Investing in real estate is growing in popularity across New York, especially as the markets fluctuate. But even in a slowing economy there is still money to be made in both residential and commercial real estate. Let’s take a look at 4 different ways you can make money off of your real estate investments.
1. Real Estate Appreciation
This is perhaps the most common way to make money off of your investment real estate. Even homeowners can benefit from appreciation. Real estate appreciation is when the value of the property increases over time, so when you sell it you can can make a considerable profit. Also for homeowners, having a home that has appreciated can allow you to easier access to funds from a bank to purchase a second property. There are risks relying on this method, since in the short term not all property values increase. It depends greatly on which borough in NYC the property is, the neighborhood, size and type of property.
2. Cash Flow Income
Cash for income is a very relevant option for those who own a multi family complex or commercial offices. Each month you can generate positive cash flow from the rents that tenants pay you. It is also possible with single family properties but when there are multiple tenants there can also be a greater cash flow. The risk with cash flow income is that if all units are not rented that it can cut into your cash flow income or even cost you money. Working with a NYC real estate lawyer can help you help to ensure your contracts with each tenant are legally binding and can allow for more growth and legal protection.
3. Ancillary Real Estate Investment Income
Once you own your corporate or restinaial property investments there are other ways to make money off of the property. This includes things like placing vending machines at strategic locations, early termination fee, late fee, pet fee, dry cleaning and laundry, storage space fee, parking fee etc. Never underestimate the investment income from services like these in your properties, as there are many ways for growth.
4. Real Estate Related Income
Real estate related incomes is a general term for various other forms of making money in the real estate market. This includes real estate management companies and even real estate agents. This wont require you to actually invest in the property which might be easier, but is a great business option for who can become specialist in their field
Want legal help with your real estate investments? Speak with Fisher Stone, your expert real estate law firm of NYC today!
Fisher Stone, P.C. NYC Corporate, Small Business & Trademark Lawyer 115 Broadway Floor 5, New York, NY 10006 (212) 256-1877 https://fisherstonelaw.com/