Show 70 -Real Estate Investing or not?
In this episode, I talk about the pros and cons of real estate investing.
1/29/20251 min read
Real estate investing is one of the most powerful investing tools in the world. The vast majority of millionaires invest in real estate. But that doesn’t mean you have to. To help you understand if real estate investing is for you here is an overview of the major benefits and the major drawbacks to real estate investing.
Show Notes
If you want help deciding how to invest, get coaching!
Recommended Books (Amazon Affiliate Links)
How to Invest in Real Estate the Ultimate Beginner's Guide
Key Ideas
Benefits include: Higher returns, greater tax advantages, cashflow to retire early and control over your assets.
Drawbacks include: It’s not passive, you need to spend more time educating yourself, you can lose money more easily with uninformed decisions, and you need a large cash reserve.
The main thing to remember is that you shouldn’t let anyone bully you into real estate investing. If you don’t want to do it, don’t be caught up my fomo. If you are excited about real estate, then go for it! But be sure to be prepared!
Bonus Tip
Here is a bonus tip I didn't get to in the episode.
The more actively involved you are in a real estate project generally the higher your return will be. Someone who passively puts in money will likely get less of a return than someone who is an owner-operator of an Airbnb. That doesn’t mean you should do all the work yourself (there is something to be said about using professionals to get the job done right), but keep in mind the more involved you are, the more like a business it is, the higher your return will be which can accelerate your retirement.