Buying Investment Property 7 Ways To Find An Investment Property For Maximum Returns by Victoria Daibes April 22, 2018April 16, 2018 by Victoria Daibes April 22, 2018April 16, 2018 To find an investment property for maximum returns requires experience and much due diligence. The ROI on an investment property is positively correlated with a few criteria, including but not limited to location, neighborhood, economic conditions, and occupancy rate. Without the right location, real estate investors will incur a high vacancy rate and spend more money on the rental property with little return. It goes without saying that prime cities in booming economies reap the maximum returns and investors who are the quickest to find these best investment properties cultivate high returns and maximize their rental income as a result. Related: 7 Things Successful Real Estate Investors Have In Common 4 Types of Real Estate Investments For Maximum Returns 1. Buy and Hold Real Estate Strategy Buy and hold real estate is one of the best investment strategies for maximum returns because it allows investors to make money short term while accumulating appreciation on the rental property long term. Respective to the economic and market conditions, buy and hold real estate can increase in value over time and sell for much higher than the original price. Real estate investors earn big fat profit margins if they invested in prime neighborhoods located in booming cities with high demand for rental properties. So long story short, choose cities with positive economic indicators to find an investment property for maximum returns. 2. Airbnb Investment Properties If the buy and hold strategy is too long term for your business plan, opt to invest in short term rentals for maximum returns. With that said, keep in mind Airbnb is a cutthroat business and the competition is intense. To make money with a short term rental strategy, landlords must invest in touristic cities reaping high Airbnb occupancy rate throughout the year. Moreover, your Airbnb rental income is dependent on the occupancy rate, guest reviews, the pricing strategy etc. As your Airbnb guests come and go, you must keep up with the ever-growing guest demands and expectations and personalize your overall guest experience to maximize your returns. 3. Real Estate Wholesaling Wholesaling is a riskier business and it is highly advised beginner investors avoid wholesaling in the early stages. In a nutshell, you as the wholesaler sign a contract with a home seller at a fixed price and market the home to potential buyers. The wholesaler is the middleman in this transaction and reaps a profit margin from selling off the real estate property to the buyer. You are given limited time to find a buyer, which makes real estate wholesaling riskier for beginner investors. But, if done right, investors can earn the maximum returns in the quickest time from this real estate strategy. 4. Commercial Real Estate If you have the capital means, you can invest in big commercial real estate for maximum returns. From strip malls to big shopping malls, commercial real estate earns investors significant cash flow returns. But be warned, vacancies last longer than residential properties. Commercial real estate is also not for beginner investors, but it should be considered down the line to grow your returns. 7 Ways to Find an Investment Property for Maximum Returns 1. Mashvisor.com One of the best ways to find an investment property for maximum returns is Mashvisor.com. Real estate investors, advisors, and real estate agents all use Mashvisor to view thousands of traditional and Airbnb listings across different US states, cities, and neighborhoods. This platform compresses real estate market analysis into only 15 minutes. Key features like Mashvisor’s rental property calculator and the heatmap tool measure the profitability of an investment via the cash on cash return, cap and occupancy rates, and estimated rental income. Moreover, Mashvisor also allows investors to use property and neighborhood comps and even tells you the best investment strategies (traditional vs. Airbnb) for each distinct neighborhood. Related: Where Can You Find a Rental Property Calculator? 2. LoopNet.com Another way to find an investment property for maximum returns is Loopnet which allows investors to buy and lease commercial real estate. The website also provides searches by type of investment property, owner information, tenant information, and tax information. You can also find pre-foreclosed properties at substantial discounts. One key feature is the ability to search real estate comps in any neighborhood based on a street address, price, square footage, date of sale, and number of rooms etc. 3. Craigslist.com Craigslist is the third online database to find an investment property for maximum returns. This website is less sophisticated than the website mentioned above. But, nevertheless, it gives investors a general overview for finding real estate properties for sale across the country. You can type in keywords such as ‘foreclosure’ to narrow your search and set a price range for your search. 4. Foreclosures Foreclosed properties are another feasible option to find an investment property for maximum returns. If investors pinpoint the right location and find a foreclosed property at a deep discount, they can reap financial rewards in the long run. But keep in mind, buying foreclosures at an auction is not easy and it takes skill and experience to buy at the right price. Related: How to Buy a Foreclosure as an Investment Property 5. Realtor.com Realtor.com is the official site of the National Association of Realtors. Many investors use Realtor to find an investment property through million of listings aggregated from over 800 Multiple Listing Service databases across the US. 6. AUCTION.COM As the name insinuates, the website focuses on auctions related to foreclosures, commercial real estate, luxury real estate, construction, and land. The auctions are carried out on an online platform as well as courthouses and meeting halls. 7. NETWORKING The last way to find an investment property is via a real estate investment network. Building a network in real estate investing is crucial to your success and long term wealth. Essentially, your real estate investment network is comprised of key stakeholders in growing your business and returns, including tenants, realtors, other real estate investors, contractors, accountants etc. If you are on the lookout to find an investment property, make sure to ask people from your network for the best recommendations to build your portfolio. Be proactive in contacting sellers directly because they may know of a sale that hasn’t been listed yet. That way you stay ahead of the competition. Conclusion To find an investment property takes time and research. Make sure to design a business plan and set long term goals to make smarter decisions in growing your business and wealth long term. To learn more about all aspects of real estate investing, continue reading our blog. Start Your Investment Property Search! START FREE TRIAL Start Your Investment Property Search! START FREE TRIAL 0 FacebookTwitterGoogle +PinterestLinkedin Victoria Daibes Victoria is an experienced content writer who enjoys writing about all aspects of the real estate market and industry. 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