Introduction To Real Estate Investment and Finance
For many potential investors, an intro to real estate can be intimidating—there’s a lot more to it than just flipping houses! There are many preconceptions of real estate investments being too complicated or expensive to initiate and handle, but in reality, exploring and investing in real estate can be simple and easy on the wallet. With the right introductory background, proper research, and marketing tools, both buyers and sellers can find themselves with a stable home, an impressive real estate portfolio, and a strong cash flow.
Today's generation is increasingly composed of homeowners. According to the National Association of Realtors, the Gen Y holds the largest share of home buyers at 32 percent, which is larger than all the baby boomers combined. The value of real estate is becoming more recognized, and rightfully taken advantage of. Real estate marketing and real estate development are likewise booming fields, and great places to invest beyond house hunting.
Be “All In”
Real estate is a great source of income and avenue to expand one's wealth. To be successful in the real estate industry, individuals must be committed to the new venture, choosing to further their real estate experience either full time or on the side with another job supplying a steady salary or wage. A successful buyer and seller must follow through with a business-oriented approach, holding solid knowledge of the market and tax implications.
While it is recommended to take a basic course on real estate fundamentals and recent trends, there are no major prerequisites to invest in property. Though anyone can invest in real estate and reap the financial rewards, certain expenditures must be considered, such as:
- property taxes
- consistent maintenance of the property
- certain risks such as potential natural disasters or unreliable tenants.
It is also typical that property is obtained through an exchange of debt (loans and mortgages), which is why real estate is often used as a steady source of income (if managed appropriately).
Marketing is a critical aspect of real estate and property management. Many property owners make the huge mistake of waiting for a buyer to express interest and put a check in their hands. Real estate marketing requires proactivity and some aggression on the owner's part. Even if real estate investing is a part-time job, the marketing of the real estate must be treated as a full-time task. Heavy marketing must be implemented in the real world, but a strong online presence will advance the owner in this technological age.
Many online services and products will cater to the real estate seller's needs of promoting their listings and targeting their demographics.The more marketing programs and help, the better it is for the property owner. Consider working with a real estate digital marketing solution that aims to supplement the owner’s ongoing brand development, rather than just competing with other real estate products. The ultimate goal is to provide the most useful and plentiful marketing tools for the committed seller.