Real Estate Investment for Women

With women empowerment making waves in the financial and business domain, investing in high-return ventures has taken the front seat. One problem, however, is that women are mostly encouraged to put their money in paper investments. Real estate is primarily a male-dominated industry. Historical and statistical data highlights the male dominance in this industry throughout history; however, this is taking a turn for the better. As time progresses more women are becoming investors and administrative figures in real estate. Women are cautious and calculated in their decisions. They study risks and take into account what can happen in the next five years to come. A recent study observed that women look for long-term potential in investments. According to another study based on the characteristics of a successful real estate investor, it was identified that women fall perfectly into the criterion. Women have a long-term investment strategy, take low-risk routes and generate higher returns by a calculated strategy and independent research. Women like Marilyn Jordan Taylor, I. Dolly Lenz, Mary Ann Tighe and Deborah Wahl have been defying norms for years by breaking into megadeals and maintaining the status of top real estate investors. Any investment poses potential risks; it is wise to follow some basic guidelines to avert potential problems as much as possible.  A few key components can be very useful in helping women find their path in the world of real estate investment.

Build a network

An entrepreneurial mindset with the ability to communicate can be very useful in pursuit of resources. Networking events and real estate groups are optimum places to generate resources. Women can build a circle of strong business relationships, starting with their family and friends.  You can get your acquaintances to invest on your own through a trusted real estate agent. A successful investor keeps a firm grip on the resources of the industry. In the real estate business, these resources may include title companies, mortgage brokers, and attorneys.

Go the OPM route

Large capital outlays are an imminent risk in real estate industry, but there are always loopholes. One of these loopholes is the percentage of value to cash-in, which gives investing in real estate the upper hand. For a typical real estate deal, the ratio is 80:20; 80% is invested by a bank and the 20% is your own expense. But if you are smart enough to utilize your resources, you can get investors to cover most of the 20% leaving you with a solid ROI or brokering fees. This is the impact of using OPM (other people’s money) in the real estate business.

Recommendation

Before dabbing into the world of real estate investment, women should evaluate the risks. One negative aspect of real estate business is a personal risk; a loss can have a huge impact on your business relationships and financial standing. Not all investment situations are the same, studying the tiniest of details is recommended when handling a real estate deal.

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