real estate less of a risk than investing in the stock market In today’s tight market, it’s more important than ever to be smart about how, when, and where you choose to invest. Think wisely about spending on a fix-and-flip first, and don’t be afraid to hold and rent—and then sell later. If the market isn’t delivering good opportunities and great returns in this new year, there will always be another opportunity to sell later.
time to pivot. Get your finances organized from the start, and refrain from letting your ego get in the way. Also, don’t spend too much on expensive materials or too little on solid craftsmanship. Those mistakes can put you in the hole and affect your ROI. Most homeowners tend to think they must upgrade everything before selling. The more intelligent approach is to find the 20% of upgrades that will add to 80% of the value. Most of these will likely be cosmetic and much cheaper than you’d expect. NO. 3 Understand the Values in a Particular Market Look for more rental demand in larger markets now that people are expected to return to work in person. According to Entrepreneur, nine out of 10 companies are requiring a hybrid or partial return to the office in 2023, which may lead to demand for more rentals in larger markets. So, make sure you thoroughly do
your research. And don’t forget your pending property may require an appraisal when you seek a loan, depending on your liquidity history. NO. 4 Find the Right Financing Partner Wherever your path to real estate investment takes you, make sure you partner with a lender that has your best interest at heart. Research your options from small to large and in between because there are differ- ences in how they’ll approach their work with you: ● Large-size financing partner: Conglomerates tied to Wall Street or insurance companies and restricted or motivated by secondary market implications ● Medium-size financing partner: Larger private lenders whose funding comes from multiple private equity resources ● Small-size financing partner: One-off investors who consider
John V. Santilli is the chief revenue officer for RFG. He joined the company in July 2019 and is responsible for all opportunities connected to it,, including expanding the company’s sales channels to maintain its position as a leader in rehab financing. Before joining RFG, Santilli had 25 years of lending and marketing executive leadership experience across multiple private and public marketing- dependent companies. He managed companies from startup to maturity, ranging from $2.5 million to more than $50 million in annual revenue.
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