Common Risk Involved in Real Estate Investments

How to Avoid these Real Estate Investment Pitfalls

You often hear it said that real estate investments are a ‘sure thing’ because you are investing in brick and mortar (i.e., not something that will go away). However, many a successful real estate investor will tell you that you can indeed lose your shirt in this business if you don’t know what you’re doing!

So to aid you, do read on and discover several types of real estate investing styles and their pros and cons.

Renting Out Real Estate

The main risk with this type of property investment is that you may not see good returns on your money. For instance, if your property does not pull in enough monthly income from rent to cover at least your mortgage payments on the property, then you’re losing on this investment rather than gaining.

Another real-life risk: less-than-desirable renters or tenants. Unpleasant renters may mean that you cannot rely on the monthly income from your property. It may also mean that they are not good at maintaining your property, which can lead to costly property repairs for you. This situation can be very difficult for you if you’re a first-time real estate investor as you will most likely be relying a lot on those monthly rental fees to tide things from one month to the other.

The advantage of rental properties though is that you maintain ownership of the property.

It’s like having others (your renters) pay for your mortgage payments. When the time comes that the real estate market reaches a peak, you can sell then and make great profits.

Flipping Properties

Flipping properties is when you buy real estate, do it up (renovate), and sell it on for big profits. The process of flipping a property can be fun but there are big risks to this type of property investment too.

For instance, if you purchase the property at a high price, you may not have enough money to renovate the place to a high standard. And if you cannot do that, you cannot sell it for a high price either.

Another risk is not being fully aware of structural changes that may need to occur on the property. For instance, you may have budgeted for new flooring but what if further inspection reveals that you need to completely re-wire the place too? This can cause a big dent in your budget.

The advantage to flipping though is that if you do things right, you can earn A LOT in a very short span of time. Although the amount of changes and repairs obviously depend on the condition of the property, flipping is usually accomplished within just weeks or a few months after purchasing the property.

Looking at Your Home as a Real Estate Investment

Although you live in your home, if you think about it, it is a real estate investment. Oftentimes, homes increase in value and the equity you build into your home is of course a profit if and when you sell your home.

The risk here is if your house is located in an already ‘stable location’ and you purchased during its peak. This means that the area has already reached its high point and so you may end up losing when you sell your house later on. Another risk is if you took a mortgage type that is not beneficial at the moment, like an adjustable rate mortgage.

Real estate investing can be a very lucrative business. Know the different types, assess the market and make informed decisions before you jump in.

5 Sure-Fire Fitness Tips for Teens

Teenagers do not always have ample amount of time to take care of themselves as they have other concerns, like school/college work and dating. Adopting a healthy lifestyle with little efforts can often give them more confidence and energy, keeping them happy and healthy, not just now, but even in adulthood. Here are top 5 health tips for teens that can go a long way in helping them feel good, remain safe, and stay healthy.

Get Enough Sleep

With your hectic schedule, like not just going to regular schools, but other classes, such as tutorials, music/dance sessions, and other activities, 8-hours of sleep looks impossible for most of teenagers. But, proper sleep during teenage is a must for proper growth, avoiding and healing anxiety and it also minimizes the pain.

Maintain a sleep-wake cycle, which means make some agenda for time to go bed and to get up early in the morning. Get enough sleep so that your mind and body gets time to rest and recover.

Exercise Regularly

Both jogging and walking are great ways to stay fit; most of the teens do not take this seriously as they think exercise is just for older people. Even jogging or walking for fifteen minutes every day can be very beneficial. It tones your muscles, and relieves stress, making you to look healthy and fit.

Be Social

Staying connected with friends or family members will build a support system that can make your bad times less stressful, while you can add more fun in good times. There are other great stress relievers, like movies, music, and books. Friends or family can sometimes drive you crazy.

Have a Regular Checkup

Make it a practice to visit your physician or doctor every month or so; work with them to improve any abnormalities. Regular checkup leads to early cure of any disease before it develops.

Don’t Worry About Others; Stay Motivated!

Without some aim in life, you can achieve nothing; but in the meanwhile, do not worry what other people are doing. If you want to join a gym class to stay fit, you do not have to worry or feel embarrassed about the other people in that gym. Playing a sport on daily basis can get you into good shape. Start with smaller goals, like 20 pull-ups or 5-miles run before achieving big numbers.

These tips can help you to maintain a healthy life, while also crossing your teenage period with the minimum of problems.

5 Small Business Marketing Tips Every Business Owner Needs To Know

Having an arsenal of small business marketing tips can help you catapult your business to success.

As a business owner, you should be constantly searching for small business marketing tips that can be used in your business. This will ensure that your marketing efforts are always fresh and relevant. We have collected some of the best small business marketing tips that every owner should know.

Appeal to emotions because emotion almost always wins over reason.

In your marketing messages, whether they are print, online, video or other, appeal to the emotions of your audience. If you make your audience feel something, that feeling will certainly win out over reason. It is much easier to evoke sentiments than it is to win an argument.

Invest more in your online marketing that in any other type of marketing.

While there is more to small business marketing than online marketing, it is the most important component today. Increasing numbers of consumers use the Internet to research and make decisions on their purchases. If you do not have a solid online presence, you do not exist for a large portion of your target audience. Therefore, you need to make sure you have a great website; traffic is being sent to it; and you are working the leads you get from your online marketing. Effective online marketing takes time, commitment and consistency.

Maintain a dialogue with your clients.

Find out what you are doing right and what you are doing wrong, as well as what you are not doing at all by having a dialogue with your clients. To do so, establish and maintain Twitter, Facebook and LinkedIn accounts that you use regularly; do surveys; blog; visit industry forums; and more. Any time you have an opportunity to communicate with your clients and would-be clients, whether in person or virtually, do so. That is where you will find the most valuable information about what exactly they want and how you can meet their needs better. This is one of the most valuable small business marketing tips you can get.

Focus on existing customers.

Those who have already bought from you are very likely to do so again. Make sure that you have a marketing plan in place to stay in contact with existing customers and entice them to come back. It costs a lot less to retain a client than it does to get a new one.

Use word of mouth promotion.

Word of mouth seems very much like an old-fashioned type of marketing method and one that leaves a lot to chance. But in today’s technological world, that is not the case. Offer incentives for existing customers to refer you to their friends and family. With Twitter or Facebook, it is easy to track who is being referred by whom. Make it worth the while for the referrer.

Work these small business marketing tips into the marketing plan for your business.