Real estate investment is one of the smartest ways to raise the value of your financial portfolio. According to Billionaire Andrew Carnegie, 90% of the world’s millionaires have made a significant part of their wealth through smart real estate investments.
Real estate is a secure investment option because it doesn’t fluctuate as frequently as the stock market. Real estate values also increase over time, and these assets often outperform other investment instruments in terms of ROIs.
While all that sounds fantastic, the real estate market is not without its pitfalls. When investing in real estate, it’s essential to account for facts and create accurate projections to make an informed investment.
Here are some expert real estate tips for beginners to get started in real estate while avoiding the common mistakes that can cost big bucks:
Don’t Rush It
Considering the higher initial capital requirements, real estate investments must not be made on a whim – even if you see a good deal, you must take your time.
Since the stakes are higher in real estate investments, a single miscalculation can lead to massive losses. You need to take your time to understand market conditions and factors that will impact future values like the locale, amenities, and the neighborhood’s safety. Get a real estate agent to guide you before deciding, to avoid costly errors.
Conduct Extensive Market Research
When it comes to understanding the market, you need to rely on much more than your real estate agent and instinct. You should research other properties in the area and assess the factors that impacted their value over time. If you’re buying a rental, assess the demand for rental properties in the area and look up rental incomes in the region.
Once you have a deeper understanding of the market, you’ll make decisions that ensure better investment returns.
Start With Rentals
Buying rental properties is a good way to start your real estate investment journey. Whether you buy a property to rent out or live in– while renting out some rooms – rental property adds an active income stream while its value simultaneously appreciates.
The income from property rentals also allows you to stay on top of mortgage payments since the rent can be used to pay off the mortgage–the asset essentially pays for itself.
Hire Professional Services of Experienced Real Estate Broker!
No one can guide you better when it comes to investing in properties than a professional real estate broker with extensive real estate experience. Eleanor Curry has been dealing in real estate for several years and has in-depth knowledge of the real estate market investing Houston trends in Houston, Texas, and common investment errors that can cost you a lot of money.
Get in touch with Eleanor and let her guide you in making profitable commercial real estate decisions and boost your real estate portfolio with lucrative investments!