I recently came into some money and would like to invest in real estate. Do you suggest buying a second home as a rental property or investing in a larger primary home?
What markets are growing? I will be using cash for the purchase so credit doesn’t matter.
I want to invest some money in real estate. What do you suggest?
29
Mar
tkahrs12122
March 29, 2010 at 3:15 pm
Rental property if you have the knowledge, patience and time to be a landlord. It is not easy especially when tenant calls at 2 am because of leaking pipes. Also you need enough cash in savings to cover the bills when the tenant fails to pay the rent.
You would be better off putting that money in an IRA and preparing for retirement.
stoneempire
March 29, 2010 at 4:04 pm
Hold on to your money until the economy stabilizes, otherwise you’ll just be throwing your cash away.
sts7b
March 29, 2010 at 4:52 pm
WAIT!!! The carnage ain’t over yet. It ain’t even begun:
http://messages.finance.yahoo.com/Stocks_%28A_to_Z%29/Stocks_J/threadview?m=tm&bn=10073&tid=230274&mid=230274&tof=1&frt=2
JPM must have lost its ass today on Brent Dubai Swap Futures:
http://finance.yahoo.com/commoditieslosers
Since JPM owns over half the $172T in derivatives (pp. 21-32):
http://www.occ.treas.gov/ftp/release/2007-137a.pdf
and 65% of the total ($111.4T) are swaps (p. 6):
http://www.occ.treas.gov/ftp/release/2007-137a.pdf
JPM must have lost its ass today on Brent Dubai Swap Futures:
http://finance.yahoo.com/commoditieslosers
godged
March 29, 2010 at 5:15 pm
Many investors are snapping up rentals, since people losing their homes need a place to live, prices are great and it is a strong buyer’s market. There are some investors buying land or commercial property to sit on until the waves of bad news settle down.
If you are looking at rentals and growing markets, bear in mind that it can be tough to be a long distance landlord. You have to rely on local people to take care of your property, screen tenants, collect rents and perform maintenance.
Matthew M
March 29, 2010 at 6:01 pm
First, contact a real estate investment group in your local area. They will be able to tell you all you need to know about renting a house in your local market. If you still feel buying a house and renting it out is a good idea go for it.
There is alot of money to be made in real estate investing if it is done right. If it is done wrong it can cost you a bundle.
Buying a bigger house is not an investment, Buying a bigger house is nothing more than a place to store your money.