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Long Term Investing in Real Estate

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Real Estate Agent with Realty One Group RB14038403

Long term investing in real estate should continue to be a financially-solid alternative to other forms of growing wealth over time.  

For the new investor, buying single-family homes can be a good way to "get your feet wet" and build an investment portfolio that can prove to be profitable for years to come. The trick is knowing which properties to target that will maintain a good return on investment while you own them. 

This is not the "buy, improve and sell," or "flipping" method of property investment that you see on HGTV and DIY Network, or on numerous late-night infomercials. That method is used for profiting from real estate in the short term. 

Long term investing in real estate is the "buy, improve and hold" method. This means identifying properties that are or can become rentals which will have a reliable cash flow for several years, in order to build wealth. As an OwnAmerica Certified Professional (OICP), I have access to cutting-edge tools to help investors see into the future and unlock a property's rental potential. 

In this day and age, there is also an altruistic component to long term investing in real estate. In Central Indiana where I do business, the number of bank-owned and short sale properties out-number available single-family rental homes by a ratio of 3:1.* These distressed homes represent families displaced from their homes, who many times have not alternative but to move into small apartments. Many of these families, given a choice, would like to remain in the area that they have placed roots. By investing in single-family homes, not only do you help home sellers, you help former home owners live in homes while they get back on their feet.

*Statistics from Metropolitan Indianapolis Board of Realtors BLC (Broker Listing Cooperative) 1/25/13.

 

Please contact me if you have any questions or are interested in investing in residential real estate in the Greater Indianapolis area.

If you would like to learn more about long term investing in real estate and how to do it the smart way, I encourage you to click on the image below.

 

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