Steps
- Learn why real estate investments are a route to a prosperous future by researching on the Internet and in the real world. Get up to speed on your real estate market.
- Search Google for projects that offer cash incentives, full property management, and mortgage, maintenance or tax rebates.
- Locate properties that are offering cash incentives to potential buyers, in other words properties that have been on the market so long, or have something so badly wrong with them that the bank is willing to pay you money to purchase the property.
- Do your due diligence to ensure the property will currently appraise close to the price being offered.
- Do your research to insure that the property will appraise or sell for more than you paid once you have worked on the project to increase the equity.
Tips
- Cash incentive properties can often be purchased with as little as 5% down.
- Bargain hunters should be prepared to act quickly in hot markets anywhere in the country. Projects are being offered in various cities with long-term attractive demographics such as Orlando, Florida. Some of these projects are offering up to 4 years of no mortgage, no maintenance and no taxes, while others are offering 5 years of guaranteed rental income and full property management.
- Purchasing just two of these properties every year can result in instant equity of around 15% of the property value. For a property valued at $300,000, this translates to $100,000 in equity.
Warnings
- Do your research well; before, during and after the sale, and therefore invest wisely.
- Make sure you have the free time, finances and strong desire to earn a living this way.
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