TR_July_2021_online

INVESTOR RESOURCES

ASSET MANAGEMENT

Short-Termvs. Long-Term Real Estate Investment Strategies

PICKING YOUR PATH TO SUCCESS, SOONER OR LATER

by Nate Zielinski, RCN Capital

8-12 months you can easily make a five figure pay day, maybe six depending on the value of the prop- erty and the amount of work you are willing to put in. These pay days are a very attractive part of the industry, and a lot of people get into the busi- ness for exactly that reason. Time management is a skill that translates in all aspects of your life but honing it during a fix-and- flip project over the course of a 12-month loan is a key to success. You can easily learn how long certain projects will take, what projects are worth your time, and what projects are best when it comes to increasing the profit on your investment. Most fix-and-flip loans can be completed before 12 months as well. If you can establish a plan and a rhythm to all

hen it comes to real estate investment properties, there

the real estate investment industry. Here, I will break down the advan- tages of both and let you decide which is right for you. SHORT-TERM STRATEGY – FIX AND FLIP For the quickest way to increase your capital and be able to start buy- ing up other properties as soon as you would like, the fix and flip strat - egy is a sure-fire way to do exactly that. Besides the financial benefits, there are other skills you can pick up with this strategy, such as time man- agement, home improvement, and relationship building that are all ben- eficial skills to have in this industry. When it comes to financial gain, the fix-and-flip plan is ideal. Within

W

are two main strategies that inves- tors can employ to gain experience and attain wealth. The two different paths to success include a short- term strategy as well as a long-term option. The short-term strategy called Purchase and Rehab, other- wise known as fix-and-flip, is great for quick money and quick tran- sitions to the next property. The alternative is a long-term rental option that often includes a 30-year loan program and allows for passive income. To be clear, there is no right or wrong answer when it comes to selecting between these two strate- gies. Both have proven to be avenues to success and are sustainable in

80 | think realty magazine :: july 2021

Made with FlippingBook Online newsletter