Ways to make money in housing

Look for a house or property that is undervalued.
Do your research, find out why the area is going for so cheap. See what the houses and property in the area are selling for. It may just take you fixing the place up a little.

Look for foreclosures.
A lender may foreclose on a mortgaged property. For the most part you will be able to buy the house for a lot cheaper than you normally would. I've heard of people buying houses well below the actual price someone has paid for them.

Fix up a property.
If you have gotten a cheap house but it is in bad shape it is going to be hard to resale it. Buy new doors, mow, replace broken items, etc. After you have done this, you could have raised the value dramatically.

Look for opportunity property.
If you buy a piece of property where there is not much around, it can sometimes go for cheap. So if you find property like this and hear that it is soon going to be built up around. The businesses can make the value increase. And/or a business may offer you money for your property.

Research.
This is probably one of the most important steps. Know what you are buying. Make sure that you have not overpaid for something because it can be hard to turn a profit for it.