DuplexesRus

         Listing and Selling duplexes in Austin, San Antonio and Dallas

         Sean Little, Broker/Owner Austin Lone Star Realty

Phone: (512) 243-7696
Email: info@austinlonestarrealty.com
Main Website: austinlonestarrealty.com

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Avoid the Mistakes that Kill First-Time Property Investors

Is it a great time to invest in real estate? Or is it a terrible time?

Today and every day, those are difficult questions to answer. Some things are bad about the current market ... we’ve all read that housing starts are down and that there are many houses sitting unsold on the market. But we are getting a very mixed message. Just last week, a report issued by the Mortgage Bankers Association predicted a strengthening market by mid-2007. Of course, that’s good.

So is it a good time to invest, or a bad time?

I have a simple answer. It is a good time to invest ... a very good time ... if you know what you are doing. If you have the knowledge and the skills to structure deals that take advantage of the opportunities in the current market and minimize the dangers, then real estate still offers a formidable way to amass wealth.

We get comments from Trump University members almost daily that reflect the fact that people who know what they are doing can structure smart deals today. Here’s one such comment posted on this blog just last week, on February 1.

Location Location Location! You always hear that when looking to purchase property; let me explain my --deal of the century-- that worked.
I found a single family home in an excellent location for sale by owner. The price was a steal and I asked the sellers to carry part of the mortgage for five years at 7.5%. With a small down payment, they agreed. They financed half the asking price for five years with a balloon payment for the rest at the end of five years. I payed the principal and interest every month and banked the rest of the rent after taxes and insurance. I had enough in the bank at the end of five years to make the balloon payment. The balloon payment was interest free! The house is generating a handsome profit that I'm putting into an IRA every month! The house sits in proximity to some of the best commercial property locally. In years to come, it'll be a real gem!

So you see, making the numbers work and knowing your regional market can help investors make great deals today, or at nearly any other time.

One thing is certain. You will never make a dollar in real estate if you stand on the sidelines waiting for things to be exactly right for you to take the plunge as a real estate investor.

Trump University.

February 5 2007 at 8:12 AM