Investing in real estate properties isn’t an easy job – you have to know your stuff before you even set foot in the market if you expect to turn a profit.
If you’re new at real estate investing and you’re looking for capital, Paces Funding can help. We specialize in hard money loans that help investors like you buy and flip houses. However, before you can get your feet wet, there are a few things you need to know… including the five worst mistakes you could make as an REI, or real estate investor.
5 Horrible Mistakes Many New REIs Make
- “Winging it.” Never buy without a concrete plan in place that includes a timeline for completion and a way to find a buyer or renters. Make your plan; then – and only then – buy a house that fits in with your plan.
- Assuming you’ll make easy money. Flipping houses isn’t easy, and repairs, upgrades and overhauls cost money. You have to spend it (preferably on professionals) to make a return on your investment. Remember, that’s what this is: real estate investing.
- Trying to do everything on your own. You may be great with tools, work as a licensed Realtor® or know how to install hardwood floors… but chances are that you can’t do all three. You need to have a good team of professionals to work with, including:
- HVAC contractors
- General contractors
- Lawn maintenance and landscaping contractors
- An Atlanta hard money lender
- Closing attorneys
- Overpaying and cutting your own profits. When you pay too much for a house, don’t be surprised if you don’t make a profit. In fact, some new REIs pay so much that they end up losing money on a deal.
- Not bothering to learn the ropes. This is serious – your family’s money is on the line. Don’t dive headfirst into real estate investing without reading great blogs, books and articles about it.
Are You Ready for a Hard Money Loan in Atlanta?
If you’re a seasoned investor – or if you’re truly ready to get your feet wet – call us at 404-814-1644 or get in touch with us online.
You can also fill out our simple online application to get the ball rolling.