In order to get the property of your dreams, luck is rarely a factor. Follow these 8 steps and you’ll be on your way to real estate success!
Step 1: Lawyer Up
Real estate is a tricky business, and it’s important to have professional assistance every step of the way. The first step is finding a lawyer with experience in real estate law. When selecting a lawyer, there are a few things to keep in mind. A real estate lawyer should be experienced in real estate, trustworthy, have competitive fees, and ideally would be familiar with the area you’re buying in. This will get you on the road to a successful, and legal, real estate transaction.
Step 2: Get An Accountant
Now that you have the law taken care of, the next step is to focus on the money. An accountant is an important asset for any real estate transactions. Ideally, your accountant would be a fellow investor with similar goals, as well as an experienced and knowledgeable professional who’s up to date on all the latest changes to the tax code.
Step 3: Know Your Credit Score
Good credit is vital to real estate, and it’s important to know your credit score before you dive in. A high credit score increases your borrowing power and allows for greater investments, while discovering a low score early could allow time to get back on track without derailing your investment plan. The information is easily available and free to obtain, so there’s no reason not to. Now you know, and knowing is half the battle.
Step 4: Get a Mortgage Broker
With the legal and financial sides taken care of, it’s time to jump into the actual buying process, and that’s starts with a mortgage broker. It’s important to look around, get recommendations, and take multiple meetings in order to find the experienced and reliable broker that’s right for you, as well as your budget.
Step 5: Find a Real Estate Agent
Once you find a broker, it’s time to find a Real Estate agent that you can trust. An ideal partner would be an experienced agent with a history of investing in the area, and who is dedicated to your success.
Step 6: Shop Brokers and Close with a Strategy
Once you have an agent. It’s time to shop to brokers and close. From there, you should have an idea of how long you want to keep the house so that you know your exit strategy. Are you buying the house to flip, to rent out, or to live in for the next 30 years. These choices will affect your decision.
Step 7: Celebrate
Success deserves celebration, especially in a difficult industry like real estate. Before you get back into a new project, take a moment to reflect on what you’ve accomplished and enjoy yourself. You did it!
Step 8: Reinvest Profits
Your deal is closed, you own your property, and you’ve celebrated. Now what? Take a small reward for yourself, and then reinvest that money into your portfolio. This can be done either by investing in new properties or putting money into your current property to make it more profitable down the road.