Melbourne, Australia is a booming place for many businesses, not the least of which is real estate investing. No matter what branch of real estate you are in or want to get in, you should have the information that will bring you large profits? Profits that you will realise by financing multiple properties.
You can use these principles regardless of the number of properties you currently own. With as few as two houses, or as many as thirty, you can make a fortune as the country's real estate values continue to rise.
A popular way of raising capital to invest n multiple properties is to take a currently owned property and cash out or get the ROI. Then use these new funds to purchase the next investment. However, what if there is a better way, a way that leverages your current possession into more holdings?
For the sake of argument, let us agree that you have five properties valued at $100,000 each. We will go one-step further and say they are all paid for. You could sell all or a few of them to free up capital to buy multiple properties but then you have the waiting game to play and in the mean time that great deal down the street just got away. Better to keep them and begin formulating your plans to buy a good flipper.
The short definition of a flipper is any house priced far below market value due to condition that you are planning on buying, fixing and then selling. As opposed to buy and hold, you are flipping the house right back to the market in hopes of a big and fast return.
Flipping is buying the worst house in the best neighborhood at a price far below market value. You then use your resources to improve and repair the home so that you can sell it for a huge profit.
You're going to use all of this money to buy and fix up the three flipper properties. Now, you'll want to make sure that you've done your homework in advance. You need to have accurate estimates of how much it's going to cost you to fix up each property and how much you're realistically going to be able to get for them when you sell them.
Make a smart deal and you will be laughing all the way to the bank, make a poor choice and you will cry all the way to the poor house. If you have never done anything like this before do yourself a favor and hire a good independent financial advisor. They will always have the bottom line clearly in focus. You are now all set to make a mint financing multiple properties.
About the Author:
About the author: James L. Hardcastle is a professional from Loans Australia and they know everything when it comes to investing in properties and can help you regarding financing at Loans Australia.
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