Recently, I have begun reading a book by Brandon Turner called Rental Property Investing and it has changed my life for the better. I only have three hours left on this audiobook but I couldn’t wait to write a review about it because it is simply outstanding.
There are many books out there on rental property investing, however this one has truly enabled me to feel prepared and ready to put my money where my mouth is and become a true investor of real estate.
Here are a 3 major takeaways I have internalized since reading this book:
Always Make Sure the Math Works
This book talks about many rules that real estate investors use to ensure a sounds investment. Some of those include the 2% test, the 50% rule, and the 1% rule. Additionally, the book dives into understanding how to truly prepare for expenses both expected and unexpected. It calculates all the expenses you could face in a rental property, and it elaborates on how to best save for them each month. This allows an one to protect their investment to the best of their ability and comes in handy when deciding what offer to make because you know your limitations.
Be sure to surround yourself with other real estate investors. Not to say that you can’t be a real estate investor by yourself, but it definitely pays to network with certain professionals who can help in the process. Some of the major figures were responsive real estate agents, fair contractors, trusted loan officers, and interestingly enough a spouse who’s on your team and shares your vision. Additionally, the book emphasizes the importance of spending time with those who have the qualities that you yourself would want to aspire to. I know a lot of us have heard that same thought process time and again but it pays to execute on it.
Look for Problems
As Real estate investing is becoming more popular, an investor like you and I will need to get creative when finding the best deals. Some problems the book talks about that are easy to fix are a having a bad smell, mold, non-open housing, bad landscaping, and a bad roof. A lot of these issues would cause many investors to turn away, but the book explains how this can be to your advantage. It offers perspectives I wouldn’t often think about and hopefully it does the same for you, if you haven’t read it yet.
This book really dives deep when helping one determine an investment criteria. It talks about everything for tips to get a loan approved, how to work conventional loans, and how to best research a location and analyze it. My only qualm with this book is when he does an analysis on the pros and cons of obtaining a real estate license. He makes it seem as though it’s harder than it is. I just want to add that depending on the state, it’s not as expensive as it’s sometimes made out to be and if you dedicate the necessary time each day, it’s not as long of a process either. Be sure to conduct research on the platform of which you acquire your education and go for it!
If you are interested in investing with our club on either the stock or real estate side we would be happy to welcome you into the partnership. Email firstname.lastname@example.org today to join.
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Brandon Jackson, Director of Marketing