(Reporter7.com 2007-05-11) THE TOP FIVE MISTAKES IN BUYING INVESTMENT PROPERTIES

Novi, MI - May 3, 2007 - The Laker Group is Southeast Michigan's fastest growing Real Estate Investment Company.

After reviewing our previous clients, Shawn Dawson, Marketing Director, has compiled a list of the top five mistakes Real Estate Investors should avoid making:


Mistake #1 - Not researching the property thoroughly
Ever heard of the saying 'You can't judge a book by its cover-? The same applies here. Look at the exterior, interior, and neighborhood when choosing an investment property. Research comparables in the area, tax information for the property, and (if applicable) costs for repairs. This will assist you in making your decision as to whether or not to pursue this property.

Mistake #2 - Not having financing in place before making an offer.
There are various ways to finance a real estate deal'traditional mortgages, cash, or hard money. Make sure that you have the right financing for the right property. As a general rule of thumb, any purchase below $50,000 will require cash or hard money.




Mistake #3 - Not getting updates from your lender
Your loan officer or lender has many files to work on, and your loan file may slip through the cracks. Make sure that you get regular updates from them as to where in the loan process your file is at. This will keep them on their toes and assure you that your loan will get done.


Mistake #4 - Purchasing at Market Value
This is a big no-no. As a Real Estate Investor, you are looking to make money. Never purchase real estate at market value. Make sure that there is enough equity in the home to make it worth your while. The best sources for these types of properties are foreclosures and probate estates.

Mistake #5 - Not following City Codes and Regulations
Each city is different in their City Codes and regulations. Check with the Building Department for the property that you are trying to purchase and/or rehab.


By avoiding these mistakes, you can save money and become successful in real estate investing.

Direct any questions you may have regarding real estate investments to Shawn Dawson, Marketing Director, at 248-344-1097 or email him at sdawson@lakergroup.com.


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