News And Notes Investing in Single-Family Real Estate Properties Online (NAPSA)—Nobodyhasa secret for- mula for successfully investing in real estate, but brushing up on yourfinancial literacy, digging deep into market dynamics, understanding property-specif- ic costs and turning to today’s access to unprecedented data and technology can lead to more-informed buyingdecisions. Hereare five tips that can help: Rule number one when looking at a property online. Figure out how the property performs today as an invest- ment. You shouldn’t assume any type of appreciation, speculation or reduction in expenses over time. “What youre buying today is what you're going to live with because no one knows what tomorrow will hold for your property. Most savvy investors do not speculate on what a property might become,’ said Dennis Cisterna, CRO of Investability Real Estate, Inc. A big line item is price. A lot of online marketplaces will factor price appre- ciation into their analysis. Often, this can be misleading because you don’t always have the knowledge to know whether a market will appreciate, and making assumptions based on previ- ous performance can berisky. Another factor to consider is rent appreciation. “Tt can't be guaranteed and you shouldn't speculate that rental increases will be part of your return. You may assume, if rents go up, you might see an equal appreciation in your costs, so your yield may remain the same,” said Wally Charnoff, CEO of Investability Real Estate, Inc. Also, be sure you understand operating costs. When you own a property far from home,it can be beneficial to rely on third-party providers to man- age and repair the home. Therefore, it’s often best to include costs such as repairs, capital expenditures, “turn There are a few key elements to con- sider whenlooking at an investment property. costs” (when a tenant moves out) and leasing expenses upfront. Finally, you must do your duedili- gence when investing. Regardless of whether you're buying across town or across the country, make sure that the assumptions the seller uses are in line with the market's actual costs and returns. Look for an opportunity based on the current numbers, not what some experts may promise about tomorrow. By understanding the market- and property-level analytics and familiarizing yourself with the service providers in the area, you can bein a better position to make an informed investment decision. With upfront metrics and a network of vetted service providers, Investability can make it easier to find single-family residential properties that fit with your investmentstrategy. Find your next single-family real estate investment at www.investability. com. Tune in to “The Real Investor” podcast on iTunes, SoundCloud, Stitcher and Google Play for more tips, strategies and insights into real estate investing. To hear more on this subject, listen to “What to Consider When Buying Residential Properties Online” on Stitcher: http://bit.ly/2gjrZIS. Note to Editors: This material was provided and sponsored by Investability Real Estate, Inc., part of the Altisource family of companies. The material is provided for general and educational purposes only and is not intended to providelegal, tax or investment advice by Investability, Altisource or any other business entity. All investment decisions carry inherent risk, and no Altisource entity shall have any liability with respect to any investment decision made based on this material.
