Many investors today want to add real estate to their investment portfolios, but they don’t understand the complex nuances of real estate investing or how to begin the process. Real estate investing is substantially different from investing in stocks, bonds, and CDs, and it can seem overwhelming to brand-new investors.
When I teach people how to invest in real estate, my philosophy is to maximize return while minimizing the risks. When done correctly, real estate investing is one of the safest and best long-term wealth-building tools in the world. With that in mind, here are 10 tips to help you successfully launch your real estate investing career.
1. Real estate investing is a business.
2. Check your credit report
3. Find a good bank or mortgage broker
4. Determine the best areas to look for properties.
5. Talk with other investors about local real estate.
6. Consider multiple sources for buying properties.
7. Spend time reading about real estate investing.
8. Find a good Realtor to help you locate properties.
9. Look for a return greater than 1 percent per month of sales price.
10. Learn from the best.
Above all, remember that like anything else, the harder you work and the more effort you put into your real estate investment business, the greater your ultimate reward will become over time.