For 28 years, real estate has been my first language. I enjoy this business as it has allowed me and my family to live the life we desire. I often get asked about real estate investing and what tips I would share. There are a few Important things about real estate investment that you must be aware of before you commit to the process. Investing in real estate is certainly a great way of earning some extra money and passive income, but it ain’t easy, it requires commitment and you can go broke fast. It happened to me so I know.
Don’t be afraid to learn what you don’t know. Real estate changes daily. ~ Nichelle Womack
Any wealthy person will tell you that investing in real estate is one of the best ways to boost your long term financial strategy to support you and your family. Real estate allows you to attain financial freedom if you invest strategically. Many start in real estate working a 9 to 5 job to eventually leave it to work the business of real estate full time. Let me clarify… the business of real estate is not easy, but it’s certainly worth learning if you are seeking an opportunity with huge rewards and a great return on your investment.
People need shelter so rral estate will always be profitable ~ Nichelle Womack
So if you are thinking of investing in real estate, I’m sharing 5 things you need to know when making the decision to become a real estate investor. Check out my YouTube Channel for more inspiration and real estate tips here.
First, you must know there are several general types of real estate you can invest in. They include single family homes, apartment buildings, multi-families, commercial buildings and condominium units all yield favorable profits and opportunities. All have their pro’s and con’s. When I started investing, I bought single family and multi-family and they were very profitable. You can begin building your investment portfolio by choosing one or more of these types of properties and learning as much as you can before venturing into owning. Real estate can be an expensive endeavor without the proper knowledge.
Second, you must find a profitable piece of real estate. You can do this on your own or seek a trusted realtor to assist. At Triad Realty Group, LLC., we pride ourselves on helping our clients from beginning to end with purchases and selling real estate. Since real estate will be one of the largest investments you make, we believe in education first and that includes teaching you what you don’t know and affirming what you do. Learn more about real estate investing here. You can also learn more about real estate investing by attending your local chapters of real estate investing organizations and networking. I will tell you, it wasn’t until I hired a coach and mentor that I learned how to do this business right. I also got my real estate license for the extra info. Interested in becoming a real estate agent in your area? Here’s a great place to start here.
Third, you must know when it’s a profitable investment and act like quick. If you like it, someone else loves it. Moving slow can cause you to miss out on some great deals. However, I would suggest you evaluate and do a cost analysis first. Weigh your options and go from there. If you don’t have sufficient money, you can borrow from a bank, go through mortgage brokers or the credit unions. You can also get creative and seek private lenders. Yet be mindful, most of them come costly. I must make this clear. Even if you get an opportunity to buy real estate with little to no money, it takes money to make the deal complete. Don’t fall for the okey doke and think otherwise. It really does take money to make money.
They aren’t making anymore land so it’s worth purchasing. ~ Nichelle Womack
Fourth, once you purchase a property; the next important thing is either rehabbing to flip and sell or managing it as a buy and hold.This again can be done in several ways. You can manage it yourself or hire professionals to do the job. Both require work, money and time. If you are buying to flip, you need to hire contractors unless you can do the work yourself. That’s a whole another blog post. Depending on your short and long term strategy, decide which method is best and which strategy you are pursuing.
Nevertheless, before investing in real estate, it’s important to understand what the market and the process is in order to be profitable. If interested in learning more about what to buy and how, check out 20 Ways to Buy Real Estate and Make Money.
I hope this information has helped you get an overview of real estate investing. There is so much more to learn and understand, but all of it will come with time. My final advice.. keep learning every opportunity you can. Get a coach or a mentor. Plan before you act. If you are interested in a one on one session, contact me here.
Until next time, blessings and peace,