Today, I want to share the top three real estate investing mistakes that hold people back from creating the life-changing cash flow they can make.
If you have the knack to buy real estate, it’s one of the greatest asset classes in the world.
If you know you have the magic touch of investing, but you’re not investing in the right kind of real estate, you won’t make big money.
Real Estate Investing Mistakes
1Looking at homes as the way to make money
Look, as an investor, buying a house is a mistake. Unless you buy the right house at the right time — that’s when you can Airbnb it, do short-term rentals, and keep it full for maximum cash flow.
Sometimes you’ll get a place and feel like you’ll stay there long-term, but why not get the home and rent it out? People won’t just pay to live there; they’ll pay to use it for a short time.
Also, make sure the home is in a location where you can Airbnb it. Many times, places don’t even allow this, so watch out.
2Buying deals in a bad market
Real estate, unlike stocks, doesn’t travel well.
If you’re not in a good market right now, then you’re not going to be able to invest in real estate. There’s a good chance that maybe that market’s dead for the next six or seven years. Some real estate in some markets does not do well because of things going on in that market.
Markets fluctuate, and that can put pressure on real estate.
3Not understanding the debt game
There’s a massive problem if you don’t know how to use debt, deals, and equity. You’re not going to be able to buy much real estate. You might be able to buy one house or maybe two, but that’s about it.
If you want to purchase more real estate, you will need to learn to use debt and other people’s money.
These are three of the biggest mistakes that people make regarding real estate investing. If you’re able to avoid these mistakes, you’ll be on your way to creating life-changing cash flow from this great asset class.
To find out how I did it, secure your seat to my Real Estate Live Training.