{"id":2243,"date":"2017-08-17T11:22:39","date_gmt":"2017-08-17T19:22:39","guid":{"rendered":"https:\/\/www.yaorealestate.com\/?page_id=2243"},"modified":"2022-01-28T17:45:14","modified_gmt":"2022-01-29T01:45:14","slug":"top-5-real-estate-investment-mistakes","status":"publish","type":"page","link":"https:\/\/www.yaorealestate.com\/services\/vancouver-investment-property\/top-5-real-estate-investment-mistakes\/","title":{"rendered":"Real Estate Investment Mistakes"},"content":{"rendered":"

Top 5 Real Estate Investment Mistakes<\/h3>\n
    \n
  1. Looking for a deal<\/li>\n
  2. The \u201cI don\u2019t like the view\u201d syndrome.<\/li>\n
  3. Not enough of a budget.<\/li>\n
  4. Waiting for an even better time to buy\/sell.<\/li>\n
  5. Withholding information from your Realtor.<\/li>\n<\/ol>\n

    Here are the details of the Top 5 Real Estate Investment Mistakes<\/em> that people make when looking to buy a real estate opportunity.<\/p>\n

    #1. Looking for a \u201cdeal\u201d<\/h2>\n

    This is one of the most common real estate investment mistakes<\/strong> when an investor wants to buy a unit at the cheapest price relative to the rest of the building.\u00a0 Often times, there is a reason why it is less expensive than all other comparables.\u00a0 Also to consider is that your purchase price will be used for future purchases in the same complex\/area.\u00a0 If you buy lower than average, the market value drops.\u00a0 If you buy too high, it will take a while for the average to catch up.\u00a0 An experienced and knowledgeable Realtor will be able to provide you with a ballpark price.\u00a0 Depending on the market growth rate, you will be able to see a target goal of what you should pay. \u00a0See Our Top 10 Real Estate Investment tips<\/a>.<\/p>\n

    #2. The \u201cI don\u2019t like the view\u201d syndrome.<\/h2>\n

    This is a mistake made by many new investors.\u00a0 If you have this syndrome, you would view the property from a personal perspective.\u00a0 Perhaps it has a city view but you prefer a water view.\u00a0 Perhaps it has white walls but you prefer blue walls.\u00a0 Maybe it has an electric stove but you prefer a gas stove.\u00a0 But are you going to live there?\u00a0 Too many times we see that \u201cinvestors\u201d look for places they like personally, and end up with a property that is too niche.\u00a0 This affects the size of the rental market, and the buyer market when you sell.\u00a0 Remember, it\u2019s not about whether you like all the details or not.\u00a0 It\u2019s about what other people would like.<\/p>\n

    #3. Not enough of a budget.<\/h2>\n

    You need money to make money.\u00a0 The idea of buying a super inexpensive property is usually destined for failure.\u00a0 Many new investors focus so much on the capital invested when they should be more focused on the ROI (Return On Investment) rate.\u00a0 Every area and sub-market have their own \u201csweet spot\u201d.<\/p>\n

    #4. Waiting for an even better time to buy\/sell.<\/h2>\n

    For the lack of a better word \u2013 Greed. \u00a0Chances are, you will not buy at the absolute lowest point of the market, nor will you sell at the absolute highest point of the market.\u00a0 Long term, Real Estate has always been a positive investment in Vancouver, due to the climate, limited land, port of import\/export, etc.\u00a0 However, you need to be aware of the \u201cReal Estate Cycle\u201d.\u00a0 On average, the cycle does a full turn every 7-10 years in Vancouver.\u00a0 Just because the market dropped slightly after you bought, doesn\u2019t mean you lost money.\u00a0 You only lose\/make money when you sell.<\/strong><\/em>\u00a0 Simply wait, because you should have been well hedged from planning out your rental income, and wait for the market to cycle back up again.\u00a0 Same theory, you will likely not sell at the absolute highest point of the market.\u00a0 Once the growth in your property slows down, sell and invest in another high growth property so you make your money work hard for you continuously.\u00a0 In the end, don\u2019t fall into the greed trap.\u00a0 It\u2019s better to make $95,000 than trying to make $100k and risk losing more, wouldn\u2019t you agree?<\/strong><\/p>\n

    #5. Withholding information from your Realtor.<\/h2>\n

    Telling him\/her that your budget is below you\u2019re your real budget is.\u00a0 You need to trust your Realtor.\u00a0 The difference between what your budget is and what you tell your Realtor can result in completely different areas to buy thus a completely different return rate.\u00a0 Take your time and find the right one for you, and trust him\/her to advise you.\u00a0 If your views are not lined up, your Realtor could not and would not be able to provide you with all the information and strategies that benefit you. \u00a0You chose a Realtor for a reason.\u00a0<\/strong> Trust in your decisions.\u00a0 In the end, you will still be the one that chooses whether to purchase\/sell or not.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

    Top 5 Real Estate Investment Mistakes Looking for a deal The \u201cI don\u2019t like the view\u201d syndrome. Not enough of a budget. Waiting for an even better time to buy\/sell. Withholding information from your Realtor. Here are the details of the Top 5 Real Estate Investment Mistakes that people make when looking to buy a…<\/p>\n","protected":false},"author":9,"featured_media":0,"parent":2144,"menu_order":4,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_kad_blocks_custom_css":"","_kad_blocks_head_custom_js":"","_kad_blocks_body_custom_js":"","_kad_blocks_footer_custom_js":"","_kad_post_transparent":"","_kad_post_title":"","_kad_post_layout":"","_kad_post_sidebar_id":"","_kad_post_content_style":"","_kad_post_vertical_padding":"","_kad_post_feature":"","_kad_post_feature_position":"","_kad_post_header":false,"_kad_post_footer":false,"footnotes":""},"categories":[],"tags":[113,112],"taxonomy_info":{"post_tag":[{"value":113,"label":"real estate investment mistakes"},{"value":112,"label":"Top 5 Real Estate Investment Mistakes"}]},"featured_image_src_large":false,"author_info":{"display_name":"System Administrator","author_link":"https:\/\/www.yaorealestate.com\/author\/admin\/"},"comment_info":0,"_links":{"self":[{"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/pages\/2243"}],"collection":[{"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/comments?post=2243"}],"version-history":[{"count":5,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/pages\/2243\/revisions"}],"predecessor-version":[{"id":3513,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/pages\/2243\/revisions\/3513"}],"up":[{"embeddable":true,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/pages\/2144"}],"wp:attachment":[{"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/media?parent=2243"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/categories?post=2243"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.yaorealestate.com\/wp-json\/wp\/v2\/tags?post=2243"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}