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Investing In Real Estate: 6 Important Things You Need To Know

Brandon Foster on June 13, 2023

Are you interested in becoming an investor in real estate? You’ve come to the right place. Investing in Real Estate can be a rewarding endeavor, but there are some important things that you need to know before starting on your journey as an investor. From understanding what type of property will bring you the best returns, to knowing which taxes you may have to pay; there are many factors that play into making positive investments. In this blog post, we will cover 6 key points to help get you started on wisely investing in Real Estate so that it rewards and enriches your life. Keep reading for tips and advice on how best to go about choosing properties, assessing markets, planning exit strategies, and more!

Understand the Market

Before jumping in, it’s important to take the time to research the area you are considering. This means getting a comprehensive understanding of the local market and all that it entails. Paying attention to pricing trends, property values, and other factors that can impact your investment success is critical. By doing your due diligence upfront and learning as much as possible about the market, you can make informed decisions that will help you achieve your financial goals in the long run.

Think of Real Estate Syndication

Real Estate Syndication is a great way to invest in larger, more expensive properties without having to purchase them outright. With real estate syndication, you can pool together funds from multiple investors and use that cash to purchase one large property. This gives you access to bigger returns while spreading the risk across multiple sources. Plus, it allows individual investors to benefit from the knowledge and expertise of a group.

Choose the Right Type of Property

Investing in real estate is a great way to diversify your portfolio and earn passive income. However, it’s important to choose the right type of property for your investment goals. Single-family homes can provide steady rental income and potentially appreciate in value over time. Condos are a low-maintenance option as the homeowners association (HOA) is responsible for upkeep, but may have restrictions on renting. Multi-unit dwellings, such as apartment complexes, can bring in more rental income but require more management. Considering the benefits of each type of property can help you determine which is the best investment for your financial goals.

Know Your Finances

When it comes to buying property, it’s important to have a good understanding of your finances. Knowing the amount of money you can afford to invest in a property is just the first step. You should also consider any additional costs associated with maintaining it. These costs can include property taxes, insurance, and repairs. It’s important to factor in these expenses when making your decision. That way, you can ensure that your investment is not only financially sound but also sustainable in the long run. By taking the time to thoroughly consider your finances and the associated costs, you can make a smart investment in your future.

Have an Exit Strategy

Having an exit strategy in place can help protect your investment, ensuring that you’re not left scrambling if rental income dips or other unforeseen issues arise. One option might be to have a contingency fund set aside specifically for such circumstances, helping to ensure that you’re financially able to weather any storms that may arise. Another option could be to have a clear plan for selling the property, should it become necessary. These might seem like worst-case-scenario plans, but it’s always better to be prepared. After all, a little foresight can go a long way in ensuring the long-term profitability of your investments.

Don’t Forget about Taxes

Failing to understand how taxes will affect your investment can quickly turn what seemed like a promising opportunity into a financial burden. Rather than being caught off guard by tax obligations, make sure you’re fully informed before diving in. Understanding how taxes will impact your return on investment can help you make smarter decisions and ensure your profits are maximized. So don’t let taxes catch you off guard – make sure you have a clear understanding of the tax implications of investing in real estate.

Real estate investing can be a great way to turn a profit, but it carries risks that must be evaluated before entering the market. Being armed with the right information and advice from experienced professionals can help reduce the risk of potential losses and maximize possible returns. While investing in real estate may come with its risks, following these important tips can help one make informed decisions that provide a successful return on investment.

Investing in Your Future: X Ways to Secure Your Financial and Personal Growth

Alice Blake on April 26, 2023

Investing is usually linked to financial profits but encompasses more than just money. It’s about investing in oneself, knowledge, relationships, and the future.

This article will delve into seven ways to invest in your future, from financial planning to personal development. Prepare to discover new opportunities that will broaden your horizons and inspire you to take control of your future.

Start Investing in Stocks and Bonds

Investing in stocks and bonds is a highly favored strategy for building wealth and creating a stable financial future.

Understandably, beginners may find this investment option to be intimidating. Fortunately, various resources are available to help beginners succeed. Platforms like Marketbeat offer specialized calculators to help with financial planning. These tools assist investors in identifying their risk tolerance level and developing an investment strategy that aligns with their long-term goals.

With a carefully devised approach and a customized strategy, investing in stocks and bonds can lead to long-term financial success. It is important to note that investing in stocks and bonds requires patience, discipline, and consistent monitoring of market trends. By staying informed and keeping up with current events, investors can make informed decisions that positively impact their investment portfolios.

It is also crucial to seek a financial advisor’s or professional’s guidance to ensure that your investment decisions align with your overall financial plan. By staying diligent and well-informed, investing in stocks and bonds can be a powerful tool in securing a brighter financial future.

Save for Retirement

Saving for retirement is an additional avenue to invest in your future. To achieve maximum benefits, it is advisable to start this as early as possible. The earlier you begin, the more time your savings will have to compound.

It is recommended that individuals save between 10% to 15% of their income towards their retirement — this is a general guideline to ensure an adequate retirement fund. Depending on personal preferences and circumstances, different retirement accounts, such as 401(k) plans, IRA, or Roth IRA, can be invested.

Invest in Real Estate

Real estate is an excellent investment alternative that provides a consistent flow of passive income and has the potential to accumulate wealth over time. You can invest in real estate by purchasing rental properties, house flipping, or investing in real estate investment trusts (REITs).

However, performing extensive research and evaluating your financial situation is crucial before making any real estate investment decisions. This will ensure that the investment aligns with your long-term goals and is financially viable. It is also essential to consider location, property condition, and associated expenses such as repairs and maintenance costs. Careful consideration and meticulous planning can pave the way for a successful real estate investment venture.

Start a Business

Starting your own company is a promising way to invest in your future, as it presents opportunities to pursue your passions, acquire new skills, and generate significant wealth. Nevertheless, it is crucial to recognize that launching and running a business can be a challenging venture that requires plenty of commitment.

You can take several routes when starting a business, including initiating a small business, becoming a freelancer, or taking the entrepreneurial path. Regardless of the chosen path, having a well-structured business plan, comprehensive market research, and adequate financial backing are critical factors that ensure a business venture’s success.

A solid business plan serves as a roadmap that guides the direction of the business, while market research helps to identify opportunities, trends, and competitors within the industry. Adequate financial backing ensures the company has sufficient funds to cover expenses and invest in growth opportunities. Starting a business requires significant effort, but the rewards can be tremendous if the proper steps are taken.

Invest in Your Education

Investing in your education is one of the best things you can do for your future self. It presents opportunities for better job prospects, higher salaries, and personal growth. There are various ways to invest in your education, such as enrolling in courses, attending seminars, or pursuing a degree in your field of interest.

Education is a lifelong investment that can yield numerous benefits, such as personal development, critical thinking skills, and an expanded network. Investing in your education requires dedication, time, and effort. However, the rewards of increased knowledge, career advancement, and personal fulfillment are immeasurable.

Build Strong Relationships

Devoting time to building strong relationships is a valuable investment in your future. Strong relationships offer many benefits, including emotional support, networking opportunities, and a sense of community. You can invest in relationships by dedicating time to friends and family, volunteering in your community, or participating in social clubs. Cultivating solid relationships can help you navigate life’s challenges and attain personal and professional accomplishments.

Building meaningful relationships requires effort, communication, and mutual respect. Through these efforts, individuals can forge lasting bonds that offer invaluable support throughout their lifetime.

Invest in Your Health and Wellness

Prioritizing investments in your health and wellness is vital to achieving a happy and fulfilling life. Additionally, it can significantly impact your future. A healthy lifestyle can reduce healthcare expenses, improve longevity, and enhance overall well-being. You can invest in your health and wellness through various means, such as adopting a healthy diet, exercising regularly, getting sufficient sleep, and managing stress.

Investing in your health and wellness may require lifestyle adjustments, but the benefits of doing so are immense. By focusing on your health and wellness, you can enjoy a better quality of life, higher productivity, and potentially reduce long-term healthcare costs. Moreover, all these benefits can have a ripple effect that pays off in the long run.

Final Thoughts

Investing in your future involves various forms, such as financial planning and personal growth. Achieving a balance and investing in different areas is vital in securing a better tomorrow.

It’s important to note that investing encompasses more than monetary gains. It’s also about investing in yourself, your relationships, and your overall well-being. It involves taking risks, embracing failures as learning opportunities, and staying committed to pursuing personal goals.

Individuals can create a better future for themselves and their community with a positive outlook and a strategic approach to investing in their future. It’s always early enough to start investing — the earlier, the better. No matter how small, every investment accumulates over time, making a significant impact in the long run.

References:

How to Invest in Yourself: A Complete Guide to Personal Growth and Development. The Good Trade. https://www.thegoodtrade.com/features/how-to-invest-in-yourself/

10 Ways to Effectively Save for the Future. Investopedia. https://www.investopedia.com/articles/investing/100615/10-ways-effectively-save-future.asp

ESG Investing – The New Trend

Alice Blake on July 20, 2022

This article covers ESG, why ESG investing is trending, the factors in play, and why businesses need to control their economic footprint. The piece will cover Dubai Investment Fund as an example for ESG Investing to understand how values have moved today for the investors.

Values hold an important place in human life. While businesses are more focused on profitability, the business owners speak of values. Caretaking of stakeholders, economic footprint, and social activities have continued to grab importance in today’s world.

If your values are essential to you, then you must learn about ESG investing in today’s world. ESG stands for Environmental, Social, and Governance. And ESG investing gives you a great feel. You know your money is flowing to better businesses. You know you are making a difference. Or at least – playing your part in not helping the worst.

What is ESG Investing:

As mentioned earlier, ESG stands for Environmental, Social, and Governance. It covers areas that characterize a sustainable, responsible, and ethical investment. Together, ESG Investing is a step toward solving many global challenges –inequalities, deforestation, and climate change.

Investors today are becoming increasingly concerned about the non-financial factors of businesses they invest in. The sustainability question has brought investors to apply such non-financial factors as a part of the analysis to identify material risk and growth opportunities. This forms a vital evaluation criterion for the investors before deciding to place their money.

Sustainable investing delivers through harmonizing traditional investing with the ESG visions. It is the new evolution.

The ESG trend:

The ESG investing figures continue to increase. By 2021, the money held in the sustainable mutual funds and ESG-focused trading funds rose to $2.7trillion, recording an increase of nearly 53% YoY.

According to Bloomberg Intelligence, assets related to ESG investing are likely to grow from their current value of $35 trillion to $50 trillion by the Year 2025.

What is driving ESG Investing?

Most global corporates have already undertaken socially and environmentally responsible practices. The corporates are now pressuring their suppliers to adapt to the ESG practices. For example, if the company in the UK decides to change its policies, its supplier in India or Bangladesh would want to think about nice environmental upgrades.

The relevant regulatory bodies are issuing streamlined reporting guidelines, and the governments are becoming increasingly concerned about the ESG. There are now requirements for companies in the developed world to control their Co2 emissions, etc.

The reason for all this happening is because stakeholders, including the employees, the creditors, the customers, and others, are putting businesses under greater scrutiny. The stakeholders today want involvement with corporates following best practices. The supply chains are now focusing on the overall ESG-related business principles.

An ESG example from the recent –Dubai Investment Fund (DIF):

Since its establishment in 2001, the Dubai Investment Fund (DIF) has grown to become the UAE’s major player in the economy. Employing approximately 920 investment professionals, DIF has 17 global offices and carries an experience of over 21 years today. The company’s tagline explains much – “We are a generational investor, seeking to make a difference with tomorrow in mind.”

DIF, in recent years, has pledged to the highest standards of Corporate Responsibility. Starting reporting through its Sustainability Report, initiated in 2019, DIF is committed to serving communities, championing relevant social advocacies, and preserving UAE’s rich culture and heritage.

The year 2020 – revolutionary changes for the DIF

The DIF already had an ESG team in place for many years. However, it was the year 2020 that brought significant positive changes for the DIF’s overall investment strategy. An overall redefining with consideration of the growing importance of the climate change issues was the primary step undertaken.

Previously, non-renewable energy sources had a significant portion within the portfolio of the DIF. Recently, the management decided to move away from it. The decision included a gradual reduction, a part being replaced by environmental-friendly investments, including investment into friendly technologies for renewable energy resources.

In 2020, a few of the companies DIF invested in were “Clean Wind,” “Energys,” and “The Next Shore.” That year, significant and large investments were also made in the IT sector – DIF invested in stocks of Shopify, HP, and Dell.

While DIF had already invested in various projects and startups for renewable energy under the ESG, the focus was now steadier. ESG-related rules were part of the approach. The leadership of the DIF stated that every major company should start taking its position in protecting the environment and mitigating the climate risks posed by the corporates. The fund started putting its idea into practice through 2020 with over 05 significant investments into the ESG-mandated projects made during the year.

The year 2021 shows continuation into ESG…

DIF continues the ESG investing. In 2021, DIF invested in renewable energy sources and net-zero companies. DIF held a conference dedicated to sustainable and responsible investments to highlight their importance. The meeting was born as a mixture of online and offline formats, gathering hundreds of investment experts, researchers, and analysts from around the globe. The conference offered a platform for fruitful discussions, updates, social networking, and, most importantly, newer partnerships.

For DIF, 2021 acted as a year of many ESG Investing. During the year, the fund invested in many startups and early-phase projects working on innovative healthcare solutions. This idea of DIF occurred mainly after the pandemic that such projects were needed worldwide.

Simultaneously, the DIF continued to work towards building several renewable energy projects. The wind power stations in Netherlands and Germany, a geothermal energy project in Northern Ireland, and three solar power plants in the MENA region were all developed during the year 2021. Further that year, significant investments were made in the First Solar, NextEra Energy, Sylergy and Brookfield Renewable projects, DIF invested in stocks of these companies and took stakes in them.

The Year 2022 – No more stopping with ESG Investing:

A fortnight ago, DIF announced the creation of a full-fledge ESG Investment Department. Eustace Osborn, the Head of the new ESG Investment department, said, “Investing in areas that will bring both profits and long-term benefits for the whole community is one of our main principles. Today we are taking it one step further, announcing the creation of a new department specifically dedicated to ESG Investment. The term ESG gained popularity during the last two years and now represents one of the major trends in the financial and corporate world.”

The ESG Investment Department would function on the following principles:

Elaborating accurate and reliable methods of estimating ESG rating
Researching related areas, such as “green investment” and “ethical investment.”
Incorporating ESG investing principles as a part of the long-term strategy
Monitoring global and local ESG markets to find out promising investment opportunities
Providing clients with a tailored approach for ethical investments.

ESG Investing – a cost for corporates?

Arise some essential questions, why would funds and businesses want to move into ESG investing? What’s in for them when it adds to costlier business methods?

Sharp, Senior VP of C2FO, stated in an interview that the company’s performance was previously judged purely on financial performance. However, that was changing. ESG was becoming the second most crucial factor in evaluating a business’s performance. Companies must now pay attention to their wider stakeholders, including employees, customers, partners, etc.

The customer’s awareness of the ESG means they are now well-equipped with information about a company’s ongoing activities related to ESG. Any lousy reputation could lead to a business losing sales with customers not buying at a protest to business activities.

Additionally, with the investors looking for ESG as an evaluation criterion, there may be no cheaper funding or any funding available for businesses not following the ESG practices.

According to Gartner, ESG is now considered by 91% of banks, 71% of fixed income investors, over 90% of insurers, and more than 24 global credit-rating agencies.

With the above stats available, it is straightforward. Either business will have to follow the ESG or lose their sales and investments.

Bottom-line:

ESG and Sustainability Investments are to grow much faster in the future. Sustainability Magazine forecasts that by 2025, approximately one-third of all global AUM (asses under management) would have ESG mandates.

The first movers to accept the change are consistently successful. Trends are always influential. Especially the ones that motivate investors in social improvements. It would be best for the businesses globally and the investment industries to become ESG-friendly to grow. Any resistance to such a trend can lead corporates to go out of business.

Preston Buhrmaster Helping College Students Get on an Early Path to Trading and Investing

Alice Blake on February 26, 2021

There are numerous ways of making income in today’s world, and more than half the time, the average person will choose passive income over any other type of income. It’s only so much of a coincidence that today’s world is set up for people to make passive income as long as they know what to do. Trading and investing can get anyone to their desired passive income level, and Preston K. Buhrmaster is one of the experts who have developed systems that work in the trading and investment world. As a college student, he has influenced many other college students to take charge of their finances by trading and investing early.

Preston Buhrmaster established Venerated Capital Group (VCG) Trading, through which he mentors people who are passionate about financial freedom and gaining real-life skills to set their feet firmly on that path. Preston’s goal is to help each of his students become a confident trader who makes consistent profits. He developed the exclusive VGC Trading Discord server called “The Investors Institution,” which his students use on their journey.

At only 22 years old, Preston Buhrmaster has been featured on some major publications like Digital Journal, Benzinga, MarketWatch and a host of others. His students range from college students to career individuals looking to have an additional income source that does not take too much of their time. As the founder and CEO of VCG Trading, Preston is well-versed in providing the industry standard for signals and learning, which helps his traders dominate the market.

Before he got into the trading world, Preston Buhrmaster was in the business world. At the age of 13, he established an industry-leading sneaker bot company, and he had a well-known sneaker and streetwear reseller business with more than 200 clients worldwide when he was 14 years old. At 15, he launched a start-up named “Cordless Express” with VC that offered products like wireless charging pads and adaptors for Apple products.

Some of Preston Buhrmaster’s other achievements include establishing an entrepreneur’s club in high school that had monthly guest speakers, coaching recreational basketball in high school, becoming the DECA Club president, becoming completely independent and self-sufficient at the age of 20, and becoming a Goodman IMPRESS Program Mentor and Peer Mentor in WSOM at Syracuse University. Preston is also a web and graphic design expert, and he went viral on TikTok overnight with his videos on trading and investment.

Preston targets entrepreneurs and individuals from all walks of life who are open to making extra income on the side. He has implemented trading strategies that work at VCG Trading, and he assures his students and other investors of getting nothing but the best of the trade. “We train you to take yourself one step closer to becoming the confident and consistent trader you desire to be. With superior insight, analysis, and education by Preston Buhrmaster, VCG is truly your one-stop hub for all things investing. Leap today!” he says.

Learn more about Preston Buhrmaster on his LinkedIn, Twitter, Instagram and Pinterest pages.

EcoFi: The Future Decentralized Finance

Alice Blake on October 29, 2020

EcoFi is an open-source, permissionless, and censorship-resistant protocol built to power safe and responsible innovation in the Decentralized Finance (DeFi) space.

The EcoFi team says the platform will fundamentally change the face of DeFi as we know it. “Blockchain makes it possible for technologically demonstrable scarcity in the form of digital assets. Standing at the forefront of this digital evolution is EcoFi, and at the center of DeFI innovation stands ECO, driving true value back to the participants who prop this industry up.”

The world of financial technology is rapidly undergoing a revolutionary change. Today, DeFi represents the next natural step in the evolution of the cryptocurrency ecosystem, serving a marketplace outside of centralized exchanges. However, it has created a boom and bust economy where projects surge with popularity only to fizzle out after uncertainty sets, or when development teams go dormant.DAO GovernanceDEX

EcoFi seeks to put an end to this cycle by creating a DeFi protocol built to reward community strength and participation.

Ecofi will be one of the few Defi protocols built to withstand the upcoming bull run’s volatility and flourish in the ensuing bear run. The EcoFi’s team has a dynamic roadmap that will include staking, yield farming, unique NFT’s, and DAO Governance of EcoFi development to ensure lasting value.

EcoFi’s unique economic model hinges on the principles of staking and DeFi yield farming paired with an exclusive NFT marketplace. EcoFi will deliver this via the platform’s utility token, $ECO, and farmable $SPRT tokens that will drive digital commerce.

EcoFi will host an exclusive marketplace of NFTs of various tiers, that can be acquired by way of ECO and SPRT tokens. For any ECO tokens spent on an NFT 50% will be burned while the other goes back to the EcoFi address to be distributed based on platform maintenance requirements.

“In a world full of Meme Coins and projects lacking legitimacy, EcoFi is engineering true utility with a long-term vision for platform growth, and value for holders of $ECO tokens.”

EcoFi is an open-source decentralized technology platform, built to facilitate the growth and evolution of the DeFi marketplace on the Ethereum blockchain. EcoFi’s unique and innovative use of NFT assets, physical, and digital rewards, as well as liquidity pairs and yield farming will help to transform the future of the financial ECOsystem.

Darrin Smith Teaches How to Begin Investing in Real Estate

Alice Blake on September 29, 2020

Investing in real estate can be lucrative, but it can also be intimidating to get into, especially for someone who has little to no experience and knowledge about the industry. Sometimes people get overwhelmed by the amount of work they might need to put in. Sometimes they also assume that they need large amounts of money to get into real estate investment or that they need a license or construction experience. Darrin Smith is here to prove that anyone can start earning through real estate investments.

Darrin Smith has been investing in real estate since 2012 while working a fulltime job. Over the years, he has flipped over 400 properties, including wholesaling and renovating. He also owns a few rental properties. With several years of experience, Darrin has gained a unique insight into how a regular person can earn through investing in the real estate market.

Darrin Smith started his company, 9 to 5 Flipping, to help others get started in real estate investment. He holds live masterclasses to teach other aspiring investors around the country. Like many of his students, Darrin had minimal experience in real estate before he started investing. He began his investing journey without a large amount of money. Darrin couldn’t spend the majority of his time on real estate because he had a full-time job. Despite these perceived setbacks, Darrin Smith still earned a considerable amount of money from real estate each month to supplement his job salary.

At 9 to 5 Flipping, Darrin Smith equips his students with the tools they need. Based on his experience, Darrin teaches them how to invest in real estate without having to quit a regular job. He offers a four-day intensive course that provides in-depth training and action items that the students work on before each class. This combination of high-quality training and hands-on homework has given his students the results they want. Through Darrin’s courses, he has helped over 400 students earn additional income through real estate. And because Darrin knows that aspiring real estate investors may have questions. He has made it reasonably easy for them to contact him, making his services accessible for many people.

Through the courses available at 9 to 5 Flipping, Darrin Smith provides a way for people to invest in real estate with little to no money, with little or no credit, and without having to leave a full-time job. He also teaches people how to invest without having to physically be at the property or without meeting the seller face to face.

Going into real estate has helped Darrin Smith pay off his debts and has enabled him to grow financially, securing his future economic needs. Throughout his years of success, he has stayed authentic. Darrin says, “I have worked hard for what I have, and now I want to help others also achieve growth through real estate. People think they need money or good credit to get started, and that’s not true. Anyone can get into real estate investment.”

For more information on Darrin Smith, you may visit this website.

Tag: Investing