You NEED to Find Your Core Focus to Invest in Real Estate
youtu.be
In this YouTube video, the speaker emphasizes the importance of having a core focus when buying rental properties. They suggest developing specific criteria for the properties you want to buy, such as properties built after 1950 with at least three bedrooms and an ARV of $250,000 or under. The speaker explains the difference between appreciation houses and cash flow houses, with appreciation houses being in nicer areas that go up in value over time and cash flow houses generating consistent rental income. By understanding your long-term goals and identifying the best properties to meet those goals, you can ensure that you're buying houses the right way from the beginning.
The speaker then goes over the three filters or components that you can use when figuring out your core focus. The first filter is the physical property, including the type, size, and age of the property. The second filter is the area, including the location, crime rate, and school district. The third filter is the numbers, including the purchase price, rehab costs, and expected rental income. The speaker emphasizes the importance of setting your own goals and using these filters to find properties that meet those goals.
The speaker also discusses the macro view of the entire area, including looking at job growth, amenities, and crime rates. They suggest finding areas with decent taxes, decent rent, decent appreciation, and pretty good cash flow. The speaker emphasizes the importance of finding an area where you are comfortable owning real estate assets for at least 20 years. The bonus tip is that you can find all the information you need to know about buying real estate online.
In this YouTube video, the speaker emphasizes the importance of having a core focus when buying rent