canada goose 6 Ways To Make A Better Real Estate Investment Leonard Baron, Zillow Jul. 15, 2013, 2:01 PM propertysnaps via Compfight cc Investing in real estate has lots of risks that can derail even the best-looking deals, so you need to make sure you are addressing the known perils and doing the hard work to diminish the chances that something will go astray with your purchase. And here’s the most important part: You must start before making the purchase and continue during ownership. Financial sense When you buy real estate, you must make sure that it’s a smart financial decision. Rentals make sense if they are cash-flow positive and provide a fair rate of return on the invested equity. Investors should not purchase negative cash flow properties fanclub-fulton-smith.de , period. If you pencil out your rate of return on a negative cash flow property, you’d probably realize it would have been better to invest your money elsewhere in an asset with better returns. Buy a property in good shape Skip the fixer-uppers: They almost always cost way too much to repair. Many a buyer has theorized that it would be fun and profitable to buy a property, fix it up and sell it at a profit. Rarely does this scenario come true
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