Whether it’s small projects around the house or undertaking major renovations, you’ll want to make sure it’s done properly. Projects done poorly will detract from the appearance, and end up costing you money in the long run. It’s also important to make sure that any exterior improvements are done within your neighborhood association’s guidelines.
Real estate can be a great investment opportunity. Property and real estate tend to build value over time, which produces a return on your initial investment. Another option is renting or leasing a piece of real estate and enjoying the renal income. That said, there are dangers and common mistakes that can easily be made when investing in real estate.
By educating yourself, you can avoid costly mistakes and get the most out of your investments. Do your research on the area you are looking to invest in via a competent Realtor, an active real estate investor or Realtor that is also an investor for investment property, Realtor.com, zillow, etc. Perhaps build a spreadsheet to track sold prices and per square foot costs. Try to buy below market if possible. Accurately calculate repair cost if considering a fixer, enlist a competent contractor or specific trade quotes. If you are looking to purchase a rental, do the same thing to build rental comps. Figure out all of your expenses associated with the purchase and ownership, then verify that you have positive cash on cash return form day one if its an investment. Let the numbers drive the decision making. You can eliminate a lot of headaches and financial losses with a little number crunching and market research. Reach out if you need assistance.
Living downtown is great, but all the neighborhoods you’ve looked at are too expensive. Purchasing real estate in an up-and-coming area is every investor’s dream. You get a great property at an amazing price, and after a short while, you end up living in one of the most desirable spots in town.