Finding the Best Investment Property
A big part of my business comes from investors; some who want to purchase a home at the lowest possible price, put some money into it and resell for a profit, others who want to buy, renovate and hold onto the property for a rental and long term cash flow, and others who want to purchase a higher end home and turn it into a luxury retreat they can sell for the big bucks.
This question is something I will always ask right back to the client. It is so important that you are clear on what is right for you. An investment property can be so much more than just the numbers for the purchase. What is your plan for the property? Are you ok with a rental that only has a $100 profit per month, but plan to hold it well past the point of being paid off for the true profits, or do you need it to profit $500 per month from day one? If you flip the home and make $5,000 are you happy, or do you need to make $50,000 to even make it worth your time? I have even had clients who hold rental properties that have negative cash flow short term that they are able to write off on taxes*, and hold for a longer term benefit once it is paid off.
My first meeting with someone new to investing is always a deep conversation. It is important you figure out all of your goals before you test the waters and have realistic expectations. What would be an amazing investment for one client could be a total failure for another. Investing can be so individual and motivated by such different factors that only you can answer. Call me today and we can figure out what option looks the most attractive for your situation!
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*This is not tax advice. Consult a certified tax professional or tax attorney for any potential tax benefits.
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