How to make money in Real estate

 Real estate

 Real estate

Real estate 

One of the famous author Garry Keller says that you can do 4 things with your money.

1st category  

First either you can kill you money, second you can keep it safe, third you can make your money healthy and fourth with the help of that money you can create more money.

Among these 4 categories maximum people do the first one meaning they kill their money before it grows up.

After getting their salary people start spending it they start buying many things some important and most not so important things and few even some money in the bank but saving money in the bank is similar to killing money for many people because,

Suppose if you get interested in your money around 4 to 5 percent then it will be around inflation rate only and as I shared in my intelligent investor video due to inflation money value gets decreases every year usually hence thinking money will be safe inside the bank or hiding money and keeping inside the house.

Or as per consumer mentality spending money on liabilities is not a good decision but it’s similar to kill money.

2nd category  

  

They keep their money safe like they do fixed deposit and all where they get around 5 to 8 percent interests on yearly bases and if that return is less compare to the inflation rate then you will save your money in that year.

3rd category 

In this category fewer people belong because they make their money healthy where their money increases 9 to 12 percent at the end of the year which is well above inflation and 4^th the category which is done very few people.

4th category

4^th category which is done very few people and do remember this few people are the ones who become millionaire they able to do it by keeping their money under wealth category meaning they invest their money in such a place where at the end of the year they get 13 to 20 percent interest in returns.

They are the actual investors and even your aim should be to come under the investor category by doing this 4^th the thing with your money.

If a question is arising in your mind like for investment money is required and I don’t have enough money from where I will get money etc.

Every self-made person start from somewhere at the start even they face the problem of having less money they earn less but the thing which makes them rich and successful is their mentality because people who have the capability to become rich has the investor mentality  meaning whatever they earn they save it and later invest it.

Whereas people having consumer mentality spend everything just by thinking that they earn less & they will never able to save a lot of money which is needed for investment and this kind of thinking is the biggest problem for so many people.

Let’s think about the 4^th category and the best way to get into a 4^th category is doing estate investment see the land is something even big companies can never manufacture in their factories.

Earth and land is limited and it will go to remain same hopefully whereas on the other side human population and their dependability on land has exponentially increased so if you think as per simple supply and demand perspective then you will realize how important real estate is.

Trust me by doing an investment in real estate many people have become a millionaire and still many are becoming, so why can’t you? Anyone can become real estate millionaire but everyone will not do it so the very first question is, do you really want to get into the list of real estate millionaire.

If yes, then learn how to buy property, you need to know if you have your own house then you should invest in shops or any that kind of property where you can give your property on rent easily and you can generate a good amount of money without working anywhere.

  Second thing you should know about that place where you want to buy property, is their price are high or low? then you have to know what is your budget and where you want to buy property, Always buy undeveloped property because there is a lot of chances you can buy it at a very low price.

If you heard about any property which is at a low price and in the good locality then you should buy it as soon as possible but after checked all the documents I have seen a lot of people who regret after sometime when some other people buy that property and you just thinking and thinking.

After listening about investing in real estate many people feel overwhelmed like what to buy? How to buy it? Whether the decision property will be right or not etc. Similarly, many such questions start arising in our minds which create doubt.

The first thing you need to be focused on the meaning you will create some criteria for yourself means which location property you want to buy or have an interest in which kind of property like weather residential, shop, or plot? What range of the property you want to buy?

Which you can give the highest return? Whether you want to buy alone or with a partner or with the help of any investor etc.

Prepare criteria for all such things that your focus doesn’t go to the things where there is no profits but stays where you can earn money and get profit preparing a criterion will be your opportunity filter which will allow you to understand the right opportunity and also helps you to take action.

You need to understand the financial part of the deal like at what terms you will close your deal is really very important if you get the right opportunity which fits under your criteria then you will come for terms, at what amount and price you want to buy that property and till where you can bargain and can buy if you buy property at a high rate then you may be facing the loss that can be the biggest risk for you that hence buy a deal on the right terms.

Don’t think that property rates will increase in the future and become market dependent instead buy a deal which remain benefits and profits since start means getting deal at less price compare to market rate.

You can create the best criteria’s only when you can understand your market very well and gain 

knowledge about real estate and start making a connection with broker and other knowledge people for all these, your network should be the best the more you know useful people and brokers the more you will get the opportunity hence grow your network.

You will see 4 types of people in real estate first observer, second speculators, third owner, and fourth investor.

Observers are the people who always observe market they know when the market goes up and comes down but still they never take actions and always wait and look at things.

Speculators are once who are risk-takers, they love to take risks, and without much knowledge and the wisdom they just invest take the risk just by speculating.

Owners are those who love to buy things and like to own them they love to buy properties just for their emotional needs and for their interest.

But you should have invested the approach instead of having these three approaches,

Investors are those who have good qualities of all three approaches and doesn’t have any bad qualities of them meaning just like an observer investor has knowledge about important things but also takes action and investor are risk-takers but with proper understanding and with proper wisdom and don’t risk just because they enjoy it which almost gives them profits and they love to buy things but not to fulfill their emotional need but to understand their investment value and even you should become such an investor.