Part of investing is thinking about other people. At the core of it is bringing up those that are around you. The legacy of the future is what should motivate you to invest in real estate. For real estate investing beginners to get the most out of the venture, the first step is to pick the right market. You have to study the sustainable drivers of the market. This should be followed by digging beneath the headlines. A crucial understanding of the financial metrics that underlie the market is required for success. The very first edition of the real life lessons on The Real Estate Guys Podcast will be handled by David Zook, a successful real estate investor; Robert Helms, your host and finally the co-host, Russell Gray.
David Zook has risen through the ranks to become the great real estate mogul that he is today – an achievement that any real estate investing beginners out there can manage too! However, he tries to put it as if he got chased into the business. This was all in a bid to pocket a substantial part of his profit money. He saw it as fit to invest the money in real estate than lose it to taxes.
David though places emphasis on seeing the actual situation on the ground before buying a property. He says that it assists greatly with the transactions in the market.
Key Points to Note for Real Estate Investing Beginners
David cites important lessons from the field for real estate investing beginners. The first one being that success is all about finding those people in the market that understand what they are dealing with and working with them closely.
The second aspect that David intimates is the expansion to new markets. The initial thing that he would do is to find a team that he would comfortably work with. Thus, Dave believes that success is determined by the people you align yourself with. However, even with his notable success, Dave cites a few times that he was down and felt like giving up.
Buying and Selling Property
On another episode by The Real Estate Guys, the hosts had a chance to interview John Larson, a Managing Director at American Real Estate Investments (AREI). These guys buy and sell property in Dallas. This area is known to have a high demand for properties owing to the ever growing population. This phenomenon creates an incentive for real estate investing beginners to get into the market! Though John also agrees that sometimes this high demand results in a high saturation of such investors.
John attributes two things that contribute to real estate investing:
How Real Estate Investing Beginners Can Succeed
John, Dave, and other successful real estate moguls have all pointed out that the key to success in this type of investment is by preparing to out in the work. As a real estate investing beginner, do your initial research and due diligence before embarking on the investment. This should be followed closely by assembling a strong and committed team. You can also leverage on the expertise of someone who has been in the industry for some time. The focus is on building lasting relationships.
Humans are by nature social. Hence, collaboration is key especially in the modern world of business.