How to Get Started in Real Estate Investments
Canada’s real estate market is growing by the year. With more and more people seeing incredible returns, it seems that real estate investment is a great opportunity to make a significant income and enjoy yourself at the same time.
How can you get started in real estate? Many Canadians worry that they have little to no experience or not enough money to make an initial investment. If this sounds like you, here are some simple steps you can follow to make the process much easier and less daunting.
Start Saving
Despite what many people think, you don’t need to have hundreds of thousands of dollars to invest in real estate. However, you will need some money to get started. To buy a property, you will need to put in a down payment. In Canada, this is usually 20% of the total price of the property. Start saving as soon as you’ve decided to invest. The quicker you start, the faster you can get your first property!
Choose a Structure and Analyze
There are five main branches of real estate investing.
● Sole proprietorship where you are the sole owner of the property.
● Partnerships that involve you owning the home with other people
● Syndication is where your money is placed in a pool with other investors
Once you’ve chosen the style of real estate that suits you best, do some market research. Discover which of the nearby areas is seeing considerable population growth. Which neighbourhood has the highest average income? Which location is seeing massive job growth? All of this information can be found through a quick Google search.
Build Your Team
Real estate requires networking. Even if you decide to become a sole proprietor, you will still need to work alongside independent contractors and advisors who have expertise in different areas.
It’s all about building strong relationships and making connections with others. You can start building your team through referrals, agencies, or online searches. If you find someone you feel would make a great team member, get in touch and onboard them.
Find Deals and Make Offers
Finding good deals can be one in a million, but by doing sufficient research, you will find them. And when you do, don’t be afraid to take the leap and place an offer. Properties don’t stay on the market for long, so you need to be quick when you find a property you like. The worst that could happen is that your offer is rejected. Always remember to take advice from your network before you make any final decisions.
Once you have successfully invested in your first property, you can start thinking about your next project.
Final Thoughts
Investing in real estate is not for everyone, but it’s an enriching career. The above steps are just the beginning of an exciting, lifelong journey! Once you’ve overcome the initial challenges, you will start to find your feet.
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ReplyDeleteReal estate market is really shaken up during the COVID-19 days. Real estate agents alexandria va and I were discussing the renewal of real estate market in USA after COVID.
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