For some of us, putting together “20-something” and “real estate”is a laughable idea. However, more and more 20-somethings are becoming more interested in real estate than statistics are willing to say. There are those of us who want more out of life and understand the power of time that we have in building wealth through real estate.
Whether or not you own any property yet, the tips here should help you easily navigate the often risky (but mostly profitable) world of real estate. Here are the mistakes you should avoid regarding real estate, especially if you’re 20-something.
Believing that real estate is for the rich or old. Nothing is farther from the truth, while it can be more challenging for young people, it is very DOABLE. With virtually hundreds of ways to invest in real estate, from buying your first home to buying investment properties, there’s no shortage of options for you.
Living with parents too long. You might know someone like this – perhaps that one is you. If you’re still staying with your parents simply to escape the reality that you’re a grown up, well, it’s time to grow up and get a job, start paying your bills and meet the world. The only exception is if you’re saving money or trying to get out of debt. Accomplish your goals as fast as possible and get on with your life.
Not doing your research. Most young people think that homework ended when school does, but when it comes to purchasing a property and getting into the real estate market, it all begins with research. Knowing what makes a good deal a good deal, locations, and whatnots are extremely valuable skills to have. These skills are not hard to obtain, as there are countless books, blogs, podcasts, and magazines that can teach you how to invest in real estate while you’re still young.
Not being flexible. Getting into real estate means leading an entirely different life in the next couple of years. Therefore, you need to purchase homes that accommodate change. For example, do not buy a small, one-bedroom condo that easily fits your budget because you won’t be able to live in a one-bedroom condo forever.
Buying only based on price. Most of us are quick to recognize a deal and snatch it up before other else could. Many young people use this technique when looking for homes or investment property. However, theprice is only a PART of the equation. Look at the neighborhood, the schools, and recreational areas. How about growth potential?
Yes, price it important, but it’s not the whole picture.
Fearing the current economy.You might have heard about the rising cost of housing these days, but rest assured that house process will come back down to earth since Australia is currently facing an undersupply in the property market. There are house and land packages Sydney and other Australian cities where properties are accessible and affordable.
End Note. The last thing you should avoid is not to start early enough. Your strongest financial asset as a young person is time. By getting into property investment at a young age, you gain the ability to let the market sort itself over time as well as understand it on an expert level as time goes by.