We are aware that real estate and the property market, is the only sector which has been offering stable return for years now. This is the market which has produced the most amount of wealth.
It is a common notion that you want to enter the real estate business, you need a lot of capital. But is it true? No, it’s not. You enter the real estate business as a fresher and make money without investing too much in it. If you open an “Escrow” you would be able to enter the real estate business without much investment.
In this post, we will discuss few tips of how to make money when you enter the real estate business.
- Residential Rental
As per the Alibek Issaev, the famous personality who made a fortune in the real estate business, long term residential rental is the best form of making money in the real estate business. People always need a roof over their heads, and for this reason, the demand of residential properties never decreases.
- Hold the property
One more method of earning money from the property market is holding the property until you get a good price. This method is for long term investment. In this method you buy a house at a low price, and with time, the value of the property will increase. When you find a suitable buyer who has agreed to buy the house at the increased price, you can simply sell it to him and make a handsome profit.
- Leasing
When you lease a house with a predetermined purchase price, you have a good chance of buying a property at a price lower than the actual market rate. For example, you lease a property and determine the purchase price which you will pay later. By that time, if the real estate market shoots up, then you will buy the property at the price which was agreed on, although the real value of the price would be much higher by then.
- Home renovations
Buy the ugliest houses in the best locations and renovate it. This mantra, works wonders for real estate businessmen. Renovate the house with modern amenities and it will surely fetch a great price.
