How much money do I need to invest in real estate?
At Prime USA Investments, we believe transparency is the cornerstone of every successful investment. Understanding the path ahead builds clarity and confidence. While it’s a common myth that real estate investing is only for the wealthy, the truth is everyone has to start somewhere. That’s why we’re committed to providing a clear and comprehensive breakdown of the costs associated with purchasing and financing a property.
Upfront Costs for Your Investment
Down Payment:
This is a percentage of the property’s total cost that you pay upfront. It secures partial ownership from the beginning.
Closing Costs:
These are the legal and administrative fees required to complete your property transaction. They include title insurance, escrow fees, and related service charges.
Cash Reserves:
While not paid to Prime USA Investments, cash reserves are a crucial part of your investment plan. These funds act as a safety net to cover unexpected expenses related to your property. They are not intended for regular expenses like mortgage payments or property management fees. For a renovated resale property, we recommend reserving at least six months of rental income. If you’re purchasing new construction, a three-month reserve may be sufficient, as unexpected maintenance costs tend to be lower.
