If you’ve been thinking about a career change, the likelihood is high that you’ve evaluated getting started with that new career in Issaquah real estate. You’re not alone indeed: data shows that more than 17,000 people in the U.S. Google “how to work in real estate” every month! Rental real estate investing, most especially, is a superb option for the reason that the potential to earn both a monthly income and to gain real wealth through property appreciation. But on the other hand, is a career in real estate investing right for you? Here are a number of questions to ask yourself to be aware of your answer!
What do you already know/need to learn about investing?
One of the very first questions you should ask yourself is how much do I already know pertaining to buying, leasing, and managing rental properties – and how much do I need to learn? Nearly all people have a great deal to learn since investing in rental properties requires a wide range of skills and know-how. The extremely good news is that taking in the business of real estate investing is something you don’t need a college degree to do. There is a considerable number of free courses, podcasts, books, and other investors to learn from.
Are you self-motivated?
As a rental property investor, you are in business for yourself, and naturally (at least in the beginning), by yourself. That explains that you will be required to stay motivated and on track to land your first (and second, and third) real estate deal, then undertake a bunch of tasks from property maintenance and repairs to promoting positive tenant relations. If you find yourself striving hard yet struggling to set goals, follow-through, or manage your time effectively, these are all skills you may need to be proficient in first before embarking on real estate investing full-time.
Where do you stand financially?
To invest in rental properties, it’s an obvious fact that you need to have your finances in order. You’ll furthermore need to have a very good credit score and, if you are planning to finance your investment properties, cash saved up for the down payment, closing costs, and renovation expenses. It’s likewise very understandable to know your financing options and have a backup plan available if things change. Real estate investors are oftentimes called to move quickly when the right property is available, so you will indeed need to be pre-approved for any loans and otherwise have everything ready to go.
What is your risk tolerance?
Another weighty question to ask yourself when considering a career as a real estate investor is how comfortable you feel about taking risks. Like all investments, real estate goes along with its own set of risks, from getting a pretty “bad” property to ending up with a really unpleasant tenant. Though there are plenty of means to minimize these risks, especially if you already know how to thoroughly assess a potential property, understand your local rental market, and accurately crunch the numbers.
What are your purpose and end goal?
One last very important thing to understand, it makes good sense to have a clear understanding of your purpose and goals for starting a career investing in real estate. Are you trying to obtain more flexibility in your schedule? Higher earning potential? The freedom to work for yourself? These are all genuine benefits that come with the business. That being said, together with why you want a career as a rental real estate investor, it’s also important to know your end goal.
Can you visualize your end goals or exit plans? Do you have a retirement plan? Much as buying and owning rental properties is a long-term investment strategy, to cash in, you’ll eventually need to know how to handle your investment properties and when the appropriate moment comes to retire.
If you’re ready to take the next step toward a career in rental real estate investing, give Real Property Management Eclipse a call. We partner and work very closely with investors to conduct market analyses, locate off-market deals, find quality tenants, and set accurate rental rates. If you’re settled with regards to launching a new career, making our Issaquah property managers part of the team is one of the best ways to get your business off to a certainly good start!
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