How To Be A Real Estate Investor
Thursday, April 30th, 2009Throughout all of history, real estate investing has been one of the most reliable and respected ways to generate great wealth. Yet even the savviest real estate investor can’t be guaranteed a profit on any specific deal. Only when approached with prudence and focus can real estate be a source of enduring wealth.
The first decision to be made is to clarify your objectives. Are you most interested in present cash flow or long term appreciation? Do you need a way to reduce your tax bill? Money can be helpful for investing - do you have any? Credit can be very helpful - is yours in good shape? What is your risk tolerance?
Nobody can deny the malleability of real estate as an investment avenue. If your FICO score is off the charts, you’re a leg up. Yet if you have a credit rating that prevents you from getting cell phones or credit cards, you might need to rely on some of the more flexible real estate acquisition strategies.
Much akin to the advantage of credit, if you have deep pockets, you’ll find real estate easier than otherwise. Yet people all over the world have become wealthy through real estate without investing their own money.
