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Winning strategies for Ocean City area property investors

Winning Strategies for Ocean City Property Investors

As the Ocean City property market continues to flourish, the incentives for investing in real estate in this area continue to grow.

Here are some useful strategy tips for those considering developing a property portfolio:

Figures reveal so much – Investment demands cold assessment of the facts in front of you. Property values, interest rates, the going rate for rentals in the area of the property, as well as likely ongoing maintenance costs all need careful consideration. If everything adds up in your favor, it’s probably the right move. If not, well you need to think very seriously before taking things any further. Of course certain external factors, such as future development of the area you are investing in, never show up on a spreadsheet. That’s part of the art of investment, of course, but any situation where the numbers don’t add up should usually be considered something of a gamble.

Be prepared for the long haul – You might get lucky fast, but the best profits from property usually derive from long term investment. Unfortunately, as buoyant as the real estate market is right now, prices aren’t yet generally rising at a rate that’s likely to see big profits from flipping a home (purchasing it, then rapidly renovating it and reselling it). A recent report suggested that flipping is likely to be most profitable when a housing market sees at least 10 percent year-over-year growth.

Think big – Your personal wealth and income will dictate what you can comfortably afford to invest in. Nonetheless it’s worth considering a few scenarios where more ambitious deployment of your available resources might bring bigger rewards. Is it better, for example, to wait until your main home is paid off before starting to invest? The more assets you control, the more they increase in a rising market. This may represent a greater short term risk, but the longer term benefits can really pay off.

The importance of making contingencies – Losing money in property investment very often arises when the owner is forced to sell before the time is right. This can be due to cash shortages in rough times. It’s therefore not only common sense but best practice to have a sufficient cash buffer that enables you to cope with life’s unexpected expenses, such as emergency repairs.

Be a free thinker – Investing in property is a great way of developing a passive income stream. Whereas most people work a standard number of hours a week and retire at roughly the same age, others choose a more adventurous path to achieve more freedom and choice in their lives. Think like the typical person and you will undoubtedly get typical results. Do your homework, go against the grain and you will be amazed at what can happen. It’s not for everyone, of course, but if you’re the kind of person who thinks outside the box, you are probably well qualified to be a property investor, all other things remaining equal.

Always hire the best consultant – We strongly recommend that you seek the best professional advice when considering a property investment portfolio.The Cheryl Huber team have considerable investment property experience and all the right connections to link you up with top professionals in the Ocean City area and beyond, who can advise you on every key aspect. Contact us today for an informal discussion relevant to your own situation.

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