Tips On Buying Real Estate At Auction In Metro Detroit – 4 Tips To Help You Do It Right

Looking to acquire an investment at an auction? That can be a fun (and potentially profitable!) way to acquire properties but it can also be fraught with danger if you’re not a careful. Make sure you read these 4 tips to help you do it right…

The secret to most real estate investing is to buy at an attractive price and then either rent for cashflow or sell at a higher price. And one place to buy attractively-priced properties is at the auction… if you do it right. Unfortunately, many brand new investors swoop into the auctions and end up spending too much. If you want to avoid this “newbie” mistake, make sure you read these 4 tips to help you do it right.

Tips On Buying Real Estate At Auction In Metro Detroit #1 — Research

If the auction posts information about each property before the auction, take the time to do your research and determine the value and potential return of the property. Can you rent it out? Can you flip it profitably? Can you improve the value? Will you earn a return on your investment? Spend the time to do your research and figure out how much you can make from the property, which will inform you about how much you can pay. Set a firm limit and don’t over that limit for each property.

Tips On Buying Real Estate At Auction In Metro Detroit #2 – Find Hidden Gems

An auction is an open, unfiltered market, which means that you’ll be up against other people who may have done their research and want the real estate for the same reasons you do. This can result in properties being bid up to a very high price. The way around this is to dig deep in your research to find the hidden gems… the ones that people might not bid on but that YOU know are really valuable.

Tips On Buying Real Estate At Auction In Metro Detroit #3 – Wait Until The End

There are different kinds of auctions but if you are at a time-based auction where the deal stops accepting bids at a certain time then swoop in at the last moment with your best offer. If you time it right, you may give the best price and lock it in before anyone else can bid higher.

Tips On Buying Real Estate At Auction In Metro Detroit #4 – Avoid Emotion

One of the hardest parts of bidding at an auction is that you can get caught up in the emotion. At first, you are thoughtful and calculating but then you might get into a bidding war with someone and your emotions take over and soon you bid higher and higher just to beat the other person. Remind yourself to leave your emotions at home and make sure you know what your upper price limit when the heat is on!

Acquiring investments at an auction can be a great way to buy real estate. However, if you’re not careful, it can also be very expensive. Use these strategies to help you avoid the mistakes and pitfalls and acquire low-priced investments.

You can skip the confusion of an auction and just invest with us. Click here to enter your info and check out our inventory of attractively-priced deals, or give our team a call at (586) 697 0065 and we’ll help you find something that works with your budget.

Timoune

About Timoune

Christian Chabi is active in the Real Estate Marketplace in Metropolitan Detroit. He buys and sells Real Estate for his own portfolio and helps others reach their Real Estate Investment goals. In a fast-paced and dynamic industry, Christian Chabi’s approach to Real Estate investing is no-nonsense, high-energy and knowledge-based. He has studied with the best investors in the game, and is a voracious reader. He applies his knowledge with a “show me the money” frame of mind insisting that knowledge must be applicable not just theoretical. In other words, he tests all the principles he teaches with actual profit (or loss) experience. Mr. Chabi is experienced in fix and flips, as well as buy and hold, scenarios. Depending on the profitability he will do either one with confidence. Core to his philosophy is his desire and willingness to work with others. His belief is that people are more valuable than any commodity. At any given time Mr. Chabi is working in some capacity on several projects (as a Real Estate Agent, Investor or Partner). He is particularly fond of helping investors get their FIRST property. He has written several books on the subject and numerous articles. He teaches new investors to define their goals, plan their strategy and implement their Real Estate Investment Program with confidence and humility. Some of Christian’s Mantra’s are: - Ask questions until you are satisfied with the answers. - If it doesn't make profit-cents, then have the sense to walk away. - Be patient. Look for deals that have your name on them. - All deals must be win-win for all involved.

Comments are closed.