5 Real Estate Investment Tips for 2014


While property investments yield great returns, one must understand that there are certain things governing the property market. So, what are the things that you need to keep in mind before investing in real estate in 2014? Read on to know more.



Investing in a property has always been a great idea. Whether residential, commercial, retail or industrial, real estate investment has most often been considered one of the best and secured forms of investments. However, with each passing day, changes are rapidly coming up and the same is applicable for real estate investment. So, what are the things that you need to keep in mind for investing in the real estate for 2014. Here’s how.

Have a Clear Understanding

Having a clear understanding is very crucial to property investment. Always keep an eye on the ups and downs of the demand and supply of the market forces. As a prospective investor you must be aware of these ups and downs of the property market and how will these have an effect on the property market. One of the advantages of understanding such market forces is that, it empowers one with the ability to predict market trends.

Chalk a Strategy and Time Frame

Needless to say that a proper strategy and a time frame are equally essential in order to justify the idea of real estate investment; this is crucial to set realistic and achievable goals. This idea is applicable to both long-term and short-term goals; one you have set the goals, chalk out a proper budget and a plan of executing all of them in a proper manner. A budget is essential as this will help you stay focused and move in accordance with the right track. Remember that a plan chalked at the initial stage helps one stay disciplined with the investment methods.

Conduct a Proper Research

Always ensure that you conduct proper research on yields, returns and other areas of real estate. Find out about the current rates and if possible compare them with previous years. A keen interest in the demand and supply of the property market are essential as this will enable you to determine the expected rate of growth and estimate the rental returns on a more accurate basis. Do not forget to check out on anything that can affect the rental returns; for example construction of an array of new apartments may lead to an oversupply in the property market. This can have an adverse effect on the returns; as an investor you need to be more cautious about investment in such a scenario.

Learn to Negotiate

Mastering the art of negotiation is very essential to be able to go ahead the process of real estate investment. For example, if you are borrowing a loan, always ensure that your loan comes with a package and right manner. Understand that the market offers several home loan packages and 2014 will probably see more of that; but a good deal does not mean that it will co0me with the lowest interest rate. But there are several packages that come with multiple features. It is advisable that you opt for a package after comparing the available ones in the market.

Seek Expert Opinion

While you do have to take things on your own, seeking expert advice is always good. Seek expert advice while at the same time conducting your own research. You can seek the assistance of a reputed real estate agent. Place your requirements and to the agent and explain what exactly you are looking for. This will help you achieve your investment goals with more ease.

Whether you are investing on residential real estate or commercial real estate or any other form of property, weighing the pros and cons are is of significance before making a major decision about investments. 2014 is predicted to be a good year for investments. So, if you have any intentions about investing in real estate, go ahead without any second thoughts.

Let's Keep In Touch!

New ORC Form Lead

"*" indicates required fields

Looking For An Investment Property? How To Choose The Right One

Ten years ago, savings accounts earned interest and those of a less risk-averse persuasion could earn a decent income by investing their spare cash in the stock market and other investment vehicles. But since the global recession, savings accounts and investment funds are no longer performing in the same way, so if you want to make your money work harder, property investment is a much better choice.

Buy To Let Property

Investing in rental property can be a smart move. There is always a demand for rental property, particularly in certain parts of the world such as London, New York, Tokyo and Shanghai. Young people are far more likely to rent an apartment than buy, and with the demand for rental property so high, it is possible to enjoy excellent profit margins on an investment property.

Location, Location, Location

Choosing the right location is vital. Some areas are always more attractive to tenants than others. In the case of student lets, student tenants will want to be close to their college or university campus as well as in the middle of the nightlife. Young professionals will prefer to have public transport links at close hand, plus they too will want to be in the thick of it. Executive lets are a different story. To attract higher paying tenants, you would be better off investing in larger properties in more affluent areas.

Do Your Homework

If you are looking to invest in an unfamiliar area, be sure to do your homework before you buy a property. Talk to property agents and find out where the most popular areas are and whether there are any large developments being planned which could affect local property prices in the near future. Once you have identified a few potential properties, investigate the average rental income for such a property to help you decide whether (or not) it would be a worthwhile investment.

What Type of Tenant Are You Aiming For?

There are several key types of tenants in rental properties.

  • Students – You will never be short of tenants if you aim at the student population, but properties are more likely to suffer from wear and tear.
  • Young professionals – Young people in the early stages of their careers make good tenants. They don’t have huge amounts of disposable income, but they will generally treat a property better.
  • Executives – This is the higher end of the rental market, but the cost of the investment property will be higher and profit margins lower.

Apartment or House?

The type of property you invest in will probably depend on which area you are looking at. In many large cities, rental apartments and multiple occupancy properties are the norm. This type of property will often be cheaper to buy, but it may be subject to different legislation, so always make sure you are familiar with your obligations as a landlord before you invest.

Before investing in an apartment or house to let out to tenants, think very carefully about whether the investment is right for you. Property prices can go down as well as up and if you end up with a significant void period between tenants your investment property could end up costing you a lot of money.

The author of this post, Wei Wong, is an avid blogger who often writes about Orlando Realty, a company providing homes in Orlando, FL.

Let's Keep In Touch!

New ORC Form Lead

"*" indicates required fields