Q: What are the most common mistakes you see novice Investors make?
A: There's a lot of mistakes that I've made myself, and that I've seen others make. From my experience, the most common mistakes I see are:
- Falling in love with the property
- Always using the best case scenario
- Not performing solid due diligence
- Not planning
- Forgetting to consider how this deal helps your other financial objectives (the big picture).
For now, let's talk about love. When I say investors make the mistake of falling in love with the property, I mean they want to make the property look like they would have it if it was their own home. Maybe they do this because they've done renovations to their own home already and think they now have the expertise to do it to an investment property.
Don't let your emotions get the best of you. If you find yourself getting excited, you need to calm down and get some separation between the emotion and reality. Looking at the numbers is a good way to do this. Asking one of your Team members for their opinion is another way to do it.
This is simple - it's not a marriage, it's an investment:
- Don't fall in love
- It's all about the numbers.
Clients always ask me: Are you on the web?
See for yourself.
Tim McIntyre, GRI, Ellicott City Realtor, Catonsville Realtor
Helping Clients Buy, Sell and Invest in
Howard County, Carroll County and Baltimore County
for more than 25 years.
tmcintyre@cbmove.com 410-480-3555
www.timsellshomes.com
