Real estate investors come in all shapes, sizes, and financial backgrounds. There are so many ways to invest in real estate. You can flip houses, buy notes, invest in delinquent property tax, become a foreclosure expert, buy and hold property, invest in single family or multifamily homes, buy into mobile home parks, become a developer or a real estate agent, and much more.
There is one thing all of these types of investors have in common, and that is a quest for high returns on their investments—and a willingness to be thought of as a huckster, fool, and risk taker. Some investors do indeed go broke, but the ones who succeed can often look back and wonder why people thought that they were a bit crazy.
You Might Be a Real Estate Investor If…
- You have driven by a property with an overgrown lawn and shrubs, and rather than think a lazy homeowner lives there, you wondered if there was an opportunity to make money there.
- You have ever looked at the Empire State Building and put together a rough analysis of the rate of return you could get—if only you could get the financing.
- Someone’s offer to sell you the Brooklyn Bridge was taken seriously—but only if they can guarantee you clear title.
- You have investigated several different ways to get more property financing and more mortgages, even though you currently only have a single mortgage—on your primary residence.
- You understand that every property could be a bargain, but only at the right price.
- You understand that cash flow is king, and any other so-called return (depreciation, appreciation, equity gains, etc.) is not a factor in the investment formula—regardless of what any real estate agent says.
- You factor in the cost of a property manager—even if you plan on managing the property yourself.
- You understand that real estate is the way to riches and also one of the fastest ways to the poor house.
- You can look at a prospect in the eye and decline them for a tenancy in…