Smart Ideas: Revisited
June 17, 2019
The building, buying, selling, renting and managing valuable and immovable property is known as real estate. Examples of real estate properties are land, houses, and buildings. It is advisable to invest in real estate since the population is increasing and real estate property never depreciates. One of the major players in real estate is an agent. The work of the real estate agent is to connect real estate buyers and sellers. You dont need to be an agent to earn money in the real estate industry. Below are ways you can make money in real estate without being an agent.
Rentership will enable you to make money in real estate without being an agent. Today, rental units are in high demand. Buy buying property and renting it out instead of selling it, you will make a profit. If you bought the property by using a loan, renting it out will assist you in repaying the loan and still earn some money. Duplexes and triplexes and other multi-family dwelling are the best properties beginners should purchase. Commercial property with more than 4 units is also recommendable. To understand rentership better, please read this guide.
Another way to make money in real estate without being an agent is wholesaling. You dont need personal investment to become a wholesaler in real estate. By looking for a deal from a seller, writing the deal and selling it on a higher price, you will earn an income. An excellent real estate wholesaler should be good in negotiation and searching for deals.
Fixing and flipping is another way of making money in real estate. The 70% rule has made fixing and flipping a success. In fixing and flipping, a poorly maintained property is bought. You should then repair and upgrade the old property and sell it. The successful people in fixing and flipping abide by the 70% rule.
Some real estate non-agents earn an income through hard money lending. A lot of people who want to buy homes dont qualify for loans. Some people do not want to borrow conventional loans because of the numerous requirements. You can lend hard money which has short repayment periods and higher interest rates.
Buying notes will enable you to earn money in real estate. Deeds are also known as notes. Once a lender has issued a mortgage loan, he/she gets the deed. Mortgage lenders issue the deeds back after receiving the total mortgage back. You are supposed to buy the deeds, and you will collect the monthly payments made by the borrowers.
Finally, Property management will enable you to earn money in real estate. In property management, you will earn about 8% of the total payment made by tenants.