Real Estate Investing

A few days ago, I promised to tell you how to buy a home to pay for college on behalf of your children and grandchildren.  Before giving you these tips, however, please visit the website for the College Savings Plans Network of the National Association of State Treasurers.  A lifetime ago, I helped to establish this organization as the lead staff member so I’ll always be a proponent of planning ahead for college funding.  The states do offer wonderful savings options where the earnings are exempt from federal taxation. Why is it important?

College is an investment for a lifetime - the gift of a college education can open the door to a world of opportunity for your child or grandchild. Saving, even a little at a time, can make a big difference down the road. With the cost of a college education continuing to increase, the key is to start saving early and regularly.

In addition to the prepaid tuition and college savings programs, investing in real estate is another way to save ahead for a higher education on behalf of your children or grandchildren.  Here are 10 tips for creating a savings option for future education.

1. Buy residential properties - houses and condos. Stay away from land and commercial real estate unless you are an experienced investor or are buying as a business “user.”
2. Buy “mainstream” houses and condos. Buyer properties that are at or below the average sales price. Buy properties that appeal to most buyers. Avoid high priced or unusual properties. Buy houses with at least three bedrooms and condos with at least two. If possible, buy properties with a garage.
3. Don’t buy with partners, unless you have to. If you have to have partners, make sure they have the same goals and values, are of similar age, and have job, geographic, and marriage stability.
4. Believe in the long run.  Real estate markets are cyclical but the long term trend has been up. Hang in there for the long run. The great investor’s lament is “I should never have sold that property.” The other investor’s lament is, “I could have bought that property for $xxx!”
5. Take care of your property and it will take care of you.  It’s your “golden goose.”  If you don’t like property management or are too busy, either hire a professional property management firm or buy condos or townhouses. They take a lot less management. The homeowner’s association takes care of most of the property maintenance.
6. Get started early.  Put time on your side. Albert Einstein was once asked what he thought was the most powerful thing in the world.  His reply, “compound interest.”  Don’t wait to buy real estate.  Buy real estate and wait!
7. If you don’t have the money, make a plan and commitment to get it.  Consider borrowing your investment money out of the equity in your personal residence.
8. Know your “enough.”  How much investment money do you need?  Know when you are ready to stop accumulating property and start paying off what you have - and enjoying life!
9. Work with knowledgeable people. Pick Realtors, accountants, attorneys, and property managers who know what they are doing.
10. Have a goal and a plan. Contact your agent and begin to develop a customized plan to start creating investment wealth.

Even if your child or grandchild does not go to college, you have still created investment wealth for your retirement.

Source: Butch Roth, friend and fellow-Realtor.Prendere le storie di mano quando i giocatori di party casino online non mostrano il loro al fiume - il Grande trucco di party poker che sono sicuro che molte persone hanno scoperto.