Probably the most important feature of real estate is a limited supply of land. As the population grows and more investors enter the real estate market, there is a great demand for a fixed amount of land. And as the demand increases, the value of your land increases.

Investment in real estate is an excellent "hedge against inflation," as land has historically increased in value at a greater rate than the rate of inflation. The money you borrow today will be repaid in the future with dollars of less value.

Among the greatest advantages of real estate ownership are the provisions of our income tax laws. By meeting certain criteria, the sale of your real property can qualify for a lowered tax on your profit. Income tax laws favor the home owner. Your real property taxes and the interest you pay on your mortgage are tax deductible. This is the big advantage you have over the renter who has nothing but receipts for his monthly rental payment.

The largest major investment the average American makes during his lifetime is a home. Buying is often technical and time-consuming. There are six basic ways to purchase a home:

1. Cash payment

2. Loan assumption

3. FHA loan

4. Personal/Seller loan

5. Conventional loan

6. VA loan

ESTABLISH AREAS which you prefer, but be open minded at the beginning since you may not be willing or able to afford all areas, and reestablishing your desires can be frustrating. MAKE A LIST of all the homes available on your desired financing. Look at them all INSIDE. Outside appearances can be deceiving both for and against the home. CHOOSE A HOME that suits your needs and fits most of your desires. Don't expect everything. Most of us can't afford all we want, but a home should be the best available for your particular needs. HAVE YOUR REALTOR EXPLAIN the procedure for putting in an offer on the home you prefer. Remember, all offers MUST be in writing and have an EARNEST MONEY deposit with them. This money goes toward your expenses paid for the home, and is returned to you if you and the seller cannot agree on terms. APPLY FOR YOUR LOAN immediately if it is necessary-always for a new loan and sometimes for a loan assumption. Your Realtor will help you do this. GET READY for your new home. You should be kept informed by your Realtor on how your loan is progressing, when it should close, and exactly how much money you will need at the closing. Have money, insurance policy, and other necessary items ready before the closing. Your Realtor will help you step by step to get your loan closed as smoothly as possible.