New Year Mindset

[Austin Grant McDowell]

As we kick off a new year, I always see the same thing happen in real estate:
Some investors wait for “clarity,” while others quietly position themselves for opportunity.

Q1 isn’t about predicting the market—it’s about preparing for it. Here are a few talking points and mindset shifts I’m focusing on this year that may help other investors as well.

1. The Market Doesn’t Reset — Your Strategy Does

The calendar flipping doesn’t change fundamentals, but it does create behavior shifts:

• Fewer casual buyers

• More motivated sellers

• Less competition for well-underwritten deals

This is often when the best acquisitions are found, even if they aren’t closed until later in the year.

2. Interest Rates Aren’t the Deal Killer People Think

Rates matter—but they’re just one variable.

• Purchase price

• Terms

• Seller concessions

• Value-add potential

I’ve seen deals at higher rates outperform low-rate deals that were bought wrong. The math always wins.

3. Cash Flow Is the Priority (Even If Appreciation Returns)

If the last few years taught us anything, it’s this:

Early in the year is a great time to:

• Stress-test rents

• Review operating expenses

• Reevaluate property management performance

Small improvements here compound fast.

4. Q1 Is Ideal for Off-Market & Relationship-Based Deals

This is when conversations matter more than listings.

• Agents reconnect

• Sellers reassess plans

• Investors review portfolios

Some of the best deals start as “maybe later” conversations in January.

5. Portfolio Check: What Stays, What Goes?

The beginning of the year is perfect for asking:

• Which properties are underperforming?

• Where is equity sitting idle?

• Does this still match my long-term strategy?

Sometimes growth comes from selling or repositioning, not just buying.

6. Value-Add Still Beats Waiting on Appreciation

No matter the market cycle:

• Forced equity

• Operational improvements

• Better tenant quality

These are things you can control. Appreciation is a bonus—not a strategy.

7. Process > Predictions

The investors who consistently win don’t guess better—they execute better.

• Clear buy box

• Strong underwriting

• Reliable team

• Repeatable systems

The market will do what it does. Your job is to stay disciplined.

Final Thought

Most investors miss opportunities not because they don’t exist—but because they don’t feel comfortable at the time.

Q1 is often when uncomfortable decisions quietly turn into the year’s best results.

Curious what others are focusing on this year:

• Buying more or holding tighter?

• Value-add or stabilization?

• Residential, commercial, or mixed?

Would love to hear what strategies are winning for you going into this year.