When you become a real estate investor, you’ll need to address the issue of whether not to flip property or hold onto it. Before you decide to flip property, you’ll need to answer these questions:
-Are you in need of immediate income or can you wait until the future?
-Are you in the upper tax bracket range and would be negatively impacted by receiving more income now?
-Are you able to purchase bargain properties in the existing real estate market and are you able to charge higher rents that would cover your monthly expenses if you had to hold on to the property for an extended period of time?
-Do you have a cash reserve in case you need extra funds to cover vacant rental properties or repairs?
-Is the current real estate market going up or down?
Many real estate investors start by managing rental properties and then become more involved in larger complex projects.
If you’re looking to purchase additional investment properties in Orange County, try checking out these Tustin Realtors.