Real Estate Investing Blog

When your path to generating wealth by investing in real estate involves property management, you’ll find that there are a variety of things that you’ll want to consider along the way. One option that you should look into strongly is determining your property management niche.

If you take a look at some property management companies that are out there, you’ll get a sense of what I’m talking about. There are some property management companies who have set out to develop a niche that can be described as luxury living on a budget. These companies focus on providing amenities and a quality of service to those who are looking for certain things in a home but who may not have the money (or may not want to spend the money) on high end housing.

Other property management companies look into real estate trends and see how they can adapt them to suit the buildings that they own and run. A niche in this sense would be green living; as more and more people are looking into reducing the impact that they have on the environment, it’s a good idea for those who manage housing to look at ways in which they can go green and attract a specialized clientele.

When you are able to carve out a niche within the property management side of real estate investing, you’ll find that you are able to develop a reputation for your business. In almost every case, having that reputation enables you to increase your marketing efforts and to take hold of a larger portion of your local real estate market.

Sometimes, the same news that is markedly bleak for those who are going to have to put their homes on the market is news that is fantastic for real estate investors - particularly those investors who understand the importance of finding motivated sellers.

Take the following for example:

(source)The glut of homes on the U.S. housing market worsened in the first quarter, according to government data released Monday. The number of vacant homes in the United States rose by 1 million in the past year to a record 18.6 million, the Commerce Department said. Of those 18.6 million vacant homes, a record 2.3 million were for sale at the end of the first quarter, pushing the vacancy rate for owner-occupied units to a record 2.9%. Meanwhile, a record 4.1 million vacant homes are for rent, with the rental vacancy rate rising to 10.1%. The percentage of homes occupied by owners was steady at 67.8% in the first quarter, matching the lowest percentage in five years.

Now, just because there is a glut of homes on the market that seem to be staying put isn’t the good news in and of itself; the good news is that, when even those homes that the owners have decided to rent out are vacant, the homeowners are going to be increasingly motivated to sell.

Imagine yourself in that position. If you had put a home on the market after finding a better place to live, wouldn’t you be anxious to sell? Moreover, if you were having some trouble selling the home and decided to rent it and the house remained vacant, wouldn’t you be an even more motivated seller?

One of the key principles of establishing wealth through real estate investment is simple: the more motivated the seller is, the better the price that you will get on the property. The better the bargain, the more wealth you will be able to generate over time.

It’s always interesting to me to look at various posts from other real estate investors and to see how common stories like this are:

he proclaimed that he’d been investing for more than 20 years now! — “pretty good”, I thought - most people who seek me out are more beginner to intermediate (5 years or less, on average). Then I asked him how many properties he currently owned (must be quite a few after 2+ decades, right?). And the answer he had surprised me a bit…

…He said he didn’t actually OWN any properties yet!

As it turns out Jack never did ACTUALLY PURCHASE anything… nor did he have a job, or any money to put down. Oh, and I almost forgot… his credit score is trashed and he wanted to know if I was hiring…

When you are looking at getting started in real estate investing, it’s essential that you actually get started. You cannot say that you’re in the business of real estate investment until you’ve actually moved forward and started investing in properties.

Now, that’s not to say that it doesn’t make sense that some people are hesitant when it comes to getting started; it’s quite common for would be real estate investors to be ready to go, but reluctant to act. That’s why getting the support that you need and taking advantage of real estate investment mentoring is so important: it will get you past the anxieties and help you to move on and get started in your business.

One option for those who are looking to generate wealth through real estate investing includes property management. Rather than simply buying properties and selling them at a profit, property management creates the opportunity to own and rent out apartments, condos and even single family homes.

For many who are looking into real estate investment, the question then becomes “Is this a good time to become a landlord and enter into the property management area?”

There’s some suggestion that it is:

(source)So while the number of renters is growing, the number of rental properties will be shrinking whenever the housing market recovers. All these sellers who are forced to do rental agreements will certainly be putting their houses on the market at the earliest opportunity. This could mean the displacement of countless tenants. Maybe it’s a good time to get into the apartment rental or lease-purchase business.

The reality is that there are a lot of good reasons to look into property management as an option; those same people who are facing foreclosure are going to need to find a place to live and are unlikely to find another mortgage in the near future. However, if you’re thinking about becoming a landlord, it’s important to look at all of your options and to think about whether or not you’re interested in everything that goes along with it.

When it comes to marketing your real estate investment business with a blog, it’s important to look at the big picture and to decide, up front, who the audience for that blog is going to be.

If you’ve read a fair number of real estate investment blogs in the past, ask yourself why you read them. When you come here looking for information, hopefully you’ll find much of the information that you’re looking for. Of course, chances are good that, when you’re writing a real estate investment blog to market your business, your goals are going to be a bit different.

Simply put, when you read a blog on a regular basis, the key is that there’s information that you can put to work for you, information that’s geared towards you and your needs. If you’re writing a blog for your real estate investment business - if you want to be sure that you’re addressing why you buy homes and what types of sellers you’re going to be working with, you need to be sure that they are the audience that you’re writing for.

Ultimately, with blog marketing, your goal isn’t to attract readers who aren’t already looking for the products and services that you offer; you should be using your blog to market to those who are ready to take advantage of what you have to offer.

Knowing which people you want to market your services to is always going to make your real estate investment business marketing materials stronger and more effective; why would it be any different for marketing your business with a blog?

Online marketing is essential for getting ahead in business these days. So, of course, that begs the questions: what are you doing to market your real estate investment business online?

Marketing your business online is something that will take on many different shapes over time. On one hand, it involves setting up a website for your real estate investment business - and that means taking the time to plan out what your site will look like and what message you want to send. On the other, it means taking the time to learn more about what online marketing is going to take.

When you’re going to be marketing yourself as a real estate investor, you’re going to want to take a look at other investors’ sites to see what they do well. You’re going to want to take the time to shore up your business goals and to be sure that your site is addressing them. You’re also going to want to be sure that you’re aware of other forms of online marketing: pay per click campaigns, banner ads and even using email effectively.

Of course, even though there’s a lot to think about when it comes to marketing your real estate investment business online, there’s good news too: when you’re looking to grow your business, once you’re online you’ll find that transitioning into new areas is easier than you may have thought it would be.

It used to be that the family that played together stayed together; more and more often, the idea is changing a bit and there is a sense that creating a family business is the way to go. After all, most small businesses are often like families anyway - there are the personality quirks to work through and ways in which strengths and weaknesses complement one another.

But, the question that many people still ask is fairly straightforward: is it a good idea to build a family business in real estate investing? For some families, the answer is “absolutely.” Others are going to want to put a fair amount of thought into it before they take action.

When you get right down to it, real estate investing can be an extremely lucrative business, but everyone needs to be on the same page. If you’re going to build a family business in real estate investing, you’re going to want to be sure that there is a lot of clear information: know who will be taking on which roles, look at strengths and weaknesses. Think too about where you’re going to run this family business.

Ultimately, if you are going to build a family business in real estate investing you’re likely to discover that having an office outside of your home isn’t a bad idea at all: it will make it far easier to keep work at work and to keep downtime more relaxed. Talk too about the options of having others - not just family members - work for the business. Make sure that everything is clear up front - it’s something that will really pay off over the long term.

Family business can be extremely successful - if you’re interested in real estate investing and want to run a family business, it only makes sense that you would find a way to combine the two.

When it comes to getting started in real estate investing, everyone has his or her own goals.

For some, it’s all about having spent a little bit too much time watching “Flip that House” - a show focused on turning properties over quickly when the market favors the sellers. For others, getting started in real estate investment is the first step in a long term career goal: these individuals know that the goal of real estate investing isn’t simply to make quick money; they know that there is a learning curve and a long term process that’s going to be involved before they have the success that they are looking for.

Regardless of what your goals are when you get started in real estate investing, regardless of what drives your passions and gets you to recognize that the best way to reach your future goals is to get started in the now - the key to getting started in real estate investing is knowing that it is something that you want to do. If you are not willing to make a commitment and to learn from those who have been there, chances are good that you are not going to find the success that you’re looking for.

That is an unfortunate truth, but it’s a truth nonetheless.

However, provided you have a clearly defined motivation, provided you are willing to learn from the experiences that others have had, regardless of your motivation you will have the chance to succeed. In other words, if you are looking for a chance to get started in real estate investing and to ensure your success, you will find that, provided you are committed, it is possible to reach all of your goals and then some.

When you’re committed to real estate investing as your course for generating wealth, your success is going to rely on one thing: finding great deals. When you want to be sure that you’re getting the best deals possible, you need to understand that motivated sellers are the key.

So, where can you look to find motivated sellers? Here are a few suggestions of the types of motivated sellers that are out there.

• Couples who are divorcing When divorce is looming on the horizon, there are plenty of couples who don’t want to be tied down by mutual investments. Therefore, they often are willing to sell at a great price.
• Couples with financial hardships. It’s unfortunate that there are cases in which people are desperate for a way to stay on top of their bills, and some real estate investors feel strange about approaching them. However, those who are facing serious financial hardships are often extremely motivated sellers.
• Frustrated investors. Frustrated investors who didn’t do enough research before starting to make investments often find themselves in a position where they need to unload the properties they snapped up and then couldn’t sell.
• Banks. Bank owned real estate is often one of the best ways to know that you’re getting a great deal. Contrary to what you might think, banks are in the business of making money not owning property.

The more motivated that sellers are, the more affordable properties are going to be. The better the price that you get, the better the deal is going to turn out overall. Finding motivated sellers is the key to your success.

Part of creating wealth by investing in real estate comes down to one simple thing: knowing how to buy properties. When you’re working with the right mentor, you’ll get a lot of advice about the best ways to buy homes; but if you’re still thinking about getting started, chances are good that you’re looking for the basics. Here are a few of them.

Think like a realtor when you want to be able to buy the right homes.

Real estate agents have marketing down to a science. They are almost always focused on getting the word out about their presence and what they can do to help someone sell a home. When you market your services - and let people know that if they need to sell, you’re there to buy the home - you’ll find that those who are looking for your services start to come to you.

Don’t be afraid to pick up the phone.

In these days of online marketing, online buying and email, it’s really easy to get into the habit of building a website or writing a letter; phone calls are far more personal and give you the chance to make a connection with a would be seller. A phone call also gives you the chance to see for yourself how motivated the seller may be.

Focus on marketing.

When you think that your focus is simply on learning how to buy properties when you want to succeed in real estate investment you’re overlooking something really important: buying houses is your goal, yes, but its your marketing that will get you there. Marketing is about understanding what sellers are looking for - and sending the right message.

Finding the right properties to buy is really about you as much as it’s about finding the right homes and sellers. Buying properties is about understanding where to look and how to let others know what you’re interested in and what you can do to help them meet their needs.