There are numerous countries you can choose for land investments, but how do you pick the best one?
This article will give you some tips on picking the best land investment locations, without losing heavily.
If you buy investment land in the correct country and the correct location, you can look forward to doubling your money in a year! However, get it wrong and you will lose heavily.
Here are six tips for buying investment land for highest profit potential and lowest risk.
1. Buy A Growing Market
There are a lot of overseas land investments that are touted as the next “hot one” and you should get in quick.
The downside with many of these overseas land investments is that, prices never take off and you’re left with a loss!
We have seen new locations touted such as Romania!
Sure, it may take off, but don’t hold your breath.
The best way to buy land investments is to buy an established overseas land market that has a record of good growth which is likely to continue.
A great choice is Central America where countries such as Costa Rica and Panama have been providing many astute investors with triple digit gains on investment land every year, yet prices remain cheap in global terms.
2. Don’t buy cheap competitively priced land
Don’t buy investment land just because it’s cheap, it can always get cheaper, buy land investments that are competitive in price and have the potential for further growth.
Land is all about location and to get growth you need to buy close to the infrastructure being built, while more expensive, you have to see upside potential to risk.
Don’t look for cheap investment land for the sake of it; look for best upside to downside risk.
This is normally land in a growing market, that is ******* in new investment and has a track record.
Again central America is a great location for this
3. Look At Long Term Prospects for Land prices
Take a look at the future long term prospects for the country that your land investment is in.
There is no point risking your money in a land investment overseas that has the potential to be unstable politically or economically.
Many overseas property investments advertised are in economies that are poor and where the government and political situation is fragile.
Take Nicaragua:
A hot new location, but the Sandinistas have a real chance of getting in power again, so what will happen to foreign investment? Don’t bet against it being taken back!
4. Look at Up & Coming Locations in the country
If you want to make more than the average growth rate from your overseas property, then look for new and up and coming locations, within a growing economy.
As locations become established, they become more expensive and growth potential drops.
Look for the next “hot area” and look at the coming infrastructure to see hwere it will be. If you can take advantage of buying near important new developments: Like roads, airports or marinas. Chances are your investment will soar as these near completion and the herd arrives. You are in ahead and can sell at a profit.
5. Rights and Ease of purchase
Many countries don’t give favorable purchase rights to overseas investors and this can mean you could be in for a shock later on.
Take Eastern Europe, you may buy investment land and find someone has a claim from before the war! Due to shifting economic boundaries this happens a lot.
6. Overseas property investment – do your homework!
Don’t fall for sales hype and buy land investments in locations that may look good in the future with no track record, but locations that look good already ( have a track record of rising investment land prices ) and have potential to grow.
This may not be the cheapest land, but offers the best in terms of risk reward.
Make sure you do some research on the country you wish to purchase your land investment in so you have all the facts and get local help to assist you with any purchase or advice you on your rights.
Above all use common sense when buying overseas land investments, look at the facts and don’t fall for any sales hype.
Double Your Money Quickly With Low Risk!
If you follow the tips above and pick your overseas land investments carefully, you could be doubling your money every few years.
There is no better way to build wealth with low risk than overseas land investment in the right location.
By: Sacha Tarkovsky
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Read more on Investment in Land – How To Make Huge Profits & Avoid Common Mistakes…
Filed under Real Estate by on Aug 13th, 2010. 
Investment in rental property can be a risky proposition if the investor has not done his/her homework. But for the investor who has taken the time to research, it can be very lucrative. Probably the one thing most investors want to know more than any thing else is how they can become wealthy in the shortest period of time investing in rental property.
Most investors are busy concentrating on flipping single-family houses, when they should be concentrating on investing in multi-family units. With a single-family house if you lose the renter you have lost 100% of your income, which could be your profit for an entire year. If you have a four-family apartment and lose a renter, you have three other families giving you checks to pay your expenses. The bottom line is cash flow and cash flow is greater with multi-family units than with single-family units.
Let’s talk economics. If you have invested in several single-family rental properties you will more than likely have to travel to several different locations to collect payments, or to check on the property. With one multi-family unit you save time, gas and wear and tear on your auto by only having to travel to one location to collect several payments, or to check on your property. With today’s economy it could cost from $2000-$7500 depending on where in the country it is situated and the size of the house. Multiply that by six and you’re talking a very large amount of money. Repairing a six-family roof would cost between $5000-$10,000. You do the math.
There are a lot of real estate guru’s with infomercials abdicating the money to be made from flipping houses. They make it seem easy. But have you ever watched some of those programs on TV? Watch ‘Flip that House’ sometime. You will soon see it can be very costly rehabbing a house, especially if you don’t check the house exceptionally well before buying. Not only costly, but very time consuming. Not to mention the different contractors you have to deal with. That’s another problem; taking the time to interview and research all those contractors. After all, you want someone who knows what they are doing, don’t you? Once you find a good contractor and he has done work for you, don’t think they will always be ready to jump when you call them. After all, they are business men and they can’t sit around waiting on your calls. They have other irons in the fire like all good business people.
Don’t get me wrong, investment in rental property is a good business. Single-family houses are good investments. But they can also be a means to investing in apartments. If you know of anyone who is making money flipping houses, odds are good that he or she also has some apartments in their portfolio. Flipping houses is fine for the person who wants to do it, but investment in rental property is the better investment. And there is a huge market for apartment investing. After all, the guru’s are teaching everyone to invest in single-family houses. Investment in rental property is a sound business. Good luck.
By: Candis Reade
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Filed under Real Estate by on Jul 21st, 2010.
Refinancing investment properties is a great way for you to gain several benefits out of a growing real estate market. When long term interest rates are at lower levels than the ones you currently need to pay, you have to really consider refinancing. By making investment property loans you are offered different benefits that look very well at a given point in time. As time passes we can find even better offers than we had at the beginning. This is the basics of refinancing investment property mortgage although different other factors also need to be taken into consideration. When refinancing investment property mortgages you can leverage the equity of the property, thus lowering the monthly payments you are forced to stick to while increasing general cash flow.
As time passes equity is built in the property and this can be turned into cash via cash-out refinance. By refinancing at lower rates or increasing the period of the loan you can lower monthly mortgage payments while increasing cash flow even more. Different offers will be available while the market changes and you need to be on the look out for the one that best suits your personal needs. This means that you will need to consult different mortgage brokers or renegotiate terms with the current one.
The most popular use to refinancing investment property mortgage stands in the need of funding improvements to that property. This is usually done in order to increase the market value of the property and thus raising the rent for the people that live there. Cash out refinancing will mean that you can build additions to increase the living space, upgrade the furnace or central air, replace the roof, paint or re-side the house in order to give it a better exterior image, upgrade doors, kitchen appliances, floors and/or remodel the bathrooms. You can of course modify different aspects of living conditions that will justify an increase in rent.
Refinancing a property loan is also used in order to purchase another investment. This can create a nice evolution circle that can only lead to gaining more every single year. The equity in your property will be higher each year that the mortgage is paid down. Any increase in the value of the property can be capitalized through refinancing investment property mortgage and using the cash out refinance amount in order to purchase a new investment property or finance the purchase of a new investment property.
Utilizing financial investment property for personal benefits is also possible. The best thing is that you can basically do whatever you want with the money you gain. Using them for different investment possibilities is just one solution. You can use the money to go on the vacation of your dream or to boost your retirement savings. No matter what you will use it for, it is all up to you to decide what should be done with the profit coming out of refinancing investment property mortgage. Cash out refinances offer a very easy source of cash that comes from the fact that you decided to take an investment property mortgage in the first place. This is why you have to take advantage of the benefits offered from refinancing investment loans as well.
The only thing that can stop you stands in your decisions. The real estate market changes from day to day so you never know how long the lower interest rates noticed will remain a reality. This is why you need to move quickly and refinance investment property mortgage as soon as possible while paying attention to the various opportunities available from different mortgage brokers.
By: Lindsy Emery
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Filed under Real Estate by on Jul 18th, 2010.
They say that real estate can be the best investment that one person could have. Real estate has the capability to appreciate over time and at the same time people who are into real estate can have monthly income of their own. But no matter how good the feedbacks and the reputation of real estate in the market, only the select few are involved in this kind of business. Not because this investment property getting started is too hard, but because a lot of persons who wants to invest in real estate find investing in this sector a bit complex and confusing as well.
Let not this confusion get the best out of you. It’s time to fully understand what investment really means and one can person can get into property investment with the least hassles. And here are some tips that can help the newbie in you in order to make that first move in the right direction towards investment property getting started. First thing first, learn more about the business. If you want to go to real estate then you have to know the basics in the business. It is also imperative to know the risks involved with this kind of investment. In real estate investments are large and the losses that a person can have can be high as well. It is suggested as well that you know the types of properties. Knowing what properties come cheapest can get you started in the business. This means that you can first invest on foreclosures or the pre-foreclosures property. You can buy them at less cost yet you can do some upgrades on these properties so that you can sell them at a higher price. Other properties that you can look into include residential and commercial buildings, large or small.
With your investment property getting started, the next thing that you should consider is- are you willing to sell the property or you want to rent it out. Renting the property will ensure that you will have an income over for some time, but it should be expected as well that a certain part of the income will be used to maintain the property. Another thinking to live by is to go small first. The moment you have mastered the art of maintaining small properties, then it’s the time that you can go big time. Think location. Investors will always say location, location and location. This is true since the location of one property is one factor in shaping the price of that property.
Always avoid properties that may seem to look perfect. With investment property getting started, chances are these properties aren’t good investments. It is recommended as well that you do your own cash flow homework. Personally prepare the income and the expense list. The investments that you take should be near your place so that you can check it from time to time. A number of tips are available out there and at times these are just modified versions of what you know.
By: Ian Pennington
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Filed under Real Estate by on Jul 17th, 2010.
If you are considering purchasing investment homes there are several things to keep in mind. In many areas home prices are currently lower than they have been in many years and it may be an optimal time to buy that investment property. The thought has always been that homes will go up in value. In general this is true; however, if you buy a home when the market is high the long term value is not so valuable.
Be sure you watch the market trends. It is pretty obvious that in some areas like Arizona, Florida, Nevada and California the housing market has plummeted which is great for the first time investor or investors in general. Buying a second home or an investment home is great when prices are at a low as in time the prices will rise again. Right now we have may bank owned homes and short sales which is a great opportunity for the investor to decide if it is right for them to buy.
This is of course a personal decision based on your current situation. You need to look at several factors like your credit. Lenders are being much more careful on who they give loans to and at what terms. On investment properties and lender usually requires twenty percent down. If a home will cost two hundred thousand dollars you will then need forty thousand dollars to put down plus any additional closing costs. If your current situation is one that you already know it is time to start to buy one or two investment homes then the next step is to decide where you want to look.
Keep in mind that you optimally want the rent to cover the mortgage payment, insurance, interest and any additional fees such as homeowners association fees and maintenance. You should not be coming out of pocket on expenses because then your investment home is not paying for itself. It should pay for itself and hopefully a little left over to set aside for unknown repairs or maintenance. You need to ask yourself if you are going to manage the property yourself or if you need to have a management company do it and factor in that fee as well.
A good rule of thumb on where the best place to buy an investment home will be to know the following is true. A home buyer is willing to drive extra miles to own a home but a renter will not be so willing to add travel time and gas costs on a home further away from their daily routine of work and school. If they can spend the same amount of money for a home closer to their daily routine then they will rent that home rather than one further away. You do not want to go so far out that you will not be able to find a renter for your home.
So now you know location is a very important factor in buying a rental. Next, what size of home is a good typical rental? At minimum a three bedroom home is suitable for the average renter unless you are talking about a college rental situation. A single story home in the Arizona region or Nevada region would be more likely to rent a little faster as well as utilities will cost the renter less than a two story home.
Be sure the home you choose is in an area that is good for re-sale as well and a good builder. You will one day want to sell the home in order to make a profit so look at the home as a potential home that will need to sell later down the line to a buyer and will be attractive to them. The area is very important as a potential buyer in the years to come will likely be buying for their family so ask yourself if you would live in that neighborhood.
Investing in a rental home can be profitable but consider all factors and take your time finding the right property.
By: Nancy Niblett
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Filed under Real Estate by on Jul 4th, 2010.
Buying land can be seen as a stagnant investment by few. However, if you compare investing in land with other investments that you want to make, you will know that investing in land is one of the best decisions you have made in your life. Also, it is a safe investment.
Buying land as an investment requires a deep understanding of the growth potential of the place you buy in. Buying next to a highway will be excellent. However, are you buying land in a saturated market? Or are you buying land in a growing market? Many of us may know the I-635 and I-75 highway flyovers under construction. In the same way, when you buy land, you should see the proposals of growth for highways and infrastructure projects. Study the trends in business growth and migration. Taxation policy for businesses may be something you want to observe.
Land is an excellent investment. Not only does it ensure security, it also ensures growth. It maximizes utility and has a greater return on investment than stocks or a Certificate of Deposit (CD). Should you want to build a house on your land, you can do so. You can sell it to a developer should there be an increase in demand for the property due to mobility of workforce or people into the area.
Let us examine investment in land by looking at a few other investment options. If you buy a CD, the return on investment can be lower than the inflation rate. So, you may be basically losing money by investing in a CD. It may be better to pay more money to your payment and ensure that it applies to the principal. Now, regarding investing in stocks, there are very few stocks that perform exceedingly well. Many stocks under perform or do not give the return on investment that one hopes for. Unless you invest in a startup with excellent growth potential, it is unlikely to have a return on investment that is more than the return on investment on a land investment.
If you consider the ratio of land/person, the ratio shows that the land per person is reducing every day. Population growth in the last century outgrew the population growth in the century preceding it. Land is limited in supply. So, it is valuable and ensures a better return on your investment. Even if it loses value, you will have the property and slowly it will regain its value. With all the reasons listed above, buying land is an excellent investment.
By: Omni Chaparala
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Filed under Real Estate by on Jul 3rd, 2010.
The current economy statement in Romania is steadily increasing the levels of GDP and significantly high levels of Foreign Direct Investment (FDI). The economy investment grade has recently been upgraded by Fitch and P&S. Romania benefits from the rising FDI flows due to the privatization process, and the advantages of its big internal market
Romania is also having a great geographical location at the intersection of some great trade routes joining the Far East with the Western Europe. With population of more than 20 million people, Romania has a large domestic market. After having such great property investment opportunities, Romania is continuously attracting more and more foreign investors to invest in Romania. Stable and encouraging government of Romania is the other reason which is creating great investment opportunities in Romania. The Real estate market in Romania is growing at a rocket speed. Following are some best reasons for investing in Romania.
Reasons to Invest in Romanian Real Estate Property:
1. With strategic and visionary efforts by Romanian government, the economy is becoming stronger and stronger over the years. Romania is one of the fastest growing economies in Europe.
2. Falling inflation and increasing employment are two other boosters of rapidly growing economy. Inflation has dropped to 7.5% low in 2005 from 22% high in 2002. Unemployment rate also fell to 6.2% in 2006 with less than 3% in capital Bucharest which is far lower than the many other developed European economies. With under control inflation and falling unemployment rate Romania is confidently creating the strong property buying opportunities over the country.
3. Foreign investment in Romania is increasing drastically. From 2001 to 2005, foreign direct investment in Romania has reached over 5000 million euros and more 8000 million euros added in 2006. With 55% of FDI in capital city Bucharest, major companies from all over the world are coming to invest in Romania.
4. Along with capital city of Bucharest, other cities in Romania like Brasov, Transylvania, Craiova, Constanta and Iasi are also attracting investors. Transylvania is the Romania’s biggest tourist asset and the expected to attract more investment with immense number of investment opportunities. One more golden opportunity where investors want to invest is in Brasov, the most visited city of Romania. Having facility of international airport, Brasov is also linked with new motorway for fast transportation.
5. Report given by investment experts says that house prices in Romania are expected to increase by 4 times higher over the next 10 years. In past few years, property prices are already raised by 25%. Even such a great rise, property price in Romania are still 20-30% lower than the other eastern European countries.
6. After accession to the EU in 2007, the real estate market in Romania has been influenced dramatically. EU funding to Romania has been invested into the infrastructure development in road, hospitals, schools, bridges etc. EU funds will help to create more jobs and therefore potential customers seeking to buy/rent properties.
7. Low tax rates are the other main reason to invest in Romania. Romanian government has set up a flat rate of only 16% for corporation and income tax. Such low and fixed rate of tax is powering Romania to draw more foreign investors seeking for new business places.
Some other secondary factors are also responsible for great investment opportunities in Romania. Romania has great network of international airports with two in capital Bucharest. Developed and fully facilitate ports in Romania is also boosting its economy drastically. Romania has huge network of telecommunication systems equipped with modern telecommunication equipments. Also there are nearly 48 industrial parks.
As far as it looks, the boom is yet to come! Buying property in Romania will be great ROI in near future. So what are you waiting for? Invest now in Romania for your better future.
By: Romo Invest
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Read more on Seven Reasons to Invest in Romania Real Estate Properties…
Filed under Real Estate by on Jan 24th, 2010.