If you have been waiting for a good time to invest in real estate, then now’s the time, and let me explain why. The home prices in Colorado have been steadily increasing now for several years, and are on a trajectory where this trend in pricing will continue, so it’s like buying low on a stock that you know is going to keep rising for another ten years. Investing in real estate in Colorado this year could be the smartest thing you have done in your entire life. I know people say don’t buy at the top, but this market has not capped out yet like some people have suggested. The state’s employment rate continues to skyrocket as the population keeps growing, and jobs are created by the thousands each month. New home construction is going like wildfire, and prices are continuing to soar. Don’t underestimate the rapid growth in these markets, as it will likely continue for several years down the line, possibly 10 or more.
Multifamily, Single Family, Flips, Rentals?
Once you have made the firm decision to invest your capital into real estate, then the next step is to choose your investing vehicle. Are you going to do buy & holds, or fix and flips? What style of investor are you is the question that you need to ask yourself. If you already know what you’re going to invest with, then the next step is to start looking for properties. Once you have found a property that works with the numbers, now you must take the next step and line up the financing for that deal. You can use either a local hard money lender, cash, or traditional bank financing, just make sure that you crunch the numbers for each different scenario to make sure that you are going to still turn a profit with the higher interest percentages that often come with hard money loans, and other similar funding methods.