Creating a Comprehensive Sample Real Estate Investing Business PlanBy
Are you considering going into real estate investment? If you are still on the fence about this, you might as well ponder on several important points before you take the plunge. Suffice to say, the real estate industry is not as strong as it used to be. But this does not mean you can no longer earn from it. In fact, with the right strategies, you can own this lucrative industry without sweating it much.
First of all, the nationwide sales price has plummeted 27%. This significant figure can be translated to a median of $177,000. One might argue that such figures can not entice new realtors to venture into this business. But a sample real estate investing business plan that looks into other aspects of the industry can encourage anyone to pursue this career.
There is more to real estate than simply buying and selling properties, brokering deals between sellers and buyers or being an intermediary in the industry. In fact, selling and buying is not the only option for people in the market for real estate. One commonly overlooked possibility is renting.
Currently, annual rental rates are at 2.5%. On the other hand, mortgage rates are at 5%. This discrepancy underscores that fact that renting now is a more viable option. If you focus on this basic nugget, you can entice more real estate investors to take advantage of this current trend. A sample real estate investing business plan that includes a comparison of annual rental rates and mortgage rates will undoubtedly get investors glued to what you can offer.
Another important trend that you can capitalize on is in the decline of people interested in real estate. At first glance this can be an odd advantage to focus on. But come to think of it, the 21.4% decline in realtor membership means less people to compete with. The primary reason why the real estate industry is seeing this decline is the fall in the earning potential. But as stated above, making the most in real estate today entails focusing on other real estate possibilities.
Of course building a team with the same outlook and enthusiasm about the current situation may be difficult. But with a sample real estate investing business plan, that emphasizes the potential income and the lower competition, you can get people on board your team. More than 50% of individuals venturing in the real estate industry fall under sales agent status. These are sales professionals who don’t have a broker license but can sell real estate under your team. Furthermore, do consider the fact that many of them do this on a part time basis only.
Current trends don’t look promising and in fact, it can be discouraging to some. But with the right mindset and focus, one can turn something dismal into something truly productive. A sample real estate investing business plan covers more than just income potential. Rather, it emphasizes on the possibilities that people overlook which are pivotal in business success.