Real estate investing is a long term goal. It is not going to work quickly or in a short amount of time. While it takes money to make more money, especially in real estate, it is important for you to start small. You can make a lot of errors if you move too quickly and without being well informed. Most real estate investors such as Paul Daneshrad started out small in an effort to make more money. In order to make sure you start small and do not get too far ahead of yourself, you should ask yourself some questions and understand the answers to them.
You must first understand how much you want to earn. If you are starting to invest in real estate, you are considering an investor for part-time. You should determine how much you really want to earn. You should also decide if you want to become a full-time investor. No matter if you decide to remain a part-time investor or become a full-time investor, you should know how much you want to earn from a rental property. You also want to determine what type of home you want to buy and where. You need to make sure you understand the rental market around you to make the best decision about what to buy for a rental property.
You have to consider how much you would like to earn to determine how many properties you need to buy in order to make that money. Keep in mind, you have to pay the mortgage, insurance, taxes, and have money for emergencies and repairs before you can consider any additional money as income. If you own one property and you are able to clear $400 per month as income, that gets you about $4,800 per year as income. With this kind of income, you have to have a second job, or obtain more property. If you want to earn $50,000 per year as income, you know you have to have about 11 properties to earn that. This probably still is not enough money to live on by itself. Before you buy more than 1 property, you need to make sure that you can handle and make 1 property thrive.