Real Estate Investing Requires a Plan Real Estate Investing Requires a Plan

1 comment / Posted on by Steven Rivera

Real Estate Investing Requires a Plan

The first thing you need to understand when you want to invest in real estate is that you have to quickly decide if a deal is worth analyzing and putting time into. It is easy to get lost analyzing a deal that looks good at first but actually holds no value. Time is money so you do not want to waste any of your time. 

Know Your Criteria

First, you need to know what kind of properties to look for. As time goes by you will be able to quickly look at a property card and see if it is worth analyzing the deal further. One important thing to have in your plan is to look at areas that have a good school district and a low crime rate. You do not want to settle when investing in properties. Make sure that the property fits your criteria as closely as possible.

Run Your Numbers

Now that you see some value in the property you have to run the numbers. Running your numbers accurately and precisely will assure you that the deal has a value that is worth investing in and holds the least risk. Sometimes a deal seems valuable a first, then gets thrown out after running the numbers and seeing too low of an ROI. If you go further into a deal that has a low ROI, you hold too much risk to potentially lose money

Patience

You might sift through 100 properties before you find the one that is right for you, but when you find that is will be worth it. Real estate investing requires a lot of patience and diligence and with that, you will see a lot of success.

The first thing you need to understand when you want to invest in real estate is that you have to quickly decide if a deal is worth analyzing and putting time into. It is easy to get lost analyzing a deal that looks good at first but actually holds no value. Time is money so you do not want to waste any of your time. 

Know Your Criteria

First, you need to know what kind of properties to look for. As time goes by you will be able to quickly look at a property card and see if it is worth analyzing the deal further. One important thing to have in your plan is to look at areas that have a good school district and a low crime rate. You do not want to settle when investing in properties. Make sure that the property fits your criteria as closely as possible.

Run Your Numbers

Now that you see some value in the property you have to run the numbers. Running your numbers accurately and precisely will assure you that the deal has a value that is worth investing in and holds the least risk. Sometimes a deal seems valuable a first, then gets thrown out after running the numbers and seeing too low of an ROI. If you go further into a deal that has a low ROI, you hold too much risk to potentially lose money

Patience

You might sift through 100 properties before you find the one that is right for you, but when you find that is will be worth it. Real estate investing requires a lot of patience and diligence and with that, you will see a lot of success.

1 comment

  • Posted on by Anthony

    Very insightful, especially for a newly established investor like myself in the Long Island area. Keep up the great content.

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