Home prices are at an all
time low and rents are on the rise. This is a winning formula for an
investor. Smart investors cannot make
the same mistakes of the past by buying properties with payments more then what
they could get for rent. Tip #1 You need to be able to determine ahead of time
what kind of return you expect from the investment. Having an understanding of
expected returns will help you determine which investment property is right for
you. Tip#2 Banks will require that you
put down 20% to purchase however you may be able to qualify for a Home Path
loan in which you would only put down 10% by purchasing a Fannie Mae bank owned
property. Tip #4 Buying a bank owned home is one way to get a home at the
lowest price however expect to be up against a lot of competition. A Short Sale
might be the way to go if you have some time. Short Sales can take up to 3
months for bank approval but they are typically priced below the market to
attract offers and avoid foreclosure. Tip#5 You may be able to buy real estate
using funds in your retirement account through a self directed IRA. Tip#6 Investing in Real Estate may provide
greater return on your money then traditional investments. For
more information on buying investment property call me today at 805-478-0494 –
Ray Vega, Broker Associate
