12 Solid Rules for Real Estate Investing

12 Solid Rules for Real Estate Investing

Indianapolis, IN · Member since 2008 · 759 posts · 185 votes

12 Solid Rules of Real Estate Investing

1. Real estate is a long term investment
2. Cash flow, cash flow, cash flow
3. Do not let your emotions get in the way
4. Know your markets
5. Get good property managers
6. Find 3 good contractors/handymen
7. Work with Brokers that understand investors
8. When people sell, you buy
9. When people buy, you sell
10. Diversify your portfolio
11. Invest what you can afford
12. Memorize and live by rules 1-11

Make it Happen!

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  • Red Oak, TX · Member since 2009 · 44 posts · 2 votes
    17y

    You removed my posts...

    But, you didn't remove theirs...
    (guess, I didnt make it into the
    boys club)

    Dude... Really...

    Wow!

    Again...

    I'm not exactly sure what it is..
    You want... ??

    I type in the small box...

    I hit post reply.

  • Real Estate Consultant · Bear Creek, AL · Member since 2009 · 5 posts · 0 votes
    17y

    Man, this forum reminds me of high school.

  • Real Estate Investor · Member since 2009 · 10 posts · 0 votes
    17y

    I have been a member of some forums over the years. Allot of them are like this thread start attac people personally and or bragging. I don't really care if you sleep long in the moring, I dont care if you play around all day long, I dont care if you drive a Mercedes to church to show off. But i have read allot on this forum that has been good. There are allot of experince present here and allot of help to get. I really hope this can continue for what it was intended. A place where we can learn and share experiences. And please not let this be a forum just for people that like to hear their own voice. And its really nothing to brag about that the goal is to sleep long in the morning and not work. To not work have never been good for any human. I'm sorry for all the spelling and gramar mistakes I do. English is not my mothers tongue unfortunately. But I hope that I still will can be here to use this forum.

  • Joshua D.Pro Member
    BiggerPockets Founder · HI · Member since 2008 · 16k+ posts · 5k+ votes
    17y
    Originally posted by David Alexander:
    You removed my posts...

    But, you didn't remove theirs...
    (guess, I didnt make it into the
    boys club)

    Dude... Really...

    Wow!

    Again...

    I'm not exactly sure what it is..
    You want... ??

    I type in the small box...

    I hit post reply.


    Yeah . . .

    really

    dude

    I removed your post after saying I would.

    If you can't post without

    doing this ridiculous formatting

    your posts are not

    going to stay here on

    BiggerPockets!

    In 4 1/2 years Ive never seen anything like it

    It is annoying

    and that's the end of it.

    We all type in a small box. Just type in sentences and paragraphs like everyone else and your posts won't be removed. Of course, it seems that this is all about you now, since you had to take over and run any momentum this thread was developing.

    Thank you for that :roll:

    Now that we're 100% clear here, lets please move forward. No more games. No more BS.

    Back to the 12 rules . . .

  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y

    Thank you Josh. I was unsuccessful in my attempts, hopefully you got the point across.

    As far as the 12 rules go, I would add to #2, location, location as I feel it is still very important along with the cash flow.

    #8 & #9 are so very true and so very important I think they should be #1 & #2

    #10: I am not a huge believer in diversifying. I guess I agree more with Mr Warren Buffet. Especially in RE, if you find a niche that works for you, hammer it until the cows come home!

    #11: I personally would change this or at least add to it: Use leverage responsibly and accordingly to maximize your profits. Never over-leverage or over-extend yourself.

  • Residential Real Estate Broker · Payson, AZ · Member since 2009 · 3k+ posts · 1k+ votes
    17y

    Are these in order of importance or priority?

    if so I think 3,4,11 should be debated for the #1 spot. They're importance is almost indescribable <--sp? for any future success.

  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y

    Not sure if Harrison intended to put them in order of importance but regardless, all are important to some extent and newbie investors SHOULD memorize and know them all while stressing the importance of a few of them.

  • Real Estate Investor · Elgin, IL · Member since 2009 · 135 posts · 9 votes
    17y

    Thanks to James Young for reposting the rules...I was going to do so, b/c it was annoying to flip back and forth!

    ...now back to an excellent post by Harrison!

  • Real Estate Investor · ten mile, TN · Member since 2009 · 1k+ posts · 374 votes
    17y
    Originally posted by Harrison Painter:
    12 Solid Rules of Real Estate Investing

    1. Real estate is a long term investment
    2. Cash flow, cash flow, cash flow
    3. Do not let your emotions get in the way
    4. Know your markets
    5. Get good property managers
    6. Find 3 good contractors/handymen
    7. Work with Brokers that understand investors
    8. When people sell, you buy
    9. When people buy, you sell
    10. Diversify your portfolio
    11. Invest what you can afford
    12. Memorize and live by rules 1-11

    Make it Happen!


    I would like to add one to this that is a little simplistic, but without it you will not find out about a lot of the other #'s information.

    Due Diligence.

    Without it being done, you will be!

  • Indianapolis, IN · Member since 2008 · 759 posts · 185 votes
    17y

    Great point jawsette..........

    Quick Edit Here >>>>

    13 Solid Rules of Real Estate Investing

    1. Real estate is a long term investment
    2. Cash flow, cash flow, cash flow
    3. Do not let your emotions get in the way
    4. Know your markets
    5. Get good property managers
    6. Find 3 good contractors/handymen
    7. Work with Brokers that understand investors
    8. When people sell, you buy
    9. When people buy, you sell
    10. Diversify your portfolio
    11. Invest what you can afford
    12. Perform Your Due Diligence
    13. Memorize and live by rules 1-12

    Make it Happen!

  • Will BarnardPro Member
    Moderator
    Developer · Santa Clarita, CA · Member since 2008 · 15k+ posts · 10k+ votes
    17y

    Second that! Due Diligence is a top priority, not only in RE Investing, but in any investment or business.
    Skip that step at your own peril!

  • Justin PiercePro Member
    Rental Property Investor · Woodbridge, VA · Member since 2008 · 543 posts · 121 votes
    17y

    I agree completely. Income Income Income. and CURRENT MARKET VALUE. Most people get in trouble for buying something based on future appreciation. If you want that then the stock market is the place for you.

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