| One of the things that many new real estate | | | | going to happen. You most likely will never |
| investors lack is the feeling of power. With | | | | use the real estate broker for this deal |
| little or no money to invest in real estate, | | | | because before you even bought it, you had a |
| the daunting task of actually investing can | | | | half dozen buyers in mind that would be very |
| seem very elusive. The problem is the lack | | | | interested. That's why you bought it in the |
| of tangibles or concrete resources the | | | | first place. |
| investor has at his disposal to start | | | | |
| investing. | | | | Who has control here? The buyer walking in |
| | | | the door, or you? The answer is obvious. |
| Consider these two scenarios. You're sitting | | | | The point is, the more concrete items you |
| at a desk and someone slides across the table | | | | have possession of, the more control you have |
| a contract for you to sign, that you didn't | | | | over the investment. When you lack control, |
| read or write. Who's in control? Who has | | | | you don't have the confidence it takes to |
| the power in this scenario? | | | | make good sound decisions. |
| | | | |
| The second scenario puts you on the other | | | | So some additional tangible items that |
| side of the desk. You've written the | | | | increase your confidence because they |
| contract, understand it completely and slide | | | | increase your control are: a buyers list, a |
| it across the table to someone you know is | | | | network with contact information, mortgage |
| going to sign it. Who's in control now? | | | | broker, real estate broker (if needed), for |
| | | | sale signs, business cards, and cost data on |
| So what is the first "power item" you should | | | | advertising. Some other items not mentioned |
| seek as a new real estate investor? Bingo! | | | | here would be cost data on material, |
| The real estate contract is a very important | | | | insurance, commissions and contractors as |
| document that will enable you to understand | | | | well as financial backers/investors if |
| the nuances of investing. It will provide | | | | possible that will fund your project or work |
| you with strength as a result of increased | | | | directly with you. |
| control over your investment strategies. | | | | |
| | | | The main point to focus on is to acquire as |
| What other items might help you to develop | | | | much concrete items that real estate |
| real estate investment power? Let's say you | | | | investors use as possible. If you can look |
| buy a single family home to rehab and sell. | | | | at your situation with confidence, you won't |
| You buy it, with no signs to put on the front | | | | hesitate as much. Being new to real estate |
| yard or prospects for buying it. | | | | investing obviously won't land you with a |
| Additionally, you have no contacts for | | | | cash investor who will fund your investment |
| advertising the property or any available | | | | aspirations (we should all be so lucky), but |
| financing to offer potential buyers so you | | | | acquiring some of the concrete tools that |
| have to rely on whatever they bring to the | | | | real estate investors use is definitely a |
| table. Who has the control here? | | | | good starting point. |
| | | | |
| What can we take out of this scenario and | | | | From experience in life, most of us can |
| make it a more powerful situation for you? | | | | easily say that a lack of information and |
| Let's say you buy a property to rehab and | | | | understanding will definitely strike fear in |
| sell it. You put a sign on it the day you | | | | anyone of us. Hesitation and second-guessing |
| own it and contact several investors who you | | | | will plague our goals. Once you start to |
| know may be interested in it. You start | | | | develop the tools and understanding, finding |
| doing renovations and neighbors take notice | | | | the investment properties is the easy and fun |
| of your sign and inquire about it. You've | | | | part! |
| already got your mortgage brokers cards with | | | | |
| you and hand them out to everyone who stops | | | | So the message here is clear. Don't jump |
| by. All your contacts know what you're up | | | | ahead of yourself and start looking at |
| to. You've got a real estate broker lined up | | | | investment properties without doing the prep |
| that you know sells houses fast and just to | | | | work first! |
| be prepared, the broker can find a renter if | | | | |
| needed, but you know that's definitely not | | | | ©2007 noobdogs. |