When you’re new to real estate investing, all the information available can seem overwhelming. Here we’ll simplify that information to some basic fundamentals to understand, beginning with why you should consider real estate investing as a method for wealth generation. We’ll look at both active and passive approaches to investing, and then provide context on how you should think about investing with sound approaches, rather than speculating. Finally we’ll provide information on the importance of building around a team of professionals rather than launching into real estate investing with a lone wolf mindset.
These fundamentals hold within them the elements that will build your baseline knowledge and provide information to bring some self-awareness as you consider your next steps. From here you can then begin to then focus with confidence on considering approaches to the strategies described later that align with your interests, resources and available time.
Armed with this knowledge you’ll have a launching point to focus your learning and education in areas that will set you on a path without distractions and overwhelm.
Why Real Estate
With greater stability, the use of leverage, and multiple methods to achieve success, real estate is one of the best ways to create long term wealth.
Active Investing
Roll up your sleeves, get your hands dirty, manage tenants and solve day to day problems, watch your portfolio and income grow.
Passive Investing
Put your money to work, rather than yourself. No 3am phone calls or plumbing problems to fix. Make investment decisions and watch your wealth increase.
Investing vs Speculating
Real estate generally increases in value over time, it’s not a get rich quick strategy though. Bring an investor mindset rather than a gambler’s.
Work with Professionals
Very few can succeed alone with real estate investing, you need the right team of professionals supporting you along the way.
What’s Next?
With an understanding of these basics, these are questions to ask to chart your personal real estate investment journey.