Property investors rode a wild wave during the pandemic, with the short-term rental market stopping, then restarting, and property prices in many second-home markets soaring. What does the future hold for new second-homeowners and for managers of more robust property portfolios? We’ll explore that and more, all May long, at Inman.
From bringing in a steady cash flow to securing tax benefits, investing in real estate can have a slew of benefits. Not to mention, it’s also a great way to build wealth over time. But how can newbies get started in the business? What are some first steps to take?
This week, Micah Curtis, regional director at Home Loans Assist, sat down with Rick Guerrero, director of branch sales and strategic partnerships with US Mortgage Corp to talk about real estate investing basics.
Guerrero, who cut his teeth in the business close to three years ago, now owns four properties. Tune in as he shares how he got his start, what he learned along the way and what advice he would give to new investors. Here are a few key tips:
- Get with a Realtor who really understands this market segment and this business.
- However, even some of the best Realtors can make a few small critical mistakes. The best way for you to know how to do it is to just buy some and experience it.
- “What I do is, I try to buy properties where I can achieve the 1 percent rule,” he said. “What does that mean? That means if I buy a property for $150,000, I’m going to make $1,500 a month in rent.”
- When searching for good rental property, a few important factors to look for are: being in a good school district, being in an area where there’s active business, being near a freeway or close to easy transportation.
- Leverage real estate investor networks in your local area. Have mentors you can reach out to for advice and help.