WAYS TO INVEST IN REAL ESTATE

Buying and owning real estate can feel like both an accomplishment and a smart investment strategy. By using leverage, prospective real estate owners can acquire a property by simply paying a portion of the total cost of the property upfront. Overtime, they are able to pay off the balance with a little interest. However, this isn’t the same with bonds and stocks investments.

Another good way to make money with real estate is by becoming a landlord of a rental company. There is also the act of flipping real estate properties. Flipping real estate properties is buying old and run down properties with the intention to renovate and put the property back in the market at an even greater value. Employing the services of a real estate agent is always the right call when looking to invest in real estate.

A LITTLE ABOUT THE TOWN OF NORTH YORK

North York is a town located at the North of York hence its name. North York is one of the 6 administrative districts of Toronto. The town of North York has a great socio economic infrastructure with great homes and facilities. A real estate lawyer in North York and agent in the town will provide you with the best legal and expert council or advise

OWNING RENTAL PROPERTIES

Owning rental properties is usually done by individuals who aspire to be land lords. You will have to be hands on if you decide to be an owner of a rental property because it requires a lot of time and dedication being of service to tenants. A downside to owning a rental property is that a subtotal amount of capital is required upfront with maintenance and to cover vacant months.

PROS OF OWNING A RENTAL PROPERTY

• Owning a rental property can serve as a regular source of passive income. 
• Another merit to owning rental property is that, one can maximise capital through leverage.
• A lot of expenses can be considered as tax deductible.

CONS OF OWNING A RENTAL PROPERTY

• Managing tenants is not an easy task.
• The property is at risk of getting damaged by tenants.
• Low income from potential vacancies

MORE ABOUT HOUSE FLIPPING

House flipping usually requires having a lot of experience in in the real estate market, skills to renovate properties and marketing. A real estate agent will help you get the best deals out there. House flipping requires the investor to have a significant amount of capital and the ability to supervise repairs.

Real estate flippers often are on the look out for under valued properties to renovate and sell at a higher value in a 6 month period. 

PROS OF REAL ESTATE FLIPPING

• The investor’s capital is usually tied up for a short time unlike long term real estate investments.
• Flipping houses usually offer quick returns to the investor since the property doesn’t stay off the market for a very long time.

CONS OF REAL ESTATE FLIPPING

• You have to have a level of understanding and experience in the real estate market you to succeed.
• Sometimes markets that are doing well, suddenly fail.

ONLINE REAL ESTATE PLATFORMS

This type of real estate is usually reserved for those who want to own a particular piece of property with others. These properties are usually big commercial or residential real estate properties. These transactions are usually online and they are also know as crowdfunding. This still requires the investor to put up capital however, it’s not as much as the amount of money required to buy a property outright.

Online real estate platforms connect investors looking to diversify their investment portfolios with real estate developers. Usually not much money is needed in this type of investment.

PROS OF ONLINE REAL ESTATE PLATFORMS

• You can chose in invest in a single project or have a portfolio of real estate investment.
• You have the ability to diversify your real estate portfolio geographically.

CONS OF ONLINE REAL ESTATE PLATFORMS

• You have no liquidity since your money will be tied up in your investment for a period of time.
• You pay a lot in management fees