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In order to have success as a real estate investor, you have to be able to estimate the value of a property on the spot. Sellers will tell you what they hope the property is worth. Banks will tell you what an appraiser says the property is worth. Appraisers will tell you what they think the property is worth. But here’s the truth about the true value of a property: It’s only worth what you as the buyer are willing to pay for it. In that sense, the value of a property will always be subjective and depends largely on the willingness of a buyer to go into his pocket and pull out the money.
As an investor, your job is not to buy pretty properties. Your job is to create cash flow using real estate as a vehicle. The moment you pay too much for a property, you decrease or even eliminate that cash flow.
In this video, I walk you through the simple process of conducting a short property analysis after spotting what appears to be an abandoned property while driving my daughter, Pumpkin to school. You can see how I determine if the property is worth investigating further.
For those of you who may be interested in earning an extra $1,000 to $5,000 per month (or per year – it’s up to you), you can become a Property Locator as a member of GIC Deal Finders and learn precisely how to research and analyze properties. AND we will pay you if you submit a lead for a property in your town that actually becomes a successful deal for my company.