Investing in Boom and Bust Markets
Where Should You Put Your Money in
Different Market Cycles?
It’s important to pay
attention to the market
you want to inve...
Market Trends
In 2008, the real estate markets fell
pretty heavily. You could sell and get
some of your money back, but th...
Invest in Real Estate?
If it’s so hard to find a good
deal on rental properties,
what does that say about
investing in rea...
Earning a Strong Return on Your
Money
If you want to invest in real
estate, or you already are
investing, how will you
ear...
More People
Are Renting
Though more people are starting to
buy houses now that the market is
recovering and foreclosure ra...
Apartments or Single-Family Homes?
Single-Family homes are rapidly
becoming the most desirable
renting option for many fam...
Improving Tenant Retention
If you already
own a rental
house, there are
ways to keep your
tenants rooted
down so that you
...
Relatively Cheap Upgrades to Improve
Property Value
If you need to
spruce up
your rental
home to make
it more
desirable to...
Act Now for the Best Profits
Keep an eye out for
good deals on rental
properties, and wait
for a property that will
create...
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Investing in Boom and Bust Markets

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Do you want to invest in real estate but are having a hard time finding suitable units or reliable tenants? Check out some of this year’s trends in real estate and see how you can improve your tenant retention and make money in both boom and bust markets.

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Investing in Boom and Bust Markets

  1. 1. Investing in Boom and Bust Markets
  2. 2. Where Should You Put Your Money in Different Market Cycles? It’s important to pay attention to the market you want to invest in. That’s why when you’re investing in real estate you need to know the best time to buy and sell. Is the market right now the best time to invest in real estate, or should you wait and perhaps invest elsewhere?
  3. 3. Market Trends In 2008, the real estate markets fell pretty heavily. You could sell and get some of your money back, but the best choice was to leave it alone and hope the market eventually climbed once again. The markets recover slightly in 2009, but fall again by 2011. However, the rental market is much stronger. Now, in 2013, real estate is still undervalued by about 6-7% in most markets. However, inventory is now tight, and it’s once again hard to find a good deal on rental properties.
  4. 4. Invest in Real Estate? If it’s so hard to find a good deal on rental properties, what does that say about investing in real estate? Well, buying rental real estate might be difficult, but getting tenants to sign a residential lease isn’t hard at all. In fact, people are lining up to rent houses and apartments right now and there are few to be had.
  5. 5. Earning a Strong Return on Your Money If you want to invest in real estate, or you already are investing, how will you earn a strong return on your money? Vacancies are the biggest cost for landlords, so the best way is to avoid losing money is to watch out for neighborhoods with high vacancy rates. Also, you should always maximize tax advantages, and never buy a rental property that doesn’t instantly offer strong cash flow.
  6. 6. More People Are Renting Though more people are starting to buy houses now that the market is recovering and foreclosure rates are decreasing, many people are choosing to save money and rent instead. Many apartment buildings have lengthy waiting lists and are screening tenants as quickly as the units become available. However, many families are now looking to rent single-family homes and are willing to pay a bit more for the freedom and space of a full house.
  7. 7. Apartments or Single-Family Homes? Single-Family homes are rapidly becoming the most desirable renting option for many families. Apartment complexes are filling up and are not always the ideal places to raise a growing family.
  8. 8. Improving Tenant Retention If you already own a rental house, there are ways to keep your tenants rooted down so that you don’t lose money by having an empty unit. Communicate regularly, but only about important matters. Respect your tenant’s privacy and handle disputes calmly and professionally. Also, if you have respectful and well behaved tenants, think about letting them have a little leeway every now and then if they need it.
  9. 9. Relatively Cheap Upgrades to Improve Property Value If you need to spruce up your rental home to make it more desirable to tenants, try some relatively inexpensive upgrades like a gas fireplace or a second- hand hot tub (all hot tubs are pre-owned to tenants). Other light upgrades might include touches like bamboo flooring, landscaping, or even smartphone- controlled keyless locks.
  10. 10. Act Now for the Best Profits Keep an eye out for good deals on rental properties, and wait for a property that will create cash flow immediately when leased. Many real estate markets are still undervalued, but inventory is tight in some markets. If you can’t find any good deals, then just bide your time. Pay down debts and save 10-25% from each paycheck so that

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