* Withstand all pressure of people who try to induce you to sell
at a loss.
* Increase desirability of the property before you sell.
* Observe the effects of local improvements, movements and
activity. Develop ability to buy Real Estate with the greatest
potential for the future. The successful buyers of Real Estate
have a good knowledge of facts and laws, learned under a great
variety of circumstances. They realize the importance of making
investigations. They know economics and business conditions
locally and nationally. They study trends, growth areas and
property utilization. They have a correct idea of their own
personal finance limitations. They have a high degree of
interest, judgement and imagination.
* Adaptability, fortitude and a high degree of resourcefulness
are other attributes to successful Real Estate investing. Desire
for ownership and not being adverse to going into debt are very
* If a property appears to be greatly under priced never quibble
over price. List all the significant advantages and disadvantages
of each property. There should be some reasonably outstanding
features that will generate enthusiasm. Decide to buy on the
merits of the property, not because someone is suggestive. If you
lose a good deal, a better one will come along. Resist
* If you are buying a property to hold for a long time, compute
the taxes, interest, insurance, etc. You will have to pay while
it is in your possession.
* Realize that when the market is good and the price is rising
you can always buy, but when the market is going down it is
difficult to sell. Don't sell too quickly and do not over-extend
* Realize that increasing value of improved (homes buildings,
etc) result mainly from increasing population.
* if you are interested in making money investing in REal Estate
foreclosures, the best way to succeed is to develop a financial
plan based on your tax bracket so that you will know when to sell
off which properties and when to keep them for future increase in
value. You will need to recognize when there is "concealed"
equity in a property which is not visible to other investors.
Look for homes from 5 to 20 years old with potential net profits
of no less than $4,000 when you convert them.
* Know the laws in your state pertaining to the foreclosure
process. Look over all the small print in contracts. Most of them
favor the seller. If you are the buyer, have the contract changed
to fit your requirements.
* Be careful at auctions so that you don't get carried away with
the bidding; determine in advance the top you will go and stay
* Strive to locate and purchasee distressed property before
foreclosure proceedings start and you can generally assume
conventional loans under the same circumstances as presently
* When you have purchased the property in a slow Real Estate
market, it is easier to sell since you have probably acquired it
at several thousands below the current market value.
* It can be good policy some of your property and keep some. For
example, if you can sell one-half of the property and get mos of
your money back, you will be able to retain the balance for
future enhancement and use the proceeds of that portion sold to
speculate in other properties.
* Speculation is not all profit. As time goes by taxes and
assessments increase; some properties may have to be sold to pay
for such increases.
* The greatest deterrent to a person buying Real Estate is the
fear of making a mistake. Of course a person can't afford to make
many mistakes in Real Estate speculation just as in any other
kind of business.
* During a period of inflation, land is the best investment.
During a recession or depression, land is the worst investment.
If a recession appears imminent sell, even if on a contract for
a reasonable dow payment and monthly payment on the balance. You
will have an income and also have the property as collateral. You
can be sure that as long as general economic conditions are
good, the value of well selected Real Estate will increase.
* Populations increase by birth rate and by influx. Check to
determine the past circumstances of the local economy, the demand
for public services and the future growth potential. The fact
that a city has increased in population is not significant in
itself. Perhaps there has been an annexation of adjacent areas.
Yes! By comparing, learning and using good common sense you can
profit in Real Estate regardless of recession, depression,
interest rates, or inflation!...And without excessive risk!