestment.blogebay.com/2009/11/12/ways-to-find-investment-property/
Nov 11, 2009 09:07 PM
#4
Foreclosure Grove
Foreclosure Grove - Phoenix, AZ

It's also a good idea to go after properties at auction when considering investment properties. There are great tools out there like Foreclosure Grove that makes finding these types of properties easy.

Nov 12, 2009 02:12 AM
Anonymous
Izhak

Great article, thanks for "keeping it real" for the newbies out there.

Nov 19, 2009 07:37 AM
#6
Al Wright
Affordable Canadian Home Inspections - Hamilton, ON
Have your inspections performed the Wright Way

Thanks for the list Niman :-)

Dec 06, 2009 07:29 AM
Richard Verreault
RSVP Homes Realty, Inc. - Pembroke Pines, FL

Niman this is valuable information and I wish more newbies would know this stuff BEFORE going to the "Scool of Hard Knocks". Great Post! ;0)

Dec 30, 2009 08:59 AM
Tom Brintzenhofe
Exit Diamond Realty - Wyomissing, PA

Good info, There are a lot of eye catching properties on the market and I believe every novice Investor should use a Specialized Realtor. Good luck in 2010

Jan 01, 2010 02:02 PM
Niman Singh
SimplifyEm - Fremont, CA
Property Management Software

Apparantly, I didn't get email notifications for comments.

Oh well, glad you guys liked this post :) happy to share!

Jan 04, 2010 08:08 AM
James mansperger
www.WebTrafficGurus.com - Tempe, AZ

Thde picture of the president watching you on TV is classic! Keep upo the good work! James

Jan 08, 2010 07:02 AM