Welcome Note: Partners for Success. For years real estate investors have experienced the luxury of high returns and investment security. Due to the recent real estate crash; home prices in Arizona have reached extreme lows. Now that the prices have once again reached income producing range, savvy investors who have patiently waited for this time are now entering the real estate arena again ready to make traditional exceptional returns. The increase in vacancy and the possibility of long term relationships with tenants is again peaking interest with real estate investors.
Are you tired of stock market instability? Are you looking for higher rate of returns?
Are you looking to invest in Arizona property?
Please take this time and examine the true benefits investors have relished in for years investing in the Arizona real estate market. If you have any questions about investing in real estate please call one of our staff members today.
Please understand the figures discussed in this article are deemed reliable but not guaranteed. This information provided can change at anytime due to market and economy changes.
Designing a plan!
"First we need to strategize how we can safely but most effectively leverage your funds"
Designing the most effective plan that fits your comfort level is the first step of many when investing in real estate. First we need to strategize how we can safely but most effectively leverage your funds. Please use the following guides as example:
15% down, 30 year mortgages, $100,000 Home price average, $1,000 Rent, $135 Management and expense cost per property
Invest Amount $60,000
Down Payments 15%
Down Payment Divided $15,000
Approx. Amount of Inventory Cost $100,000
Approx. Amount of Inventory 4
Approx. Amount Mortgaged $340,000
Monthly Payments (PITI 30 Year Mortgage)* $2,704
Monthly Expenses $540
Monthly Tenant Rent Combined 0% vacancy $4,000
Net Monthly Profit $756
Year Profit $9,072
Annual earning percentage 15%
Real estate is unpredictable due to reliability on our nation's economy. Appreciation is a bonus and should not a deciding factor in purchasing investment homes.
But....using an annual appreciation rate on real estate of 3% (based on opinion not fact) after only 1 calendar year of owning 4 properties your appreciated profit would be approximately: $12,000. Imagine the gains after 7 years!
*Based on 6.74573 % APR. All terms O.A.C. This is not a commitment to lend. Metro North Realty does not lend money. Based on $1,000.00 annual taxes. Based on $500.00 annual insurance.
Who is involved!
Building a partnership and a trusting relationship with all of the parties involved is important. Getting all the elements in place is going to determine when you can start making the moves, who does what?
Financing: Finding a lender to fund your investment is a very crucial step. The lender of your choice is going to need documentation and information that will allow them to fund your investments. You are entering into a partnership with the lender they are helping you gain and you are helping them gain. Ask the questions that are important about loan cost, down payments, interest rate and closing cost, to name a few.
Real estate agent: Our staff is committed to finding you the best homes for your investment. Knowing how to properly purchase and negotiate foreclosures, corporate owned homes, short sales, and owner occupied homes is just to start. Knowing the areas with the highest rate of return, school districts, rental rates, crime data, spec future return and knowing what people are looking for moving to Phoenix are all very important. Our realtors at the McCarthy Group are qualified to help you invest and know how to get the highest and safest returns.
Property Management: Locating the right property management team is crucial to your success. Property management will affect your occupancy rate and your team should be able to help your with a hands off investment plan.
Inspectors: Purchasing an investment property is more than just grabbing a good deal on the market. Making sure your investment is in good condition is extremely important to prevent unexpected cost. Inspections are not mandatory but are necessary for each purchase.
Home Warranty: Having a home warranty is crucial to preventing unexpected cost and can potentially save you thousands. Finding the most qualified home warranty is extremely important.
Title and Escrow: In Arizona the use of a title company is customary. Finding the right title insurance and escrow team is important for your long term success.
The McCarthy Group
Strategic planning & investor relations
Putting the Plan in action
It is time to buy & lease. You are going to be providing housing for families, staying in compliance is a responsibility.
State laws: Becoming familiar and practicing proper state laws is not negotiable. There are laws in place to protect both tenant and landlord.
Proper budgeting: Owning property has its ups and downs. No one can predict the condition of your property after a lease agreement, act of nature or unforeseen event. Being proactive and budgeting for future unforeseen events can be useful to take away possible future burdens.
Preparing for the long run: Entering into a loan grants you a financial responsibility. Due to an unpredictable market being comfortable in that loan for the duration of the agreement is crucial to long term wealth and future leveraging. The McCarthy group would be glad to help navigate you through the investing process, and can help you establish long term financial growth.
I hope you find this information please search for Arizona investment property here at www.buy623.com
7975 W. Peoria Rd.
Peoria, Arizona 85345
*Based on 6.74573 % APR. All terms O.A.C. This is not a commitment to lend. Metro North Realty does not lend money. Based on $1,000.00 annual taxes. Based on $500.00 annual insurance. Arizona investment property.