Many people are seeking out real estate investing secrets to help determine which type of properties to purchase. Between the recessed economy and banking bail-outs, investors need solid information about which types of properties make safe investments.
The first rule of locating real estate investing secrets is to obtain information from trusted sources. Some of the most trustworthy sources include Bruce Norris, Trump University, REIClub.com, CREOnline.com and Realtor.com.
Creative financing used to be a highly regarded investing secret. Today, there are many so-called real estate gurus eager to sell reports and courses about how to buy a million dollar property with no-money down or how to buy foreclosure, bank owned or short sale homes for pennies on the dollar. There is no need to invest money into these types of programs. CREOnline.com provides an abundance of financing techniques via their website for free.
Many investors are electing to purchase distressed properties to use for house flipping or rental homes. Word on the street is these properties can amass fortunes for savvy investors. While it is true fixer-upper homes can provide a good return on investment, the secret to buying these houses is to purchase them through private investors.
Experts recommend seeking out private investors who purchase bank portfolios. When investors purchase bank owned foreclosure properties in bulk they obtain wholesale pricing. They can then pass along savings of 20- to 30-percent or more to investors or individual buyers.
With the current number of foreclosures, mortgage lenders are sitting on billions of dollars of distressed properties. Lending criteria has become significantly more stringent; particularly since the bail-out of Fannie Mae and Freddie Mac. In order for investors to purchase real estate in today’s unpredictable market, they are either going to have to buy houses with cash or utilize creative financing techniques.
Perhaps the most closely guarded real estate investing secret is that of buying probate properties. Tracking down these properties requires some detective work and a visit to local courthouses. Very few investors are seizing the opportunity to purchase exceptional real estate in this manner.
Probate properties involve real estate suspended in probate. When a person dies everything they own is held in probate until their estate is settled. The exception to this rule is when decedents utilize a trust to protect inheritance assets. In some cases, probate can extend for several months or even years.
When estates do not have sufficient funds to maintain the property, estate administrators can elect to sell the home in order to eliminate financial burdens. Oftentimes, heirs will sell real estate well below market value in order to settle probate quickly.
These are just a few real estate investing secrets. While it is a good idea to be armed with insider-tips, it is better to become educated about the art of investing in real property. Determine the type of investment properties that are best suited to your needs. By narrowing down the type of properties you can afford, it will be easier to locate investing secrets that apply to your chosen niche.
