Reading Estate Financial Statements

[FelipeA]

Hi,

I'm curious as I want to buy estate in the future, where do I find a good article/resource to learn to read real estate financial statements?

I appreciate any help,
-Felipe

 

[Brat]

I am confused. Do you want to buy stock in a firm such as Dependable Monthly Income from Real Estate - Realty Income Overview , do you wan t purchase a home or condo to rent to others, or do you want to buy a home to live in?

 

[FelipeA]

I didn't realize stocks were offered in estate rentals. I'm curious about buying land/property for renting out. I see lots of properties around for sale but I don't know how to read the financials. I'm not ready to buy but I'm ready to begin researching so I can find some good deals and get some rental income before I graduate.

 

[unno2002]

[FONT=&quot]Find yourself a "buyers agent", don't deal directly with the listing agent. The listing agent, and other non buyers agents have an obligation to the SELLER, not you.
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[FONT=&quot]
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[FONT=&quot]Find yourself a quality property management firm that knows the applicable law, can do financial checks, ect.. Get them involved with your search. They "know" good rentals areas, deals, etc., and they have the contacts with inspectors, mechanics, etc., to get stuff done at a lot less cost then you finding a plumber on your own…[/FONT]

 

[tryan]

I could give you my Schedule E's ... err nevermind.

 

[FelipeA]

Okay got it, thank you, opened up my perspective.

So this is what I'll file with every year: http://www.irs.gov/pub/irs-pdf/f1040se.pdf

A property management firm- NorCal Property Management - West San Jose - San Jose, CA | Yelp they seem to get a very good average review.

A buyer's agent like Zillow Buyer's Agent, Real Estate Agents, REALTORS® - Zillow or yelp to find a quality one Buyers agent San Jose, CA or would you recommend another?

In summary: use a buyer's agent to find a good rental property for cash flow, set up with a property management firm to maintain the property and file my schedule E each year to pay taxes, sound about right?