Learn everything you can about the market in general and the specific type of investment you're considering before you put down any money. Educate yourself.

Talk to an expert. If you're not a financial or legal expert, consult a qualified accountant and attorney before embarking on any real estate deal.

Join a real estate investors club. You'll meet people like yourself who have had both good and bad experiences. You'll also gain access to many valuable expert sources such as real estate agents, property inspectors, appraisers and contractors. The National Real Estate Investors Association offers a list of clubs on its Web site, at www.nationalreia.com.

Establish relationships with local real estate agents. The days of low housing inventory and bidding wars are over. Today, agents are anxious to unload their listings at fair prices. Check with some local agents to see if they have properties that you can acquire. Banks, too, are taking back an increasing number of houses through foreclosure. Since they're not in the real estate business, they're anxious to sell these properties as well.

Edwina Baniqued