Do you want to invest in real estate but are having a hard time finding suitable units or reliable tenants? Check out some of this year’s trends in real estate and see how you can improve your tenant retention and make money in both boom and bust markets.

1. Investing in Boom and Bust Markets

2. Where Should You Put Your Money in
Different Market Cycles?
It’s important to pay
attention to the market
you want to invest in.
That’s why when you’re
investing in real estate
you need to know the
best time to buy and
sell.
Is the market right now
the best time to invest in
real estate, or should you
wait and perhaps invest
elsewhere?

3. Market Trends
In 2008, the real estate markets fell
pretty heavily. You could sell and get
some of your money back, but the best
choice was to leave it alone and hope
the market eventually climbed once
again.
The markets recover slightly in
2009, but fall again by 2011.
However, the rental market is
much stronger. Now, in 2013,
real estate is still undervalued
by about 6-7% in most
markets. However, inventory is
now tight, and it’s once again
hard to find a good deal on
rental properties.

4. Invest in Real Estate?
If it’s so hard to find a good
deal on rental properties,
what does that say about
investing in real estate?
Well, buying rental real estate might be difficult,
but getting tenants to sign a residential lease
isn’t hard at all. In fact, people are lining up to
rent houses and apartments right now and there
are few to be had.

5. Earning a Strong Return on Your
Money
If you want to invest in real
estate, or you already are
investing, how will you
earn a strong return on
your money?
Vacancies are the biggest
cost for landlords, so the
best way is to avoid losing
money is to watch out for
neighborhoods with high
vacancy rates. Also, you
should always maximize
tax advantages, and never
buy a rental property that
doesn’t instantly offer
strong cash flow.

6. More People
Are Renting
Though more people are starting to
buy houses now that the market is
recovering and foreclosure rates are
decreasing, many people are choosing
to save money and rent instead.
Many apartment
buildings have
lengthy waiting
lists and are
screening tenants
as quickly as the
units become
available.
However, many
families are now
looking to rent
single-family
homes and are
willing to pay a
bit more for the
freedom and
space of a full
house.

7. Apartments or Single-Family Homes?
Single-Family homes are rapidly
becoming the most desirable
renting option for many families.
Apartment complexes are filling up
and are not always the ideal places to
raise a growing family.

8. Improving Tenant Retention
If you already
own a rental
house, there are
ways to keep your
tenants rooted
down so that you
don’t lose money
by having an
empty unit.
Communicate regularly, but only about
important matters. Respect your tenant’s
privacy and handle disputes calmly and
professionally. Also, if you have respectful
and well behaved tenants, think about
letting them have a little leeway every now
and then if they need it.

9. Relatively Cheap Upgrades to Improve
Property Value
If you need to
spruce up
your rental
home to make
it more
desirable to
tenants, try
some
relatively
inexpensive
upgrades like
a gas fireplace
or a second-
hand hot tub
(all hot tubs
are pre-owned
to tenants).
Other light
upgrades
might include
touches like
bamboo
flooring,
landscaping,
or even
smartphone-
controlled
keyless locks.

10. Act Now for the Best Profits
Keep an eye out for
good deals on rental
properties, and wait
for a property that will
create cash flow
immediately when
leased. Many real
estate markets are still
undervalued, but
inventory is tight in
some markets.
If you can’t find any
good deals, then just
bide your time. Pay
down debts and save
10-25% from each
paycheck so that