Real Estate Careers No Need for Real Estate Classes. Just Read This Blog by Nadia Abulatif April 26, 2018April 18, 2018 by Nadia Abulatif April 26, 2018April 18, 2018 Signing up for real estate classes might be a great idea. However, why spend money when you can learn all about how to start in real estate investing from one blog?! Even though real estate classes are a great way to learn how to become a real estate investor, we doubt they’ll teach you how to be a successful real estate investor. So, let us give you the essence of real estate investing and save you the trouble of attending real estate classes. Related: What’s the Value Added of Learning from Real Estate Blogs as a New Investor? However, instead of just throwing all the information at you, we will add a few blogs that are great guides in many different aspects. So, keep reading! How to Invest in Real Estate If you are looking for a way to start investing in real estate, there are two main ways that we can suggest. Of course, real estate classes have nothing to do with your choice. As long as you understand what they are, you are good to go. As for experience and in-depth knowledge, we promise that it is a matter of setting your feet at the starting line, and the rest will be uncovered as you work your way through the business. So, here are the two investing styles that you can go with: Active Real Estate Investing Simply put, active investing is when you are involved in every aspect of the business. Therefore, you can choose to run your business the way you want to as you are in control. In real estate, there are a few strategies that require active effort from you. Fix-and-flip is one of these real estate investment strategies that demands you engage in it actively. As fix-and-flip is a short-term strategy, it requires more work than other ones. Basically, you buy an investment property in a distressed condition. In return for taking it as is, you get to purchase it for below market value. After that, you apply necessary renovations and look for a buyer. Once you have renovated the property, it automatically forces appreciation in value. This means, that you sell it at a price that compensates for your expenses as well as leaves some profit margin. Of course, you can’t hire someone to do that for you. Another investment strategy that requires active involvement is real estate wholesaling. Similar to the concept of fix-and-flip, wholesaling involves distressed properties. However, there are two main differences 1) you do not buy a property but rather assign it to a contract and 2) you do not apply any renovations. Therefore, your only role is finding an end buyer who is willing to take the property as is. Your commission is the difference between the price you’ve agreed to with the seller and the end price at which you sold the property. This also takes time and effort which you cannot possibly do by hiring other people. While you take part in either of these real estate investment strategies, you will be learning all about real estate investing. These experiences can be like real-life real estate classes except you’ll be making money. Passive Real Estate Investing On the other hand, passive real estate investing does not require your involvement. Sometimes, you get partially involved, but mostly, other people do the work for you. Of course, this is something you will learn in real estate classes. But why pay money when you can look it up on the internet?! So, what are some of the best passive income investments that a beginner can engage in? Related: Best Passive Income Investments in Real Estate: How to Find Them First of all, there are plenty of real estate investment strategies that do not require participation on your side. One of these is buy-and-hold real estate properties. As the name suggests, you buy an investment property, hold on to it as long as you wish while it is appreciating, and then you sell it when you feel the time is right. In the meanwhile, you can also benefit from it in the short-term by renting it out. This will provide you with a steady income in addition to increased value by the time you sell it. You are wondering where the passive part comes? It is when you hire a real estate property manager to take care of the property. Whether it is maintenance, collecting rent, renting it out, or even marketing, it does not matter. There are plenty of real estate investment management companies out there who are willing to care for your business in exchange for monthly fees. Buying Profitable Investment Properties Let’s be real here. Real estate is not as complicated as they tell you in real estate classes. Once you have picked your strategy as well as your investment style (passive or active), the rest is a matter of buying an investment property that has a high investment potential. However, this isn’t hard either. As a matter of fact, you won’t even need real estate classes to teach you that. Here is what it takes: Related: How to Motivate Unmotivated Sellers When Buying an Investment Property Learning About the Real Estate Market Analysis Real estate market analysis is a term that you will come across sooner or later. You ask why? It is because this is the process that helps real estate investors in finding the best places to buy investment property. After you choose a location for your investment, you must analyze that location. Why? Because location is huge in the world of real estate! Here are some links to help you understand the importance of it: Location Location Location: What Makes for the Best Place to Invest in Real Estate? What Is Market Analysis in Real Estate Investing and How Do You Perform It? Learning About the Investment Property Analysis When it comes to making money in real estate, this type of analysis is what you must consider. There are a few significant measures that are indicators of profitability that you must know. As a beginner investor, get to know the return on investment, the capitalization rate, the cash on cash return, in addition to the cash flow. As long as you know what they mean, you won’t have to take real estate classes to perform these calculations. In fact, they are very easy. However, if you are not interested in math, your real estate agent can do it for you. Using the Right Real Estate Investment Tools If you are still not interested in math and do not want to hire a real estate agent when you buy an investment property, we still have an alternative for you: real estate investment tools. One of the best tools to perform the above calculations is the investment property calculator. It will not only perform investment property analysis but also the real estate market analysis. To find out more about real estate, check out our blog. We promise you, you won’t even need real estate classes to start a real estate business. Start Your Investment Property Search! START FREE TRIAL Start Your Investment Property Search! START FREE TRIAL 0 FacebookTwitterGoogle +PinterestLinkedin Nadia Abulatif Nadia Abulatif is an experienced Content Writer at Mashvisor. She was a trainee lawyer before switching to writing about real estate. She is currently doing an LL.M. in Human Rights and International Law. Previous Post Basic Advice for a Beginner Real Estate Investor Next Post How to Find Investment Properties Using a Property Finder Tool Related Posts Here Are the Most Important Pros and Cons of Becoming a Real Estate Investor 8 Winter Property Management Tips for 2020 Millennial’s Guide on How to Become a Real Estate Investor Making Money in Real Estate Online – Is it Possible? 5 Things I wish I Knew Before Becoming a Real Estate Investor How to Run a Successful Property Management Company: 9 Tips Your Guide on How to Make Money in Real Estate How Much Does a Real Estate Developer Make? How Long Does It Take To Start Making Money In Real Estate? The Top Real Estate Websites That Will Make Every Investor Succeed Our Bulletproof Formula for Success in Real Estate Investing This Is How to Go About Buying an Investment Property Leave a Comment Cancel Reply Save my name, email, and website in this browser for the next time I comment.