From building a nest egg for retirement to generating more income on a daily basis, there are many reasons people look toward Santa Cruz real estate for a secure investment. If you’re looking to put your money into the property market, you have several options. Below we’ve outline three types of property investing depending on your time and desire to be actively involved.
1. Purchasing Rental Properties
If you don’t have time to play the Santa Cruz real estate game and want to make sure you’re making a solid investment with a long-term payoff, then purchasing rental properties might be your ticket. Look for homes that need little work. Check the comparable rentals in the area to make sure you can charge more than what your mortgage payments will be. You’ll need a cushion for maintenance and major repairs.
2. Flipping Homes
If you’re the type who likes to be immersed in a project and get your hands dirty, then flipping homes might be the type of investment you should make. Make sure you possess the knowledge, skills and connections to purchase materials and do the renovations cheaply — or with your own two hands. Look for downtrodden homes in nice areas; once you increase the home’s value through renovations, then you’ll be able to sell it for a pretty penny.
3. Wholesaling Santa Cruz Real Estate
This option is desirable for investors who have little resources starting out, but have time to watch the market and like to strike a fast deal. Wholesaling is when you put a property under contract and then reassign or resell it to another investor. If your time runs out on the contract, then you have a written-in contingency that allows you to walk away. It’s important as a wholesaler to develop an extensive network of investors.
Whether you just want to sit back and watch a nest egg grow or make a quick buck, purchasing property can be a solid and rewarding investment. If you’d like more tips on rental or property investments, please call me at 831.662.6522 or email me at Lauren@LaurenSpencer.com.
For additional real estate information, please visit my home page at www.MySantaCruzRealEstate.com.