Real estate is seen as a reliable and time-tested investment, and both financial experts and veteran investors attest to this fact with much conviction. However, there are still some false beliefs about this investment tool that linger and scare some new potential investors away.
Do not let the opportunity to invest in real estate pass you by just because you have heard of these myths:
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Real estate investing requires breaking your bank account
The amount of money you shell out actually varies based on the type of investment you want to put your money in. Thus, wealth is not always a primary factor to get started. You just have to start somewhere and let your investment grow from there.
You can start by buying a tiny studio where you intend to live in. If it’s located in a fast-growing real estate market, its value can double in a few years’ time.
When that happens, you can sell your studio and move into a one-bedroom apartment. Keep on doing so until you end up residing in an even bigger place in Louisiana, perhaps even investing in commercial real estate in the heart of New Orleans itself.
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Either you have “it” or you don’t
“It” here means the natural talent for investing and earning money. can also be nurtured. To prepare for your first rental property purchase, you can build your confidence by educating yourself through books, online videos, webinars, and podcasts.
The next step is to just go for it and gain experience while continuing your education and learning from people you meet along the way. That person could be a realtor in New Orleans LA or a fellow investor of real estate in Covington LA.
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Property investment always yields passive income
You can have a passive income if you put your money in a real estate investment trust (REIT) and just let the company earn it for you. But if you decide to be the landlord on several properties, then you have chosen a more active approach. It means you’ll have a lot more work to do and not simply wait for your earnings.
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Home repair know-how is a must
It’s a misconception that doing the work yourself is the safest way to earn a profit. In fact, you may even lose money if you do a poor job with a fixer-upper, even if you bought it at a bargain price. Your best bet is hiring an experienced and carefully vetted contractor who can do a much better job and save you from a lot of stress.
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Good investments are hard to come by
Opportunities are always out there in every market. Sometimes they are bountiful and other times, meager. All of yesterday’s deals may have been taken, but tomorrow’s deals have not. You will find yours in time with a little more patience and hard work.
There is so much more to learn about real estate investing. For your next steps, we at Axis Realty Group can help get there. You may call us at 504.336.3000 or send an email to Nicole(dotted)AxisRealty(at)gmail(dotted)com.