Top Mistakes Made by Real Estate Investors
I received a great question from Tereza of New Orleans, LA. She sent an email and narrated how she is just a newbie in real estate and real estate investing, just like me. Here's her email:
"Hi Kara! I can totally relate with you and and your passion for real estate. Like you, I'm also doing a lot of self-studying and learning about anything I can about real estate as I plan on investing on real estate sometime soon. Question: Do you have any tips on what mistakes to avoid when it comes to investing in real estate? Also, how to avoid them in the future? Much appreciated."
Thanks for your email, Tereza! Here are some tips on the top of my head for now that I hope would help you out.
Everybody knows by now that real estate is anything but easy. As a matter of fact, if you want to move ahead quickly in this particular field, you will need to put a lot of time and effort into the process. If you want to buy and resell a house or a property, for example, you will need to have a lot of will power and resources to do the necessary research for it before you even get anywhere.
Although it may be true that many investors have already achieved a lot in this industry, you need to know that they only succeeded because of their vast knowledge and experience in real estate. As for the ones who failed, here are some of the top mistakes that they committed. By finding out what they are here, you can start avoiding them at all costs:
Doing things on your own.
Not taking every single expense into consideration.
Before jumping into the world of real estate investing, you need to remember that there are more expenses involved in it than just its buying price. You will have to take its maintenance into consideration, for example. If you plan on reselling the house, you might end up spending a lot on repairs and renovations, as well. So, if you come across a house that needs a complete renovation, then you might want to just skip it completely.