Finding Property Investments and Good Real Estate Deals
So you’ve finally got your website done, your business cards had been printed already, and you’ve equipped yourself with enough knowledge about property investment and entrepreneurship.
Now it’s time to get out there and search for a real estate investment property in Miami.
The most important element of the criteria that you have to put together is the financial component. After all, this is a business that you’re trying to build so maximizing your profit is crucial and should be one of your top priorities.
If a deal doesn’t make sense financially, it cannot be considered as a strong investment for you. Ideally, you have to do the math in real estate investing and assess factors such as income, cash flow and return of investment.
Finding the Best Real Estate Deals
In general, a listing will not tell you the most important information you want to know about the financial aspect of a property.
Yes, it’s possible for you to capture or predict the income potential of the property but you won’t be able to determine how much regular cash flow the property could generate, how overpriced it is and how much you could offer for it.
In addition to that, it doesn’t make sense to lay down your spreadsheet and perform a thorough property evaluation for each deal that you’re interested in. At this point, it makes more sense to learn how to play your cards well by knowing exactly where the best deals are located.
Here are some tips on where to find real estate investments;
Multiple Listing Services(MLS)
Every property for sale that’s listed by a realtor is entered in MLS unless it is exempted for specific reasons. Only realtors, real estate brokers and other affiliates have access to MLS system.
However, it doesn’t necessarily mean that a home buyer or seller cannot get sufficient information about a property. They can have some access but not entirely.
Multiple Listing Services (MLS) such as Miami properties company share comprehensive home information among other real estate agents and other professionals.
Property data is specified and they offer to share the commission with a broker who introduces or brings in an investor. Potential buyers/investors often make the mistake of thinking that they can access enough information about a property through online feeds to other services. However, the data which is accessible to the public is usually limited in scope.
For you to get the best deals, you may ask your real estate agent to set you up on a private home search to get more information. There are many types of reports that you can inquire about to get the most comprehensive one and it can vary based on location.
An agent can also get your email and home-search preferences so that you can receive automatic emails of new listings for updated information that you cannot obtain from elsewhere.
Off-market listings are homes and other properties which are for sale but are not listed on Multiple Listing Services (MLS). Most of these properties are exclusive and elite listings that a realtor usually keeps in his back pocket.
These listings usually give potential investors exclusive access to the inventory and better chances of closing the deal. In order to access these listings, investors can directly approach real estate agents or homeowners to inquire about them.
Inquire from Homeowners
If there’s a particular area that you’re interested in around Miami, you can approach the homeowners directly. If there is a homeowners association within the area, you can try making inquiries from there and ask if there are any properties which are for sale.
You may be able to find leads by directly interacting with the people around the area, establishing rapport with them and sending out mailers. This may cost you some time, money and legwork. Still there is a chance that you may land at a good deal through direct inquiries.
Also, don’t rule out properties which had been neglected especially if you can afford the repairs and restoration. Perhaps you can find a homeowner who’s no longer interested to spend on a property’s upkeep and would be more than happy to dispose it at a lower price.
An unsolicited offer may come as a blessing on your part. So take some time to know the area and the people around by way of socializing within the neighbourhood or community because it’s an excellent way to get direct and first-hand information.
The internet is a powerful tool and it’s where you can find a lot of information about real estate investing and properties for sale. You may search and browse through Search Engines or via Agency-Specific sites. Either way, the chances of finding reasonable deals are always high just as long as you know exactly what you’re looking for in terms of type and location, and you have your budget requirements at hand. Here are some suggestions;
Examples of Search Engine Sites:
realtor.com – the official website of the National Association of Realtors which hosts listings for homes, lands and rentals
Trulia – provides information on how to calculate mortgage rates and find local agents
Zillow – a popular starting point to calculate and understand the market value of a home
LoopNet – connects buyers to commercial properties for sale and for lease
RealtyTrac – search engine for bank-owned home homes and foreclosure listings
Examples of Agency-Specific Sites:
Redfin – a residential brokerage company that connects to real estate agents
Century21 – operates worldwide and provides users with tools to buy and sell a home
ZipRealty – allows users to search MLS listings and receive home value estimate
Compass – provides up-to-date home and market information
Coldwell Banker – users can search for agents based on special markets and language