There’s no doubt that you can make a lot of money as a real estate investor. It is a job that is very rewarding, not only because you’re providing quality housing for area residents, but because you can fatten your bank account.
You could end up getting in over your head. If you don’t know what it takes to be a successful real estate investor, you’ll end up losing money and frustrating your tenants in the process.
Whether you’re interested in getting into real estate investing for the first time, or you currently own properties, it’s a good idea to be aware of these 5 things if you want to be successful in the long run.
- Bargains aren’t everything
Whatever you do, don’t lose your mind over a bargain. A property is only as cheap as it is to fix, and the cheaper it is, the more likely it is that you’ll end up dumping your savings into making costly repairs.
Before you purchase a property, there are a few things you should consider. One of the most important is scheduling to have an independent inspection done to assess the value of the property and the repairs that need to be made. You may discover that the property isn’t a bargain after all.
- Don’t lose your tenants
Some tenant turnover is expected, but if you’re spending the majority of your time searching for new tenants because existing tenants are always moving out, there’s a problem. Not only does it mean that people don’t want to rent from you, it’s going to end up costing you a lot of money. It’s always cheaper to keep the tenants you have than it is to turn the apartment, market the apartment, and spent time showing the apartment.
- Be careful how you spend your time
Spending all your time looking for new tenants isn’t a good use of your time, but there are many other ways you could be wasting time, and you don’t even know it.
Successful real estate investors don’t ever feel like they’re running around town like a chicken with their head cut off. They know how much time they need to spend on each aspect of their business. If you want to be successful, you need to learn time management skills.
- Don’t try and do it all yourself
Not only do people make the mistake of purchasing the cheapest property possible, they also make the mistake of thinking they can do everything themselves.
Sure, there are probably things you can do yourself to save a little money, but if you don’t have experience with HVAC systems, or you don’t have the time to make a sink repair, you’ll just end up frustrating your tenants (see number two on the list).
- But, don’t hire the wrong crew either
So, instead of doing everything yourself, you need to hire a crew to do the hard work for you, but you can make a mistake here too. Not all property management companies are equal. Hiring the wrong crew can be just as bad as trying to do everything yourself!
The right crew can be found at Mountain View Property Management. Contact us today to discover how we can help you become a successful real estate investor.