TOP 9 HIGH RETURN REAL ESTATE INVESTMENT IDEAS
The field of real estate business is increasingly interested by many people because of its high profitability and many people do not hesitate to invest capital to make a profit. Here are Top 9 high return real estate investment ideas.
I- What is real estate business?
Real estate business is the investment of capital to develop different types of real estate such as construction, purchase, receive transfer for sale, lease, real estate brokerage, real estate trading floor services, real estate consulting or real estate management. Investing in real estate can be in the form of stocks, securities or direct real estate investments.
If you do not know where to start in real estate business, how to do real estate business to make big profits, then let’s check out the real estate investment experience and smart real estate investment secrets right below.
II- How much capital does a real estate business require?
When it comes to the real estate business, many people often think that it takes billions to invest, but the reality is not quite so. There are people who make money from real estate business in case they have very little money or from empty hands.
III- How to start a real estate business?
With beautiful plots of land, good location, profitability will be high, easier to buy and sell at a higher price. Furthermore, the transaction time does not take much time.
Is real estate business difficult? When buying any real estate, you should buy at a lower price than the market price. Don't buy at the market price and hope that the price will go up in future.
If you buy at a price level that is equal to the market price, you can make money when the real estate market goes up. But smart real estate investing is having profitable as soon as you buy it. Thanks to that, you can make money even when the market goes down by choosing a good liquid area - buying cheap and selling cheap.
Real estate business is transferrable, so when buying and selling you should pay attention to administrative procedures such as red book, land use certificate so that when there is a need to sell immediately, it will be quick. Faster procedures also attract more buyers and the following procedures are also conducted more quickly.
One of the certain real estate investment experiences to note is that you should carefully find the legal information of the property from local property bureau or someone who have thorough knowledge about real estate before making deposit transactions or buy/sell.
Building a variety of relationships in advance, don't wait until you need to find them by actively participating in parties, groups, forums and seminars that share information and experiences of real estate business and real estate investment.
IV- Top 9 real estate business ideas that have high profit potentials
Below are top real estate business ideas that have high profit potentials you can think of when you want to start a real estate business.
1- Buy old houses / private land and then repair or build new ones, and sell them at high prices
Regularly hunting for small plots of land, in alleys or old dilapidated houses in inner city area with cheap prices. With a small amount of capital, you should use it to repair or build a new house and then sell it at a high price to buyers.
However, finding cheap land is not easy, besides you must know how to sell. You need to design eye-catching interior and house architecture.
2- Buy an old house, repair and then for rent
This real estate business form is quite stable, but you need to spend a lot of money when buying real estate. However you can own real estate in the inner city centers and can wait for the price to rise to sell if you want.
The area that should be selected is the inner city where there are many offices, schools, hospitals… Find old houses or vacant land to repair or build into mini-apartments or closed rooms with small sizes then rent out. With this real estate business form, you may need to hire security guards, laborers, maintenance workers ...
3- Buy old houses, repair and lease offices/shops
Leasing offices and shops is no different from leasing houses. However, this real estate business form requires you to focus on developing real estate values. Particularly, it is not only a beautiful place but also must be built into new construction or upgraded to certain standards and more.
4- Rent a house and then lease it
According to real estate business experience, you can rent the whole house cheaply then divide the room, even invest in repairing the house to increase the rental price and make a profit. At first, you may need enough money to pay the rent. If you negotiate to pay rent down to 3 months, 1 month, the amount you spend will be less. Then you go to reputable real estate classifieds sites, post a house for rent. Just take a higher price than the original price divided and you can already make a profit. This will be more convenient if you lease houses with many self-contained rooms and the landlord agrees to give you full control of the subleasing decision. If the contract is long-term, it can be considered to renovate the house to build more rooms.
Furthermore, it is also necessary to find out demand in the area intend to lease a house. Areas with many universities or industrial zones will be the best choice. Besides, clean and well-renovated rooms will have a higher rental price, but the cost is not too great.
Moreover, you must manage tenants closely to avoid unexpected legal or financial problems, strictly manage electricity and water costs to avoid losses.
5- Short-term urban land investment
With a small capital, you can invest in real estate and earn double the capital in a short time.
6- Get a Mortgage loan of purchasing real estate
This is a form of real estate business that does not need much capital and is used by many people today. You borrow money to buy and get a mortgage loan for the purchasing real estate, and then lease that real estate to households or foreigners, individuals for a long time. At the end of the month, receive money and calculate the necessary things.
If you are not familiar with the transaction procedure, finding tenants, repairing houses, etc. You can hire a real estate management company. Otherwise, you can take the initiative in renovating the house and finding tenants yourself.
Rental money is used to pay interest to banks and real estate management company, if any. At first, it is not necessary to make a profit, just enough or can offset the additional costs to the possible extent. If hiring real estate management company, you should choose a reputable company. It is advisable to have a reserve money amount on hand to prevent risks from occurring.
What conditions does this real estate business form need? In order to apply the above real estate business secret, you need to have some skills and solve some problems which are not too difficult for those who like real estate business.
- It is necessary to find real estate with high profitability.
- Reserve on hand a certain money amount to hedge against risks. If you invest €3, you should have €1 in your house, it may not be your money, but when you need it, you can use it.
- Use reputable real estate companies’ services. You can still do it yourself but it's definitely not as professional as them and the cost you do yourself may be higher.
7- Choose to buy real estate far from the center
You can also choose to buy real estate far from centre areas because it will be cheaper which is an effective real estate investment. However, these locations must be areas will develop in future, not areas that are already developed or will not be able to develop.
In developed areas, the opportunity for those with little capital to buy is not high. You have to wait many years until the market price rises to a higher level for you to make a profit.
The advantage of those with little capital when exploiting this property market sector is not having to compete with real estate giants.
8- Become a Real Estate Broker
The essence of real estate brokerage is to connect people who want to sell and people who want to buy / rent. This is probably also one of the most popular choices when entering the real estate market.
In addition to the practical experience, it is advisable to study or read more real estate books to nurture your minds with rich knowledge about the property market as well as real estate sales skills.
9- Seize the opportunity with hot real estate projects
For those who understand the real estate market, have quick information on projects and good knowledge of real estate, this is their extremely favorite way to invest in real estate.
You only need to spend a small investment capital amount to make a deposit, then transfer it to someone else for a higher price. Each house in this form you can make a profit.
To do this real estate business type, the project must be really hot in the market, choose apartments with high demand such as apartments with small area, corner apartments, floors and views of apartments are preferred by many people.
TOP 9 HIGH RETURN REAL ESTATE INVESTMENT IDEAS
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