Analysis paralysis or due diligence?
Hello BP community,
First post here and a newbie, wannabe re investor. I have been educating myself for the past 6 months, reading books, blogs, listening to podcasts etc. I feel like I've maintained an objective point of view throughout and have taken steps to learn how to analyze properties without the emotion. In the past 6 months, I have evolved from long term investment, SFR (I was ok with break even) to multifamily units that cash flow. I have capital available to get started. Taking the next step is proving to be the most difficult. For every post I read about investing for cash flow (and surviving any down cycle), I see a post on the impending "correction" or "bubble." For every post about investing where you know and live (if it makes sense), I see one on out of state investing for better cash flow opportunities. I am having difficulty reconciling every pro/con argument there is out there. Its just too easy to talk yourself out of taking action when you over analyze. I can anticipate the response from this post will be something to the extent of identify your goals, establish your criteria and go get it. My problem is, that my re market (I live in San Diego) is simply not meeting my demands/terms, however unrealistic they may be. Does that mean the timing is simply not right for me or should I take what the market is giving me and come up with more realistic expectations (i.e.: less cash flow or lower ROI).
An overwhelming number of "experts" have claimed that we are at or nearing the top of the cycle. Objectively, it seems imprudent to want to jump in right now. A few years from now, will I say I should have jumped in in 2017 or will I say, good thing I waited? I am interested in learning where folks draw the line between analysis paralysis and proper due diligence.
thanks,
Felix