Tips for Investing in Real Estate
1. First things first! Talk to a mortgage broker. You NEED knowledgeable information about your financing options and how much you can afford to borrow for your new investment. Of course, at Milestone Mortgages, we can help!
2. Once you have been pre-approved, you can start to look for properties that will generate positive cash flow. A good realtor can definitely help you find what you are looking for and negotiate a good purchase price.
3. ALWAYS get a property inspection by a professional home inspector. You will need to know if your investment is in good condition. You may also want a good, trustworthy contractor on hand that can advise you of any repairs or renovations that may be required.
4. Hiring a property manager is a good idea, especially if and when you acquire more investment properties. Dealing with emergencies in the middle of the night, advice on property law, maintenance issues and credit checks are a few things that a property manager can do for you.
5. Tax Benefits! You get to write off all the expenses associated with your rental property all while having someone pay off your mortgage. This investment will be with you for a while so why not reap the benefits
NOTE: Be sure to learn about the tax implications of selling as well. Talk to a knowledgeable accountant.
6. Don't be afraid to walk away if the deal doesn't feel right or if the numbers don't add up, regardless of how much time you've invested in the property. At the end of the day, you need be sure that you will have the best possible outcome from your investment.
Milestone Mortgages is licensed with TMG The Mortgage Group