Buying real estate is one way to ensure you have a steady, ongoing income from your investment property while your capital wealth accumulates and grows.
Wish it were that easy! Investing your real estate capital should be taken with serious consideration. If you decide to do it, Picket Fence Properties, Northern Colorado’s premier property management company, would like to save you some headaches by talking about the 6 most common mistakes and how you can avoid them.
Did you forget to put your action plan together?
- Type of property
- Budget for buying
- Rent to be charged
- Legal Paperwork
- and more.
- Are you making decisions based on emotion? This can be a tough road in any situation but when you have money on the line, it is really important to put yourself in a state of “this is business” mode because when dealing with people, your heart can often overrule the facts. Having a good third party partner to bounce things off is alway a good idea. Objectivity is key.
- Trying to do it all on your own? This is where other come in. Let the experts be experts at what they do. Real estate agents, broker, attorney, property management company, etc. Find professionals that are recommended and you can trust.
- Uncertain of estimates? Establish relationships with renovators, handymen, contractors and tradesmen. A good rule of thumb is to over estimate your budget so you’ll be surprised when you have capital left vs. freaking out when your new property is a money pit.
- Is cash flowing? Prepare, prepare, prepare. Plan for the unexpected, don’t overpay for your property and consider this before buying…what if you can’t keep it occupied. Have a game plan now.
- Did you hurry the process? The real estate market is moving at a rapid pace today. Consider all things to make sure your investment was a wise one. Make sure you read contracts, conduct research and trust that good ole – instinct. If you have red flags, consider them carefully before proceeding.
With the most common mistakes identified, most of these can be avoided with a little prep work and the right people around you.
I’d love to help you as a property owner get through these things seamlessly.
I hope you found this helpful and I’d love to hear your thoughts when you comment below.
Helping you keep your house a home,
Picket Fence Properties, located in Windsor, CO is Northern Colorado’s Top Notch Property Management company helping owners with their rentals, income/investment properties and vacancies in Northern Colorado. Are you a owner of a home for rent or that you’d like us to manage? We help you have the perfect tenants in NoCO. Are you looking for somewhere to rent in Greeley, Loveland, Fort Collins, Wellington, Eaton, Evans, Windsor, Frederick, Firestone? Look no further, we have all your real estate and rental needs covered. Check out website for vacancies today.