Many new real state investors are getting into real estate investing and are bombarded with many terms and terminologies they don’t understand.

First, you need to decide what your short or long term goal is when considering investing in real estate.

Do I need to pay off some of my bills quickly?

Do I want to build a little cash reserve?

Do I want to quit my current job?

Depending on what your goals are you have different forms on real estate investing.

1. Wholesaling

Many don’t know this type of investing exists. Wholesaling is great when you need quick cash to pay off some of your bills or quick cash to purchase an investment property for your own portfolio.

As the wholesaler, you will need to make your deal look good to other investors. You will have to leave money on the table to make the deal appealing to the buyer. You will have to constantly work deals to keep the income coming.

2. Flipping houses or retailing

When you know your market and know what buyers are looking for this would be a great place to start. If you don’t mind fixing up some of the maintenance deferred homes that are in many popular areas, you may be able to add more value than the cost of the repairs. Your buyers could be other investors who just don’t want to fix up the property or a move-in buyer who is looking for their first home and are not willing to make any repairs or updated for the next 10 years.

3. Rental properties

Rentals are one way an investor can build a stream of long term income. You have to manage them well and need to stick to your investment plan when buying them. Not every property will turn into a good rental unless you have the desired ROI you have set from the beginning. You also need to decide if you would like to invest in single or multifamily homes. Either one has their pro’s and con’s

With everything we are posting make sure you consult a competent advisor before making any real estate buying or legal decisions.