Want to get started in real estate investing? What’s the best first investment you can make?
Here’s a hint – Warren Buffett still calls it his best investment ever (besides the wedding rings for him and his wife) and has held it for decades…
Your own home.
Would you ever apply for a mortgage from a broker who has never had one? What about letting someone pick your stocks if they have never bought any before or listing your home with a brand new Realtor who has never sold a home before?
If you want to be successful at real estate investing and respected owning your own home can help a lot. It’s a great way to learn the process and add some hands on experience to your real estate education and of course may put you side by side with a more affluent group who are more likely to buy and sell.
Some may question whether buying a home for yourself is really real estate investing but it could easily become one of your best wealth builders. Just don’t tap into your equity, let it grow. If you don’t have your heart set on staying where you are at that’s OK. You can always rent the place out when you move or buy a property in the area you want to live in for the future and rent it out until you are ready to relocate.
You don’t have a down payment saved, your credit is trashed or you don’t have a job right now? Those aren’t excuses, they are excellent opportunities to put your real estate education to the test and let your creativity shine and make it happen anyway.
You have to start somewhere and telling others about buying your own home can be a great way to generate leads from others too.