Should You Invest in Real Estate?
As we start to grow mentally and financially the value of money dawns on us. Income from whatever job or work one does falls short to meet ever growing needs. We try to save the money and start thinking to invest somewhere so that we should have a supplementary source of income. This is a natural feeling. These feelings motivate a human being to get out of comfort zone and create some activity in life. This urge to acquire more wealth has become mother of all hustle and bustle in the life. Sometimes we have unknown fears. Am I smart enough to handle any investment? I may lose my savings. I may become unsuccessful. All kind of fears will engulf you. What to do with my savings?
Keep your money underneath your pillow, including in stocks, bonds, savings, mutual funds, currencies, commodities, and of course, real estate investments. There are positive and negative aspects to each investment option, but since we’re here to learn about real estate, we’ll focus on that and that alone.
One of the most commonly stated reasons people give for investing in real estate is that they are seeking out financial freedom, but there are others, as well. Of course, each person will have his or her own personal reasons. They are typically seeking one or several of the following: Appreciation, Cash Flow and sense of security.
The decision to begin investing in real estate is a personal one, and we absolutely recommend that you make sure you and your family are 100 percent committed before deciding to move forward in doing so.
Real Estate Investing- Is it full time job or part time job?
As the housing societies mushroomed in last 30 years and urban areas expended exponentially the lands were bought from local land owners. These local land owners became mighty rich overnight. These people bought big houses in posh areas of cities and invested in real estate. It is their full time job to be property investor. They don’t do anything else for living. They wear expensive clothes and drive latest model land cruisers. Example can be seen in Islamabad, Lahore and Karachi.
You don’t need to make it your career in order to build wealth in real estate. If you love your job, you don’t need to quit it to invest in real estate. You can achieve the same (or better) results by investing on the side, same as you would as a full-time real estate investor.
By keeping your day job, you have several advantages over a full-time investor. First, you do not need to live off the cash flow you make—that’s what your nine-to-five is for. By reinvesting all the profits from your investments, you can fully realize the incredible benefit of exponential growth. Additionally, you have a much easier ability to get long-term bank financing thanks to the stable income from work, which can also help increase and stabilize your wealth building.
You can invest in real estate while keeping your day job or business by doing the following:
- Buy and sell plots
- Buy a property for rental income.
- Partnering in a larger piece of property
Real estate can be highly profitable whether it’s your career or you’re just investing while working a “normal job.” However, the choice is yours as to which path you take. Don’t simply decide to quit your job and become a full-time investor because you read about other investors who have been successful doing it that way. Having a concrete plan for how you’re going to proceed in real estate is essential.
“Get Rich Quick by investing in Real Estate?” Is it fact?
No doubt one of the most attraction for real estate investing is the image of investors driving fancy cars, living in large homes, and ultimately being rich. And while many real estate investors do build significant wealth during their careers, real estate investing is not a get-rich-quick scheme any more. Yes, there are some who make a lot of money in a short time; however, these situations are generally the exception, not the rule.
Investing in real estate takes planning, patience, and persistence. Don’t expect to make millions of Rupees in your first year. Instead, plan on creating a business through real estate that will steadily grow year after year, enabling you to meet your financial goals—and hopefully accomplish your dreams. No matter what you may hear, being successful in real estate requires hard work, just like any other field. It is also important to know that there are no shortcuts to being successful in real estate—there are no products or tools that will do the work for you, either. You must learn the fundamentals and then apply them.
“A journey of a thousand miles begins with a single step”
How can you educate yourself about Real Estate Investing ?
Real Estate Dealers.
I have examples of two people whom I personally noticed as I grew up. Mr. A and Mr. B. Both were doing same job on same ranks and same organization.
Mr. A after coming home from job will stay at home while Mr. B will venture out to meet real estate agents in their offices in the evening. I am talking about 70s and 80s. Mr. B learned and found opportunities to invest and gained more wealth than Mr. A.
You can gain firsthand knowledge by meeting and talking with property dealers.
As the old saying goes, “Those who lead, read.” Books are fundamental in gaining an education in real estate and may be the most widespread learning method for investors. Real estate books are produced each year by the thousands, and every major bookstore in the world contains an entire section on real estate investing. Chances are, if there is a way to make money from real estate, there has been a book written about it. If reading books, however, is not your thing, you are in luck. Today, we live in a world where nearly every new book is also available as an audiobook.
Blogs, short for what we used to call a “web log,” can be an amazing source of information. There are fantastic ones written on every topic you can imagine. There are many great blogs written by people living in the trenches of real estate that are worth checking out and learning from. Be sure to check out the Zameen.com blog—in which dozens of expert contributors share their best tips and advice.
Perhaps the most powerful way to gain a good education in any field of study is through a mentor—and the same holds true in real estate. While there are dozens of professional real estate mentors who charge for their service, there are also millions of mentors all over the world who will charge you as little as a cup of coffee—they are your local investors. People enjoy sharing what they know, and seasoned real estate investors are no different. By introducing yourself to a successful local real estate investor whose career you’d like to emulate, you’ll gain the opportunity to learn from someone in the field who knows your market and may ultimately become a partner someday.
Learning and gaining knowledge has become a child’s play now s days— One of the newer ways people are learning about topics of interest like investing in real estate is through watching YouTube videos and listening to podcasts.
Search the web about any housing society or project you want to invest. Read through and watch videos.
Discuss with real estate consultant and ponder upon on following before investing in Real Estate.
- Available cash
- Returns on investments
- Analytic Abilities
- Investing your time
- Stress Management
- Market Research
- Return Rates
- Type of Investment to make
There are people who are well suited for real estate while others may not be able to handle the pressures and stresses that come with this kind of investment. You have to learn about what to expect in the industry so that you can gauge which category you fall in. There is continuous learning process in Real estate. Sometimes you will learn from mistakes.
You can become an experienced investor with passage of time.
That said, life is too short to be stuck in a job you hate. Choose a career that makes you excited to wake up in the morning, energized throughout the day, and content when you fall asleep at night. If that desire leads you to full-time real estate investing, welcome to the club! Just make sure you are not simply building a career, but building a future.
Whether you decide to go full time or just invest on the side, real estate can be the path toward a bright financial future for you and your family.