• Privacy policy
  • T&C’s
  • FAQ
  • Meet the Team
  • About TLE
  • Advertise
SUPPORT FREE INDEPENDENT JOURNALISM
  • TLE
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Food
  • Lifestyle
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
  • TLE
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Food
  • Lifestyle
  • Property
  • Travel
  • Tech/Auto
No Result
View All Result
The London Economic
No Result
View All Result
Home Property

Real Estate Investing Strategies You Shouldn’t Ignore

Real estate stands to be one of the best assets that you can own in your lifetime. As the demand for real estate increases, so does its value, making it an excellent option where you can invest your hard-earned money into. For you to get the best out of your money and your investment, it […]

Jess Young by Jess Young
June 13, 2019
in Property
Real Estate Investing Strategies You Shouldn’t Ignore

Real estate stands to be one of the best assets that you can own in your lifetime. As the demand for real estate increases, so does its value, making it an excellent option where you can invest your hard-earned money into. For you to get the best out of your money and your investment, it is important for you to employ a well-thought-out strategic plan for your real estate investment. Doing so will help you ensure that your money won’t end up on real property that eventually turns lemon.

But before learning about these investment strategies, it’s best to have a refresher on the real estate market first. Wherever you are in the world, most of these concepts generally apply, and as long as you get the gist, then there’s a high chance you’ll do well in real estate investing. Click here for a quick refresher on what you need to know about real estate. What are these investment strategies? Continue reading to find out.

1. Fix-And-Flip Investment Plan

A majority of the real estate investors would prefer to purchase a property that needs less fixing. For most, they want the property to be as perfect as it can be before the final sale price is paid. But you can go the opposite way, and this is essentially the essence of a fix-and-flip investment plan.

Instead of purchasing the perfect property, go ahead and invest in real estate options that need a lot of fixing. These properties are often sold at a meager price. Hence, you are going way below the budget that you have intended. The remainder of your budget is what you can use to flip the property and turn it into a perfect home before reselling it.

With these new renovations, the houses look newer and even fresher. You can then put a higher price tag on these houses and earn so much more income from reselling them.

2. Buy-And-Hold Investment Plan

A buy-and-hold investment is a process whereby you purchase a property today, hold it for a long time, and then use it later on. Instead of using it immediately after your purchase, you keep it on hold first for a couple of years to allow the value of the property to double or increase even more. After five to seven years, when the price of the property is lucrative enough, this is when you start opening it up to the public for income to start coming in. Many opt to have these properties rented out, while others resell these homes for so much more than the price they have initially bought it for.

This investment scheme isn’t just for anybody, though. Remember that for a few years, the property will be stagnant and won’t be earning an income. Hence, this investment strategy is perfect to those who have other homes on their investment portfolio to earn an income from, or those who have no intention of leaving their jobs or businesses for them to still earn an income while the real property is on hold.

RelatedPosts

London’s epic success story – Groundbreaking co-living concept marches to European expansion on back of success in the capital

Villagers have blasted “pathetic” thieves who regularly steal the sign from their street – Bell End

Lib Dems propose a “loan to rent” to help first time tenants

Short-term rental management company announces $1billion property portfolio

3. House Hacking

House hacking is the perfect real estate investing strategy for those who are still starting out in the business. In a nutshell, this refers to the process of continually living in the home that is also earning rental income at the same time. For example, you have extra space in the basement, which you have converted into a studio apartment for rent. Or there is that shed in your garden that you have converted into a guesthouse. Perhaps, you may even still be living in a rental home with extra rooms that you can have rented out as well.

This model is no stranger to homes that have extra rooms, or for families that are currently paying for high rent and need help to pay for the mortgage or rent of these spaces. The great thing about it is that while you are paying for your rental or mortgage, too, you are learning the basics of real estate investing. You may even be earning extra income in the process, on top of the allocated amount to share in the mortgage or rental payments of the whole house or apartment complex.

4. Subdivision

This fourth investment plan is also one of the most popular and doable investment strategies, particularly for homeowners who are sitting on a huge piece of land. If you have no plans of utilizing the rest of your property for personal purposes, what you can do is to split the current property in two: one is for your personal use, and the other is for commercial purposes.

On one half, you have your home. On the other half, however, you develop it to build a house or an apartment complex, depending on the size of the property.

Conclusion

Investing in real property is an excellent way for you to earn a little bit more extra, and eventually achieve financial freedom. Many have now left their day jobs because the income that they earn from their real property investments is more than enough to support them through their needs and even their wants. But like any other investment, nothing ever comes easy, and you have to bring with you a well-defined plan and strategy.

Support free independent investigative journalismSupport free independent investigative journalismSupport free independent investigative journalism
Jess Young

Jess Young

Jess is a writer at the UK's largest independent press agency SWNS. She runs women's real-life magazine Real-Fix.com, as well as contributing articles and features to all of the major titles and digital publications.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Trending fromTLE

  • All
  • trending
Jeremy Corbyn is the most smeared politician in history

Jeremy Corbyn is the most smeared politician in history

The story of how the Conservatives crippled the country

The British Government has ruined my life

SWNS Pictures of the Year 2015 - One hundred of the most compelling images on the SWNS wire this year as chosen by our picture editors. Refugees from Syria leave Glasgow Airport in five coaches in heavy rain, November 17, 2015, from where they will be dispersed to their new homes within Scotland. See SWNS story SWREFUGEE: The first charter flight carrying Syrian refugees arrived in the UK yesterday (Tues) as part of the Government's resettlement scheme. Around 100 people were transported by plane from refugee camps in the Middle East, travelling from Beirut in Lebanon to Glasgow Airport. Many have been described as vulnerable and some had stayed in camps for up to four years. Landing in Glasgow at 3.30pm yesterday afternoon, the first arrivals were expected to be resettled by local authorities across the country, including Glasgow and Edinburgh.

Lift The Ban petition reveals staggering cost to UK economy of asylum seekers being banned from working

Latest from TLE

Elderly driver reverses through window of Tesco cafe packed with Christmas shoppers

Elderly driver reverses through window of Tesco cafe packed with Christmas shoppers

Auto Draft

Britain’s youngest new MP will take half of her salary until other public sector wages rise

Sue you later alligator? – Louisiana sues California over alligator ban

Sue you later alligator? – Louisiana sues California over alligator ban

National Lottery Results – Wednesday 3rd July 2019

National Lottery Lotto Results – Saturday 14th December 2019

About Us

TheLondonEconomic.com – Open, accessible and accountable news, sport, culture and lifestyle.

Read more

Address

TLE,
International House,
24 Holborn Viaduct,
London EC1A 2BN,
United Kingdom

Contact

Editorial enquiries, please contact: jack@thelondoneconomic.com

Commercial enquiries, please contact: advertise@thelondoneconomic.com

SUPPORT

We do not charge or put articles behind a paywall. If you can, please show your appreciation for our free content by donating whatever you think is fair to help keep TLE growing and support real, independent, investigative journalism.

DONATE & SUPPORT

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.




No Result
View All Result
  • Home
  • News
  • Politics
  • Opinion
  • Business
  • Sport
  • Entertainment
  • Film
  • Lifestyle
  • Food
  • Property
  • Travel
  • Tech & Auto
  • About TLE
  • Meet the Team
  • Privacy policy

© 2019 thelondoneconomic.com - TLE, International House, 24 Holborn Viaduct, London EC1A 2BN. All Rights Reserved.