An investment pro’s guide to the Internet frontier
IF you’ve written more than 60 books on real estate investing, as Robert Irwin has, the question must be asked: Is there really anything new left to say on the subject?
The answer, judging by “The Armchair Real Estate Investor,” the latest book from this prolific author, investor, landlord, broker and consultant, is yes . . . and no.
Irwin, who has an assured writing style and knows how to get information across to his readers, hits the ground running with an opening chapter that squarely nails his topic, linking the ubiquitous Internet to the tasks involved in finding, financing and buying real estate.
Toward the end of the book, under the chapter heading “Sources and Resources,” he fills a half-dozen more pages with lists of websites, drilling down into his subject to include inspections and appraisals, title insurance and legal issues, foreclosures and taxation.
The problem is that between the worthwhile opening and penultimate chapters, Irwin tends to drift off course, seemingly forgetting his book’s premise and instead filling pages with general information linked increasingly tenuously -- at times almost incidentally -- to the Internet.
The book begins by affirming what most of us probably suspect: that the speed and sheer scope of the Internet make it a valuable tool in the hunt for real estate. And, as with so much modern technology, it’s an endeavor best undertaken while seated.
From the comfort of our armchairs -- or at least our desks and tables -- Irwin says we can trawl through millions of homes for sale, find what we want, carry out a comparable price analysis, arrange finance and title insurance, check property taxes, book a building inspector, find a repair crew and hire a lawyer, if needed. When it comes time to buy, we can even contact the seller online.
Though he recommends making at least one physical inspection before buying any real estate, Irwin maintains that almost everything else can now be done online. “The world of real estate profits is just a few clicks away.”
Perhaps it’s that simple for someone with Irwin’s real estate background. But the average reader is likely to find navigating this unfamiliar online territory frustrating and potentially expensive -- you cannot get far on many of these sites without coughing up a credit card number.
In addition, how far can you trust what appears on the screen? “You never initially know quite whom you’re dealing with online -- anonymity is both the boon and the curse of the Internet,” writes the author, who recommends some solid background checks before doing any deals.
As this book unfolds, Irwin seems to lose his initial sharp focus. In the chapters on homes for sale by owners and foreclosures, he references some useful websites, but mostly he just describes these types of real estate buying-and-selling opportunities with little specific connection to the Internet.
This is especially true when he discusses foreclosures. Indeed, the message that comes through most clearly is that foreclosure is probably the one area of real estate investing that least lends itself to online assistance.
The same pattern continues with subsequent chapters on commercial real estate, title insurance, property inspections, becoming a landlord and the advantages of deferring capital gains tax through a Section 1031 exchange.
In all cases Irwin brings a lot of useful information to the table, laced with some shrewd insights. But a dwindling reliance on the Web in these various transactions only reinforces doubts about whether the Internet’s role in real estate investing really merits a whole book.
