Investment in real estate has ceased to be the exclusive preserve of large national and international funds to become also attractive to the small and medium investor which has regained its purchasing power thanks to the opening of credit by banks.
In addition, do not hesitate to ask the prospective buyer “not emotional, but rational” and encourages to analyze “every aspect that may affect future profitability, such as price, comparisons with other neighborhoods or if the type of property is appropriate for the rental claimant that exists in the area.
If you are a new real estate investor, the following 10 tips will surely help you.
1. In the first place, investment in residential housing is usually more profitable than an investment in commercial premises or offices in smaller cities, although this second option is more attractive in large population centers.
2. Choose a good area with prospects for revaluation, since it is the fundamental factor to make a successful investment. The location of the house is the key factor since it is ideal to be in a dynamic, modern area equipped with all services (green areas, shops, public transport, schools, and etc.)
3. It is essential to carefully study the rental or sale expectations in the area, depending on whether the investment is long or short term, respectively.
4. In the case of betting on an old house, it is necessary that the purchase price is sufficiently low and the reform affordable, so that it is possible to obtain the desired profitability.
In the case of buying an old house, this must be at a low price and present an affordable reform.
5. It is advisable to invest in an area within the same population center where you reside. This way you can personally manage the minor issues that arise. In the case of important problems, it is necessary to leave them in the hands of the expert, that is, the real estate agent.
6. The areas close to university centers and the neighborhoods of expansion of the cities have a high guarantee of success at the time of acquiring a house intended for rent.
7. It is very important to take into account aspects such as the number of bedrooms, the availability of lift and garage, the age of the house, its general condition, the orientation or the sunlight it receives and whether the area is quiet or noisy. A house in good condition, perfectly equipped and with good lighting has many more possibilities to be rented or sold.
8. The buyer is facing one of the best moments in recent history to obtain a mortgage loan in advantageous conditions due to low-interest rates and the unleashed mortgage war. It is necessary to consult as many banks as possible and negotiate to obtain the best credit offered by the market.
9. It is necessary to avoid investing in communities or urbanizations where the community expenses are very high are distributed among a few neighbors. Or have luxury services, since it supposes a significant reduction in profitability.
10. To ensure the success of the investment, especially among investors who are not experts in the sector, it is advisable to have the advice of a Real Estate Agent If you don’t have one
We are sure these tips will be helpful to you. However, it is necessary to have the advice of an agent of the real estate property, which guarantees the success of the investment especially if the investors are not experts in the sector.