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.
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.
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.
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.