real estate investor

Eight Tips for Launching Your Real Estate Investing Career

Investing is a good way to build wealth and create a more financially promising future. Naturally, not all forms of investing are alike. There are stocks, bonds, hard assets like gold or silver, trusts, and real estate, among others. In this article, we are going to look at real estate investing and eight good tips for successfully getting started in this lucrative area.

Whether you have already spent a lot of time reading about and learning the key data, or you are just beginning to understand the many benefits of real estate investing, you need to start with one major tip:

  1. No time like the present – If you read headlines about real estate investing you realize that it is an area with the same fluctuations and changes as any other investment or asset class. This means that there is no ideal or right time to begin investing. Rather, it is a matter of understanding which kinds of real estate investments are appropriate in the moment. For example, in early 2017, investors heard from Warren Buffett that real estate investments of any kind were suggested, and other investing experts pointed towards commercial properties, including medical.
  2. Have goals – Your budget and your goals may not yet be in perfect alignment, but getting involved in real estate investing without solid short and long term goals is hazardous. In fact, this tip has to spill over into our next because without your first short term goals, you don’t reach the long term goals. And one of your main long term goals should be to invest “bigger” than you have already done. To do that means building the portfolio and having on paper and in capital what you need for a large investment.
  3. Plan for a big investment – Small steps are usually needed to take bigger ones, and the sooner you begin investing and setting goals, the sooner you get to do a big investment in a more lucrative asset class.
  4. Do some research – Not all real estate is a good investment vehicle. Start looking into the markets in the areas with the most promise. For instance, use search engines to find top cities or regions for investing in housing or commercial properties.
  5. Hold steady – This takes discipline and some nerve, but it is far too easy to bail out of a good investment because of unusual circumstances or troubling times. For example, a major REIT recently dealt with a massive sell off because a single area of its holdings showed signs of trouble. Rather than selling, investors should have held firm.
  6. Accept risk – There are no investments that are without risk, and this is true of real estate investments. You need to be willing to accept some risk, but if you are doing your research, holding steady, sticking to goals and choosing the most lucrative markets and regions, your risk should be kept to minimal levels.
  7. Diversify – As soon as you are able, make plans to diversify holdings. While you might enjoy heaps of success as an investor in apartment buildings or retail and combination use buildings, keep in mind that the old “eggs in one basket” system is not always the wisest. Be sure your portfolio has a good balance of single family, medical, commercial and other real estate.
  8. Seek help – All of these things are quite challenging to do on your own, though many before you have done so. However, why struggle and delay your success as a real estate investor when there are turnkey options available. There are real estate investment clubs that steer investors towards those “perfect fit” assets, and which can provide almost immediate success.

Hopefully, these eight simple tips can help you get started on a successful career in real estate investing today. Now is the moment to look to real estate as a strong asset class, and today’s the ideal day to begin.