5 Real Estate Investing Myths

Real estate investing is one of the most dynamic, lucrative forms of investment available. However, it is easy to fall for misinformation due to all the misconceptions around this topic. To determine if real estate investment is a smart move for your portfolio, I’ll break down five common real estate investing myths so you can decide if this is the right journey for you.

1. Myth: All Real Estate Investments Are High-Risk?

Investing in real estate allows you to put your money towards tangible assets. Depending on the project, returns can exceed more traditional forms of investing such as stocks and bonds, which are subject to market volatility.

As Franklin D. Roosevelt reportedly said, “Real estate cannot be lost or stolen, nor can it be carried away. Purchased with common sense, paid for in full, and managed with reasonable care, it is about the safest investment in the world.”

The bottom line is that every investment has a degree of uncertainty or risk but investing in real estate has inherently unique advantages. It also is a form of impact investing, which means that you are making a contribution towards improving your community.

2. Myth: Only Experienced Investors Should Invest in Real Estate

One thing that we have as a primary goal at Beach City Capital is to offer opportunities to both experienced and non-accredited investors. You don’t need to be a veteran investor to invest in any of our projects. The opportunities that we offer are deal-specific and ongoing. This means that the investment is secured at the entity level with an agreed-upon and structured profit distribution defined within the partnership’s operating system.

3. Myth: Only Invest In Real Estate When The Market Is Good?????????

It’s no secret that the economy is constantly evolving. The best antidote to your market-based fears is to become more familiar with your finances and step back from the microscope aimed at external factors like the economy or world events.

When folks want to invest, they often wait for perfect market conditions to throw their money in a worthy direction. If your finances are stable and consistent, don’t hold up your investment.

Focus on what you can invest, or you may miss out.

?4. Myth: Real Estate Investments Can Get You Money Immediately

According to Mashvisor.com, “Appreciation is one of the main reasons why you should consider investing in real estate.” Keep in mind that the silent driving force of time will work for you. Patience and determination will go a long way in seeing your investment through.

5. Myth: You Should Only Invest In Emerging Neighborhoods?

When considering the location of your real estate investment, consider a range of areas including but not limited to emerging neighborhoods and those going through revitalization. It is completely possible to transform neighborhoods with new construction. Keeping an open mind is essential when vetting residential projects to invest your money. Purposeful land development and design stand to enhance our communities by reviving dilapidated lots with energy and cost-efficient buildings.

With these five myths busted, all of these points will vary based on your goals and investment strategies as well so the most important steps would be to seek education around this topic and learn the best tactics for you. To find out more about Beach City Capital and our investing options, send me a direct message, and let’s talk!

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