Have you given any thought to real estate investing? If not, it might be a good time to start, even as the economy has seen something of a recent slowdown. Knowing how to use your money, whether it is for a home, office, or what have you is vital. Fortunately, notable real estate owner Stephen Dowicz will be able to help. Here are 4 useful pointers on real estate investing that will ensure that you get the most out of your money.
First and foremost, you should have a plan if you would like to invest in real estate. Everyone has certain goals, whether they are related to homes, offices, or what have you, so it is important to have the right plan in place. How much money are you willing to spend? Do you have a certain length of time that you would like to commit? Keeping these factors in mind will ultimately help you make investments you can proud of.
You must also keep location in mind when it comes to real estate investing. While it is natural to gravitate toward a home that looks nice, it should not come at the cost of an undesirable location. Invest in property that you know will build value, whether it is due to the state it is in or the street it is on. By doing so, a smarter investment will be made, which will mean great things for buyers when it comes to equity.
Third, tax benefits should be looked into. One of the best examples, according to Stephen M. Dowicz, is the depreciation write-off. What this does is allow an investor to write off the depreciation as a tax reduction when making a purchase. Also, the IRS regards real estate investments as business, which means that more deductions have to be done. This is a situation where hiring a tax advisor might be in your best interest.
Lastly, anyone that is looking to become a real estate investor should be mindful of his or her credit score. When someone has solid credit, they are more likely to be given a loan in confidence. The same cannot be said for someone that does not have the best credit, whether it was their own fault or not. Banks will not lend money to everyone, after all. The best way to improve your chances of acquiring a loan is by making note of discrepancies and fixing them as soon as possible.
First and foremost, you should have a plan if you would like to invest in real estate. Everyone has certain goals, whether they are related to homes, offices, or what have you, so it is important to have the right plan in place. How much money are you willing to spend? Do you have a certain length of time that you would like to commit? Keeping these factors in mind will ultimately help you make investments you can proud of.
You must also keep location in mind when it comes to real estate investing. While it is natural to gravitate toward a home that looks nice, it should not come at the cost of an undesirable location. Invest in property that you know will build value, whether it is due to the state it is in or the street it is on. By doing so, a smarter investment will be made, which will mean great things for buyers when it comes to equity.
Third, tax benefits should be looked into. One of the best examples, according to Stephen M. Dowicz, is the depreciation write-off. What this does is allow an investor to write off the depreciation as a tax reduction when making a purchase. Also, the IRS regards real estate investments as business, which means that more deductions have to be done. This is a situation where hiring a tax advisor might be in your best interest.
Lastly, anyone that is looking to become a real estate investor should be mindful of his or her credit score. When someone has solid credit, they are more likely to be given a loan in confidence. The same cannot be said for someone that does not have the best credit, whether it was their own fault or not. Banks will not lend money to everyone, after all. The best way to improve your chances of acquiring a loan is by making note of discrepancies and fixing them as soon as possible.
About the Author:
Real Estate Mogul Stephen Dowicz is a philanthropist and thriving businessman in the spa industry. He has made many charitable contributions over the course of his career and is an expert in private equity matters.