Kicking off your real estate investing journey: the top 3 things to do

Kicking off your real estate investing journey: the top 3 things to do now to get started

Ready to get started investing in real estate? Maybe you’ve been researching, reading, and soaking up as much data as you can. You’ve even been eyeing a market where you have interest. So, what comes next?

Hire an investor focused agent

The key here is the term ‘investor focused.’ Bonus points if the agent is also an investor themselves. Don’t hire the agent in the market who has a high number of years in business and a high number of sales. Instead, hire the agent who can help you with steps two and three below! This agent is highly knowledgeable and won’t shy away from tough questions, such as occupancy or vacancy factor.

Get a referral to a local lender

Once you find that strong agent in your chosen market ask for a referral to a local lender. Your agent should have lenders who they’ve partnered with in the past on a deal similar to yours. The agent will be able to tell you if the lender can close deals on time, is reliable, and communicates well.

Learn the correct underwriting metrics

As a real estate investor, the key to buying an income producing property is making sure you underwrite the deal correctly. Knowing the numbers is key to ensure profitability for your deal. If your agent is an investor themselves you should be able to lean on them for assistance. Most smart agents also know the numbers you’ll need to plug in to your calculations.

Once you have the above three things in place, you’ll now be able to analyze properties quickly and efficiently as they hit the market. Hold out for the right deal, but don’t hesitate to offer on the deals that make sense and hit your underwriting and investing strategy.