Tony Hawkins, ABR

This issue of the Hawk’s Cry comes at a time when some clients are inquiring about real estate investing or income property. Income property is real estate that generates rental income. Examples: apartment buildings, shopping centers, office buildings, and/or warehouses. Investment property is purchased real estate that is expected to increase in value over time. Examples: single-family or multi-family dwellings. Both properties are purchased to generate X dollars over Y time. The point is over time. An investor must allow the investment to work over time, and not expect immediate profits.

Real Estate Investing is the desire to achieve a portion of your annual income from business activity that centers on real property. Real Estate investing means different things to different people. From owning one rental property, to being a partner in a multi-million dollar commercial enterprise, you as an investor, decide where and how you will earn money due to real estate.

A potentially successful real estate investor should possess the following character traits.

	The ability to set realistic goals
	The ability to prioritize activities
	The ability to manage time
	A willingness to learn
	Patience

Your personal financial budget should be reviewed prior to investing in property.

Investors usually decide on an investment property niche. A probable starting point for a first time investor is the multi-unit family residence. These are 1 to 4 units (apartments) located within a 50-mile radius of your principal residence. Some lenders require a 20% to 30% down payment on investment properties, while others allow a loan-to-value (LTV) rate of 65%. I can recommend a few lenders for you to interview.

I will meet with you to discuss your requirements, location, and property choices and how patient you are. We will work together to discern how much money you are able/willing to invest and do some math together. I will assist you in locating the correct property(ies) for you.

This is an overview of a real estate investor for informational purposes. The Internet, while providing some facts, does not consider the uniqueness of Land, where the property is physically located, the local market’s economic cycle and the local zoning laws.

Real estate investments can be lucrative. However it is a potentially risky business venture. Being able to provide housing or space for those who need it is quite generous, especially if you can get paid for it. However, you can lose your shirt if you are not careful. If you, your family or friends are looking to invest in real estate now or in the near future, please call me. Call or e-mail me for further discussion on income producing properties.

*If commercial properties are more your inkling and you have the capital, call me immediately: Tony Hawkins, ABR @ (919) 491-7254.