Will this property create the type of cash flow (now or in the future) that will help me reach my financial goals? That’s the overarching question to keep in mind. Of course, finding out the answer is usually easier said than done.
You know that investing in real estate can be a great way to achieve financial freedom, and you’ve (hopefully) created some definitive passive-income goals at this point . . . but you’re not sure what the next step is.
You need to be rock solid on your goals before you can truly find real estate investments that help you achieve them. That means you need to be very clear on how much passive income you’d like to create per month and in what time frame you’d like to have it by.
You’ve probably heard the old adage when it comes to real estate: you make money when you buy. Once you’re in a poor deal, it’s hard to recover. Learning how to properly vet deals–whether investing actively or passively – is the majority of the battle.
However, it takes time to really dig deep and decide if something is the right property. You’ll get better with the due diligence with time, but suffice to say that most of the important work is done upfront.