Real estate experts predict that 2022 will witness a rise in foreclosures. With the pandemic and job losses, the year has been primed for financial hardships for many people.
As unfortunate as it is for them, it can present a great investment opportunity for budding real estate investors like yourself who might be struggling to find that first good investment property.
Don't worry. This article is here to explain not just the foreclosure opportunity, but four other ways for you to find the right property to invest in.
Let's get started!
1. Purchase an Investment Property Through a Court House Auction
Properties in distress are generally required to go through a public auction. This is a great opportunity for real estate investing, particularly if you're just starting out and hoping to get a feel of the experience.
Here you are likely to find foreclosure properties or properties that are currently going through a tax resale. In many cases, you might have to spend an additional amount to renovate, repair or fine tune the property before you are able to get the most out of your investment.
Make sure to consider these elements while estimating your budget.
2. Work With a Real Estate Wholesaler
A real estate wholesaler is someone who purchases a property at a steal that could even be as little as 50 percent of the property value. They generally negotiate directly with the sellers to maintain an exclusive right to purchase the property in question. Subsequently, they look for a real estate buyer, and most of them do tend to favor real estate investors.
3. Find Sellers and Connect Directly
There are several methods you could use to find and connect directly with home sellers. This could involve browsing through your local classifieds, driving around your preferred neighborhood for a "For Sale" sign, looking through listings on social media groups, or simply getting the word out.
Make sure to make your intentions clear and give interested sellers a means to contact you.
4. Talk to an Experienced Property Manager or Real Estate Agent
If you're not sure where to start, talk to an expert. Browse through real estate websites, talk to real estate agents and property management companies and get valuable tips on where to start.
You will find useful resources and search tools on their websites that allow you to explore sales in relevant neighborhoods. Not only will this give you more insight into fair pricing, but you'll also learn more about how to market your property once you acquire it.
Get One Step Closer to an Investment
Finding an investment property can take many forms. From attending auctions, working with real estate wholesalers, browsing through real estate groups on social media, and driving around your neighborhood, the possibilities are endless.
However, once you do make a purchase, you'll need an expert to help you manage your property and ensure you get the most out of your investment. At Lease Texas, your property is our passion! Get in touch with us today to learn more about your investment options and what to do when you have one.