Business Model

Single Family

There are roughly 95 million single-family homes in the U.S. Single-family home investing revolves around buying, renting and selling these homes in order to make a profit. Single-family homes are intended and zoned for one household, as opposed to multi-family which is based on two or more households. There are more single-family homes in America than any other form of real estate, varying from small frame bungalows to giant masonry mansions, and the investment options are just as varied. Since over 50% of all Americans own a home, this is an investment sector that they readily understand, with a simple business model.

Single Family Articles & Reports

Marketing

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Re-Investment

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Business Model

Single Family

There are roughly 95 million single-family homes in the U.S. Single-family home investing revolves around buying, renting and selling these homes in order to make a profit. Single-family homes are intended and zoned for one household, as opposed to multi-family which is based on two or more households. There are more single-family homes in America than any other form of real estate, varying from small frame bungalows to giant masonry mansions, and the investment options are just as varied. Since over 50% of all Americans own a home, this is an investment sector that they readily understand, with a simple business model.

Single Family Articles & Reports

Single Family Books & Courses

Single Family Deals

As Income Property

Pros

Huge demand for the American “dream of homeownership”

Easy financing

Simple business model

Established management companies available

Cons

Extreme competition makes finding great deals harder

Capital expense risk for hidden defects

Lower potential to raise rents in some markets

Overbuilding in some markets increases potential vacancy

Flipping

Pros

High level of demand for nice properties that are well priced

Easy financing

Fast money if done properly

Creative outlet

Cons

Small margins in extremely competitive markets

Risk of capital expense items undetected at purchase

High levels of competition in some markets

Market Research

Articles & Reports

PAY ATTENTION TO THE NUMBERS WHEN COMING UP WITH A PRICE

PAY ATTENTION TO THE NUMBERS WHEN COMING UP WITH A PRICE

The only reason to buy a single-family home as an investment is to make money with it. And you can’t make money if you don’t have a tight handle on your expenses. And too many buyers do not put sufficient padding to cover the costs of converting a home from...

IMPORTANT DUE DILIGENCE STRATEGIES ON SINGLE-FAMILY RENTALS

IMPORTANT DUE DILIGENCE STRATEGIES ON SINGLE-FAMILY RENTALS

Benjamin Franklin once said that “diligence is the mother of good luck”. This is as true today as it was in 1776. When you conduct proper due diligence, you remove the risk from your investment’s success or failure. So what are some of the overlooked aspects of doing...

THE IMPORTANCE OF LOCATION. LOCATION, LOCATION

THE IMPORTANCE OF LOCATION. LOCATION, LOCATION

It’s often been said that the three most important points about real estate investing are 1) location 2) location and 3) location. And this has never been more true than in single-family home investing. The success or failure of your investment – more than any other...

updates

Forum & Deals

Learning about and committing to investing in single family is only half the battle. The real challenge is finding the right deal to invest in. These resources will help you find the right deal to give a diligence focus and potentially buy. Remember that finding the right single family is all about volume, so the more potential deals you look at the better your odds of finding the right one. Don’t just look at a few options, look at as many as you can find. Success in single family investment revolves around making as many offers as possible.

Education

Books & Courses

Before you risk any capital, your first step is to learn everything you can about how to profitably invest in this niche. To accomplish that, there are both free resources as well as books and courses to aid in your quest for mastery of this real estate sector. We recommend that you take advantage of every opportunity to learn as much as possible before you invest your time and money. The most important trait of a successful investor is being able to quickly separate deals into a “might be an opportunity” stack versus a “not an opportunity”, as well as know the steps to conducting superior due diligence. In niche investing, knowledge is power – so get as much of it as you can.

Providers

Brokers & Lenders

No buyer can succeed without assistance from those who can source deals, as well as finance them.

Brokers are an important part of finding properties to buy. This is their specialty, and they typically have listings that are both “public” as well as “private” (those that they are not allowed to reveal to the public due to restrictions from the seller). Successful buyers contact all of the brokers in their niche to see what listings they may have, as well as to get set up in their email database for announcements of new listings. For a complete list of these brokers click the Learn More button below.

Lenders are the key to successful real estate investing, as it is through the sensible use of leverage that rates of return are maximized. Banks generally all follow the same basic lending principles, but there are certain facts regarding each niche that have to be explored. In many cases – on deals of $1 million or more – you should explore using a loan broker (also known as “capital consultant”) to obtain a loan for you for a fee. This is extremely important on CMBS “conduit” debt and Fannie Mae/Freddie Mac “agency” debt. On deals under $1 million, you should focus on seller financing as well as local banks that know the market and are aggressive in lending to their base. For a complete list of lenders in this niche click the Learn More button below.

OUR MISSION

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