A Peek Into The World Of Real Estate With Chad Keeney!
6 Essential Tips For Real Estate Investors By: Chad Keeney Real estate investing can be an exciting and profitable venture, but it's not without its challenges. Whether you're a newbie or an experienced investor, it's important to approach this world with the right mindset and a solid strategy. So, put on your investing cap and get ready to dive into these six essential tips to help you navigate the real estate jungle. 1. Do Your Research: Like Sherlock Holmes, But with a Mortgage Before jumping headfirst into the real estate market, take the time to research and understand the ins and outs of the industry. Think of yourself as a detective, gathering clues to uncover the best investment opportunities. Study market trends, analyze property values, and examine neighborhood dynamics. Go deep, dear Watson! The more you know, the better equipped you'll be to make informed decisions and avoid unpleasant surprises. Remember, investing without research is like stepping into the batter’s box blindfolded. You’re going to miss every time, and could end up with a concussion. 2. Have a Plan: Avoid Wandering Aimlessly looking for long-term rentals or quick flips? How much can you afford to invest? Create a roadmap that outlines your strategy, financial goals, and timeline. Having a plan not only gives you a sense of direction but also helps you stay focused when the market throws curveballs your way. Remember, wandering aimlessly might be fun in a mansion, but it's a recipe for disaster in the world of real estate! 3. Build a Team: You Can't DIY Everything Real estate investing is a team sport. Surround yourself with professionals who can support and guide you on your journey. Real estate agents, contractors, lawyers, and accountants are just a few examples of the key players who can make your life easier. Choose your team wisely, like assembling the Avengers, but with fewer superheroes and more mortgage expertise. Their knowledge and experience will save you from costly mistakes and ensure smoother transactions. Remember, even MacGyver needed help occasionally, especially when faced with leaky pipes and faulty wiring! 4. Manage Your Finances: Avoid the All-You-Can-Eat Buffet (Unless It's a Bargain Foreclosure) No matter how tempting it may be, don't let your finances go on an unplanned spending spree. Create a budget and stick to it like a piece of gum on the sole of a shoe. Start now by eliminating unnecessary consumer debt (credit cards, car loans, etc). Keep track of your expenses, calculate your return on investment, and set aside emergency funds for unforeseen repairs or vacancies. Remember, splurging on unnecessary expenses is like eating at an all-you-can-eat buffet—you might enjoy it in the moment, but it'll leave you feeling bloated and regretful! 5. Be Patient: Rome Wasn't Built in a Day Real estate investing is a marathon, not a sprint. Patience is your virtue, young grasshopper. Finding the perfect property, negotiating deals, and dealing with tenants can take time. Don't get discouraged by the occasional setback or a slow market. Remember, Rome wasn't built in a day, but if you're resourceful, patient and persistent, the fruits of your labor can last for generations. 6. Stay Informed: Read, Learn, and Repeat (But Don't Forget to Sleep) The real estate market is a dynamic beast, constantly evolving and adapting. Stay informed by reading books, attending seminars, and keeping up with industry news. Join online forums and local real estate investing groups. This business is more about collaboration than competition, and you’ll be surprised who is willing to give solid advice, just because most investors love to talk about the game. In Conclusion In conclusion, real estate investing requires careful research, planning, and a supportive team. Managing your finances, being patient, and staying informed are key to success. Remember, investing in real estate is a journey filled with challenges and opportunities. So, embrace the adventure, stay persistent, and enjoy the ride towards your real estate dreams. Happy investing!
A Peek Into The World Of Real Estate With Chad Keeney!
6 Essential Tips For First-Time Home Buyers By: Chad Keeney Buying your first home is an exciting task. Browsing through real estate listings online, dreaming about what your new home will look like, and imagining all the memories you will make there can certainly get your adrenaline flowing. However, it can also seem pretty daunting. Where do I start? How much cash do I need? Is my credit even good enough? How do I navigate this mountain ahead of me? By following a few simple steps you can ensure that you’re on the right path, making the journey much easier and a lot more enjoyable. So, before you get too carried away, there are a few things you need to know. Here are our top six tips for first-time homebuyers. 1. Determine Your Budget Before you start house-hunting, it's important to determine your budget. After all, buying a home is one of the biggest investments you can make - and you don't want to end up in over your head! By setting a budget and sticking to it, you'll be able to find a great home without breaking the bank. So take some time to crunch the numbers and figure out what kind of home fits within your budget. That way, when it comes time to make an offer on a house, you'll be ready. Take a look at your income, expenses, and savings to determine how much you can comfortably spend on a home. Remember to factor in additional costs like closing costs, property taxes, and homeowners insurance. 2. Get Pre-Approved For A Mortgage Getting pre-approved for a mortgage is a crucial step in the homebuying process. You’ll want to complete this step before even looking at homes, as will help you determine how much you can afford and give you an advantage when making an offer on a home. Most sellers will only consider offers from pre-approved buyers. 3. Work With A Realtor A good Realtor can make all the difference when buying your first home. They can help you find the perfect property for your needs and budget, as well as guide you through the entire process from start to finish. A good Realtor can be an excellent resource in helping to assemble and manage the rest of the team (loan officer, appraiser, home inspector, etc.) as well as providing valuable insight into current market trends and advising you on how best to negotiate with sellers. So don't go it alone - enlist the help of an experienced Realtor and make sure your home purchase is a success! 4. Consider The Location When it comes to buying a home, the location is key. You want to make sure you are getting the best bang for your buck and that you are in an area that suits your lifestyle. Location can determine the safety of an area, access to amenities and services, and even the resale value of a property. Consider the neighborhood, school district, commute time, and proximity to amenities like shopping, restaurants, and entertainment. 5. Get A Home Inspection A home inspection is a crucial step when buying a home. This will give you peace of mind by providing an in-depth look at the condition of the property and any potential issues that may arise. From checking for structural damage to looking for signs of pests, a home inspection can help you avoid costly surprises down the road. So don't skip this important step - get a home inspection when buying a house! 6. Don't Rush The Process Buying a home is a big decision, so don't rush the process. Take your time, do your research, and make sure you are making the best decision for you and your family. In Conclusion Buying your first home can seem a little overwhelming, but it doesn't have to be. By following these six tips, you can make the process smoother and less stressful. Remember, take your time, do your research, and work with professionals who can help guide you through the process. If you’re planning to buy in Virginia, I would be honored to help. If you’re in another state, I can still help you find the right Realtor for your needs. Good luck, and happy homebuying!
A Peek Into The World Of Real Estate With Chad Keeney!
6 Incredible Benefits Of Real Estate Investing By: Chad Keeney Growing up throughout the 1980's and 90's, I can vividly remember the early morning hours (after David Letterman but before sunrise) a special group of snake oil salesmen paid big money to control the television signals. These swindlers would go on and on about the quick easy money that can be made through a few simple real estate transactions. Yes, ladies and gentlemen, I'm talking about the infamous Late Night Real Estate Guru. Surely you can remember the selling model used by these tricksters: ‘Pick up forgotten homes with no money down, fix ‘em, flip ‘em, and be a multimillionaire by next Thursday ‘Here’s an hour of testimonials from a flock of perfectly symmetrical humans (who are obviously NOT actors), to prove that my overpriced system is the answer to all your prayers.‘ ‘Buy my course for only 36 easy payments of $59.99, and you can be filthy rich just like me!’ I’m here to dispel the myths, and add some much needed truth to the conversation. While it’s unquestionable that most of the late night charlatans made more money selling pipe dreams than they ever made in bricks and sticks, the fact that a smart real estate plan can help to secure your family’s future is, indeed… a FACT! We’re going to cut the fluff and take a serious look at some of benefits of investing in real estate. Ok, let’s get started… Passive Income Rental Income Good tenants spend 40+ hours per week working, and they turn over a significant portion of their income to keep a roof over their head. YOU now own that roof. Collect the rent, pay the mortgage, save for emergencies, and keep the difference. This provides a serious benefit to the community (a living space for someone who can’t, or would rather not buy a home), and a serious benefit for you (residual income). Potential for Appreciation According to the United States House Price Index, home values have increased an average of 4.6% year-over-year since 1992. Ask anyone who has held property for 30, 20, 10 or even 5 years. Chances are, their home is worth much more now than it was when they bought it. The fact is: There’s only so much dirt. As long as we keep making people, values are going to continue to increase. It’s simple supply and demand. Tax Benefits Tax Deductions for Mortgage Interest You can deduct the interest on your mortgage and other expenses related to your property, such as property taxes. This can help lower your taxable income and reduce the amount of tax you’re required to pay. Defer Capital Gains Taxes If you sell a rental property at a profit, it's possible to defer capital gains taxes through an IRS 1031 exchange (like-kind exchange). This allows investors to reinvest their profits into another investment without paying any capital gains tax on those earnings until they sell again--or never sell at all! The benefit here is that if an investor has several properties throughout their lifetime, they may be able to keep them all indefinitely without ever paying any capital gains taxes on them because they being exchanged with each other under this rule. There are some limitations on what types of properties qualify for these exchanges; however most single family homes do qualify. Leverage When buying stocks, the process is pretty straightforward. Take money out of your pocket, give it to your stockbroker, and pray that ENRON isn’t cooking their books. In a few years, if you’ve played your cards right, you may come out a little ahead of inflation. The bottom line in the stock and bond market: If you want to play, you have to pay... with your own cash. With real estate, while no-money-down is typically a fallacy, the use of other people’s money to leverage your own is the name of the game. As long as you keep your finances in order, finding outside money is easier than you may think. From banks and mortgage companies to private lenders, if the deal is good, and the deal maker (that's you) has a history of paying his/her bills, someone should be willing to pony up the cash, it's what these guys do for a living. Control You control the property, which means you can decide when to buy and sell. You also control the value of the property to a large extent. You may be able to add value by renovating or improving the property, which will increase its value over time and make it easier to sell at a higher price when the time comes. Diversification I’m sure you’ve heard the saying ‘Never put all your eggs in one basket.’ Diversification is an important concept in the investing. It refers to the ability to spread your risk by investing multiple asset classes. By investing in residential real estate, you can achieve this goal because it provides a unique opportunity for portfolio diversification, allowing you to protect yourself against market downturns and enjoy higher returns over time. You can spread your risk across multiple properties rather than having all of your money tied up in one investment. Hedge Against Inflation One of the most important benefits of investing in residential real estate is that it can hedge against inflation. Inflation is the rate at which prices for goods and services rise over time, and it's something that most investors need to be concerned with because it can have a significant impact on their investment portfolios. Remember the 4.6% annual increase in value that we discussed earlier? That out-paces the average annual inflation rate of 3.8% (according to worlddata.info) In Conclusion The benefits of investing in residential real estate are many. You can earn a steady income, build equity and increase your net worth. If you're looking to purchase a home or make an investment, you don’t need to spend thousands of dollars on an infomercial course (they really aren’t going to give you what you need to succeed anyway). It is important to begin by finding an investor friendly Realtor who also invests in real estate. If you live in Virginia, I’d love to help. This is my passion, my purpose, and my calling. If you live in another state, I can help you find the right Realtor for your needs.
Categories
Recent Posts