Hundreds of thousands of investors have turned their backs on the rollercoaster stock markets and sought alternative asset classes in which to invest their hard earned money. This has led to a global boom in real estate markets and property prices, and it has spawned a generation of budding real estate investors. You cannot convince me of there being a housing bubble. People will always need a place to live and an office or store to work from. That means there will always be a need for real estate, in one form or another! My husband has been buying and selling real estate for years now. We have had rental properties, land contracts, rehabbed and flipped properties, done short sales and wholesales - you name it. What is most important is to not jump into this without educating yourself. You do not want to quit your day job and jump into any new career without doing your homework. One way to get educated is to click here! You cannot afford to put your finances and family through stress, ease into it, have fun, but do your homework. There is a lot of money to be made in real estate if you are smart. Never Assume Anything. This goes from assuming a house is structurally sound - to accepting that tax laws won’t change - from believing your tenants when they tell you that they are house proud and honest - to accepting the first builder’s quotation! This is your investment, your future, your potential profit and therefore, it is ultimately your responsibility. Get your FREE credit score and more! Whether you’re purchasing property to rent out or buying real estate to renovate and sell you need to sit down and add up every single area of projected expenditure to enable you to set a realistic budget with which to work. If you plan to use the property as an investment, ensure the rental yield you intend to obtain from your property is actually realistic or that the asking price you intend to set once you’ve renovated the property will be offered. Make sure you add in everything from having searches and surveys conducted, legal fees, insurance costs, likely interest payments on any finance required, taxes, utilities, marketing for tenants or buyers, real estate agency commissions, and any improvements/renovations that might be necessary. These are all in addition to the standard split of closing costs. Save up to 20% on Home Insurance, Get Free Quotes! Few people are a master of all trades, therefore, recognize areas where you are far from being an expert and at least consider asking for a second opinion. If in doubt always double check and if this means you have to call in an expert, make sure you call in an expert! It will make all the difference in the end result. One of these experts will no doubt be a real estate appraiser. It is critically important that you find a reputable and competent real estate appraiser. That one appraisal can easily make or break a deal. Your profit in the end will always reflect how good a deal you got on the sales price. In the best case scenarios the appraisal is returned indicating that the fair market value of the home meets or exceeds the sales price. The problem comes in when the appraisal indicates that the fair market value of the home is less than the sales price. This means the prospective buyer would either need to drop the deal or renegotiate the sales price with the seller. If you should hire a less than competent real estate appraiser you find out the hard way later on that the property you purchased was not really worth the amount that you paid. One such expert company to use would be - ElectronicAppraiser.com- Instant Home Reports! Real estate appraisers perform an evaluation of a property and then provide a written evaluation after consulting standardized checklists and comparing the property in question to county land value sources and sales information on nearby similar properties. The estimation of replacement costs is also taken into consideration. Finally, real estate appraisers must be able to verify legal land descriptions. As you can see, there is quite a bit of work involved in performing a competent real estate appraisal and it is important that each step be performed accurately.Your real estate agent or loan officer will most likely be able to suggest a real estate appraiser but this does not necessarily mean this is the right person for the job; it merely means this is the person they most often work with. To get the job done right you need to find a real estate appraiser who is able to perform a completely objective evaluation. Look for someone who has been formally trained and who possess a license with the state real estate commission to perform such appraisals. Also look for someone who possesses adequate experience in performing real estate appraisals and who is knowledgeable about the local real estate market. Ask for references and/or recommendations from any real estate appraiser you consider. Electronic Appraiser - Before you buy or sell, get the facts!