There is an element of risk associated with any investment.  Typically, a higher return equates to more risk.  When dealing with Arizona investment property, it is important to do your due diligence.  There are many factors that can impact your investment’s profitability.  Some of these include; current rental market, property expenses, property management costs, purchase price, property tax rates, and vacancy rates.  Each one of these needs to be researched in order to properly project your investment’s return.  Frank Gallinelli, Founder of RealData (a 30 year old company producing software for real estate investors) and author of several top selling books, explains the importance of doing your due diligence and some of the factors that need to be researched.  When watching this video, think about your own investment and what resources you have available to research the various pieces of data.

According to Frank, there are two steps to the due diligence process.  The first is collecting the data.  Earlier, we mentioned some of the data points that need to be researched.  Where do you find this data?  Most can be obtained through third party sources and some of the other data can be obtained directly from the seller of the property.  Make sure that you carefully review any information coming from the seller, since there is always a chance that the information could be slightly exaggerated.  The second step is to combine all of the data together and analyze the results.  This will give you the information needed to make an educated decision about which Arizona investment property fits with you strategy.

Even the most seasoned of investors place an emphasis on their due diligence.  It is a very important part of the process that should not be overlooked.  Learn how Clear Vision Investment Group can assist you with that due diligence process and provide additional incite on purchasing Arizona investment property.