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While it is true that one of the biggest mistake real estate investors can make it waiting to enter the market and missing out on the potential profits they could be making right now, at the end of the day real estate is about patience. Even so, while you need to be patient, you also need to keep this piece of wisdom in mind – don’t wait to buy real estate.
It may sound like a contradiction, but it is important to remember that just because you are being patient and doing your due diligence with your investments, which does not mean that you are necessarily waiting to invest. In fact, sometimes making an investment without the proper preparation and considerations can be worse than not investing at all. So, don’t wait to buy real estate, but make sure you are prepared first.
So, it is important that you take the time to be patient enough to dive into the market properly prepared to make well-informed investments but even so, don’t wait to buy real estate if the opportunity is there.
So to ensure that you are prepared and don’t wait to buy real estate, let us help you with a free strategy call with our team at LendCity today at the link below.
Patience is a Virtue
Patience is one of the most valuable qualities an investor can have. However, it is also important to acknowledge what true patience is. Patience is not just sitting around and deciding that you will invest later when the market goes your way, instead it is staying prepared so that the moment an opportunity to make a strong investment turns up you are ready to get in early.
This is one of the key details people miss when they hear ‘don’t wait to buy real estate.’
Discover How To Buy Unlimited Rental Properties With This Step By Step Guide
Taking Time to Find the Best Deals
Being patient with your investment strategy also gives you time to scout out the best deals on properties that suit your portfolio. For example, instead of simply buying the first affordable duplex you find to satisfy your goal to add two new units to your portfolio, it may be worth it to see if there are other multi-unit properties on the market that may deliver a stronger cash flow or add additional units to your portfolio for a lower price per unit.
Or perhaps you may find a single-family property that can be converted into a legal duplex for less than the cost of buying an existing duplex outright. While you may stumble upon the best deal straight away, it is always better to weigh your options in case a better property is out there.
Avoid Making Snap Decisions
Don’t wait to buy real estate does not mean buy the first property you see. Don’t wait to buy real estate means you should pursue great opportunities.
One of the reasons that it is so important to be patient when investing in real estate is the risk associated with making snap decisions and rushing into a deal you have not properly thought through. Real estate is an expensive way to invest your money, and while it is true that when done right it can start to pay for itself, not all properties make for great investments and not all investment styles suit the portfolios of every investor.
During the Covid-19 pandemic, the real estate market was hot, and people were moving fast in order to buy properties to take advantage of the heavily discounted interest rates. However, this also meant that some people were making the mistake of putting offers onto properties that neither them nor their realtors had looked at as well as properties listed without any photos at all.
The result was investors finding themselves stuck holding onto properties that were purchased for cheap but came with unmanageable levels of flaws and defects that they were not prepared to deal with such as heavy water damage, structural issues and more.
Why They Say ‘Don’t Wait to Buy Real Estate’
While patience is incredibly valuable and learning not to rush into your investment is a valuable lesson that every investor should receive, waiting too long can also greatly harm your investments. That is why people say don’t wait to buy real estate.
Real estate is valued because it is an appreciating asset, meaning that its value consistently goes up over time. Of course, the market occasionally has its dips and downturns, but the trends clearly show that it always comes back up and usually does not stay down for long.
This means that if you plan to wait for real estate prices to come around and provide you with a better deal than the ones you are currently seeing, you are choosing to gamble and run the risk of the market growing and properties becoming more expensive. As well, sometimes the rental income from a property can make up for the difference in price if the market actually does come down while you are waiting. So, waiting is not always the wisest choice.
Getting Pre-Approved to Prepare for Your Investments
One of the best methods of staying prepared while getting ready to make a new real estate investment is to get a pre-approval for your next mortgage from an experienced lender. This allows you to determine your own credit worthiness and find out exactly how much you qualify for from the lender that is best suited to your investment goals.
Of course, instead of shopping around for lenders yourself, you should let us take your application through our network of lenders instead. At LendCity, with only one credit check we take your application through a vast array of different lenders to find the mortgage product best suited to your needs.
For more information or to get started today, visit us at LendCity.ca or call our office at 519-960-0370. Alternatively, click the link below to book a free strategy call with our team and learn why we say ‘don’t wait to buy real estate.’