Miami Preconstruction Real Estate investing is buying properties prior to their construction. For example, a condo that will be built in 2 years, you can put a small deposit to hold the condo and capture the appreciation during the 2 years, which is the time it takes for the condo to be built.

Why is Miami Preconstruction investing attractive to investors? No carrying costs during the 2 years till the condo is built. There is no mortgage, no taxes, and no expenses at all. Most of all, you do not need to manage tenants which can be a concern for Real Estateinvestors. Also, you do not need to qualify for mortgage. So, regardless of your credit history, developers will sell you a unit.

How to calculate your return on Miami Preconstruction Real Estate investing? If the condo for example priced at $500K, typically, in the Miami market, developer would require 20% deposit. 10% at contract time and additional 10% when construction begins. So, your total out of pocket deposit would be 100K which 20% of 500K.

Miami Real Estate market has been appreciating over %25 annually. However, for this example, let