Best Real Estate Investing Strategies
I’ve already written about the best real estate investment strategies.
I think that the best one is.. it’s a secret you have to read Fistfuls of Cash: 20 Creative Real Estate Investing Strategies to find out.
If I do a quick Google search I’ll find some of the most currently highly regarded investment strategies for you to make a quick buck.
Or if you are like the Chinese, have a long term buy and hold wealth strategy.
Airbnb Investment Properties
Airbnb investment properties seems to be a trending thing.
I’ll look more into that for you.
The definitive strategy, which I most recommend is blogging.
That way you have your own media center sandwhiched between both buyers and sellers.
I’m assuming that you are low on cash. I do not know how you would make quick money on Airbnb with no money. I thought that that was just for rentals and owners.
If you are already an owner, you could rent out the property on Airbnb, basic.
I think that that is what it is intended for.
Airbnb is like a place to get renters.
The more renters that you have the more that you can cash flow.
That solves that.
Commercial land is a fun way to make money if you have a few million and ready to invest in Arizona.
I should say that Airbnb is mostly used for short term rentals.
It might be more appropriate to use a site like Craigslist to rent out property or even a social media site not just mostly a listing site.
But you probably know what you are doing and have experience renting out units for cash flow.
Longterm buy and hold
As I mentioned above and in a previous post, Chinese cash buyers like longterm buy and hold strategies. I also mentioned in a previous post that Chinese cash buyers have been buying in New York.
There is one article that states that Airbnb rentals have been more lucrative than traditional buy and and hold rentals… possibly because of the vacancy rates.
Maybe Airbnb is such a good channel for getting tenants that the vacancy rate remains lower.
I guess there are laws for using Airbnb as a rental provider service for some situations.
Buy and holds are good for all kinds of scenarios. There are different property types that you can buy and hold.
Sometimes mobile homes is considered the best buy and hold real estate asset in the United States… but it’s not for everybody.
If you buy and hold a duplex you can live in one half of the duplex and have a tenant provide rental income in the other half.
This is great if you wan to keep an eye on your tenants or mostly your property.
You can do the same thing with single sfr detached property where you rent out a suite, and make money.
Apartment buildings. You can own apartment buildings.
The difference between active and passive investments
With passive investments, you don’t need to spend as much time managing.
With active investments you have to manage.
Some passive investment strategies are buy and hold.
Even though with property management, buy and hold aren’t really passive real estate investment strategies.
You can get a property manager.
Might as well get a REIT fund.
If you invest in shares and buy shares of a REIT fund, that is as passive as you can get. It returns on average 10% a year with a 4% cash flow yield.
Everything else, I’d consider active or managed investment.
Because you have to manage something.
With more management comes more profit.
Because you are taking more risk.
If you buy a real estate ETF, you have the real estate market investing in real estate and you are investing in their funds.
They might make more money then you do possibly because they own more shares.
Flipping property is an active investment strategy because you have to buy, renovate, and then sell the property at a profit.
Flipping property is one of the best real estate investment strategies according to some sites.
It’s best to buy from motivated sellers if you are going to actively do this strategy. If you are going to flip.
The risk with flipping is time. You have to have the property back on the market quickly to avoid the market from changing and from carrying too many carrying costs.
I mentioned commercial property above.
I only mentioned it because it’s the most current and active commercial piece of property.
By active, this time, I mean that someone — a motivated seller is actively trying to sell it — probably at a discount where you can make a profit.
Remote versus local
Some strategies are remote versus local.
Back to commercial land.
It’s definitely the most risky. Well, relatively one of the most riskiest types of real estate to invest in because it’s commercial and because it’s land. Not residential and not developed with any buildings that generate cash flow.
You need to know more math to do commercial buildings.
Like cap rate.
And you need to know about zoning and working with governments on planning water pipes and such.
Back to remote versus local.
Local real estate investor’s associations
They are definitely local.
On occasion you get someone from Ohio. Which I just got listing on the site.
But, you can definitely meet people from Ohio without going to a local real estate investors association.
Unless, your real estate association meetup is in Ohio, then you can defintely meet people from Ohio in a Ohio real estate investors meetup but you can also probably meet people that aren’t from Ohio at an Ohio real estate investors association meetup.
I wonder if I will attract more people to the site from writing about Ohio so much.
Blogging is your strategy.
I wrote about wholesaling yesterday.