Tips from Real Estate Investor Mindy Jensen

October 7, 2021

The renowned co-author of “First-Time Home Buyer” and podcast host of Bigger Pockets Money, Mindy Jensen, needs no introduction. The popular figure is not only a host and writer, but also a licensed real estate agent. She has been buying and selling properties since 1998. Mindy is very passionate and dedicated to helping investors make informed decisions about purchasing properties.

In this article we’re sharing some of Mindy’s valuable tips on getting your real estate license and how to be successful in the property investment business.

Tips from Mindy Jensen

Get Your Real Estate License and Study the Market

Before you start investing, get your real estate license and learn the ins and outs of the market as much as you can. It’s essential to learn the common market trends and see what houses are selling for.

You’ll need to know what houses in poor condition are selling for as well as the nice ones. Also, determine how much people are paying to rent different properties, as well as how the location affects the cost.

Once you’re well educated on the market, you can start buying properties. The type of home you end up buying should reflect the current market situation. For example, you should invest in older homes while the market is appreciating to renovate and sell. If the market is stable, that’s the time to purchase a nice house and rent it out.

Also, it’s best to avoid buying townhouses, condos, and properties in strict HOA communities so you can control your expenses.

Avoid the Following Mistakes When Investing

• Run your numbers and make sure you have money left to get a decent return on your property.
• Never fall in love with a property. Sometimes the numbers don’t work and you shouldn’t buy the property, no matter how much you like it.
• Don’t buy a property if you don’t have the proper funds. Doing so can affect your ability to pay the mortgage or make basic repairs.

Consider the Following to Choose an Investment Property

• Since market trends change in a split second, you should always have an exit strategy. Your property value can decrease at the last minute or your buyer could back out. You need to be prepared to make quick decisions when things don’t go as planned.
• If the property doesn’t make you money in more than one way, it’s not a good investment.
• NEVER go for weird, unique, or unusual properties in real estate. Instead, you should stick with normal and traditional homes. It’s always best to play it safe.

Try to Be Smart When Investing in Real Estate with Low Capital

In order to see a quick return in your real estate investment, you’ll need a good amount of capital. Beginning without sufficient money in the real estate industry means you’ll start from a weaker position. Not having a steady cash flow will make it difficult to manage emergency repairs and pay the mortgage.

However, you can do housing hacking, which refers to renting out a room or multiple rooms in the house. You also have the option to live in the house while you’re flipping it.

An important tip is if you live in your flip for at least 2 years you won’t have to pay a capital gains tax when you sell it.

Summing Up

All in all, a real estate investment requires a thorough understanding of the housing market. The given tips from Mindy Jensen are tried and tested and can help you maximize the benefits from your real estate investment.

Links

https://finance.yahoo.com/news/real-estate-investing-guru-mindy-190026179.html

https://www.biggerpockets.com/blog/contributors/mindyjensen