If you get referral leads
on a potential investment property, don't procrastinate when following up with a seller. According to surveys of real estate agents across the United States, it is best to follow up with a seller no more than 30 minutes after you have received a message. If you wait much longer than that, another investor can swoop in and get that prized piece of property.
Invest for Cash Flow
When buying investment properties, always invest for cash flow. If you don't, you'll find yourself winding up with a portfolio of speculative properties, all of which may or may not make money. Therefore, if you buy a property, have an idea of how much it will appreciate in value over the next several years, and how much cash it will generate for you each month.
Establish Your Niche
When many people begin investing in real estate, they think the best way to do so is by investing in many different types of properties. However, it is best to take the opposite approach and establish your niche in a specific type of property. Whether you choose to focus on single-family homes, apartment complexes, or even commercial properties, finding your niche will make it much easier to pinpoint the best and most profitable properties in your local market.
Work with a Mentor
While you will inevitably make mistakes along the way when getting started in real estate investing, you will be able to limit these mistakes by working with a mentor from the outset. By finding someone who is already a successful investor, you can not only learn the tricks of the trade, but also have someone you can lean on for advice and support should you face a difficult situation.
By following these tips and using common sense and good judgment along the way, real estate investing success can be yours. Through making the best use of leads that come your way, you will be able to beat other competitors to the punch when purchasing properties, allowing you to build up a profitable portfolio.