Real Estate Agent · Chandler, AZ · Member since 2022 · 216 posts · 156 votes
Buy a few rental properties, plug tenants in, put up your feet and watch the magic happen right? Do this a handful of times and your coasting well on your way to early retirement and cashflow to fund your ideal lifestyle. Well not exactly, especially if you bought properties after the crazy bidding wars and interest rates spiking in 2022.
Truth is investing is the hardest its ever been for a variety of reasons. I already mentioned crazy prices and high interest rates which increase the barrier to entry and finding properties to cashflow. You add to that saturation of many rental strategies like AirBnb/VRBO, stagnant rents and increased operating cost across the board. Its Tough on Landlords these days to keep their head above water. So does that mean you shouldn't invest in Real Estate at all?
I believe there are three reasons you should still invest in Real Estate. I've outlined these in detail in the video. Hint, if you have children or pay taxes on your income you might be someone who it still makes sense for.
Agree that it's gotten tougher to make the numbers work, especially on the SFH side. Between rate hikes, compressed margins, and oversaturation in short-term rentals, it's not the "plug and play" strategy some people were sold on a few years ago.
That said, real estate still offers unique advantages that are hard to replicate elsewhere, especially when it comes to long-term wealth building, tax benefits, and creating options for the next generation. Even in today’s market, I think there’s still an opportunity; it just takes a more strategic and creative approach than before.