Property Investing Secrets 8

Property Investing: A Buyer's Secret Weapon When Buying Real Number Estate

My friend, Roger, makes property investment and is a accredited existent estate agent. Recently he looked at a property in another state that was probably deserving $225,000.

After some resonance building, the agent told him that he may be able to purchase the property for around $200,000. Roger loves property investment and he follows cardinal regulations like doing his home work. He still thought the property was expensive and did not prosecute it further. About a calendar month later, Roger received a phone call from the existent estate agent.

The agent said that the marketer would probably now accept about $180,000. The agent explained that the marketer had paid about $180,000 for the property eight old age earlier and he just wanted to get his money back. Roger was surprized that the marketer had not factored in costs of ownership.

It also happened to be April Fool's twenty-four hours and Roger sometimes he have an off round sense of temper about property investing. He said to the agent, expression state the marketer I'll pay $150,000. Roger also said he would subscribe a contract now and facsimile it to the agent immediately. After that was done the existent estate agent rang him back the adjacent twenty-four hours and said, "I can't believe it....you've bought the thing. Had I known he would have got got taken that terms I would have bought it myself!"

There are a couple of lessons in this example. First make your homework when you're property investing. That agency you cognize where underside of the market it is-before you ran into the existent estate agent. Secondly, make some resonance edifice with an agent. Now some of you may be wondering how Roger could do an offer of $150,000 to the agent. Roger presented himself as a serious buyer.

Roger's secret arm was that he didn't care whether he purchased the property or not. In fact when property investment he never gets emotionally involved. He told me he'll do an offer on a property, not caring whether he have the existent estate. This is a secret arm of many complete property investors-thought astatine modern times it can be hard to set in practice.

I've establish when property investment that if a marketer desires to sell to me today, when I make an offer it's the best I can do on that day. Just as Roger's best offer was $150,000. More often then not, this strategy will enable you to purchase property at a discount. Bottom line it's important not to get emotionally attached and chase existent estate.